By ALLISSA KLINE
akline@bizjournals.com | 716-541-1612

A plan hatched in 2008 to invest in personnel, and consequently retain existing clients, paid off for Dopkins & Co. LLP during the recent economic downturn.

The second-largest CPA firm in Western New York unveiled its "Dopkins Experience" strategy just before the recession hit. It stuck to the plan - recognizing and rewarding positive employee behavior and recruiting top-notch workers - even as its growth slipped and parts of its workload dwindled. It was an attempt to set itself apart from other firms, according to Managing Partner Thomas Emmerling.

Now, as the marketplace moves further away from the downturn, the firm is prepared to grow again, bolstered by performance improvements and talented recruits.

"Our strategy was to invest," said Emmerling, one of 14 partners. "This was not a period to cut back but to invest, so we focused on retaining clients and recruiting good people because we felt that good people would be on the market and this would be the time to acquire those people."

CPA firms have mostly survived the recession with few, if any, lasting scars. Many of the region's firms avoided layoffs, instead reassigning staff to different divisions and cutting extraneous costs when necessary. Dopkins did not let go of staff, but rather added both entry-level and experienced workers to the roster.

It maintained its traditional marketing initiatives - everything from brochures and  newsletters to educational seminars - but  quickly realized it needed to differentiate itself from other companies, said Emmerling.

That same idea - the need to distinguish itself from its competitors - affected the marketing strategies at Freed Maxick & Battaglia CPAs PC. The Buffalo-headquartered firm was already moving toward mobile marketing when the economy tumbled, but it has fully embraced that concept in the past two years. Today it is one of the leading firms to use social media tools to attract new business, educate current clients and recruit new workers.

But it also decided to specialize in certain areas. It broke out its health-care group and branded it separately, mostly due to the team's expertise and experience in that area. It hired two health-care consultants to enhance service and prepared a new logo and other materials to spread the word about the new practice.

"Using specialization as a differentiator, especially in a tough economy, is a really good way to go," said Eric Majchrzak, Freed Maxick marketing director. "Firms perceived as bean counters ... those are the ones that tend to get commoditized in the marketplace. That's why a firm like ours will specialize."

Likewise, Lougen Valenti Bookbinder & Weintraub LLP in Amherst is set on separating itself from the pack. The firm is exploring new service lines, namely forensic accounting and peer reviews, as possible services it can provide, said assurance partner Daniel Weintraub. It is also considering the formation of alliances with CPA firms outside Western New York in order to provide services those firms may not be able to offer, he said.

Yet the best way to retain clients and attract new business, even in difficult economic times, comes down to keeping clients happy, Weintraub said. He estimates that 50 percent to 60 percent of new business stems from referrals.

"We try to give clients advice that's pertinent to their business and, by doing that, we help mitigate their taxes and save them money and help them create business strategies that help them succeed," he said. "This builds loyalty from our clients and they really become the best source of new business. Happy clients will help market the firm."