Page 32 - Law Society of Hong Kong MPMC Manual v8 - With checklists (1 March 2018)

Practice Management Course | Unit 4
Client Development

UNIT 4: CLIENT DEVELOPMENT

Introduction
This unit focuses on developing the necessary skills and behaviours for expanding business through
client development, with an emphasis on why you should focus on existing clients. Law practices
often prioritise new clients over existing clients in their business development strategy. However,
existing clients are an important source of potential future revenue. In fact, repeat business from
existing clients may be more lucrative than new client business, for a variety of reasons.
Developing repeat business will require a detailed business development strategy that entails
building reputational capital, implementing and executing a focused marketing plan, and carefully
managing the client relationship.

Objectives
At the end of this unit, you will be able to:

• Examine components of client relationships and build the necessary skills and
behaviours to manage clients for future work opportunities.
• Identify why existing clients are good prospects to grow revenue.
• Outline how clients become pre-disposed to using the practice again.
• Employ behaviours likely to encourage ‘repeat business’.
• Analyse the elements of professional relationship building.
• Identify a variety of client maintenance tactics, including up-skilling.
• Create and commit to an existing-client marketing plan, including measuring and
reflecting on the success of your efforts.

1. Growing revenue from existing clients requires extensive analysis and planning.
Specifically, it entails:

• Identifying the clients from whom you would like more work.
• Reviewing what you are currently doing (or not doing) to pre-dispose your
clients to using you again.
• Designing strategies to implement ‘repeat business’ behaviour.
• Executing client maintenance tactics that are comfortable to work with and are
consistent with 5-star relationship building.

Why existing clients are good prospects to grow revenue
2. Many law practices focus on new client business development. Sometimes, there is
little or no strategic planning to obtain new business from existing clients. However,
existing clients often represent the most probable and potentially profitable source
of increased revenue.

3. There are several reasons why marketing to existing clients may be more important
and profitable than marketing to new clients.

4. The sales process in professional services depends upon winning the clients’ trust
and confidence, and then understanding what services can be provided to the
client. With existing clients, for whom you have already performed work, you have
a head start on these important purchasing factors.

5. A new business opportunity with an existing client is less likely to be competitive.
An existing client is less likely to invite or consider competitor bids when it already

© The Law Society of Hong Kong (2018) Page 28