Okay. I’ll admit to a fangirl moment (or three) as I watched the much-anticipated Apple announcement. Apple had lots of good news for device junkies: bigger and better phones and a gorgeous new watch.
Wedged between the announcements about new devices, however, was an interesting introduction to an innovative service: Apple Pay. In brief, Apple deploys near-field communication technology to allow us to use phones and watches to make contactless payments. Apple’s vision is to replace the wallet altogether, beginning with payments.
According to Apple CEO, Tim Cook, credit and debit payments are a huge business in themselves — 200 million transactions each day totalling $12 billion per day and $4 trillion each year, just in the United States. However, this business is built on a precarious foundation: thin pieces of plastic that use magnetic strip technology that is five-decades old and security codes that are not terribly secure.
None of this is news. In fact, we’ve known for some time that this business was ripe for disruption, yet that disruption never materialized — despite the evident dangers of the current system.
Enter Apple and Apple Pay. Granted, Apple has the technology, reach and audacity to reform a business so different from its core business. (After all, we’ve seen Apple make this move before in the music industry and the telecoms industry.) Yet, what made it possible for Apple to take on the financial services industry when others have tried and failed? Here’s the answer in Tim Cook’s words:
It’s no wonder that people have dreamed of replacing [credit cards] for years. But they’ve all failed. … Why is this? It’s because…most people that have worked on this have started by focusing on creating a business model that was centered around their self-interest instead of focusing on the user experience.
We love this kind of problem. This is exactly what Apple does best. So we’ve created an entirely new payment process and we call it Apple Pay.
In case you missed it, here are the critical words: “most people that have worked on this have started by focusing on creating a business model that was centered around their self-interest instead of focusing on the user experience.” When I heard these words, I sat up and took notice. I couldn’t help but wonder: was he talking about law firms? How many firms are built on a business model that privileges the self-interest of partners instead of focusing on the client experience?
While every law firm claims to put its clients first, does it really? Does your firm?
If you’re wondering what the client-first approach would look like in practice, consider Riverview Law. This firm claims to have built its business model “from the client up” as opposed to “from the partner down.” According to Karl Chapman, Riverview’s CEO, putting the client first has a direct impact on the type of people they recruit, the systems they use, and the way they reward and compensate people. Above all, it means developing a firm culture that is markedly different from that of most firms you know.
Apple is considered the most valuable company in the world. Riverview Law is tiny compared to Apple, but it shares Apple’s focus on the client experience. And, like Apple, it has created an entirely new process to serve that client focus. How does your law firm stack up?
[Photo Credit: Wikimedia.org]