intelliflo eAdviser proves tech-savvy advice firms outperform their peers

10 May 2022
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intelliflo eAdviser proves tech-savvy advice firms outperform their peers

10 May 2022

Media team

This year’s eAdviser Index highlights that advice firms who maximised their use of intelliflo office generated per adviser 44% more revenue, 59% more ongoing revenue and 48% more assets under advice than those not yet fully using the functionality on offer.

Almost two years since the start of the Covid-19 pandemic and the rapid acceleration in the adoption of digital transactions and processes, the advantages of embracing technological possibilities are becoming even clearer.

The intelliflo eAdviser Index

Our latest eAdviser Index shows that intelliflo customers are making more effective use of the technology at their disposal, with direct benefits for both firms and clients. Launched in 2018, the Index looks at how adviser firms make use of the functionality available within intelliflo office, our business management system for financial advisers.

By analysing nearly 4 billion log events users generated over the last year through their interaction with intelliflo office, we were able to give each of our customers a technology adoption score. We then used these scores to allocate firms to one of four groups, based on how much they use the software:

  • Explorers: typically using core functionality, but yet to maximise these capabilities and are not yet fully making the best of other resources to improve efficiency

  • Adopters: strong use of core technology, but yet to fully leverage other efficiency-driving benefits that intelliflo office can provide

  • Embracers: demonstrate strong adoption of technology across most areas

  • Champions: use all parts of the system and achieve maximum points across a number of the areas

Evidencing the benefits of technology

Reviewing our customers’ company data alongside the eAdviser Index allows us to assess the extent to which firms maximising their use of technology also demonstrate stronger business metrics. We wanted to know whether the Champions run more successful advice firms than the Explorers – and the evidence since we launched the Index has answered that question conclusively.

Per adviser, the Champions have demonstrated higher ongoing revenue, greater total revenue, more clients and larger assets under advice (AuA). The latest statistics again bear this out.

The data shows the impact that effective engagement can have on a firm’s financial position and performance. Our analysis revealed that Champions generate 44% more revenue per adviser than Explorers, as well as 59% more ongoing revenue than those in the lowest adoption group. Champions also have 28% more clients per adviser and 48% more AuA per adviser than Explorers.

What’s more, the Index highlights that tech adoption continues to be on the rise across the advice profession. After reporting a 57% surge in tech-savvy Champions between 2019 and 2020, the latest data shows that this trajectory is continuing. Our latest Index reveals that between 2020 and 2021, tech Champions increased by 79%. The Embracers also grew by 7%, as advice firms become more sophisticated in their use of technology.

With more firms moving up cohorts, the number of firms within the Adopters category fell by 14%, while the Explorers saw a 3% decrease.

Embracing change

We knew already that the pandemic had forced firms across the industry to reassess their technology capabilities, with the adoption of different systems and tools rising accordingly. Covid-19 and the associated restrictions that took effect in 2020 and 2021 brought fundamental changes in the way that advice is delivered.

The need for advice has become even greater as people’s finances have been impacted during the covid crisis and the ability to service more clients per adviser will go a long way towards closing the much-reported advice gap. By investing in technology and firmly embedding it into processes and systems, firms can provide advice to a broader range of people, delivering long-term profitability to the business alongside long-term value to clients. We love how intelliflo office works for our business, mainly because we’ve taken the appropriate amount of time to learn, understand and embed it into our own processes and systems.

Chirine Harb
Head of Operations, Capital Asset Management

Here to help

It's becoming increasingly clear that technology is playing a more prominent role in the lives of advisers, with knock-on effects for business models. Many firms have returned to the office now the Covid19 restrictions have eased, but any return to the pre-pandemic ways of doing things seems distinctly unlikely.

For firms at the start of their technology journey, investing the time to learn, understand and embed intelliflo office into their own processes and systems will reap the benefits.

This year’s eAdviser Index again demonstrates that firms that embrace technology outrank their peers in terms of the number of clients advised, revenue and recurring revenue generated, and assets under advice. Yet we still find that some advisers adopt as little as a tenth of the technology they have at their fingertips.

Nick Eatock
CEO, intelliflo

At intelliflo, alongside providing the technology, we think it’s important that we help advisers make the most of it too, leaving them with more time to focus on their clients and their business.

We provide interactive help within the technology so customers can learn ‘in the flow of work’, as well as digital courses and regular webinars on key topics to ensure our customers have a good understanding of new functionality or the recommended way to complete a process. The ability to drop in and use our digital learning content when it suits is a massive bonus to our clients.

Nick Eatock
CEO, intelliflo

As our latest eAdviser Index shows, the case for maximising the use of intelliflo office right across the business is a compelling one. We can see that effective use of technology brings tangible benefits not just for clients, but also for adviser businesses. Those firms most committed to their technology journey are servicing more clients, generating more revenue and increasing their AuA.

It’s no wonder that the number of firms achieving Champion status continues to rise – a trend that we think is unlikely to let up any time soon.