Introducing…
ZUGO is a business built to help financial advice firms make more profit from more of their clients – while satisfying them like never before and delivering on Consumer Duty in so doing.
The secret? Bringing together know-how in advice (we’re regulated advisers ourselves), client experience design, technology and productivity to build better businesses.
Businesses that serve clients more efficiently than they have ever been able to, that realise higher margins than they ever thought possible, and that surpass the expectations of clients and regulators alike...having tackled all their legacy issues in transitioning to a brave new world.
Sound interesting? Read on...
Converting Consumer Duty Risk
into Profit.
Some universal truths…
Before you can fix any business problem, you need to look in the mirror and understand where you start from. Recognise what you’re good at, and what you’re not – and build from there. The start point we tend to find is pretty consistent...
Numbers to take stock of…
The fact that an advice firm has a spectrum of different client types doesn’t probably surprise anyone, but a look at the numbers this represents brings the issue of non-core clients into sharper focus...
Non-core clients
Two thirds of clients.
One third of profit or less.
150-200 clients/adviser.
Net margin: negative/breakeven
Investible assets <£250k.
Net worth today £500k-£1m.
Major productivity gains needed
to make profitable.
Core clients
One third of clients.
Two thirds of profit or more.
100-150 clients/adviser.
Net margin: positive
Investible assets £250k+.
Net worth today £1m+.
Beyond the commercials, risk…
Fixing the commercials is one thing, but in a regulated market risk matters too – particularly with the regulatory landscape changing as it is...
Good relationships.
Significant adviser hours spent
servicing.
Demonstrably fair pricing in the
context of this service level.
Comprehensive client file
maintenance.
Possible measured client
satisfaction.
“Arm’s-length” relationships.
Variable contact and service history.
Pricing often excessive for the
service provided.
Patchy client file maintenance.
No measured client satisfaction
Think differently…
Before diving in to some relatively obvious and incremental-only approach, we thought it best to stand back and look at the world a little differently. We think that the best operating models are underpinned by the best underlying beliefs, and used the following as our ‘True North’...
People matter more than products
Outcomes matter more than algorithms
Automation is smarter than perspiration
Processes deliver more than promises
Engagement is better than detachment
Clarity is better than complexity
Relationships matter more than transactions
Compliance is better than complacency
Solving the problem…
Taking these beliefs into the advice market (suitably informed by a body of both client and advice firm research), the following solution framework emerged...
Intelligent client segmentation…
Existing data enhanced by third-party data and reviewed on a multiple-variable basis...
Portfolio size
Relationship equity
Potential
Experian segment
Credit score
Future ambition
Risk appetite
The right client propositions...
A hybrid advice solution, delivering advice remotely without compromise.
A ’rich robo’ solution delivering a self-serve experience way beyond existing in-market alternatives.
Full branding flexibility for both.
Responsible, soft-landing exit pathways for clients for whom neither solution is suitable.
Step-change productivity…
Fast client transitioning and future onboarding.
Automated advice and high-speed cash flow forecasting.
Super-efficient.
Responsible, soft-landing exit pathways for clients for whom neither solution is suitable.
Delivering what advice firms want…
The ZUGO solution is not about fixing one problem, but fixing all problems in the best way possible...
Sorting all my non-core clients, whether existing or future acquired.
With a service that addresses all memorandum products, not just investments.
Scope to retain all ‘diamonds in the rough’ located in the segmentation process in my core business.
An ongoing service partner, not an ‘implement and go’ technology vendor.
An investment in my firm’s productivity and ways of working, not just technology alone.
The ability to leverage and integrate with my existing technology infrastructure
Keeping clients happy too…
Non-core clients have relatively straightforward needs that can be met using remote technologies either in the form of hybrid advice or a ‘rich robo’ experience...
A compelling client proposition…
ZUGO supports advice firms in their delivery of a high-appeal hybrid advice offer or outsourcing clients to a ‘rich robo’ offer – with both services branded independently as they wish...
Everything made easy…
There’s no point building a clever solution if adopting it is then a nightmare. ZUGO is built therefore with straightforward deployment in mind, allowing you to retain clients you might otherwise lose...
Fast upfront data analysis and insight.
Simple integration of our solution with your existing systems.
Ongoing use of your investment proposition (or use ours) as desired.
Full training in and oversight of the hybrid advice solution.
Full outsourcing to the ‘rich robo’ solution
Instant productivity impacts across all advisory activities.
Dedicated portal access for all stakeholder groups
ZERO upfront cost.
Contact us to find out more, or read on…