Administrators Upset over High CMO Pay

I picked up intelligence today that law firm administrators are getting upset about the salaries that some law firm marketers are getting.  They're ticked off that the CMO is making as much or more money that they are, as well as more than the IT or HR director.

According to a 2005 survey by Abbott, Langer & Associates, Inc., Legal Administrators earn a median total income of $73,758, with a mean total income of $81,037; 10% of this group makes under $38,440, and 10% make over $141,744.  The Wall Street Journal reports that the Administrator/Office manager is paid the following:

Firm size	2006	2005
Large	$78,500 -- 123,250	$76,500 -- 115,750
Midsize	$61,000 -- 93,250	$58,000 -- 87,500
Small/midsize	$49,500 -- 76,000	$47,250 -- 69,750
Small	$42,250 -- 57,500	$40,000 -- 55,250

It's an interesting sore spot, because in many occasions, the administrator is the boss of the marketing director.  The CMO, however, reports to the partners or the management committee.

Compare the administrator salaries with some of the marketing job openings advertised so far this year:

• Director of Marketing/Client Services - Baton Rouge, Louisiana - $100,000 to $150,000
• Director of Business Development and Marketing -- Miami, FL -- $100,000 - 120,000
• Director of Business Development and Marketing -- Minneapolis, MN --  $120,000 - 140,000
• Marketing Director --  Tampa Office  -  $80,000 - $100,000

This, of course, is NOTHING compared to the 1,600-lawyer Chicago law firm that paid its ex-Texas CMO $400,000 per year, or the 1,000-lawyer New York firm that allegedly paid its ex-California CMO $600,000.

The administrators are beefing that the marketing salaries are knocking their firm salary structures out of whack, because of the high demand for law firm marketing with 5 years of experience or more.

The is GREAT news for the marketers, because it means they've worked their way out of the "overhead" category in law firms.  The marketers are able to say, "If you invest $5 with my plan, you'll get $20 back.  I can prove return on investment." 

It's a simple case of supply in demand, in my view -- you hire a marketer, your firm earns more revenue

According to a 2005 survey by Abbott, Langer & Associates, Inc., Legal Administrators earn a median total income of $73,758, with a mean total income of $81,037; 10% of this group makes under $38,440, and 10% make over $141,744.  The Wall Street Journal reports that the Administrator/Office manager is paid the following:

Firm size	2006	2005
Large	$78,500 -- 123,250	$76,500 -- 115,750
Midsize	$61,000 -- 93,250	$58,000 -- 87,500
Small/midsize	$49,500 -- 76,000	$47,250 -- 69,750
Small	$42,250 -- 57,500	$40,000 -- 55,250

It's an interesting sore spot, because in many occasions, the administrator is the boss of the marketing director.  The CMO, however, reports to the partners or the management committee.

Compare the administrator salaries with some of the marketing job openings advertised so far this year:

• Director of Marketing/Client Services - Baton Rouge, Louisiana - $100,000 to $150,000
• Director of Business Development and Marketing -- Miami, FL -- $100,000 - 120,000
• Director of Business Development and Marketing -- Minneapolis, MN --  $120,000 - 140,000
• Marketing Director --  Tampa Office  -  $80,000 - $100,000

This, of course, is NOTHING compared to the 1,600-lawyer Chicago law firm that paid its ex-Texas CMO $400,000 per year, or the 1,000-lawyer New York firm that allegedly paid its ex-California CMO $600,000.

The administrators are beefing that the marketing salaries are knocking their firm salary structures out of whack, because of the high demand for law firm marketing with 5 years of experience or more.

The is GREAT news for the marketers, because it means they've worked their way out of the "overhead" category in law firms.  The marketers are able to say, "If you invest $5 with my plan, you'll get $20 back.  I can prove return on investment." 

It's a simple case of supply in demand, in my view -- you hire a marketer, your firm earns more revenue

Comments

[John Feeney]

This new trend attracts people like myself. From a VP Sales position with Top 10 Computer Distributor, too a start-up wholesale media company,(funded by Samsung, Sony). Sales in the Legal vertical was always thought of as "TO" attorneys or firms. Today's market has changed and new ideas have to be employed. Sales, which can take any number of terms is the life-blood of any organization. Successful Sales people understand opportunity and fill the clients need, even if the client is un-aware of the need.

Having a staff position under you making more $$$ does nothing but cause problems. With close examination, if the "total" package paid is based on some "preformance" measure, then it's earned enough said.
Otherwise the firm is doing a total disfavor to everyone, even the CMO. Surprised a number of dis-satisfied attorneys have not taken this route in their careers.