I wonder if in-house counsels realize how powerful they’ve become. I don’t know because, quite frankly, I don’t speak with many in-house counsels (that’s about to change). But I do speak with a lot of CEO’s, CMO’s and other fancy C-O types at legal tech companies. As someone who watches this space closely, I like to know who are the key decision makers who can make or break a startup’s chance at getting in the door and selling their product. Every time I talk with these folks, I always ask, “If I publish a story about your company, who do you hope reads it?”
The answer I keep hearing is: in-house counsel. In-house counsels are the new gatekeepers.
Honestly, when I started covering this space, I thought the answer I would hear is law firm CIO or heads of IT departments at corporate law firms. Nope. While there are plenty of companies who are marketing to law firms, many companies have decided it’s simply not worth the trouble. As one CEO explained to me
Law firms are still leaning on the billable hour, and, while my software would make their life easier, adopting our solution would actually hurt the partners’ bottom line.
More and more legal tech companies would prefer to market to lawyers who are not impacted by the billable hour and companies who, like their startups, are focused on efficient solutions that curb waste, not encourage it.
So, while Keith Lee would tell you that lawyers aren’t adopting new legal technology because they’re client focused, what I’m hearing from software companies is the exact opposite. It’s precisely because lawyers want to bill their clients through the nose that some of them are avoiding technology at all costs.
Which brings us back to the growing power of the in-house counsel. With great power comes great responsibility. In-house counsels are getting pitched by software companies left and right, and they’re now being asked, not only to use their legal training, but to figure out which solutions can help their companies save on legal costs and make the best decisions.
How 8am LawPay Takes The Sting Out Of Legal Billing
Getting paid can be an arduous task. You should make it as easy on yourself and your clients as possible.
Are you an in-house counsel? I’d like to hear from you. Email me, hit me up on Twitter or join the vultures in the comments section below and let me know if you’re getting a kick out of the new power trip. Extra points if you tell me which companies are doing the best job of marketing their products.
Zach Abramowitz is a former Biglaw associate and currently CEO and co-founder of ReplyAll. You can follow Zach on Twitter (@zachabramowitz) or reach him by email at [email protected].