The data doesn’t lie – it’s been a good year for the Global 100. Eighty-eight of the world’s largest firms posted revenue increases last year, with many enjoying record results, and total revenue across the group rose by more than 6% to break through the $150bn mark for the first time.
As to what was behind this performance, various factors are cited by law firm leaders, from sector strategies to expansion into key markets. (Cynics might suggest the less-frequently mentioned billing rate hikes of as much as 10% may have also played a part.)
But while revenue is the most commonly accepted metric to measure firms on, it obviously doesn’t always follow that the firms with the biggest revenues or highest profits have the happiest clients.
As every lawyer who’s ever had to collect a bill knows, clients are not always satisfied with the service they’ve received.
Which is where Legal 500’s client research comes in. Legal 500 canvasses the opinions of hundreds of thousands of clients around the world every year for feedback on the law firms and lawyers that advise them.
And what comes out of all this feedback can offer much more insight into what clients really think than the glowing testimonials that get posted on LinkedIn in the weeks after the annual law firms’ rankings are published.
In a market where differentiation is key, being known for keeping clients happy is about as compelling as it gets.
The information isn’t considered as part of practice ranking decisions but, separately, the Legal 500 is now able to rate law firms across a whole range of client satisfaction metrics; including lawyer quality, availability, billing, communication and expertise.
And we collect this data for every firm, from single-partner boutiques to global mega-firms, allowing us to provide an entirely different view of how firms compare to each other.
We ask referees to rate firms on ten key criteria, as well as asking them how likely they are to recommend the firm to others. The responses are then combined to produce an overall client satisfaction score. Firms that subscribe to Legal 500 and have scores in the top 30% now have a Client Satisfaction icon next to their name in the rankings, indicating that not only are they ranked for the strength of their practice – they are also among the best for client service.
So which Global 100 firms make the grade and demonstrably show they’re doing the best job of keeping their clients happy? Of the largest 50 by revenue, 11 meet the client satisfaction criteria: Kirkland & Ellis, Latham & Watkins, Skadden, Sidley, White & Case, Simpson Thacher & Bartlett, King & Spalding, Weil, Paul Hastings, WilmerHale and Debevoise & Plimpton.
Others further down the Global 100 include Proskauer and Pillsbury. Interestingly, UK heritage firms do not fare as well as their US counterparts – with just one of the 18 UK origin firms in the Global 100 making the cut – Bird & Bird.
In a market where differentiation is key, being known for keeping clients happy is about as compelling as it gets.
In the coming months, we’ll be producing more data-rich editorial content for Legal Business about what clients really want from their advisers. If you want to know more about how your clients rate your firm, or how you compare to your competitors, please get in touch.