In a press release that came out in early March, LexisNexis released their CRM product Interaction into the legal SaaS marketplace. Perhaps a sign that web-based software has finally “arrived”, the release itself was quite telling on a number of fronts.
First, the quote from Bill Wilshire, Lexis VP of CRM/Analytics:
“We estimate that the streamlined efficiencies of InterAction onDemand hosted software will enable a firm with 100 attorneys to realize average cost savings of about 22 percent over three years as a result of less hardware, staffing and licenses.”
This is a great statistic for web-software companies out there, including our own legal web software client, who can now point to a direct comparison (desktop application to SaaS) and show cost savings. Take that number, and identify the higher technology overhead (per lawyer) with smaller firms, and the sales proposition improves.
Second, the release shows that the legal web software market isn’t just for solos & small firms. Interaction is an enterprise CRM solution, and if Lexis can offer it to a firm of 100-lawyers, then the tipping point to a firm of thousands isn’t far off. I don’t think that’s a prediction, that’s the future.
And lastly, I’m wondering if the web may be a merger point between all those software co. acquisitions and the Wexus duopoly of legal publishing products. Content is valuable when it hits eyeballs. In the current firm model, that means application software. Tomorrow? Let’s just say it wouldn’t be surprising to see legal publishers hedging their bets; and perhaps using the web to deliver a unifying online product.