The amount that a law firm should spend on marketing depends on various factors. There is no one-size-fits-all answer to this question. However, there is data that provides insights into what law firms should spend on marketing.
The monthly spend for our clients is around $1000 for Google Ads management, $4000 for Google Ads clicks and $2000 for SEO. Many of them are also spending extra on website hosting and consulting. However, not all of our clients engage us for SEO. But most of them pay for Google Ads Management. This means the average monthly spend is between $5,000 to $8,000. A new website usually costs between $8,000 to $10,000.
The American Lawyer reports that larger law firms typically allocate 2-5% of their gross revenue to marketing, while smaller firms may spend between 5-10%. In highly competitive metropolitan areas, monthly marketing expenditures can range from $3,000 to $10,000.
The American Bar Association recommends that law firms should spend between 2% and 10% of their gross revenue on marketing. However, this is just a guideline, and the actual amount a firm should spend will depend on its individual circumstances.
Most law firms invest in a variety of marketing services. These include SEO, Google Ads and social media. It’s important to include ‘traditional’ strategies. Such as networking, print, radio, TV, etc. This is because an effective marketing campaign should be diversified. This will increase your chances of long-term and consistent return on investment (ROI).
Don’t forget to monitor and measure the data. This should include conversion tracking. Ensure you are in regular contact with your digital marketing team. You need to look at the numbers so you can understand if your marketing strategy is working.
Ultimately, the amount that a law firm should spend on marketing will depend on various factors, including the firm’s goals, target audience, and available resources. It’s essential to create a marketing budget that is both realistic and aligned with the firm’s overall business strategy.
How much should a SMALL law firm spend on marketing?
For a small law firm, the recommended amount to spend on marketing is typically between 2% to 5% of its gross revenue. However, the actual amount that a small law firm should spend on marketing can vary depending on various factors such as location, practice areas, and marketing goals.
It is important for small law firms to focus on marketing activities that can maximise their return on investment (ROI) while keeping costs manageable. Some effective and relatively low-cost marketing strategies that small law firms can consider include:
- Building a professional website: Having a professional website that showcases the firm’s expertise, practice areas, and testimonials can be an effective way to attract new clients and build credibility.
- Creating informative content: Creating informative content such as blog posts, videos, and podcasts can establish the firm’s expertise, increase brand awareness, and attract potential clients.
- Leveraging social media: Engaging with clients and potential clients on social media platforms such as Facebook, Twitter, and LinkedIn can be an effective way to build relationships, share content, and promote the firm’s services.
- Referral marketing: Developing strong relationships with current and past clients and asking for referrals can be an effective way to generate new business without spending a lot on advertising.
Ultimately, small law firms should aim to strike a balance between marketing expenses and ROI. By investing in marketing activities that are both effective and cost-efficient, small law firms can attract new clients, build their brand, and grow their business.
How much do Australian law firms spend on marketing?
The amount that Australian law firms spend on marketing can vary greatly depending on the size of the firm, its location, and its marketing goals.
According to a survey conducted by the Australasian Legal Practice Management Association in 2020, the median marketing budget for law firms in Australia was AUD $30,000 per year. However, this number can vary greatly depending on the size of the firm. Larger firms with more resources may spend significantly more, while smaller firms may spend less.
In addition, the types of marketing activities that law firms engage in can also impact the amount they spend. For example, some firms may focus on traditional advertising such as print ads and billboards, while others may invest more heavily in digital marketing such as search engine optimisation, social media advertising, and content marketing.
Overall, the amount that Australian law firms spend on marketing can vary widely depending on a variety of factors, and it is difficult to provide an exact figure. However, like any business, law firms must invest in marketing to remain competitive and attract new clients.
How much should a law firm spend on SEO?
The amount that a small law firm should spend on SEO (search engine optimisation) depends on several factors, including the firm’s marketing budget, goals, and competition. As a general rule of thumb, small law firms should allocate at least $2000 per month to SEO. Anything less is unlikely to produce noticeable results.
This is because SEO experts need to be paid fairly for their time. Key SEO activities include website improvements, and creating written content and links (internal and external). These tasks are time-intensive and require a high level of skill to implement effectively.
It’s important to note that SEO is a long-term strategy that requires consistent effort and investment. The actual cost of SEO services can vary greatly depending on the specific services required, the level of competition in the firm’s target market, and the experience and expertise of the SEO provider.
Some SEO activities that small law firms can undertake themselves or with the help of an SEO specialist include:
- Keyword research: Identifying the keywords and phrases that potential clients are using to search for legal services.
- On-page optimisation: Optimising the firm’s website structure, content, and meta tags to make it easier for search engines to crawl and understand the site.
- Link building: Acquiring high-quality backlinks to the firm’s website from reputable sources.
- Local SEO: Optimising the firm’s Google Business Profile and local directories to improve visibility in local search results.
Ultimately, the amount that a small law firm should spend on SEO will depend on its individual circumstances and marketing goals. Investing in SEO can be an effective way for small law firms to increase visibility, attract new clients, and grow their business over time.
How much should a law firm spend on Google Ads?
The amount that a law firm should spend on Google Ads (formerly known as Google AdWords) depends on several factors, including the firm’s marketing budget, goals, and competition. There is no set formula for determining the appropriate amount to spend on Google Ads, as each firm’s situation is unique.
However, as a general rule of thumb, a law firm should allocate a portion of its marketing budget to Google Ads that is in line with the potential return on investment (ROI) that it expects to receive. This can be determined by estimating the cost per click (CPC) for relevant keywords and estimating the conversion rate for clicks to actual clients.
Most of our clients spend at least $1100 (including GST) per month on Google Ads management. Additionally, they spend at least $3500 (including GST) per month on clicks. This money is paid to Google. In total, a typical monthly Google Ads budget for our clients is about $4500 to $5000.
It’s important to note that the cost of Google Ads can vary greatly depending on the level of competition for specific keywords and the quality of the ads and landing pages. In general, law firms should aim to create high-quality ads that are relevant to the searcher’s intent and direct them to a landing page that is designed to convert visitors into clients.
To get started with Google Ads, law firms can set a daily budget that they are comfortable with and adjust it over time based on the results they are seeing. Google Ads provides tools and metrics that allow firms to track the effectiveness of their campaigns and make data-driven decisions about their marketing spend.
Overall, the amount that a law firm should spend on Google Ads will depend on its individual circumstances and marketing goals, and it’s important to regularly review and adjust campaigns to ensure they are providing a positive ROI.
How much should a law firm spend on a website?
Most of our clients pay between $8,000 to $10,000 for a new website. But this depends on your law firm’s size, goals and complexity of the website.
In general, a law firm should aim to create a website that is professional, user-friendly, and optimised for search engines. This can require a significant investment of time and resources, as well as ongoing maintenance and updates.
Here are some factors to consider when budgeting for a law firm website:
- Design and development: The cost of website design and development can vary widely depending on the complexity of the site and the expertise of the designer or agency. Simple brochure-style websites may cost a few thousand dollars, while more complex sites with e-commerce functionality or custom features can cost tens of thousands of dollars or more.
- Content creation: Creating high-quality content for a law firm website can be a significant investment, as it requires expertise in legal writing, research, and marketing. Depending on the size of the website and the scope of the content, this could cost several thousand dollars or more.
- SEO optimisation: Optimising a law firm website for search engines requires ongoing effort and investment, including keyword research, content optimisation, and link building. This can cost several thousand dollars per year or more, depending on the level of competition in the firm’s target market.
- Maintenance and updates: Websites require ongoing maintenance and updates to ensure they are secure and functioning properly. This can include software updates, security patches, and content updates. Depending on the size and complexity of the site, this could cost several hundred to several thousand dollars per year.
Overall, the amount that a law firm should spend on a website will depend on its individual circumstances and marketing goals. It’s important to work with experienced professionals who can help guide the process and ensure that the website provides a positive ROI over time.