Vertical and horizontal markets are concepts that many law firms aren’t familiar with. In fact, few marketing experts discuss these important factors when talking about how to sell legal services.
But understanding vertical markets can help you achieve better results in your law firm’s marketing strategies. The following will explain what a vertical market is and why it matters to the success of your law firm.
Understanding Vertical Markets
Vertical markets are defined as markets in which businesses offer products or services that are targeted to a specific industry, profession, or need.
Companies that help businesses protect their intellectual property are an example of a vertical market. Those that serve the hospitality industry would be another.
Horizontal markets have a wider range of services targeted at a larger audience. Retail stores are generally considered to work within horizontal markets, as they address the many needs of men, women, and groups.
Law firms that operate in vertical markets typically address a given pain point. As a result, they compete with each other within a defined target market.
The strategies used in vertical markets must be focused on specific needs within a smaller group. This influences the marketing messages that your law firm needs to use to achieve long-term success.
What You Need to Know in a Vertical Market
When working in a vertical market, your law firm must understand what information matters most. Knowing your target audience allows you to better market your legal services to that group.
This results in marketing messages that are tailored to your audience and makes your campaigns more efficient and effective over time.
More importantly, vertical markets can have wide customer bases despite focusing on a specific need or industry, which can lead to a greater demand for your services.
Also, prospective clients may have the ability to spend more due to the specificity of their needs and the smaller number of service providers.
But this can also increase the length of your sales process. Your law firm needs to create ongoing relationships that nurture prospects over time and moves them towards the purchase of your legal services.
Vertical markets cause clients to depend on a smaller group of service providers to meet their needs. This emphasizes the need for relationship-building strategies in your content, email, and other marketing campaigns.
Advantages of Vertical Markets
Clients in vertical markets appreciate services that are specifically targeted to their needs.
For law firms, vertical markets make it easy to create content, advertising, and other marketing assets that reach their ideal prospects and convert them into paying clients.
This positions you as an industry leader and the ideal choice for your prospects legal needs.
Specializing in a service, industry, or need reduces the number of competitors that your law firm must contend with. This allows you to charge higher fees for your service and achieve better rankings in search engine results pages.
Vertical markets let you leverage your unique skills and expertise. Extensive industry experience helps your branding efforts in a vertical market.
Your law firm will have deeper insights into the market that you serve. Your website’s content can reflect the trends, behaviors, and other characteristics of its vertical market.
Does your law firm operate in a vertical market? How have the needs of your target audience and the services you provide influenced the ways in which you sell your legal services? Let us know in the comments below.
Understanding what a vertical market is and how it can benefit your law firm improves your marketing strategies and the results they achieve.