Scottish Crofting Law: A Lesson in the Power of Differentiation & Pricing
With many thanks to the author, Dr George Beaton, who is a director of Beaton Capital and Beaton Research + Consulting, firms dedicated to professional services. This post first appeared in LegalDatum on 10 January, 2014.
In a recent survey of general counsel in Australia and New Zealand, just four to six per cent said hourly billing is the optimal method of pricing legal services. When asked which pricing method they would prefer, the general response was a collective shrug of the shoulders - “we will know it when we see it”, they said.
What Is The Optimal Hourly Rate? One That Doesn’t Produce Any Profit
Well, that’s got a really upbeat ring to it! As if legal practice isn’t challenging enough, we are now being told to not make a profit. No, clearly not. This is the further development of one of my core tenets and that is, production costs have absolutely nothing to do with pricing.