From the silent serenity of a mountain in the middle of the ocean to the chaos unleashed by AI, we look back at what we learned in 2024 and ahead at what’s in store for firms in 2025.
One of the great privileges of working with professional services firms is witnessing the continuous evolution of the industry. In some ways the nature of a consulting business circa 2001, when I started this journey, was radically different (back then there were only 3 ways to get a firm’s thinking in the hands of a client … a book, a speech or a mailed periodical). In other ways, it’s remarkably similar (clients still value firms for their objectivity, expertise, and world view).
As we reflect on 2024, it’s clear we’re navigating through a transformative period marked by technological disruption, shifting client expectations, and the need for bold, strategic thinking. Like the last two years we close out 2024 with a look back at what we’ve learned and a look ahead to firms’ best opportunities for 2025.
FIVE LESSONS from 2024
#1 – Live Fully, Both Personally and Professionally
In our personal lives, the lesson is simple: live in the moment. Enjoy every minute, appreciate the time with loved ones, and never postpone what matters. Say hello, express gratitude, and recognize that one kind act can profoundly impact someone’s day. Don’t put off until tomorrow the things you’d like to say to your loved ones today.
In our professional lives, the inverse is true: we must live relentlessly focused on the future. Firms go through cycles, and the most successful ones anticipate changes rather than react to them. Don’t put off until tomorrow the things you need to do today. “Future you” will thank “present you” for your foresight.
Build strategies around your core strengths and what won’t change. Remain adaptable in everything else.
#2 – Humanize Your Thought Leadership
The landscape of thought leadership is dramatically changing. A lot of firms built their programs on an “inbound model” that was predicated on search-indexable “issues-based” articles. The rise of AI-enabled search is rendering that model obsolete.
Simultaneously, we’re living through the rise of the “influencer economy.” Trust in institutions and companies is down. Everyone, including clients, are looking more to individuals for answers into what’s going on and what’s next.
Going forward, the most compelling thought leadership won’t just be about solving problems—it will also be about elevating the humans behind the insights. Putting your subject matter experts out in front of the problems themselves.
Elevate your experts, enable them to bring their whole selves to the task, and watch the performance of your thought leadership efforts improve 3x, 5x, 7x or more.
For more on this, check out our webinar on the “3 playbooks” for attracting clients in the new marketing and media landscape.
#3 – Software Ate Consulting
Marc Andreessen’s 2011 proclamation that “software is eating the world” is now squarely in the rear-view mirror. Software has officially eaten everything. We’re all busy trying to make sense of the digestion.
Today’s most valuable companies are software-driven, and consulting is no exception.
Fewer clients turn to firms for objective technology guidance. Rather clients make technology choices, THEN turn to firms to help them make the most of their decision.
Case in point, the fastest-growing firms are deeply integrated within the ecosystems of high growth software companies.
#4 – AI is Reshaping Every Aspect of Business
The numbers are staggering: Big tech spent $160 billion on AI in the first nine months of 2024 ) to stoke demand (that’s about 2x the U.S. Defense Department’s R&D budget. Fortune 500 companies took the bait by investing $14 billion in generative AI initiatives—a 500% increase from the $2.3 billion they spent in 2023.
Firms of all sizes are reaping the rewards. Accenture booked $900 million in AI-related revenue in a single quarter.
#5 – Savor Serenity Whenever You Can
This year, a family trip to Maui reminded me that beauty often lies in the things we take for granted. In this case simple silence. During our trip, my wife drove us to the peak of Mount Haleakala for a hike at 10,000 feet above sea-level. I’m not going to kid you, I found the drive terrifying—she drove and I sat in the back looking at the floor. But the peak was exhilarating. Hiking the summit offered a remote, serene silence that’s absent in our daily lives. It felt like the surface of Mars. Simply stunning.
FOUR Opportunities for 2025
#1 – Develop Your Point of View on AI
Twenty-five years ago, a business school professor told me the Internet was just “another technology.” Another one told me Amazon would go bankrupt in less than 24 months. I wish I’d trusted my gut and scraped together everything I could and invested all of it in the latter.
If the data I shared previously didn’t convince you, well, trust your gut. AI is the consulting opportunity of this decade. If you haven’t already, use the next 3 months to get crystal clear on two critical questions:
- How can AI enhance your business performance?
- How can you help clients create more value through AI?
#2 – Productize (Some of) Your Services
One of the greatest sources of friction for clients in the buying process is understanding a firm’s expertise and how it might apply to their unique situation. It’s difficult for them to discern what a firm does and the value it creates. Why?
Historically, firms have marketed their expertise as a set of capabilities that can be custom fit to any client’s unique situation. This makes sense for new or emerging practice areas. But for many standard services, clients don’t want to work that hard. Increasingly, they’d prefer to see a set of tangible, repeatable services that have been proven to create value over time. Look across your business, and ask yourself these questions:
- Are there areas of expertise that could be better communicated and delivered as productized services?
- Are there tangible products your firm could offer that would solve those problems even better?
#3 – Reinvent Your Thought Leadership Delivery
The traditional inbound marketing model is dying. As previously mentioned, AI-enabled search tools like Perplexity and Gemini have inserted themselves like an interloper between you and the client. Moving forward, when clients search for solutions to problems, they’ll find a complete and customized answer right in the search experience.
To combat this, firms need to give clients a compelling reason to interact with their thinking in its native form. Consider these three playbooks as a path forward:
- Elevate experts through audio podcasts, short video and newsletters that enable clients to build a marketing relationship with both the firm AND its people.
- Develop repeatable research that releases 1-2x year through a branded content experience like the Tercera 30 or the MMI.
- Conduct deep, leaders/laggards research to learn things no one else knows so you can find ways to solve problems no one else can.
For a deeper dive on these 3 playbooks, watch our recorded webinar, “Attracting Clients in the New Marketing and Media Landscape.”
#4 – Take Thoughtful Risks
Now more than ever, the future belongs to the firms with the courage to make bold decisions amid uncertainty. Now is not the time to hesitate. Be clear about the risks you face, understand potential outcomes, and lean into your best opportunities with calculated prudence. (And yes, to my Rattle & Pedal Podcast co-host, Jeff McKay …. I feel myself literally getting nauseous as I write that last sentence).
To all our clients and readers, thank you for your trust and partnership. Here’s to a remarkable 2025.
