CPA Trendlines

High-performing firms look to leap ahead of low-performers with a few key strategies.

by Rick Telberg

A new study by CPA Trendlines shows that high-performing firms and low-performing firms are following markedly divergent marketing and practice development strategies as they battle through a sluggish economy.

The complete 179-page study, “Marketing and Business Development Strategies at Accounting Firms – 2012 Survey Report, with Commentary and Analysis,” is available for purchase by CPA Trendlines parent Bay Street Group LLC. The study shows trends within the profession, but also distinguishes between high-performing firms and low-performing firms, based on time-tested proprietary CPA Trendlines criteria. In this study, high performing firms are far more likely than low performing firms to enjoy marketing successes. The data for this report was gathered over the course of more than two years and includes the responses of about 588 practitioners. The margin of error is plus or minus about 3 percentage points at a 90% confidence level. Click here to learn more.

The new CPA Trendlines marketing study paints a detailed picture of stark contrasts in the full range of firm sizes — from solo practitioners to firms of 101 or more employees — and across myriad marketing issues, challenges, and strategies.

But no category is as as finely etched as the battle among firms in the heavyweight category — the firms with over 100 persons.

“Sadly, firms are successfully lowering fees to win and/or retain business,” says one marketing executive in the study. “The ramifications on industry profitability will last 5 to 10 years.”

At one of the top firms in Texas, the senior marketing partner says, “I think that this is a pivotal upcoming period when the ‘things being done well’ can be leveraged by involving all very specifically with accountability.”

The report shows increases in activity and competitiveness across the board, and especially among the heavyweight firms, which seem to be fighting on multiple fronts to retain clients, find new clients, and up-sell wherever possible

One leading New York City form, for instance, is finding success in agressive telemarketing, old-fashioned networking, though-leadership initiatives and disciplined follow-up from seminars and conferences.” They will be heading into the new year armed with “a media study to determine the best way to spend our money to maximize brand recognition.”

At a Michigan-based firm, the marketing director is emphasizing “more executive involvement in lead generation, new investments in CRM, the website, branding, sponsorships and thought leadership.”

The top practice development executive at a Kentucky-based firm says they will be “entering new markets” during the next year. And they attribute their business development achievements so far to “thought leadership, sponsorships, direct networking activities, and client retention.”

The study clearly shows how high-performing firms and low-performing firms are following separate marketing tracks.

When asked what they will do differently next year, high performing firms indicate:

• Professionalizing part or all of the business development leadership function,
• Marketing niches and specialty areas,
• Increasing social media presence, and
• Increased targeting.

Low performing firms point primarily to:

• Rebranding campaigns,
• Creating and following a marketing plan,
• Increasing seminars and other educational events,
• More networking, and
• Focusing their marketing efforts.

There are also some major differences in the marketing objectives of the two groups of firms of 101 and over.

For instance, the high performing forms are place a greater emphasis than low performing firms on:

• Client retention,
• Recruitment of new employees,
• Brand recognition/firm visibility, and
• Incremental revenue.

Low performers, on the other hand, are more concerned about

• Lead generation,
• Getting partners and staff involved,
• Focusing marketing efforts,
• Creating a marketing culture and
• Niche and specialty services.

To accomplish their marketing and business development objectives, high performing firms in the 101-and-more class will be emphasizing:

• Online advertising,
• Direct response e-mail,
• E-newsletters,
• Social Media,
• Sponsorships, and
• Internet advertising

While low performing firms will emphasize:

• Print advertising,
• Seminars,
• Search engine optimization, and
• Upgrading the firm’s website

 
More highlights from the new CPA Trendlines marketing trends report:

• Marketing Efforts Surge as Accounting Firms Battle for New Clients: Digital emerging as chief weapon
• Soloists Set to Step Up Marketing for Tax Season: High performing firms focusing on digital strategies
• The Battle for the Center Gets Heated: Mid-sized accounting firms step up competition for the heart of the market
• The 2012 Marketing Plans of the Best Firms: High-performing firms look to leap ahead of low-performers with a few key strategies

 
 

 

Posted January 24, 2012
Related Topics: marketing