New research from Seccl, the Octopus-owned custodian and platform technology provider, shows a large majority (69%) of firms are considering parting ways with their platform over the coming 12 months.
When asked to what extent they agree or disagree that their firm is on track to end the relationship with their platform over the next year, 32% strongly agreed, while a further 37% agreed somewhat.
Meanwhile, in what would appear to be suggestive of a ‘honeymoon period’ between advisers and their platforms, 69% agree that platform providers tend to offer great customer service in the sale and/or onboarding process, but that it deteriorates over time. What’s more, 82% of respondents believe that their platform provider has reneged on promises made during the initial sales or onboarding period.
The findings are released as part of a new whitepaper, ‘An unhappy marriage? The case for a new adviser-platform relationship’. Other headline findings include:
- 68% agree its platform focuses more attention on winning new business than servicing existing clients
- 74% agree that their teams must often perform tasks that they would expect its platform’s technology to do for them
- 67% agree that they feel like their platform doesn’t understand the issues they face
Daniel Marsh, Head of Customer at Seccl, commented: “While up and down the country many couples might have used Valentine’s Day to celebrate their relationship, today’s research suggests the same can’t be said for advisers and their platforms – with the market seemingly on the cusp of significant switching activity.
“We regularly hear from advisers and their teams that they feel let down by their existing platform arrangements, as they are forced to pick up the slack of poor technology, fight for continued attention, or be on the hook to explain platform pricing decisions that are out of their hands. These findings put some stark numbers to that sentiment – and suggest that more and more firms might look to wrest back control of the relationship over the coming months and years.
”It certainly feels like we’re witnessing a pivotal shift in the market towards the demand for more efficient and seamless digital journeys. For some advisers, that might mean switching to a provider built on cutting-edge tech; while for others it might mean taking even more control by owning more of the total platform experience.”