Getting Your Fair Share For Professional Service Providers

Agenda How Clients Buy? Positioning Differentiation Marketing Professional Service Firms

How Clients Buy?

How Clients Buy  Professional services are purchased as a result of the providing firm’s: Reputation Business relationships Thus reputation and business relationships are the key enablers of professional service purchases.

Positioning

 Positioning is the specific idea that comes to mind when people think of a company, product or service.  For example if I say: Rolex – Class Volvo – Safety Arthur Andersen – ? Positioning is important, because besides being a key enabler, a good reputation is a “position”.

Positioning  Positioning is determined by the messages communicated to the public.  Any message, intentional or not, can affect positioning.

Positioning  Positioning professional service firms tends to be difficult because they: Bring value that is often intangible and thus difficult to prove Bring value that is often complicated to communicate Target more sophisticated markets Have services and offerings similar to that of many competitors

How to Build a Professional Service Firm’s Reputation  Exhibit the firm’s knowledge and expertise publicly and often.  Leverage positive customer and expert testimonials as much as possible.

Differentiation

 There are multiple ways to differentiate a professional services firm.  Successful firms tend to differentiate themselves in more than one way. Convenience Business Referrals Expertise Services

Specialization  Specialization is powerful because it communicates a level of skill or knowledge not associated with general competitors.  Specialization can be in nearly any area a client might seek: Market segment (Energy, Telecom, Biotech) Specific service (Security Audit, IT Audit, Sarbanes Compliance, Commercial Litigation) Type of service (UNIX, Novell, Mergers & Acquisitions, Governmental Accounting)

Services  Professional service providers often attempt to differentiate themselves by adding unique services.  This is most effective when designed around unique market knowledge and/or specific business relationships.

Innovation  Professional service providers using innovation as a differentiator add intellectual property or a tangible product to their services so as to offer unique value.  Innovation is extremely powerful when it adds value that cannot easily be duplicated.

Client-Focus  Client-focus is overall the most powerful differentiator available.  Professional service providers differentiate themselves based on client focus by continuously helping clients reach their goals – even when it brings no revenues to the firm.

“… superior marketing and selling occur when the buyer is better off because of the experience, regardless of whether the seller ever makes a sale.” Larry Smith, Inside Outside “… superior marketing and selling occur when the buyer is better off because of the experience, regardless of whether the seller ever makes a sale.” Larry Smith, Inside Outside Client-Focus  Examples of the way professional service providers might help clients include: Providing Leads Providing Contacts Making Introductions Acting as an Advocate Business Consulting

Marketing Professional Service Firms Ask Me About The Give Away!

Marketing Professional Service Firms  Things to know about professional services marketing: Reputation and business relationships are everything Traditional branding techniques generate low ROI unless they also build the firm’s reputation No one buys a $21,000 accounting service because of an advertisement Marketing should be focused on generating leads, not closing sales Clients tend to hire people not firms

Integrated Marketing  Effective marketing programs utilize multiple outreach methods. This allows each method to reinforce the others Public Relations Direct Marketing Referral Marketing Advertising A marketing program for professional service firms nearly always includes A marketing program for professional service firms often includes

Advertising  Use broadly focused advertising when: To promote events, people or things The firm has a consumer practice The firm is in transition  Tightly focused advertising such as Google AdWords are good but depend on the type of services being offered.

Public Relations  Educational articles and seminars positioning people within the company as experts in specific areas should be placed. This will help build the firm’s reputation.  Articles and seminars should include an offer for a related educational piece only available by accessing a website.

Direct Marketing  Educational mails and s positioning people within the company as experts in specific areas, should be sent out on a routine basis. This will help build the firm’s reputation.  Mail and s should include an offer for a related educational piece only available by accessing a website. Attorneys note, expertise can be promoted WITHOUT violating the Texas state bar’s canon of ethics.

Referral Marketing  Implement a systematic approach to leveraging business relationships at a firm level: Teach staff how to network for referrals effectively Establish monthly targets for the number of business relationships that must be developed by each staff member Review relationships every month. Determine how the firm can help them, and how they can help the firm. Provide help, and ask for help

Thank You Questions?

Next Steps 1.Develop a marketing plan. It can be SIMPLE but should contain: The desired position The message that will be communicated to build that position The specific marketing activities used to communicate the message 2.Execute the plan 3.Track what works and what doesn’t 4.Based on #3 adjust plan 5.Back to #2