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European Lawyer recently published an interesting survey on the ongoing influx of U.S.
law firms into the European market. Between 2000 and 2002, the top 100 U.S. firms opened an
average of 23 offices in Europe. Many were additions to an existing network, but there were
also several openings by newcomers such as Dewey Ballantine and Howrey Simon Arnold & White.
Besides wanting to be where their global clients are, the European legal market continues to
provide some attractive and untapped opportunities.
U.S. firms, however, meet stiff competition in Great Britain with the ubiquitous "Magic Circle"
firms -- the five British firms considered the top of the pack. The Magic Circle consists of
Clifford Chance, Allen & Overy, Linklaters, Freshfields Bruckhaus Deringer and Slaughter & May,
which have managed to brand themselves as something above the rest. U.S. newcomers in Germany
are either faced with huge Anglo-German law firms or solid national players that are deeply
rooted in the German Mittelstand, mid-market, often family-owned companies of considerable size.
In this competitive environment, marketing abilities play a prominent role in reaching a firm's
business goals in Europe.
Most U.S. players have developed serious marketing capabilities in their domestic markets.
This article aims to shed some light on the history and status quo of European law firm
marketing and possible cultural considerations American law firms should make when marketing to Europe.
Evolving Concept
The concept of legal marketing in Europe has evolved over the past 10 years. In the early 1990s,
lawyers would dismiss most marketing methods of presenting themselves and their practices to the
public. Lunches, rounds of golf and belonging to the right circles were the foundation of client
development. U.K. firms were the first to start marketing more aggressively as they were allowed
to form bigger entities.
It was in London where many U.S. firms entered Europe and established outposts as early as the 1960s.
A great number of their U.S. clients had set up operations there, and the London financial district
attracted many American banks and investment firms. Culturally this was a good fit.
No language barriers could come in the way of communicating with the market, and ethical
standards rapidly softened. Today, virtually every large U.S. firm has a London-based operation
and typically employs one or more legal marketing specialists. However, British firms still tend
to put more resources into marketing: Eversheds for example, one of the U.K.'s largest firms,
employs more than 70 marketing and communications specialists.
Legal Marketing on the Continent
The legal trade in continental Europe, especially in Germany and France, utilized professional
services marketing more readily in the late 1990s. Up to that point, local ethical rules and
standards often prohibited proactive lawyer marketing activities and stigmatized them as "advertising,"
something a lawyer simply would not do. Jones Day was one of the first law firms in Germany to have a
business development manager on staff as early as 1994, but a real liberalization occurred only after
May 22, 1996, when the Constitutional Court ruled that the German Ethical Code for lawyers needed to
be amended in order to allow certain promotion and advertising as long as content was based on fact.
The majority of law firms in Germany, however, have started to hire local professionals only during
the last three years. Their roles are more operational than strategic.
Contrary to the decentralized German market, where there are multiple business centers within Frankfurt,
Duesseldorf and Munich, the legal market in France is in Paris. The French capital often was the
second step of a U.S. firm's European expansion. French law firms are very traditional and have
close ties to the big French corporations and financial institutions. "The typical Parisian law
firm is a boutique, owned by a handful of partners," explained Claudia Schieblon of the European
legal marketing organization PM Forum. With the exception of SimŽon et AssociŽs, a Paris firm
that merged with Lovells, most French law firms have kept their independence.
The influence of U.S. and U.K. firms in Europe is reflected by the way legal services are marketed
and tendered. General counsel will open up "beauty contests" to lawyers to compete for business
and requests for proposals are becoming standard procedures. The use of RFPs has become a regular
marketing practice in many law firms of Continental Europe.
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The Importance of Cultural Adaptation
Indeed, the cultural differences between the United States and Europe affect the marketing strategies
of American law firms. Law firms in the United States, like American corporations in general, tend to
build their brand with a centralized approach, using the same look and feel of their materials and
messages throughout the various local markets. In fact, this is the best way to achieve brand
recognition. This approach, however, may need some refinement once firms leave their home turf
and enter into other jurisdictions and cultures.
What works with American clients may not work with Belgian or Spanish clients. Europeans, for example,
dislike language that suggests that a firm is "the best, outstanding, excellent," etc. French clients
like pitches that "go directly to the subject." In Spain, one should not appear pushy. Sylvie Marchal,
who coordinates the European business development for Jones Day in its Paris office, explained that
clients are looking for solutions to problems, not endless chest-pounding and lists of awards and
nominations. When conducting business in Europe, U.S. firms should take a look at their marketing
materials and perhaps tone them down, if needed. As a general rule, American copy, whether in brochures,
practice descriptions or ads, cannot simply be translated, but should rather be adapted into the
respective languages of a specific country, always taking local culture into consideration. Sometimes
marketing specialists should create new and customized materials for certain target groups.
European clients can be uncomfortable with any type of "direct hard selling"; in other words, cold
approaches. To address legal or business issues to potential clients, lawyers should have already
built some kind of relationship with this target and have established a good reason why a mailing
or other piece of marketing is sent to them. In socially active countries such as France, Italy and
Spain, business is highly relationship-driven. It is necessary to often meet with potential and
existing clients face to face or arrange lunch meetings or special events. Our firm has had great
success with client events such as Speaker Forums, Q&A breakfasts and receptions at museums. Because
Germans are very security-oriented, they embrace seminars that illuminate possible legal pitfalls
that lie ahead. These seminars, sometimes held in conjunction with other industry experts or business
chambers, are a good opportunity to demonstrate competence and add value.
Taking clients to sports events is a classic client-development activity in America and it is
catching on in Europe as well. Tennis competitions like the French Open or golf tournaments are
becoming popular in client entertainment. So are soccer games, as long as high-profile teams are
involved. Whenever lawyers take clients to these events, the challenge is to find a balance between
offering an exclusive access without going overboard. European clients are quicker to think that
money is being wasted. Also, some clients may feel uncomfortable being invited by their lawyers
because they might lose their independence in choosing legal counsel.
Adapt, but keep your Identity
It is safe to conclude that Europe is gradually getting used to business development practices
developed in the United States. Even though, at the present time, Europe appears to be shifting
away from the United States politically, the American way of client service has never been more
welcome. U.S. companies are successful when they have a clear business model and an identifiable
brand. The same is true for American law firms with a worldwide identity, which should not be in
any way watered down. However, firms that take regional cultural differences into consideration
and actively manage them with adapted materials and by using local professionals for their
marketing departments are staying ahead of the game.
Robert Peres
Jones Day, Frankfurt
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