Not long now until we are in RDR World proper.
We have spent more than 2 years working on, defining, articulating and then delivering our service proposition.
Or in other words, we can define to all our clients what will be the minimum they can expect from us, how will we provide this service and what the process involves.
If this is proving earth-shattering stuff for your current adviser and they are still some way off having a clear service proposition, then I suggest that they are not going to be ready to provide you with basic guidelines as to what you service might be offered in the new regulatory regime starting in January 2013.
I get the impression that a number of businesses are taking their current model, giving it a good old buffing and hoping that will be enough for existing and new clients alike going forward.
More worryingly, I hear it’s the same service with a different name but at much increased cost.
You need to ask the question, if this is all that you are being offered from your current adviser at this highly crucial time, do you see other added value services being developed elsewhere that you might be interested in?
It’s not going to be good enough to offer the current approach to financial planning without considering what else you can do to retain and attract clients to your brand in the very near future.
Virgin is a great example of a brand that covers a very wide range of services but with a core set of values that customers recognise and value whether it’s buying a can of cola, airfare or a trip into the edge of space.
Financial planners will need to consider what other useful services they can give their customers access to.
For example, we intend to have a link-up with a foreign exchange provider that will allow our clients access to better wholesale currency transactions, discounts and better rates on currency cards.
Whilst there may be a small financial advantage for the business, it’s more about developing complimentary services that are useful for our clients and help increase customer loyalty.
Focussing on your brand not your business, and what you can do to delight your clients has to be the new mode of thinking.
Roland Oliver
December 2012