Beyond the Billable Hour: What Clients Really Want from Law Firms

For decades, the billable hour has defined success for lawyers and law firms. But in today’s market—shaped by client demands, AI-driven disruption, and competitive pressures—the question is whether that model is enough. In this episode, Jennifer Simpson Carr sits down with Deb Ruffins, a seasoned legal marketing executive and former Big Law CMO, to unpack why law firms must rethink how they define, deliver, and demonstrate value.

Why is the billable hour risky for firms today?

According to Deb, the billable hour creates a transactional mindset. Lawyers end up chasing matters rather than cultivating relationships. It also reinforces a feast-or-famine cycle—when work slows, there’s no structured pipeline to sustain revenue. Perhaps most critically, it commoditizes legal work, reducing firms to competing on hours and rates instead of value.

“That leaves firms vulnerable,” Deb explains. “Especially now that AI can handle more and more of the routine legal tasks. If you’re only competing on price and efficiency, technology will win. What differentiates lawyers is their ability to listen, empathize, and build trust.”

What are clients asking for?

If you listen closely, Deb says, clients have been remarkably consistent for at least 15 years. They’re signaling their needs in surveys, through detailed outside counsel guidelines, and in the way they award work.

“They’re insourcing more matters, turning to alternative providers, and putting engagements out to competitive bids,” Deb notes. “That’s not because they want to spend less—it’s because they don’t see enough value in the traditional model.”

In other words: loyalty isn’t automatic. Clients expect innovation, efficiency, and a deeper partnership with their outside counsel.

How can lawyers shift from service providers to partners?

The good news, Deb points out, is that the skills lawyers need are the same ones they already have—just applied through a new lens.

“It starts with listening,” she says. “Not just to identify the legal issue, but to understand the business context. Ask better questions—strategic, open-ended, value-driven. Don’t be afraid to respectfully challenge your clients so you can co-create solutions together.”

The mindset shift is just as important: from “I solve legal problems” to “I help you achieve meaningful business outcomes.” Lawyers who adopt this approach will position themselves as indispensable business partners rather than interchangeable service providers.

What’s one piece of advice for law firm leaders?

When asked for one actionable takeaway, Deb didn’t hesitate: “Listen to your clients. They are signaling loudly and clearly what they want. Be brave enough to take the first step toward delivering it.”

She emphasizes that this may require rethinking firm structures and service models. But those who act decisively—embracing collaboration, technology, and client-centered approaches—will stand out in a crowded market.

The Takeaway for Law Firm Leaders

The billable hour is not going away, but it is no longer enough. Clients want more, and they are prepared to move their work if they don’t see it. Law firm leaders who empower their teams to listen, innovate, and build enduring partnerships will be the ones to thrive in an increasingly competitive, AI-driven future.

Resources:

• Deb Ruffins: https://www.furiarubel.com/our-team/members/deborah-ruffins/
• Human-Centered Leadership as a Differentiator in the AI Age, Bloomberg Law: https://www.furiarubel.com/news-resources/human-centered-leadership-is-the-differentiator-in-the-ai-age-published-in-bloomberg-law/
• Developing Tomorrow’s Law Firm Leaders: From Water Cooler Moments to Leadership Academies: https://www.furiarubel.com/podcasts/developing-tomorrows-law-firm-leaders-from-water-cooler-moments-to-leadership-academies/

Coming Up Next: Tune in next week as Deb Ruffins returns for part two of this conversation. We’ll explore how law firms can operationalize collaboration and move beyond the limitations of the billable hour. We’ll discuss practical strategies for breaking down silos, incentivizing teamwork, and building accountability systems that support sustainable growth and stronger client relationships.