When it comes to client acquisitions, it’s nearly impossible to overstate how valuable a referral program is for law firms. After all, a lead that comes from another law firm’s ready to retain counsel. If your firm doesn’t already have a referral program in place, you’re missing out on a powerful client acquisition technique.
How Can a Referral Program Help Firms Grow Their Auto Accident Clientele?
Here’s how it works: An auto accident law firm has more prospective cases than it can handle right now. The firm certainly doesn’t want to ignore these potential clients, so instead, it refers them to another local practice. After signing a mutually beneficial formal agreement, Firm One receives a referral program finder’s fee for sending leads to Firm Two, and everyone is happy.
(A referral program describes a formalized agreement for offering your overflow leads to nearby firms — or accepting theirs as clients.)
Referral programs provide value to all participating parties, and they help lawyers get pre-qualified, conversion-ready prospects fast. And referred leads convert at a much higher rate than affiliate marketing leads do. Let’s look at some key benefits for firms with an auto accident lead referral program in place:
3 Reasons Successful Law Firms Use an Auto Accident Lead Referral Program
1. Auto accident leads expire faster than some others do
Leads from accidents that happened within the last 30-90 days have the most value. Pre-qualified local referrals are more likely to meet that metric than leads bought from affiliates or resold email lists. B2B referrals are superior quality leads because they’re vetted through the other firm’s intake staff and ready to convert today.
Plus, your firm and others participating in your lead referral program wish to meet prospective clients’ legal needs quickly. Since you’ll only complete the last few intake steps, the conversion process goes much faster and easier.
According to Clio’s 2017 Legal Trends Report, 31% of consumers looking to hire legal representation were referrals from another lawyer. Knowing this, implementing a referral program for time-sensitive auto accident leads just makes sense.
2. Firms with overflow leads can recoup lost marketing dollars through referral program fees
In 2017, 94% of firms surveyed in the Clio report didn’t know how much they spent to acquire new clients. Your firm probably spends money on marketing channels to deliver leads that don’t convert into clients.
To calculate your current lead conversion rate, divide total clients retained by total leads generated. Next, multiply this number by 100. If you need 1,000 leads to generate 100 retainers, your overall lead conversion rate is 10%. Then, break that conversion rate down for each marketing channel. How many retainers are you getting from billboards? How many from newspaper ads? Social media?
Find where your money’s going first and how well it performs. If your firm’s lost more marketing dollars than you can afford on low-quality leads, put a referral program in place. It’s the fastest way to put some money back into your marketing budget during the next quarter.
3. LeadingResponse offers special incentives for new clients generated through our own referral program
If your firm or business refers another client that agrees to buy leads for at least 90 days, you’ll get 10% off your next month’s order. Just have them fill out the contact form on this page to get a free monthly lead volume estimate today!