CLIENTS will pay higher fees if planners can provide value and service that go beyond the client’s expectations, according to Asgard national manager Mark Aufderheide, with clients most highly valuing the services planners are not obliged to give.
According to Aufderheide, such a step will increase the level of business undertaken by a planning group but will also increase the level of profit the group earns.
“The best way to provide these services is to listen to staff and to clients and supply what they actually want. They will be prepared to pay for it and they will want a financial planner around to supply those services,” Aufderhiede says.
Other ways to increase service levels include passing on activities that generate low levels of income to junior staff while increasing the skill levels of all staff.
“I encourage the use of paraplanners as it is not worth the cost of doing the work yourself, but ensure that staff turnovers are also kept to a minimum to avoid lost time and costs,” he says.
Aufderheide also says a big trap for many planners is not tackling the issues of management performance in a business, which includes regular expense and team reviews.
“Deal with underperformers by setting performance indicators but also look at those who are performing well within the group to ensure that both are operating within the practice’s operational bounds.”
