Every intellectual property (IP) law firm and professional aspires to expand their book of business. Traditional business development efforts typically center on acquiring new clients through networking, speaking engagements, publishing, and other brand-building activities. While these initiatives are undoubtedly valuable, they often overshadow an equally—if not more—effective strategy: deepening relationships with existing clients.
Empirical research suggests that securing a new client requires five to ten times the effort, time, and resources compared to increasing revenue from a current client. Yet, many practitioners devote disproportionate energy to prospecting rather than optimizing the business potential within their existing client base.
The Case for Account-Based Business Development
Like any relationship, client relationships require sustained attention and care to flourish. Every client wants to feel as though they are your firm’s top priority. However, as a firm’s client base grows, it becomes impractical to provide the same level of attention to each client. Some may require frequent engagement—perhaps a monthly or quarterly review—while others prefer minimal interaction. The challenge, then, is to develop a systematic approach to identifying key and growth clients and strategically investing time and resources in those relationships.
This is where account-based business development becomes indispensable. By systematically identifying specific clients and implementing a structured approach to nurturing those relationships, firms can drive revenue growth, improve client satisfaction, and cultivate long-term loyalty.
Identifying Clients for Account-Based Business Development
Not all clients merit the same level of strategic investment. The most effective account-based business development strategies focus on two categories of clients:
Key Clients – These clients generate a significant portion of the firm's revenue and represent a substantial risk if lost.
Growth Clients – These clients have untapped legal needs, either because they distribute work across multiple firms or because they are unaware of additional services that would benefit them.
Key Clients: Applying Pareto’s Principle
The Pareto Principle, also known as the 80/20 rule, suggests that 80% of outcomes result from 20% of inputs. Applied to legal practice, this means that approximately 20% of a firm’s clients likely account for 80% of its revenue. Identifying these clients is a critical first step in any account-based business development strategy.
Key clients can be identified through key performance indicators (KPIs) such as:
Total revenue generated for the firm
Profitability of the client’s matters
Volume of new matters initiated within a given period
Once identified, clients can be segmented into tiers, such as:
Essential Clients: The top 15% of revenue-generating clients
Core Clients: The next 20%
Strategic Clients: The remaining clients
For essential clients, at a minimum, an annual strategic review should be conducted to assess business needs, service satisfaction, and potential growth opportunities. However, a truly effective strategy involves more frequent and personalized engagement, such as invitations to firm-sponsored events, tailored legal updates, or strategic introductions within the client’s industry.
Beyond retention, key clients also serve as an opportunity for leveraged business development. A satisfied, loyal client is a powerful referral source. Law firms often underestimate the potential of asking these clients for introductions within their networks. If a client trusts your expertise, they may be willing to recommend your firm to peers, business partners, or industry colleagues.
Growth Clients: Unlocking Latent Opportunities
Identifying growth clients requires a more investigative approach. These clients fall into two primary categories:
Clients Distributing Work Among Multiple Firms – Some clients allocate work to several firms rather than consolidating their legal matters with a single provider. By strengthening relationships with key decision-makers, demonstrating superior service, and offering competitive advantages, firms can position themselves as the preferred legal partner. For instance, does a foreign associate split patent and trademark filings between multiple firms in your jurisdiction? If so, what would it take to consolidate that work with your firm?
Clients with Unrecognized Legal Needs – Some clients have legal issues they may not yet recognize or understand as actionable. Identifying these opportunities requires industry knowledge, client research, and proactive engagement. For example, has a corporate client recently acquired a new business arm that requires IP due diligence, trademark strategy, or patent portfolio review? If so, they may benefit from additional services your firm can provide—but only if they are made aware of them.
It is crucial to remember that today’s growth clients are tomorrow’s key clients. Investing in these relationships now can yield substantial long-term benefits.
Developing an Account-Based Business Development Strategy
Once these clients have been identified, a structured strategy must be implemented to maximize engagement and growth.
Building the Right Team
Effective account-based business development requires a dedicated client team, led by a designated relationship manager. The composition of this team should be tailored to the client’s specific needs and include attorneys from relevant practice areas. For example, if the objective is to expand patent work into trademark services, the team should include an experienced trademark attorney. However, teams should remain small enough (ideally three to five members) to ensure efficiency and accountability.
Client Profiling and Relationship Mapping
The next step is to develop a comprehensive client profile, which should include:
The client’s business structure and industry positioning
The scope of current legal services provided
Potential legal needs and service gaps
Key decision-makers and influencers within the company
The client’s business goals and challenges
This information enables firms to anticipate client needs rather than merely responding to requests, positioning them as proactive strategic partners rather than reactive service providers.
Tactical Engagement and Value-Added Interaction
Once a client profile is established, targeted engagement strategies can be implemented. These may include:
Providing tailored insights: Instead of generic client alerts, offer personalized legal updates relevant to the client’s industry and business objectives.
Hosting strategic meetings: Go beyond routine status updates—engage clients in discussions about their long-term business goals and how your firm can support them.
Facilitating industry connections: Introduce clients to other professionals, potential business partners, or investors within your network.
Proactive problem-solving: Identify potential risks or opportunities in the client’s IP portfolio before they arise, demonstrating your firm’s commitment to their success.
Continuous Monitoring and Adaptation
Account-based business development is not a static process. It requires ongoing evaluation and refinement based on client feedback, market conditions, and firm objectives. Regular team meetings should be scheduled to:
Assess the effectiveness of engagement strategies
Track revenue growth and client satisfaction metrics
Identify emerging opportunities or risks
Adjust team composition and strategic focus as needed
Additionally, staying informed about client developments through tools like Google Alerts or industry reports can provide valuable insights into potential legal needs.
Conclusion
Sustainable firm growth does not rely solely on acquiring new clients. Account-based business development provides a structured and strategic approach to deepening existing relationships, increasing revenue, and solidifying long-term client loyalty.
By systematically identifying key and growth clients, implementing tailored engagement strategies, and continuously monitoring progress, IP lawyers can drive growth not by chasing new business, but by maximizing the opportunities already within their grasp.
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