Advisors who find themselves working harder for the same money need to look around at least once a year and keep their pricing competitive, according to data from the consultants at FA Insight.
By now you know that the average revenue per client throughout the industry is down.
In fact, fees have stagnated at 2008 levels as advisors stung by the market crash keep offering discounts to sign new clients, but never take those accounts off the discount plan.
Only 31% of all advisors out there review their pricing as often as once a year, FA Insight says.
If you discover that your competitors charge more, you probably can too. Start with new clients -- there's no reason you should be hunting AUM quite so fiercely if it means it's eroding your margins -- and move up to your established ones as well.
FA Insight suggests that advisors find a way to give established clients something extra, even if it's only a more exhaustive newsletter or a few more educational client lunches ever year.
Naturally, more substantial value adds can include extra service, free revisions to the planning documents, or anything else you can think of that differentiates your business and makes your clients feel like they're getting something for their money.
And another good tip: minimum fees really work.