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(Dow Jones) The best advisors aren't just beating their peers. The numbers show them practically pounding them into the ground.

A recent survey of more than 1,000 financial advisors by consulting firm Quantuvis Consulting reveals that the top 25% in the business generate total average annual revenue of $1.2 million—more than five times the $225,000 in annual revenue that other advisors enjoy.

Even more important, the top 25%—a group Quantuvis calls 1QAs—earn $225,800 in operating profits on average, versus just $44,400 for the rest. "It tells us there is an inflection point in a practice's growth where you see exponential gains in performance," says Quantuvis Chief Executive Officer Stephanie Bogan.

Bogan sees three primary drivers behind success:

1. Commitment to the wealth management business model.

It is the dominant business model among 1QA advisors, used by 52% of this group. The most common business model among the non-1QAs is financial planning (32%).

Just as important as the model, says Bogan, is the top advisors' commitment to it. "The top wealth managers operate proactively, not reactively. They're disciplined and systematic in their approach, and they've segmented their clients and service offering to deliver wealth management profitably," she notes. "Lots of firms segment their clients but don't do anything with the information."

2. A focus on a fee-based revenue model.

1QA firms generate far more revenue from fees than other firms ($670,243 versus $67,631 on average). Also, their fee-based revenue is three times greater than all other revenue sources combined. That focus is also evident in their client base: More than half are fee-based, versus just 30% of non-1QAs' clients.

"In a commission-based business, the advisor must essentially start over at the beginning of each year. In a fee-based business, revenue might be lower initially but the lifetime value of each client is like an annuity that builds," says Bogan. "As a firm grows, it builds up its base of recurring revenue from fee-based assets. And that allows the owner to focus on service and improving business performance instead of just focusing on selling more stuff to recreate the revenue stream."

3. Significant operational leverage.

Top advisors make better use of their resources than do less successful advisors, giving them more time to focus on client service and business development. For example, the 1QA advisors tend to use technology and take advantage of opportunities to outsource more than their peers. Two-thirds of 1QA advisors (66%) use customer-relationship-management software, compared with just under half (49%) of non-1QAs. What's more, 1QA advisors are more likely to outsource a variety of functions--bookkeeping, payroll processing and the like--to third-party providers.

"A practice's greatest asset is its advisors' time," says Bogan. "In a factory, the machinery that turns out goods is maintained for optimal efficiency. In an advisory practice, the advisor is the income engine. If it's clogged up doing paperwork or scheduling appointments, the engine isn't running optimally."

She's quick to point out, however, that operational leverage doesn't necessarily mean getting bigger. "A two-person firm that outsources its investment management duties and uses technology well can have better operational leverage than a six-person firm that doesn't do either of those things."

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