Advisers should reshape their client segmentation models to reflect what people demand at each stage of their lives, according to an industry consultant.

BusinessBlades founder Neil O’Grady says research shows consumers want to discuss only one or two issues relevant to them, rather than receiving holistic advice.

“Consumers want advice specific to an identified need,” he said. “If you want to engage with the 80% of Australians who aren’t currently using a financial adviser, talking up holistic advice is not going to win them over.”

Mr O’Grady says clients can be split into those who want single-issue discussions and those seeking wider solutions.

“It may be about developing a series of life-stage packages to help clients meet the specific needs of each life stage.

“The process of repositioning advice businesses doesn’t have to be painful. It may be just a slight tweaking or modification that helps provide real clarity to consumers about what advisers do.”

He says many consumers are unsure what advisers do, or think they are too expensive.

“They don’t want to pay for something they don’t want, or think they don’t need.”

A recent survey shows 16% of men question the value of advisers, compared with 10% of women, Mr O’Grady says.

The price misconception is greater among 65-year-olds (22%) than 18-24-year-olds (3%).

He says some practices should rethink how they promote themselves.

“We need to change the perception of what an adviser does, and for some practices it might mean changing their brand.

“Use of the term ‘financial services’ conjures up investments in the minds of a lot of consumers. The scope, range and benefits of advice have got to be explained if advisers want to see more consumers.”