Traditional client segmentation projects make "bad business sense", according to one adviser who has created an offering which lets clients self-segment according to their means.
Andrew Reeves, managing director of The Investment Coach, has created a four-tiered non advised proposition to suit a range of clients.
The four non advised support options comprise 'execution-only', 'execution-only with ongoing reporting', a 'one-off guided services solution', and 'guided service with ongoing services'.
The Investment Coach also offers bespoke advice to its clients.
Reeves has priced each of the offerings differently and is asking clients to choose the service they would like.
"This approach of branding clients 'gold', 'silver' and 'bronze', for example, foists services upon clients and can see them rejected because of their social and economic class," Reeves said.
"In practice they should be able to choose a service that suits them and their needs at the time of choosing. Self-segmentation of this sort makes more sense."
'Failure to pay attention can result in enforcement'
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