Most brokers are happy with their aggregator, but if you became dissatisfied what would prevent you from moving on?
Most brokers are happy with their aggregator, but if you became dissatisfied what would prevent you from moving on? MPA investigates.
According to this year's MPA Brokers on Aggregators survey, only 6.2% of respondents said they were extremely likely to change aggregator in the next 12 months, suggesting that the aggregators as a whole are doing a fine job.
In fact, when brokers were asked to rank the likeliness of them leaving their aggregator over the next 12 months on a scale of 1 (extremely unlikely) to 5 (extremely likely), the average score was just 1.7.
However, if you did decide to move, what would the main barriers to leaving be? MPA quizzed this year's Brokers on Aggregators respondents on that very subject, and the results were fascinating.
There were a small handful of respondents who suggested in their survey comments that they were unlikely to switch aggregators predominantly because the barriers to leaving made the process too onerous.
To get an idea of which issues brokers saw as the biggest obstacles to leaving their aggregator, we asked all of our respondents the following question: “If you were to change aggregators today, what would be the biggest obstacle to you leaving?”
They were then asked to choose one of seven obstacles. Of the seven options offered, data migration/IT issues was the most chosen barrier to leaving (31% of respondents), followed by clawbacks/trail issues (24.8%) and contractual obligations (22.3%).
Here’s how the percentages looked for all seven of the barriers to leaving that were presented in the survey:
According to this year's MPA Brokers on Aggregators survey, only 6.2% of respondents said they were extremely likely to change aggregator in the next 12 months, suggesting that the aggregators as a whole are doing a fine job.
In fact, when brokers were asked to rank the likeliness of them leaving their aggregator over the next 12 months on a scale of 1 (extremely unlikely) to 5 (extremely likely), the average score was just 1.7.
However, if you did decide to move, what would the main barriers to leaving be? MPA quizzed this year's Brokers on Aggregators respondents on that very subject, and the results were fascinating.
There were a small handful of respondents who suggested in their survey comments that they were unlikely to switch aggregators predominantly because the barriers to leaving made the process too onerous.
To get an idea of which issues brokers saw as the biggest obstacles to leaving their aggregator, we asked all of our respondents the following question: “If you were to change aggregators today, what would be the biggest obstacle to you leaving?”
They were then asked to choose one of seven obstacles. Of the seven options offered, data migration/IT issues was the most chosen barrier to leaving (31% of respondents), followed by clawbacks/trail issues (24.8%) and contractual obligations (22.3%).
Here’s how the percentages looked for all seven of the barriers to leaving that were presented in the survey:
- Data migration/IT issues: 31%
- Clawbacks/trail issues: 24.8%
- Contractual obligations: 22.3%
- Loss of back-office services: 7.5%
- Licensing issues: 5%
- Loss of marketing services: 5%
- Upfront commission issues: 4.3%
