To begin, let’s look at the professional services industry as a whole. The accounting sub sector alone generates around $180 billion a year and over $2 trillion is the combined revenue of all professional service firms in the United States (2018). And, approximately 9.3 million people are employed in the industry. This shows us that there is a lot of opportunity for growth.
The professional services industry has been faced with a number of disruptors including a diminishing talent pool, a technological revolution, and certainly new business models that include services that are personalized but maybe not ‘in person.’ Those firms that have pivoted and rolled with the punches have held on and maybe even flourished; those that sat stagnantly, likely haven’t survived. While the road has been long and dark, the profitability of the industry is looking up. With careful planning, professional service providers can get back to doing what they do best, serving others. Digitalization is essential to almost every industry, and it is certainly key in the professional services industry. What are the challenges you have been facing?
More and more consumers are using software to complete many professional services like accounting. Firms in a multitude of vectors in the professional services industry will need to use sophisticated technologies in unique ways in order to compete and help their clients.
With more and more consumers and businesses using accounting software programs, firms will need to use sophisticated technology in different ways to help their clients.
Other challenges facing the professional services industry is creating awareness of who they are and what they have to offer. Additionally, they struggle to align teams across departments as well as logistically connect remote workers with real-time customer information. Communicating internally as well as sharing expertise have also traditionally been a challenge for many professional services companies. Likewise, segmentation and targeting key accounts and high priority prospects needs to be a focus of growth for many in the industry.
Professional services companies are struggling to garner enough awareness around their brands to generate the leads they need to grow their practice. Part of that struggle is being able to impart their expertise to a buyer that has lees understanding of what they need to succeed. Also, professional service companies struggle to build authentic relationships with buyers, and when they do, they don’t know how to convert them into sales opportunities.
