Advisers holding the majority of their client meetings on work premises are earning a higher profit than those holding meetings off-site, research by independent consultancy Business Health (BH) has revealed.
"Advisers who hold more than 50 per cent of meetings off-site earn an average profit per principal of $91,191, while those holding more than 90 per cent of meetings on work premises earn an average profit per principal of $163,209," BH principal Terry Bell said.
Lower profits for mobile advisers are due to transport costs and considerable time lost while travelling.
"On-site meetings give clients the opportunity to build relationships with other key staff and tap into their expertise, which is a point advisers should be explaining to clients.
"There are certainly occasions where visits to clients' premises are warranted, however advisers should thoroughly assess these reasons," Bell said.
Too often advisers are travelling out of habit rather than necessity, according to Bell.
"If advisers have a tidy and accessible office they should put the question to clients... in a lot of cases clients are keen to see the office environment which their adviser works in," he said.
Business Health statistics are derived from reviews of more than 1000 practices across Australia.
