In preparation for the International Legal Technology Association (ILTA) annual conference next week, many legal technology vendors are releasing, launching and announcing a variety of products and related news. Among them is Recommind, provider of accurate and automated enterprise search, automatic classification and eDiscovery software, whose latest news doesn’t concern a new product release, but rather their relevancy to the marketplace.
Recommind Talks Trends
We spoke with Craig Carpenter, vice president of marketing at Recommind, about two trends driving the evolution of the eDiscovery market.
Recommind saw record-breaking growth through the first half of 2010, with revenue increasing more than 300% over the first half of 2009. During the same time period, the total number of Recommind customers purchasing multiple or bundled products increased 500%.
Carpenter says that while these numbers accredit Recommind’s innovative products, they are also an indication of a market that has been affected by the recession. So much so that by being forced to cut costs and promote productivity, more companies are making deals with vendors. By dovetailing product purchases, vendors have been willing to offer price breaks for bundled services, allowing companies to benefit.
Yet, cost remains an issue. eDiscovery, while a growth industry, has seen its customers overwhelmed by rising and unpredictable costs. It’s very difficult to plan from year to year, as prices tend to be unstable and inconsistent across the marketplace. With such unrest, Recommend has come to the rescue, offering some stability.
At the end of 2009, we introduced you to Axcelerate Review & Analysis, which uses Predictive Coding a technology that automatically analyzes, prioritizes and codes all documents in a data set. Not only does it make it easier to find information, it also, as it turns out, makes it easier to offer fixed-fee arrangements for document review.
Whereas once companies threw around money without much thought, the prolonged recession has invoked discipline among company’s chief financial officers. Though vendors may offer low prices, it’s no longer enough to cut costs without knowing what it is you’re paying for.
With Predictive Coding, companies are offered a set price for a reasonable amount of data collection, review and processing for a set duration of time. Offering alternative pricing models is not just smart, it may help to stabilize the market. In an industry where technological advances have automated the process, in an attempt to process millions and billions of data, companies are not just facing a cost issue, but a productivity issue as well, which Carpenter compares to a game of “whack-a-mole.”
Ultimately, Recommind affords companies predictability. But even more than that it gives them added resources needed to combat outrageous and wasteful spending associated with law firms. A fixed price model helps to keep companies in control of their budgets and their data.