6 Consulting Trends That Should Be On Your Radar in 2025
Nov 22, 2024Estimated Reading Time: 19 minutes
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Table of contents
- Independent consulting trend #1: The number of full-time independents is growing
- Independent consulting trend #2: Generative AI and automation require a thoughtful, proactive approach by consultants
- Independent consulting trend #3: Independent consultants are focusing on the longevity of their businesses
- Independent consulting trend #4: The "Future of Work" continues to increase opportunities for independent consultants
- Independent consulting trend #5: Software designed specifically for independent consultants and boutique consultancies is growing
- Independent consulting trend #6: Independent consultants are building consortiums
Introduction
In this article, I’m sharing six consulting trends that should be on your radar in 2025 so you can make 2025 your most successful yet as a consulting business owner.
There are many unknowns, from a macro perspective, as we move into 2025.
And, it can be common for independent consultants to worry about how the economy, political landscape, and external factors will impact their businesses.
I want to help you through this uncertainty so you define strategies that turn these potential risks and obstacles into competitive advantages for your consulting business.
That's why I wrote this article for you.
It combines industry data with anecdotal evidence from my work with 100s of consultants over the past year to bring you the top consultant trends I anticipate for independent consultants and boutique consultancies.
Let's break down each of the six consulting trends so you can evaluate and incorporate each of them into your 2025 consulting business strategy.
Independent consulting trend #1: The number of full-time independents is growing
The first consulting trend in 2025 is that the number of full-time independents is growing.
According to MBO Partner's annual State of Independence report, full-time independents grew 6.5% to 27.7 million in 2024 from 26 million in 2023. This is particularly interesting because, comparatively, the number of part-time independents fell by 10%.
Full-time Independents now make up 16.7% of the 165 million Americans in the workforce.
How to apply consulting trend #1 in your independent consulting business
You might be concerned when you read this trend, thinking it means that the competition is growing and there are more independent consultants who are competing with you for work.
The opposite is true. As independent consulting grows, it becomes more common for enterprise clients, mid-sized clients, start-ups, and small businesses to leverage independent consultants to help them achieve their business objectives. In other words, opportunities continue to grow in lock step with the number of consultants because more clients are introduced to the concept of independent consultants and see more and more examples of the benefits of engaging consultants.
Additionally, as more consultants start businesses, you have a larger pool of resources to engage when you're looking for subcontractors and referral partners.
What consulting trend #1 means for your independent consulting business:
There are two primary implications from trend #1 for your consulting business.
The increased number of independent consultants provides you with a larger pool of subcontractors and referral partners for your client delivery. Having a strong pipeline of other consultants to refer to when you have more demand than supply can be a powerful strategy in your consulting business. Having a strategy to determine when to refer and when to subcontract some or all of your work, can open you up to bring in more lucrative and fulfilling consulting work.
For more on this concept, listen to Episode #190 of the Grow Your Independent Consulting Business podcast - How to Create Excess Demand for Your Consulting Business.
Secondly, there's an opportunity for you to collaborate and partner on business development with other consultants who offer services to the same client type. As the number of consultants grows, so too does the breadth and depth of your potential collaboration and channel partners. Reevaluate your business development channels from this new lens.
What consulting trend #1 means for your consulting clients:
What's the impact of trend #1 on your consulting clients? As the number of consultants grows, potential clients are becoming increasingly aware of, and open to the idea of leveraging independent consultants in their business plans. This means that you can reapproach those potential clients who have turned you down in the past, and that you can look past the assumption that a certain type of client is unlikely to engage you. Treat your business development plan as a clean slate, and rethink the types of clients that are your ideal from this new perspective.
Independent consulting trend #2: Generative AI and automation require a thoughtful, proactive approach by consultants
The second consulting trend for 2025 is that the use of generative AI and automation continues to grow within corporate clients and behind-the-scenes within consulting practice operations. Generative AI is no longer a shiny object. It's quickly becoming an integral part of day-to-day operations for our consulting clients and within our own consulting businesses.
This isn't business as usual though.
There are many open questions related to data privacy, data security, ethics, impacts to existing systems, software selection, resourcing plans, compliance, intellectual property, and overall AI strategy within our corporate clients.
These open questions provide several opportunities for consultants, ranging from types of consulting you offer as a consultant, to how you manage the use of AI in your own business.
How to apply consulting trend #2 in your independent consulting business
In 2025, it's important for consultants to become much more clear on how they'll leverage AI within their consulting practices, both in running their businesses and also when it comes to client delivery. This will help you stand out as a consultant with your ideal clients in that you're leveraging tools that can help them be more successful, in a thoughtful way that protects them and is flexible to meet any of the AI-related policies they've developed.
What consulting trend #2 means for your independent consulting business:
As a consultant, you'll have the opportunity to stand out if you proactively tackle the use of generative AI and automation. More specifically, when you think about running your business, you'll want to define policies such as:
Running Your Own Business
- What are your business objectives for incorporating generative AI?
- How can generative AI improve the value you deliver to clients?
- Should you develop proprietary generative AI models or utilize existing platforms?
- What training will you need to effectively use generative AI tools?
- What is the expected return on investment from using generative AI?
Client Security and Ethics
- How will you handle data privacy and client confidentiality with AI tools?
- What are the ethical implications of generative AI?
- How will you ensure compliance with legal regulations related to AI use?
- How will you communicate the use of generative AI to our clients?
- How will you mitigate inaccuracies in AI-generated outputs?
This can help you stand out amongst other consulting solutions because it's clear you've taken a thoughtful, proactive approach to leveraging AI to become more efficient, free yourself up to do more impactful, valuable work, while at the same time addressing concerns such as ethics and security.
What consulting trend #2 means for your consulting clients:
When you proactively address the use of AI with your clients, both as a way to make your delivery more efficient and impactful and also as recommendations to your clients, you'll stand out as an independent consultant. For example, to integrate AI into your consulting messaging and business processes, you can
- Embed AI in your service offerings,
- Include AI in your capabilities briefing and consulting one-pager,
- Incorporate AI into your value proposition and differentiators,
- Add AI-related questions to your consulting discovery meetings, and
- Incorporate AI policies into your standard proposal terms.
Independent consulting trend #3: Independent consultants are focusing on the longevity of their businesses
Running a consulting business can be very difficult. It involves so many ups and downs, and can take an emotional toll on the consulting business owner. This is especially true of independent consultants who have a tendency to conflate themselves and their businesses.
The third consulting trend for 2025 is a focus on longevity as a business and as a business owner.
Consultants are frequently asking me for strategies and tips on how to make their businesses more fulfilling and sustainable, and to feel less stressful and budensome.
How to apply consulting trend #3 in your independent consulting business
As a consulting business owner, you might be focused on being heads-down, working as many billable hours to generate revenue because you're worried about where your next client will come from. You might also be saying to yourself that you'll slow down with working or feel less stressed as soon as __________________________. This is the fill-in-the-blank that's so common for independent consultants. For example, we might say we'll slow down or work more reasonable hours as soon as we've landed our next client. Or, that we'll slow down and spend more time on our health or our family as soon as we feel more confident we can hit our minimum revenue threshold consistently each month.
These "I'll make changes so my business is more sustainable as soon as" type thoughts very commonly lead to burnout and questioning about whether you can hack it as an independent consultant.
What consulting trend #3 means for your independent consulting business:
As a business owner, you're responsible for ensuring you can sustain your pace and that you're not sacrificing your other goals (e.g. health, family, hobbies, etc) as a result of your business. In 2025, the trend will be to refocus on why you've started this business in the first place. You likely wanted to feel more autonomous, more fulfilled, and more in control of your own business results.
These are important practices to incorporate into your business so that you have a long-lasting, sustainable, and fulfilling business that meets your specific needs and desires. Having this specific plan in place will help you to achieve and sustain your version of work-life balance in spite of the ups and downs that are an inevitable part of running a consulting business.
Here are two work-life balance resources to help you put this into practice:
ļø¸Episode 046 – 3 Tools To Protect Your Work-Life Balance as a Consultant (part 1)
How To Achieve Work-Life Balance as a Consultant (Part 2)
What consulting trend #3 means for your consulting clients:
When you're able to manage your emotional overhead and keep your head clear, you're much more valuable to your clients. Sometimes we think that the value of what we provide is our time. It's not. Your clients are buying your expertise, your problem-solving ability, your strategic CXO guidance, your ability to innovate, etc. As a result, when you invest time in "protecting yourself as your #1 business asset", you're benefitting yourself, your business, and your end clients.
Independent consulting trend #4: The "Future of Work" continues to increase opportunities for independent consultants
The Future of Work continues to reshape the traditional employment landscape, increasingly opening up opportunities for independent consultants. Each passing year solidifies independent consulting as a standard practice rather than an exception.
By leveraging trends such as remote work, digital transformation, and the gig economy, independent consultants can offer valuable services that meet the evolving needs of their clients. This not only expands their opportunities but also positions them as essential partners in driving business success.
Consulting Trend #4 focuses on the growing acceptance and integration of independent consultants within organizations. As businesses recognize the value of specialized expertise, engaging independent consultants becomes a strategic choice rather than a last resort.
How to apply consulting trend #4 in your independent consulting business
When identifying your ideal clients, assume they are open to engaging independent consultants. Your services are highly sought-after, providing clients with unique insights and solutions they might not have considered otherwise. By positioning yourself as a valuable resource, you can focus on delivering impactful recommendations without the need to convince clients of the benefits of independent consulting.
What consulting trend #4 means for your independent consulting business:
Take this trend and run with it in your consulting business. Assume your ideal clients want and are looking for independent consultants. It's becoming less necessary to sell them on the idea of engaging an independent consultant. This reduces the need to sell the concept of independent consulting, allowing you to concentrate on the quality and relevance of your recommendations. Highlight your expertise and the tangible benefits you bring to the table, making your services indispensable to your client's success.
Now, you can focus more on the recommendations you're making to your potential consulting clients, and less on reassuring them that engaging an independent consultant is an effective strategy for them.
What consulting trend #4 means for your consulting clients:
Each year, more enterprises, mid-sized companies, startups, and small businesses are engaging independent consultants. Companies are streamlining their internal processes to approve and onboard independent consultants more efficiently. Hiring managers, business unit owners, and HR departments increasingly view independent consultants as a viable and valuable solution, rather than a fallback option. This trend simplifies the engagement process, making it easier for clients to leverage your expertise when needed.
Independent consulting trend #5: Software designed specifically for independent consultants and boutique consultancies is growing
Consulting Trend #5 centers around the increasing availability and sophistication of software solutions tailored to the unique needs of independent consultants and boutique consultancies. These tools are designed to address the specific challenges faced by smaller consulting practices, offering functionalities that support every aspect of their business operations.
How to apply consulting trend #5 in your independent consulting business
To take advantage of the growing availability of specialized software, integrate these tools into your daily operations. Here’s how you can apply this trend to enhance your consulting business:
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Streamline Project Management
- Implement systems that help you organize and track your projects efficiently. This ensures that you stay on top of deadlines, manage tasks effectively, and deliver consistent results to your clients.
- Examples: monday.com, Clickup
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Enhance Client Relationships
- Use platforms that allow you to maintain detailed records of client interactions and preferences. This helps you provide personalized service, respond promptly to client needs, and build stronger, long-lasting relationships.
- Examples: monday.com, basecamp
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Simplify Financial Management
- Adopt solutions that make it easier to handle invoicing, track expenses, and manage your finances. Efficient financial management allows you to focus more on your consulting work and less on administrative tasks.
- Example: lettuce
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Improve Communication and Collaboration
- Utilize tools that facilitate clear and consistent communication with your clients. Effective communication ensures that you understand client requirements, provide regular updates, and collaborate smoothly on projects.
- Examples: chatGPT, claude.ai
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Optimize Marketing and Business Development
- Leverage software that supports your marketing efforts, such as managing email campaigns or maintaining your online presence. Effective marketing tools help you reach more potential clients and grow your business.
- Examples: Mailerlite, OnePageCRM (affiliate link), ScoreApp (affiliate link - 50% off your first month)
What consulting trend #5 means for your independent consulting business:
Embracing specialized software solutions allows your consulting business to operate more efficiently and professionally. By integrating these tools, you can:
- Increase Productivity: Automate routine tasks, manage time effectively and focus more on delivering high-value services to clients.
- Enhance Client Experience: Provide a seamless and professional experience through organized project management, timely communication, and transparent financial processes.
- Scale Operations: Easily scale your business operations without a proportional increase in administrative workload, enabling you to take on more clients and larger projects.
- Gain Competitive Advantage: Stand out in the market by utilizing advanced tools that demonstrate your commitment to efficiency and quality, attracting more clients who value professionalism.
What consulting trend #5 means for your consulting clients:
As independent consultants adopt specialized software, clients benefit in several ways:
- Improved Service Delivery: Clients receive more organized and timely deliverables, as consultants can manage projects more effectively.
- Enhanced Communication: Clear and consistent communication channels ensure that clients are always informed about project progress and any updates.
- Greater Transparency: Financial management tools provide clients with detailed invoices and expense reports, fostering trust and transparency.
- Higher Quality Insights: With efficient project and data management, consultants can deliver more comprehensive and insightful analyses, driving better business decisions for their clients.
Independent consulting trend #6: Independent consultants are building consortiums
Another trend is the increasing trend of independent consultants forming consortiums. These consortiums bring together diverse expertise and resources, enabling consultants to offer more comprehensive solutions and expand their service offerings. Additionally, building consortiums fosters a sense of camaraderie and mutual support, creating a stronger and more connected professional community.
By leveraging the collective knowledge and resources of a consortium, independent consultants can tackle more complex projects, access a broader client base, and provide integrated services that meet the multifaceted needs of modern businesses. This collaborative approach not only increases opportunities but also promotes a culture of shared success and continuous improvement within the consulting community.
How to apply consulting trend #6 in your independent consulting business
To effectively leverage the growing trend of consortium building, independent consultants should focus on collaborating with peers who possess complementary skills and expertise. By partnering with other consultants, you can offer a broader range of services to your clients without the need to expand your solo practice. Establishing clear and effective communication channels within the consortium is crucial for smooth collaboration. Regular meetings and transparent communication help maintain alignment and foster a supportive environment where ideas and strategies can be freely exchanged.
Sharing resources and knowledge among consortium members enhances the quality of your consulting services and keeps everyone informed about the latest industry trends and methodologies. Additionally, fostering camaraderie and support through regular interactions and social events builds strong relationships within the consortium, encouraging consultants to share challenges, celebrate successes, and stay motivated together. Developing joint marketing strategies is also essential. By collaborating on marketing efforts, such as co-branded content or shared advertising campaigns, consortium members can increase their visibility and attract more clients than individual efforts alone.
What consulting trend #6 means for your independent consulting business:
Building or joining a consortium offers several advantages for your consulting business. Collaborating with other experts allows you to provide a more comprehensive suite of services, addressing a wider range of client needs and enhancing your overall service offerings. This collaboration also increases your credibility, as clients perceive the collective expertise of the consortium as more reliable and diverse. Pooling resources reduces individual costs and fosters continuous learning, enabling you to stay updated with industry advancements without bearing the full burden alone.
Furthermore, consortiums expand your network and reach by tapping into each member's connections, leading to more referrals and business opportunities. The sense of camaraderie and support within the consortium creates a supportive environment where you can share experiences, seek advice, and build lasting professional relationships. Additionally, sharing projects and responsibilities helps distribute risks, making it easier to take on larger or more complex projects that might be challenging to handle individually.
However, it's important to consider the potential risks of relying too heavily on others within the consortium. Over-dependence on consortium members can lead to challenges such as misaligned goals, communication issues, or unequal contributions, which may impact the quality and consistency of service delivery. To mitigate these risks, establish clear agreements, maintain open communication, and ensure that all members are committed to the consortium's objectives. By proactively addressing these potential pitfalls, you can maximize the benefits of consortium collaboration while minimizing the associated risks.
Overall, consortiums enhance your capacity to deliver high-quality services while maintaining a sustainable and scalable consulting business. By fostering strong partnerships and a supportive community, you can leverage collective strengths to achieve greater success and provide exceptional value to your clients.
What consulting trend #6 means for your consulting clients:
Clients benefit significantly when independent consultants form consortiums. They receive integrated and holistic solutions that address multiple aspects of their business challenges, ensuring that all their needs are met efficiently and effectively. Instead of managing multiple consultants for different requirements, clients can work with a single consortium that offers a wide range of services, simplifying the engagement process and reducing administrative overhead.
The combined expertise within a consortium ensures that clients benefit from best practices and innovative strategies brought by each member. Coordinated efforts within the consortium lead to more streamlined project management, timely delivery, and consistent communication, enhancing the overall client experience.
Additionally, consortiums can increase profitability by sharing resources and reducing individual overhead costs.
Thinking beyond the trends
In this article, we've explored six key trends shaping independent consulting in 2025:
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Growing Numbers of Full-Time Independents: More professionals are embracing the flexibility and autonomy of full-time independent consulting, contributing to a dynamic and competitive market.
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Generative AI and Automation: The rise of generative AI and automation tools requires consultants to adopt a thoughtful and proactive approach to integrate these technologies effectively into their services.
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Focus on Business Longevity: Independent consultants are increasingly prioritizing strategies that ensure the sustainability and long-term success of their businesses, emphasizing resilience and adaptability.
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Increased Opportunities from Changing Work Environments: Evolving work models and organizational needs continue to create new opportunities for independent consultants to offer specialized expertise and innovative solutions.
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Growth of Specialized Software: The development of software specifically designed for independent consultants and boutique consultancies is enhancing operational efficiency, client management, and service delivery.
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Building Consortiums: Independent consultants are forming consortiums to collaborate, share resources, and offer more comprehensive solutions, fostering a sense of camaraderie and mutual support within the consulting community.
Understanding and adapting to these trends is essential for any independent consultant aiming to thrive in today’s ever-evolving market. By staying informed and strategically aligning your business practices with these developments, you can enhance your service offerings, expand your client base, and ensure the long-term success of your consulting practice.
Put the article into action
To take the next step in evaluating and strengthening your consulting business, I recommend you take the 14-Point Independent Consulting Business Health Assessment.
This comprehensive assessment will help you identify your strengths, uncover areas for improvement, and develop actionable strategies to elevate your consulting practice. Visit ICAssessment.com to get started and ensure your business is well-positioned to successfully grow your independent consulting business.