The dumbest way to compete
Check out this LinkedIn post that Craig, a reader of the Taleist newsletter, screenshotted and sent to me. The post illustrates the dumbest possible way that any service provider can position themselves…
Let’s translate that…
1
My NYC BigLaw friend bills at close to $2,000 an hour.
My rate is less than a quarter of his.
“Price is the most important consideration when deciding between two lawyers.”
2
We’re both partners.
“Our job titles are the same, so keep your eye on our prices.”
3
We have the same number of years in practice.
“On another irrelevant measure of ability, there’s nothing to choose between us, so keep those eyes on our prices.”
4
We both graduated with honors from law school.
“A decade or more ago, we did equally well at school, so keep your eye on our prices.”
(I went to the higher ranked school, on a full ride.)
(“I’m insecure and a bit of a dick.”)
5
I dare say we have a similar level of competence.
If you haven’t got it yet, how much clearer do I need to make it? The. Only. Difference. Between. Us. Is. Price.
6
Not to mention my partners who have been practicing 3 and 4 times as long as us, who are experts in their areas…
Neither my friend nor I know as much as you might need us to.
… and whose rates are still well below half of my friend’s.
In case you’d forgotten that price is the only difference between my friend and me, the lawyers in my firm who actually know the things you need are also cheaper than their apparently identical counterparts in my friend’s firm.
7
Which is why it’s surprising I don’t get more calls like the one I get periodically that goes something like this:
“We’re looking for a sophisticated midwestern firm to do our midsize deals because we’re sick of paying Washington, D.C. rates that end up totalling a large fraction of the entire size of the deal.”
“I know the Big City guys will never trust me with their big jobs, but why don’t they call me for their small jobs? I might be in the sticks, but I’m cheap.”
8
Go midwest young man. You’ll find good people and low overheads.
“I’m a patronising arse, but remember, I’m cheap.”
Positioning death spiral
I’ve worked for hundreds of lawyers, so I can say with authority that this LinkedIn post is both typical and atypical.
What’s typical is the mistaken belief that your job title and years in the game matter to your clients. Here’s why that’s mad…
Client: How long have you been doing this?
Lawyer: 21 years!
Client: Oh, shame. I met a partner yesterday who’s been doing it for 22 years. I’d best give her my work because those extra 12 months on the clock will make all the difference.
What makes this LinkedIn lawyer atypical is that I have never seen anyone actually connect the dots for their clients and say explicitly, “The usual ways we distinguish ourselves as lawyers (title, years in practice, education) are pretty silly because they’re generally much of a muchness. I recommend you skip over those meaningless differentiators and go straight for nailing us on price.”
Imagine the logical conclusion of this guy’s pitch:
Client: What do you charge?
Lawyer: $500 an hour, just a quarter of what your NYC big boys charge you!
Client: I’ve found a lawyer further west who charges $300 an hour. Let’s say you halve your rate to $250 an hour, then we’ll talk.
How do you differentiate yourself?
When you know how it’s not hard to differentiate yourself on dimensions that:
- Matter to your clients
- You can make unique to you
The secret is identifying what your clients are truly buying when they hire you, which I guarantee you is not what you think you’re selling.
To help you nail exactly that, Trudy Rankin and I created the masterclass YES, YOU! How to Convince and Convert High-Value Clients With Magnetic Messaging.
The masterclass answers the question of why some coaches, consultants and business owners have to justify their worth endlessly or compromise their values while others have their pick of clients ready to pay what they’re worth.
As you’ve seen from our lawyer’s example, it’s all about positioning yourself in a way that makes you the obvious choice for your ideal client — not the cheapest answer.
In this online masterclass, you’ll discover the secrets of positioning yourself authentically, confidently and persuasively as the obvious choice for your clients.
Make this YOUR time. You’ll never be overlooked again after you take the masterclass.