There has been a revolution in communication over the last decade. How we communicate as an industry has been transformed at all levels – from client acquisition through to lenders and brokers.
We have more options than ever, which is a huge positive, but have we evolved best practice as fast as the technology? Have these new communication options led to better engagement? Not in all circumstances. So, how can we improve?
We all know the ways that technology has changed the communication landscape for the better and so much attention is focused on maximising those benefits, understandably so. We also need to pay attention to the negatives and work at minimising the downsides to the communication revolution.
This is not simply a case of me harking back to the good old days. The positives are there for all to see. But there are also clear negatives, particularly for the mental health of those in the industry, and this is often discussed. Less discussion takes place around the impact on competition for clients, and on the impact on client retention. Here, as communication options increase, engagement and connection can fall.
Brokers having less face-to-face time than ever before
Mortgage professionals see fewer people face to face than ever before. More business is written by businesses hitting volumes from online leads, and remote models are standard. In addition, most lender sales forces are thin, so this invaluable personal contact is dropping off.
Despite this, many mortgage professionals get into the industry because they love helping people and the most successful are ‘people people’; more contact would benefit the industry.
Industry events are becoming more important than ever, but budgets are limited and so many events haven’t evolved in recent years. While many in our industry are trying to evolve these events, as an industry we should be doing much better.
At Brilliant, we are looking to make a difference with our direct broker engagement. Next year sees the launch of the UK Mortgage Convention at the Science Museum in London, and we are also looking to develop engagement in different ways regionally. We want broker and lender involvement too.
The needs of brokers have changed; our face-to-face engagement must follow suit. To get this done, we need lenders to understand the wider benefits of face-to-face engagement and encourage more innovation, which can be costly but is invaluable.
Broker competition is high
The communication revolution means your clients are talking to more competitors than ever before. The data boom also means that competitors do not look the same as they did in the past. An online comparison site for GI is going to target your clients for mortgage business, as is every app and financial service provider. That is a lot of noise for clients to sift through and a lot of competition for advisers.
Yes, your communication plan needs to be excellent to stand out, both pre-sale and post-sale too. You also need to do everything possible to prevent your clients from looking elsewhere. The need to partner with businesses that can help you with any mortgage, any insurance and any financial need is greater than ever.
Brokers cannot be expected to be experts in everything, but businesses such as Brilliant can help you find partners that can help to create a more supportive environment for your clients and potential clients. Businesses need to find partners that work for them and their business model, whoever that may be.
So much is made of communicating with existing clients. Many forget that ‘lost’ clients are still potential future clients. Big business is targeting them, but many brokerages are not set up to compete. The tools are there in the form of a wide variety of software solutions; many businesses can do more.
Retention needs ‘engagement and connection over time’
Remote advice, and the reduced level of local advice, also impacts retention. Those clients we advise can be less connected to us as advisers than they have been historically. This means that our communications must work harder than ever to connect with clients and then retain that connection over time. This overlaps with the competition element discussed earlier.
Communication isn’t enough. You need engagement and connection over time. Align this with a broad product offering (even if it is into a controlled referral partner programme) and the retention will be incredible, as will those valuable referrals.
At Brilliant Solutions, we are building a new proposition that seeks to engage brokers in a whole new way. We are also getting on the front foot to help businesses solve these challenges. There are plenty of others in the market seeking to deliver these points too, but successful delivery can only be secured through proper relationships, which are so much harder to foster in today’s remote communication landscape. They can only be delivered with the support of a lending community that sees the value in driving this change.
