How brokers and agents can maximize their success in the year ahead
This article was produced in partnership with Neighbourhood Holdings
Fergal McAlinden, of Canadian Mortgage Professional, spoke with Jared Stanley, senior director of originations at Neighbourhood Holdings, to hear about how brokers and agents can lay the foundation for a successful 2023
With another year just around the corner, mortgage brokers and agents are putting their plans in place to hit the ground running in 2023 – and a number of factors can help make their growth strategy as effective as possible over the next 12 months, according to a top lending executive.
Jared Stanley (pictured), senior director of originations at Neighbourhood Holdings, told Canadian Mortgage Professional that now was the perfect time for mortgage professionals to develop their plan to help increase sales and revenue and differentiate themselves from competitors.
Examples of the best ways for brokers to do that, Stanley said, are varied:
Expanding into new markets. “This could involve entering into new partnerships in areas with greater demand,” he explained. “For instance, if a mortgage broker specializes in rental finances and their local market is slow, they could apply their expertise in other markets.”
Diversifying their business. This approach might see brokers start to offer a more comprehensive or varied range of products than they currently deal with. Stanley noted that Neighbourhood was currently seeing a lot of brokers who mainly focused on A business start to incorporate alternative lending solutions into their offerings.
Improving customer experience. Brokers can focus on a range of different ways to achieve this goal: offering convenient and flexible options for meetings, introducing customer loyalty or referral programs to encourage repeat business, or providing high-quality customer service in general.
“This marketing tactic is huge, because people are likelier to trust recommendations from people they know,” Stanley said. “The objective of the referral program is to show your customers that they are appreciated and valued, which means you have to be active about it – not passive.”
Simply adding a note on your email signature indicating that “the highest compliment I can receive is a referral,” Stanley added, will not cut it.
Investing in marketing and advertising. Always an essential part of driving business, for brokers this means putting an emphasis on channels such as social media – Instagram, Facebook, Twitter, and LinkedIn – and email marketing.
Using those channels is an inexpensive way to reach and engage with current and potential customers, Stanley said, with many social media platforms also offering free or low-cost tools and resources as an added benefit – allowing brokers to maximize the impact of their budget, no matter how small.
What do brokers need to keep in mind about a growth strategy for 2023?
To build a successful growth strategy, Stanley said that brokers need to focus on a number of key points.
Having a clear target audience is essential, he said, especially because it’s important for brokers to understand their potential customers to be able to tailor marketing and advertising to their particular preferences and needs.
Focusing on their unique value proposition is also important. “A broker’s unique value proposition is the key benefit or advantage they offer their customers,” Stanley said. “This should be at the forefront of any marketing campaign and communicated clearly and consistently across all channels.”
Setting specific and measurable goals allows brokers to track their progress and adjust or tweak their efforts where required.
Maximizing the impact of their budget means prioritizing and focusing on the tactics and channels that are likely to provide the greatest return on investment for brokers, Stanley said. “This could involve leveraging free or low-cost tools and resources or experimenting with different approaches to see which ones are most effective.”
What should brokers avoid when putting together their 2023 strategy?
While developing a growth strategy can be a hugely beneficial exercise for brokers as they gear up for the new year, there are several common mistakes they’ll need to steer clear of when putting together that plan, Stanley said.
One of the biggest missteps a broker can make in putting together a growth strategy is not conducting market research, meaning they have an imperfect or incomplete understanding of their target market’s needs and preferences.
Not setting specific and measurable goals is another pitfall, Stanley said, while not considering the competitive landscape – and as a result, not understanding what their competitors are doing to differentiate themselves – can be a big mistake.
With the importance of technology in the industry having skyrocketed in recent years, Stanley said that not considering advancements in tech would leave gaps in a broker’s growth strategy. “Brokers need to stay updated on how the market is evolving to stay ahead of their competition,” he said.
Ultimately, the objective of a growth strategy is to increase sales and revenue for a broker – and it’s important that they prioritize reaching and engaging and potential customers and offering a unique and valuable product or service that meets their needs.
“By keeping these critical considerations in mind,” Stanley said, “brokers can develop and implement a growth strategy that is effective, efficient, and aligned with their overall goals and objectives.”
Jared Stanley is senior director of originations at Neighbourhood Holdings, a lender based in Canada.
