To misquote Dickens, ‘it will be the best of times, it will be the worst of times’. According to the national press the prospects for the mortgage market are always either ‘dire’ or ‘fantastic’ – apparently, there is no middle ground. Such predictions are commonplace and mortgage firms have become expert at taking warnings about the market with fistfuls of salt. Whatever the future, one thing that remains constant is the importance of a firm’s most important asset – their advisers.
Competition for advisers
Just as competition for new business is seemingly constantly increasing, so too is competition for quality advisers. Of course, firms have a variety of tools in their armouries, the bluntest – but often used – is money. Be it salary or commission, money still talks. But how loudly it talks depends on how smart the adviser is. Advisers seeking a new ‘employer’ will, of course, give consideration to a wide range of other factors. Logistical issues such as office location may play a part. Increasingly the quality of technology provided should also feature. The size of the firm and the opportunities it offers need also to be considered.
However, arguably the most important factor after remuneration is marketing support, including lead generation. The ability to find new clients and then to communicate with existing clients in a professional and cost-effective way is becoming increasingly important. It is also the offer to communicate and work with clients to provide a future service which should ensure they give you permission to contact them again on any subject.
Leads
The provision of good quality leads – whether they are purchased or generated in-house or via an introducer – is invaluable. Communicating professionally and cost-effectively with clients is also key.
It is no surprise that those firms we come across who are the best run and the most effective, are the very same ones who long ago identified the need to attract the best advisers, using tools that are sharper than enhanced commission levels. It is these firms that focus on the provision of practical marketing support for their advisers, provide the technology to support the tracking process and service proposition, and provide guidance on how to get the best results from the leads. Making contact within an hour of receiving the lead, may seem logical, but those firms that bother to provide leads and advice to go with them, along with the technology to make this possible are the same ones whose advisers can be the most productive.
Communication is key. Historically, mortgage firms haven’t been the best at presenting themselves professionally. Poorly produced literature and signage reflect on the quality of the firm. Why would a potential introducer want to work with a firm whose image is second-rate? The same question applies to a potential recruit. With today’s technology there is no excuse for poorly produced materials.
Utopia
Utopia for a broker may well be enough repeat business to ensure that the generation of new leads isn’t necessary. Of course, mortgage brokers are in a different situation to financial advisers. Repeat business may happen as and when existing or previous clients decide to move or their current deal ends. In turn, this is dependent upon the client deciding to use the same adviser. Why would they do that? Because the adviser provided an excellent service, presented himself professionally and kept in touch with the client.
How does a potential introducer choose a mortgage firm? Networking and relationships are still key, but supporting that relationship professionally is essential.
Perhaps, the description of the future as ‘dire’ or ‘fantastic’ is accurate. However, it may apply more to individual firms than to the market itself. Those firms for whom the future is fantastic and who can expect to enjoy the ‘best of times’, are also the same firms who are already attracting, and will continue to attract, the best advisers. Money is important, but the quality of support is playing an ever more important part in an adviser’s selection of a future employer.
