Yesterday’s Sunday Times ((From the Murdoch empire in London, not the NYC one)) was reporting on Lexis’s parent’s plans for the legal market – and they want to focus far beyond the mere $18 billion plus market for legal research and associated applications in 2004.
They report that the average lawyer is going to spend almost their morning using Lexis products:
“Two or three years ago, Lexis Nexis was a legal research company, full stop,” Sir Crispin Davis said. “By and large, a typical lawyer would spend half an hour a day using our products. Now it is more like two to three hours. What we have done is expand into much more of his workflow.”
This is even more ambitious than the plans revealed in his Telegraph interview on Lexis’ future strategy.
Davis sees Lexis’ future in “a $48 billion (£23.6 billion) field for legal “solutions””.
Reed estimates that 15%-20% of income today comes from workflow. In four years’ time, Davis expects workflow to account for 50%, within online revenues that will account for 75% of company earnings overall. Online income has doubled to $4 billion in five years. Those forecasts, plus the promise of a cash return, have buoyed Reed shares during tough times for media stocks. Its shares are up 14% this year, compared with a 5% improvement in the FTSE 100 and a 3% lift at Pearson, the company with which it was most closely paired until Reed sold out of education.