How Can We Do More?
This article has some very positive features. People who use an adviser are generally very happy with the service being provided. In another article within our News & Insights section, it says that people receiving financial advice can improve their average wealth by around £47K over a 10 year period. That is a fantastic statistic and great news for the profession.
But now for the harsh reality and stark fact. Less than 10% of people can get access to this fantastic service! Advisers are generally trusted and their services valued but the numbers receiving good advice is going down.
We all understand some of the reasons for this. We have a reducing number of advisers; RDR has made financial planning services too costly for many; we don’t have enough new blood coming into our industry; and many other reasons.
However, as a profession we have an obligation to get it right for the majority, not the minority.
There are certainly more and more technology solutions that can help advisers reach more customers and make it an engaging, enjoyable online experience and one that provides excellent outcomes for all stakeholders.
At Wealth Holdings we have chosen not only to deal with mergers and acquisitions and the buying and selling of advisory businesses but also to work closely with FinTech companies and new product developers that can help provide digital services for the majority of the population.
Of course, we agree that firms should still want to segment customers. But what if the majority could be handled in a much more digital fashion using new tools and backed up by remote conferencing. When pooled together, the smaller pots of money can become a sizable figure. It just needs to be approached in a new way.
Some of our technology partners are doing some great things in digital guidance journeys that are very user friendly; the use of clever chatbots; helping customers digitally with expenditure reduction, protecting the family with online life cover as well as the more traditional areas of helping them to invest or save their money.
When we help firms to maximise their value on a sale, we look to see client segmentation strategies and efficient ways to service all customers. This adds to the value of an advisory firm and in turn, will help more and more of the population to achieve financial wellness.
Always remember that the son or daughter of one of your top clients could turn out a business leader of tomorrow. Providing digital servicing with human back up is a great combination, and can be done profitably.