{"id":56310,"date":"2021-06-22T10:25:15","date_gmt":"2021-06-22T00:25:15","guid":{"rendered":"https:\/\/riskinfo.com.au\/news\/?p=56310"},"modified":"2021-06-24T13:58:24","modified_gmt":"2021-06-24T03:58:24","slug":"how-to-increase-client-revenue-by-45-during-a-pandemic-with-fewer-clients","status":"publish","type":"post","link":"https:\/\/riskinfo.com.au\/news\/2021\/06\/22\/how-to-increase-client-revenue-by-45-during-a-pandemic-with-fewer-clients\/","title":{"rendered":"How to Increase Client Revenue by 45% During a Pandemic – With Fewer Clients"},"content":{"rendered":"\n
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If you want to enhance your advice business model you need to invest in external input, because how can you run a better advice practice if you\u2019re not getting advice yourself?<\/h3>\n

That was a key takeaway from Melbourne-based adviser, Aaron Kane\u2019s address at MDRT\u2019s three-day 2021 virtual Annual Meeting, as he explained how his business increased client fee revenue by 45 percent during the pandemic, while delivering advice to fewer clients…<\/h3>\n<\/div>\n<\/div>\n

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Kane says it all comes down to a simple equation in which fewer clients – but the right clients who want to pay for advice – generate more revenue for the business.<\/p>\n

He told the thousands of adviser attendees tuning into the virtual event from around the world that his business, EK Financial Group<\/a>, was started by his father in 1987. But by around 2012 the father and son team realised the industry was changing and that they would have to transition their clients to a specific fee structure.<\/p>\n

Initially the business offered four fee packages, based purely on how often clients would see them: either once every three years, two years, 12 months or six monthly. The fees charged ranged from $660 a year to about $4,500 and by 2014-15 the business advised 380 clients on the fee packages.<\/p>\n

However, the industry continued to change and what had been a 20-minute client exercise became a two-hour effort, and clients that had previously been financially viable to advise were no longer so. Kane and his colleagues then decided to set up a new fee model, placing all clients on annual advice agreements with a simple fee structure, which kept the firm accountable while providing a very straightforward and transparent offer for clients.<\/p>\n

Kane says the business has adopted two simple options for charging:<\/p>\n