Dealing with different client types
Boutique firm owners will be able to better serve their community after understanding which types of clients they have, according to this chief executive.
Olaf Kretzschmar is the managing director and CEO of One IP International. Speaking recently on The Boutique Lawyer Show, Mr Kretzschmar reflected on his professional journey, how unique client idiosyncrasies have evolved, the different types of clients and how best boutique firms can manage them.
“I had massive challenges at the beginning to understand Aussie clients. The German client is not mucking around. They don’t want to talk a lot. They freak out if you talk to them too much, if you give them the feeling you cannot be successful or they have doubts or something. They’re like full-on,” he said.
“And what I really like about Aussie clients is that they’re so much more open to new ideas. They listen, they ask questions. They’re really nice conversational partners. It’s like, wow, I’m in heaven. So, it’s like talking to your friend at the Barbie. Yeah. But even honestly, it is like that. So, but what I didn’t see coming, and I learned it the hard way, I adjusted to it now, but whereas the Germans or Europeans, they have different levels of behaviour from best friend to mass murderer, a lot in between before they slaughter you and several undertones, which makes it difficult to communicate.”
In addition to being a law firm, One IP International is also an international property services provider, working with individual businesses as well as larger companies and other law firms.
“So many people are afraid to touch this IP thing if they’re not familiar with it. We work with law firms to service their clients, to make it work for their clients. While doing that, I formed an international team. We speak eight languages in the office, which makes it easy to connect with clients from different countries. It’s also easy to connect with service providers abroad. We have someone from Columbia, from Chile, from India, I’m from Germany and so forth. So, in many countries, we even speak the native language,” Mr Kretzschmar explained.
“So, if the client comes from that country, it’s obviously great for them if they can connect with a native, right? As a service provider of legal services, we’re dealing with human beings. And therefore, what we’re doing here is 70 per cent psychology and only 30 per cent legal.”
Whilst dealing with different types of clients can be challenging, Mr Kretzschmar said that most issues could be overcome with common sense and empathy.
“I wouldn’t go as far saying we should study psychology or something. It is more like being compassionate and having emotional intelligence. Common sense is something different for everyone, but let’s say if you try to remember what you felt, what you wanted to have in your life when you were a five-year-old, this is what it comes down to. You don’t want to be yelled at, and you want to support others,” he said.
According to Mr Kretzschmar, there are seven different types of clients: the high flyer, a high achiever who needs specific guidelines and firm guidance, the “scary cat”, who is typically more nervous and needs comfort and compassion, as well as the “aggressive client”, who can be high stress and need clear boundaries, and the “security fanatic”.
“Then there is the, we all know it, the know it all. So, this person needs to be asked specific questions over and over again. If you don’t get a proper answer immediately in three sentences back, send this client away because he will not be beneficial to your business,” Mr Kretzschmar added.
“There is the one of the worst, the missionary. He is on a mission, and he just needs a cheap guy to fix the work so that he could be better than you. I would probably not even take on a missionary.
“And the last client is the sceptic. The sceptic is a nice client because by explaining everything thoroughly, being patient, you slowly obtain their trust. And when you have the sceptics’ trust, it’s one of the best clients to work with.”
By figuring out these different client types and how to respond to them, Mr Kretzschmar is better placed to be a business owner and serve his community.
“Individuals, even companies dealing with you as a law firm, you’re not dealing with something artificial. There is a representative of the company that is a human being,” he concluded.
“And if the representative is a high flyer and you treat him like a scary cat, he will run away and freak out and say, what kind of lawyer is this? Even if you are the best expert in your field. So, it’s super vital to understand whom you are talking to and give them what they need.”
The transcript of this podcast episode was slightly edited for publishing purposes. To listen to the full conversation with Olaf Kretzschmar, click below:
Lauren Croft
Lauren is a journalist at Lawyers Weekly and graduated with a Bachelor of Journalism from Macleay College. Prior to joining Lawyers Weekly, she worked as a trade journalist for media and travel industry publications and Travel Weekly. Originally born in England, Lauren enjoys trying new bars and restaurants, attending music festivals and travelling. She is also a keen snowboarder and pre-pandemic, spent a season living in a French ski resort.