Why Do Some Clients Think You’re Too Expensive?

The initial consult is over.  The prospective client is paying at the front desk and tells the receptionist that you were great.  She says you answered all her questions and she loved you.

The receptionist asks if she’ll be back to get started.  The woman answers in a hushed voice “No, she was great, but she’s too expensive.”  The prospective client leaves, never to be heard from again.

Were you really too expensive?  Probably not.  In fact most family law attorneys charge hourly rates and fixed fees that are less than they deserve.  They frequently choose not to bill for some of their time and they usually don’t aggressively pursue outstanding receivables.

So why did she think you were too expensive?  Ultimately she didn’t feel that the service you were going to deliver was worth the fee.  It’s likely that you presented the fee without explaining the benefit she’d receive and the work involved.

During your meeting it’s important to explain the steps you’ll take with some specificity.  Explain the parts that will be complicated, time consuming and aggravating.  Help her understand the work you’ll be doing on her behalf.

Your job is as involved as organizing and executing a climb to the summit of Everest.  You can make it sound easy (we’re climbing to the top) or challenging (minimal oxygen, freezing temperatures, sophisticated equipment).  Go for the latter.

More importantly, communicate the benefits of your work.  Explain the comfort of knowing that nothing will come up later that might cost her down the road.  Explain that she’ll be certain that every “i” is dotted and every “t” is crossed with respect to her valuable retirement plan and other assets.  Let her know that she’ll be protected through the process by knowing what’s coming and that she won’t have to worry because you’ll be doing the worrying for her.

You’ve got your own special way of communicating the value of your service.  You’ve got stories you can tell to make your point.  Do it at every consult and she won’t ever think you’re too expensive.

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  • http://www.howtomanageasmalllawfirm.com/FreeReport.html RJON ROBINS

    I like your blog. And most of the time I agree with you. But respectfully, I think you missed the point on this one. And it’s a common mistake I see thousands of lawyers make. The reason prospective clients “think” you’re too expensive is because you ARE too expensive. That is, what you’re proposing to charge them for isn’t worth the price to them. And trying to dress it up by explaining to the client how darn hard you’re going to have to work isn’t going to make it worth more to the client. Why not? Because the client doesn’t give a crap how hard it’s going to be for you to help them solve their problems.

    Whenever a prospective client walks out the door with a legitimate problem and tells you it was your fee, it’s a big red flag that you spent too much time during the sales call, er I mean “initial consultation” talking about things the client doesn’t care enough about, and not enough time understanding the client’s problem on all 3 dimensions in which EVERY client’s problem or opportunity exists: Time, Money & Reputation. When you do this, and then speak in terms the client understands and cares about your prospect-new client closing ratio should be very close to 100%. And with some creative billing strategies you can easily employ in a family law practice, should equally be able to draw clients away from other equally-qualified but less expensive attorneys. We see it happening every day.

    Keep up the good work!

    • Lee Rosen

      Great input. Thanks for contributing. Fees, value, etc. are tough issues and I’m glad you’re willing and able to help.

      Lee

  • http://www.GrahamLawCollaborative.com Kimberly Graham

    Rjon,

    I’d love to hear more about the Time, Money and Reputation you mentioned. I tried to access your site but got a server error or something.

    I actually don’t have a problem getting clients to pay what I charge, initially. I explain things in a non-legalese way to my clients and many tell me how grateful they are that I’m not speaking a foreign language with them and that I truly seem to care. (I *do* really care about my clients, which is why they think I do!) In addition to expertise, that’s a lot of value right there. Clients are often hurting and want to know their lawyer cares. I do.

    My issue is in those (thankfully few) cases where things blow up and fees grow much larger than we anticipated. It’s too late in the case for a judge to allow withdrawal due to unpaid fees and then the case ends and I never get paid all that I earned. I called my malpractice carrier about possibly filing suit against a couple of clients and was told if I did that my malpractice rates would go up. It’s frustrating to be unable to collect what was earned.

    Thanks for another great post, Lee. (And comments Rjon!)

    Kimberly Graham

    I get a little more than I think we’ll need upfront, but sometimes it ends up not being enough.

  • http://www.GrahamLawCollaborative.com Kimberly Graham

    Rjon, found your site and will start reading. Looks like good stuff. It’s just the link from your name on this blog that was wonky.

    Thanks!

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