With financial planning undergoing a critical transition and advisers moving from being price-takers to price-makers, many can struggle to articulate their value.

As the industry contemplates change, the good news is that of the primary elements of product, administration, and advice, the latter is the only one where margins are being maintained or in some cases increasing.

This means the only way advisers will survive and thrive in this climate is to both add value and demonstrate that their advice adds value. With that in mind, here is a playbook to help you think through this challenge:

Define What You Do

The business we are in is financial advice. We help people with strategies to increase income, decrease expenses, reduce taxation liabilities, protect assets and ensure security in any crisis so they can achieve what’s important to them.

Through personal and accessible service, we develop a roadmap to success for clients, showing them clearly where they are now, where they would like to get to and what milestones they need to hit along the way.

Of course, we know things can change for clients in the meantime – financially and personally. No one’s life is static. But our role throughout is to provide discipline and accountability, just as personal trainers keep their clients to their fitness goals.

Define Your Value-Adds

Once you’ve clearly defined your role, there are two types of value you need to be able to articulate and demonstrate – the tangible and the intangible.

The tangible arises mainly from ‘below-the-line’ service related to money, investments, risk insurance and mortgages. The intangible is sourced mainly from the other services related to desired client outcomes.

Tangible value is anything that will have a monetary impact, like tax savings from concessional super contributions. Intangible value is still value. But it’s harder to quantify and is often determined by the clients in how they feel.

The point is that doing more business on the latter you make deeper connections, add more value for clients and develop a more sustainable business.

The more commoditised services we can quantify in dollar terms. For instance, we can help lower administration and investments costs, and reduce taxation liabilities.

People enjoy seeing their progress, whether this comes from their investment portfolio, property, bank savings etc. Track it. Show them.