Consider the moment of meeting a new client: have you ever had an underlying fear that not securing their business could result in not making payroll or having a less than stellar year?
You may have a scarcity mindset.
The most successful attorneys in your town, they never seem to run short of clients. They’re not fixated on the competition and charge fees that often exceeds the going rates.
How do they do it?
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Understanding the power of mindset is crucial in shaping the trajectory of a legal practice.
The difference in mindset can be particularly evident when interacting with potential clients. For instance, consider the moment of meeting a new client; if there is an underlying fear that not securing their business could result in not making payroll or having a less than stellar year, it indicates a scarcity mindset.
This perspective can lead to decisions like offering free initial consultations in the hope of attracting more clients, especially when it seems like a standard set by competitors in the personal injury law space.
However, this approach doesn’t consider the value of the services provided. A scarcity mindset is often preoccupied with what the competitors are doing, such as their fees or marketing strategies like client workshops, and consequently, the focus isn’t where it needs to be. It’s hinged on the belief that client opportunities are limited, a zero-sum game within the community.
But if we observe the most successful attorneys in town, they never seem to run short of clients. They’re not fixated on the competition; instead, they charge what they deem fair for their services, which often exceeds the going rates.
How do they do it?
It’s all about the mindset they adopt—a mindset that starts with believing in one’s own worth and the value offered to clients. The concept of value creation will be a future topic of discussion, but it’s important to note that providing good value should translate to charging what that value is worth. If clients are reluctant to write checks, it’s not a reflection of the competitors’ actions but rather indicates that the firm has not yet found the value proposition that resonates with clients.
Two types of mindsets can be delineated in this context: the scarcity mindset and the abundance mindset. The latter is what successful practices embody—they’ve identified the client value proposition that their niche market seeks. Once tapped, it leads to an endless stream of quality clients.
This brings to mind insights from marketing experts like Dan Sullivan of Strategic Coach and Joe Polish of the Genius Network. Polish asserts that “the smaller the niche, the greater the opportunity.” This suggests that rather than trying to appeal to everyone out of fear of scarcity, there is more value to be found in specializing.
Focusing on a specific niche, whether it’s recent retirees, family business owners, divorced individuals, widows, widowers, or young families, enables a law firm to hone in on and address unique needs. The choice of niche could be influenced by market conditions, personal background, or simply a preference for certain types of work.
The shift in mindset from scarcity to abundance begins internally. It’s about overcoming the fear that not every prospect will become a client and recognizing that financial rewards are a byproduct of focusing on clients’ needs. An abundance mindset doesn’t see money as the primary goal but as a natural result of a practice oriented around true value provision to a well-defined client niche.
Embracing an abundance mindset transforms the practice of law from a race to secure clients into a focused endeavor of providing unmatched value, creating a client experience that can’t be found anywhere else at any price.
To Your Bigger Future,
Craig R. Hersch
Florida Bar Board Certified Wills, Trusts & Estates Attorney
Senior Partner, The Sheppard Law Firm
Founder, The Freedom Practice ®
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