How Much Should a Law Firm Spend on Marketing?

[Clare Sheehan]

Every year, you face the same question: how much of your revenue should go toward bringing in new clients to your law firm?

You likely focus on client retention, especially if you know it costs about five times as much to bring in a new client as it does to retain an existing one. But client retention shouldn’t come at the expense of growing your firm.

Your marketing strategies, and what you spend on them, matter. If you spend too little on marketing your firm, you can expect your client intake to slow down (and this isn’t unique to law firms, by the way). But if you allocate too much, especially on the wrong channels, you’ll be paying for clicks that don’t convert into signed cases.

There’s no single “right” number for your law firm marketing spend, but reliable benchmarks can help you get started. Rather than focusing only on the numbers, it helps to think of marketing as an investment that drives sales, as described in this blog post by the Small Business Administration (SBA).

That said, it works best when you pair it with real figures for your practice area and market.

This guide walks you through a reasonable starting budget, what SEO and advertising typically cost, and where the money goes across your marketing mix.

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