There is a 45 billion latent market for legal services waiting to be served. This market represents the legal needs of low and moderate income individuals and families who cannot afford the existing high cost of legal fees.
There is a growing
online market for
• Online companies such as Legal Zoom and Rocket
Lawyer, when available for specific areas of law,
are being turned to by the public who may
otherwise have consulted with a lawyer.
• Latent Market for Legal Services: Non-customers- Potentially
• “Making money while you sleep” = initial investment in
system, minimum effort and time
Charge “serious” fees
No competing products
• Packaging versus commodity
Ex: legal counsel and strategy with legal document creation
Ex: limited appearance with doc creation
• Value billing versus billable hour
• Refers to something that is dormant, not
observable, or not yet realized.
• The earning of a market when that market
becomes accessible and attractive to serve.
• Potential industry earnings or total revenues if a
market is served in an efficient manner.
o The 2011 Report on Legal Services: World Market Segmentation by City,
Icon Group International (2011.
o Bureau of Labor Statistics; US Census Bureau.
o Legal Services: Market Research Report, Market Publishers, October, 2009.
o American Bar Association; US. Legal Services Corporation.
The U.S Legal Services Market
• $145 billion market in total
• American consumers spend
approximately $43 billion to $56
billion annually on personal legal
• Latent legal services market adds
another $45 billion to the
Size of the market for legal services
What consumers spend now
Estimated value of under-served
consumers or latent market defined as
the value of legal problems that are not
Latent Market for Legal Services
• 50% of middle income households in the US have at least one
legal problem per year
• Only 20% seek legal assistance from attorneys.
• 26% do nothing at all.
• Increasing percentage of consumers seek alternatives to
lawyers such as self-help.
E.g., Nolo and LegalZoom
• Potentially huge market waiting to be tapped in the US for
personal consumer legal services.
78% of Americans do not have a will or updated will.
50% of all marriages end in divorce.
Personal Bankruptcy filings have almost doubled since 1990.
More than 10 million American are victims of Identity Theft
• Nearly 9 our 10 employees experienced at least one legal
concern during the past year. (Legal Needs Study).
• In fact, seven out of 10 Americans said they experienced a
legal event within the past year*, according to a recent
survey conducted by ARAG, a legal solutions provider. (Legal
Needs Study). Data also supported by American Bar
Association Legal Needs Study.
Clients are online, lawyers
• Pew Research
Center: 3 out of 4
attorney over the
last year used
online resources at
• Marketing Legal Services Online.
• The Evolution of Legal Services – Stage IV- by
• The Future Middle Class of the Legal Profession
Unbundled Legal Services from Solo Practice