Transaction-oriented pricing models have the disadvantage that they often do not adequately remunerate advisory services that have already been provided. This problem has been exacerbated by rising litigation costs in securities consulting, partly due to regulatory requirements. In addition, there are other challenges, such as dealing with conflicts of interest. As such, flat-rate pricing models (“all-in fees”) have gained considerable importance.

The challenge in introducing these models is to clearly define and differentiate the defined service models. To do this, the services must also be attractive to customers who only trade on a small scale.

Our customer approached us with the request to analyze the existing portfolio of offers and to support him in defining a new offer.  

As a result, together we managed to

  • Evaluate the existing offer in terms of utilization and attractiveness/profitability
  • Identify target groups in the inventory that have not been offered an adequate offer
  • define new service models (e.g. advisory mandate for particularly wealthy clients)
  • Align existing service models more closely with existing customers by adjusting price and performance
  • Develop and implement a strategy for the transformation of the portfolio

Overall, we succeeded in reducing volatility in the area of WP commission income, increasing the average margin and acquiring new assets from existing customers and from the market via modernized service models.