18-Oct-07 11:00 AM CST

Latest Legal Technology Survey Suggests Law Firms Still Resist Technology Tools

ALM Research in partnership with Cogent Research has released the 2007 Legal Technology Market Assessment Survey. The report identifies the factors that drive technology purchases and preferences, differentiate products and brands, and define trends in law firm technology budgets. Nearly 1,400 attorneys responded to the survey, which broke down perceptions in the following five areas:

Case/practice management;
Document management;
E-discovery;
Client relationships management/client development; and
Online research.

The new ALM/Cogent poll, which was split evenly between large and small firms (41 percent large law firms, 38 percent small firms, 14 percent midsize firms and six percent in-house counsel), confirms what we’ve seen in other recent legal technology surveys: that significant resistance to technology remains and that a large number of practicing lawyers in America are still practicing and trying to manage the business of their firms without the benefit of technology tools.

Among the survey findings:

52 percent of the attorneys have access to case management software;
32 percent have access to document management tools;
12 percent have access to electronic data discovery products;
9 percent have access to customer relationship management software.

Although the largest U.S. law firms have average annual technology operating budget approximately $17,000 per lawyer for technology investments, the survey found that market penetration by most legal software products is still relatively moderate,

In a news release announcing the survey results, Ellen Siegel, vice president of licensing and business development at ALM had this to say:

"The survey yielded eye-opening results, which have significant implications for technology vendors striving to maintain or improve their positions in the legal market. Results specific to individual products are set out in separate sections and will be of great interest to lawyers and other law technology purchasers seeking guidance and feedback from their peers."

The survey covers performance comparison of case management systems, purchase "drivers" and criteria, and it offers detailed analysis of top vendors, exploring such perceptions as user loyalty, and what would happen to the marketplace if the product was not offered.

An executive summary of study findings is available at www.almresearchonline.com.