Market Research for the Legal Industry

Last week’s guest post examined profitability of lawyer marketing ventures by using a cost-per-case analysis:

Total dollars spent
÷
New clients signed on because of the marketing effort

Another piece of the puzzle is understanding what market research tells us about our potential clientele. But where can we find this information?  Data about demographics, employment, supply, and demand can hard to find – especially in one convenient location.  But thanks to the hard work of Annette Shelton-Tiderman we have a resource!

In her post, Problem Solvers: Offices of Oregon Lawyers, Annette reports on the following topics:

  • Offices of Lawyers Reflect Oregon’s Diverse Population and Geography
  • Supply and Demand: Employment Reflects Changes in the Economy
  • Marshalling Problem-Solving Resources
  • Projected Demand Shows Change and Overall Growth

She includes interesting infographics on the statewide marketplace for legal services, employment growth rates, employment projections, and breakdowns on areas of practice.  Because the report relies in part on the bar’s 2012 Economic Survey, the data is a bit aged, but still helpful.

I first shared this resource three years ago.  Unfortunately, it was relocated on the Employment Department website.  It took some time to dig back up again, thus the repost.  If you’re looking for other ideas on market and economic analysis, read on.

More Resources for Market and Economic Analysis

Lawyer billing practices

Lawyer Demographics – County, Population, Age Group, and Trends

  • OSB 2012 Economic Survey – the main survey includes data on the future plans of survey participants (leaving the practice of law or retiring).  The Addendum has additional demographic data.
  • Learning the Ropes 2016 Program Materials from the Professional Liability Fund.  Locate page 264, “PLF Covered Lawyers — by County, Population and Age Group.”  From the PLF home page, Select CLE > Past CLE and find “Learning the Ropes 2016” in the alphabetical list of Programs.  Click the program link.  On the description page, locate QUICK LINKS (top right of screen).  Select the PROGRAM MATERIALS link.
  • Are you a member of the OSB Lawyer Referral Service (LRS)?  They gather data on supply and demand for all their programs.

Market Research Databases

Economic Forecasting

Occupational data and job listings (including Lawyers)

  • The State of Oregon provides data and occupation profiles on all occupations, including lawyers and legal staff, at this link.   You can also display statewide job listings. Alternatively, start at this location, then select the “Wage Data Tool” in second column under Workforce.  To give you a better idea of how this tool works, here is a snapshot from a recent search:

wage20tool

As you can see, it is possible to print a full report, custom report, or summary.  If you want to find career pathways, wage range data, or occupations with similar skills just be sure the appropriate boxes are checked.

Postscript

The Oregon Employment Department’s Web site is a helpful resource for businesses researching economic data, business indicators, and other information. There are 13 workforce analysts spread across the state who are responsible for assisting businesses with needed labor market information. This can include the demographics of a neighborhood – very helpful when a business is looking to relocate or expand. The Employment Department also tracks education levels, income, population data, and maintains a database for occupational and wage-related information that is easily accessed via its website. Services provided by workforce analysts are paid for by business taxes.  There is no additional cost to access their expertise.

All Rights Reserved Beverly Michaelis 2017

Are Contract Lawyers Automatically Independent Contractors?

Many new lawyers seek out contract lawyering assignments as a means of getting their practice off the ground.  If you are interested in contract lawyering, there are many excellent resources to help you get started.

Begin by checking out the following forms and practice aids available from the Professional Liability Fund at no charge:

  • Contract Lawyers Checklist
  • Contract Project – Letter of Understanding
  • Contract Project Intake Sheet
  • Letter Declining Contract Project
  • Project Assignment

Next, order the following free CLEs:

  • Choice of Entity for Contract Lawyers and Sole/Small Firm Practitioners
  • Practical Contract Lawyering

Both can be found on the PLF Web site.  Select Programs on CD/DVD under the Loss Prevention – CLE heading.

Once you’ve done a bit of homework you will start to get the drift that there is a bit more involved in being a contract lawyer than merely taking an assignment and completing a project.  For example, your classification.  Are you an employee or an independent contractor of the hiring firm?

Some contract lawyers assume they are “independent contractors” because they produce “contract work.”  But a true “independent contractor” must meet the criteria of federal and state agencies for income tax, employment tax, wage and hour, pension, health, Medicare, retirement, disability, workers’ compensation, and unemployment insurance purposes – to name a few.  So how to proceed?

In their article Contract Lawyers: Independent Contractors or Employees? Lisa Brown and Jim Vogele provide some answers.

First, enter into a written agreement with the hiring firm confirming your independent contractor status.  Brown and Vogele suggest including the following provisions:

  • The contract lawyer is responsible for his or her own income tax withholding and Social Security self-employment taxes, professional liability insurance, and excess coverage.
  • The firm will issue a Form 1099 for the services performed by the contract lawyer.
  • An acknowledgement that this is not a joint venture and the parties do not have any shared business interests.
  • The contract lawyer is currently licensed and in good standing with the Oregon State Bar, has current professional liability coverage, and has no pending malpractice claims or ethics complaints.
  • The contract lawyer does not have a conflict with any of the parties involved in the assigned project.
  • The contract lawyer agrees to at all times fulfill his or her professional duties to protect the client’s privileged and confidential information.
  • The contract lawyer will at all times comply with his or her ethical and legal responsibilities as a lawyer licensed to practice law in the state of Oregon.
  • The contract lawyer will return all client documents, including all copies of the documents, when the project is complete.
  • The contract lawyer will not receive any employee benefits or workers’ compensation coverage.

Second, behave like an independent contractor:

  1. Maintain your own office (virtual or brick-and-mortar)
  2. Provide services to a variety of firms
  3. Print and use your own business cards
  4. Keep an e-mail account separate from the hiring firm(s)
  5. Use your own online legal research tools, computer, and copying capability
  6. Get your own taxpayer ID
  7. Work independently, setting your own hours
  8. Exercise control over how your work is performed
  9. Invoice the hiring firm and arrange for payment on a project basis
  10. Obtain a 1099 from the hiring firm at year-end
  11. Fulfill the other hallmarks of working as an independent contractor

Read the complete article on the Professional Liability Fund Web site.

Learning the Ropes 2012

Are you new to private practice? Then I have just the ticket for you!

Attend our three day conference – Learning the Ropes: A Practical Skills & Ethics Workshop – for a mere $65.  Attendance at the full program satisfies the MCLE requirements for new admittees’ first reporting period.

Choose from these concurrent sessions:

  • Creating a Firm (featuring yours truly) or Joining a Firm
  • Tort Litigation or Estate Planning, Guardianships, Conservatorships
  • Domestic Relations or Criminal Law
  • Civil Motion Practice or Bankruptcy

Can’t decide?  All tracks are recorded for later viewing at no charge.

Plenary sessions include:

  • How to Develop a Successful Practice and Avoid Legal Malpractice
  • Client Communication and Other Practice Management Survival Tips
  • The Ethics of Practice Management
  • Alternative Dispute Resolution
  • Recognizing Child Abuse and Fulfilling Your Duty to Report
  • Courtroom Do’s and Don’ts
  • Negotiation Tips, Tricks, Traps, and Tools
  • Bridging the Cultural Gap
  • Employment Law and Conscientious Communication (a new addition in 2012!)

Day 1 includes a “Meet the Judges” luncheon.  Day 2 features a networking luncheon with bar leaders and respected practitioners in the fields of Appeals, Criminal Law, Employment Law, Intellectual Property, Business Litigation, Debtor/Creditor Law, Estate Planning, Litigation, Business Transactions, Elder Law, Family Law, and Real Estate.

All meals, including the luncheons, are included in your $65 workshop fee.  The program is at the Oregon Convention Center October 31, November 1, and November 2, 2012.  Register here or visit the PLF Web site > Upcoming Seminars (under the heading Loss Prevention – CLE).  Sign up early.  Space is limited!

Copyright 2012 Beverly Michaelis