Establishes new biannual index that benchmarks key business indicators of attorney real estate business practices.
Parsippany, NJ, September 12, 2006 — Strativity Group today announced the release of the first CATIC-sponsored Attorney Business Index (ABI) study. 339 attorneys from Connecticut, Massachusetts, Vermont, and Rhode Island participated in the study which includes key indicators such as average legal fee, profitability level, sources of business, and number of quarterly transactions.
CATIC Attorney Business Index highlights include:
- Average legal fee — $596 for representation in purchase, sale and refinance transactions
- Profitability — Only 20% of the respondents claimed to be profitable on every transaction
- Business performance — 49 transactions per quarter
- Sources of business — Existing clients are the most effective source of new business
- Outsourcing rate — 89% of attorneys outsource some type of service
Commenting on the study, Rich Patterson, CEO of CATIC said, “CATIC is dedicated to the success of its members and agents. By delivering business related knowledge to our attorneys, we hope to increase their effectiveness and success in the marketplace. The CATIC ABI allows our attorneys to build more efficient practices and deliver better value to their clients.”
One of the most significant findings in the study is the large number of attorneys who acknowledge conducting unprofitable transactions and taking on unprofitable clients. Another noteworthy finding is that the primary source of business is existing clients, not advertising or referrals from lenders or real estate agents. Other surprising findings include the roughly 90% of attorneys who outsource various aspects of their transactions and the 40% of attorneys who acknowledge spending more time per transaction in recent months.
The CATIC ABI follows the complete business relationship cycle from business generation through pricing, transaction performance, profitability and relationship quality. Each aspect of the process is examined and includes critical benchmark data. The study also segments the results by firm size and state to provide more relevant information to attorneys regarding the most effective method of designing and delivering valuable and profitable services. For an executive summary of the study, please visit www.catic-e.com. The full report is available to survey participants. The next ABI survey will commence in January 2007.
About Strativity Group, Inc.
Strativity Group, Inc. is a global consulting firm advising organizations on creating lasting, profitable relationships with their customers and employees through the transformation of their strategies and execution to revolve around the customer experience. Customer Experience Management (CEM) strategies enable companies to create true competitive advantage by moving the strategic focus from product to customer.
Strativity Group, Inc. works with both Global 2000 companies as well as emerging businesses around the world. Our clients include Nokia, Computer Associates, SAP, American Management Association, Seagate Technology, Honeywell, Siemens, Dimension Data, FedEx, CATIC, Circle K, University of Pennsylvania, The Fund, Capital One, Jacada, Wyeth, Sage, Herbalife, Akibia, National, Lockheed Martin, Crown Plaza Hotels & Resorts and Nordea.