Anyone out there who delivers regular presentations or seminars will know that they can require a significant amount of work in order to deliver something both relevant and useful. As we led up to our recent annual conference, which took place at the end of January in Nottingham, I was tasked with delivering the end of conference session with the intention of leaving our advisers and AR firms with an idea of the opportunities that exist in this marketplace, but also a feeling of security that they have the support of a network which is committed to supporting their business ambitions.
I wanted to focus on business diversification and the increasing importance that brings. Not just for additional and diverse income streams but more importantly to ensure maximum client engagement, which is essential in the face of the fast-growing competition for our core markets. Please bear with me on this one as I know that many distributors bang on mercilessly about this but in 2017 focusing on a client’s multiple needs could just be more important than ever.
With that in mind, it seems to me, that any client simply walking into your office and leaving with just a mortgage, is a missed opportunity and (dare I say it) may come back at a later date with queries about why, for example, their protection needs weren’t met, or their general insurance, or their conveyancing, or their later life requirements. The list goes on. Equally, how often do you revisit clients for say a remortgage only to find they have bought a whole host of products and services elsewhere that you could have provided? Either because the client either didn’t know you offered them or had forgotten. Of course, with your client details now potentially in competitor’s hands, the next obvious question may well be. ‘Why not let me review your mortgage too?’
Given the depth of information required by an individual factfind then I would be surprised if any adviser can’t find sufficient opportunity in those areas mentioned above. But, of course, we work in a world where clients are not always buying something tangible today, often we are providing services or in the case of life assurance or GI, promises that the plan is both necessary and will deliver the benefits clients expect when they most need them, at the point of claim.
It’s therefore vital that clients really understand the benefits specifically to their situation. Only then does this become something they really want, value, prioritise and keep. It’s at this point that firms are making that next leap forward – deliver on a wide range of things the client really wants and you truly become a trusted business that they come to for advice and guidance on all their mortgage, protection and lifestyle needs.
Let’s face facts here. We’ll all aware of the threats in terms of the new brand of digital mortgage advisers who may not quite have the tech to back up their marketing just yet, but will certainly be moving it forward during the year. Therefore, it’s imperative to evolve our business models – to develop stronger communication channels that enable us to speak more to our clients across a whole range of product options, to have a far better chance of capturing their hearts and minds so they don’t feel they need to go anywhere else.
It is of course a significant commitment to make – we can support our firms and advisers to help them combat the competition and to grow their businesses but I’m aware that some firms may think they have to do it on their own. That’s not the case, regardless of your regulatory status. As a DA make sure you look at the distributor options that can offer an easier route to such diversification as you’re likely to find the support is available, you just need to access it.
For all of us, 2017 represents a pivotal year. There are opportunities however to reach a new level and we’ll certainly be encouraging our firms and advisers to make the necessary changes to get there.
Paul Nye is director of business partnerships at Stonebridge Group