Retaining clients: the advice process is more important than ever
By Jonathan Stinton, Head of Intermediary Relationships, Coventry for intermediaries
80% of mortgages are accessed and processed via brokers, perhaps unsurprising since they are often in the best possible position to help clients find the most suitable products for their individual needs. With this becoming especially important amid the current economic circumstances, it’s no wonder this statistic is also increasing.
What is surprising, however, is our data which shows that, in 2021, more than a quarter (26%) of borrowers who were introduced to us via a broker got back in touch with us directly when looking to remortgage. This emphasises the need for brokers to double down on their client retention strategies, particularly as the current climate is prompting more borrowers to lock in new deals ahead of further interest rate rises and prospective EPC regulation changes. So what can brokers do to avoid losing out on these valuable opportunities for more business?
The key lies in maintaining a constant line of communication with clients and cultivating a long-term personal relationship with them so that they instinctively keep coming back for more. To do so effectively, both proactive communication and social media engagement are vital.
If they want clients to feel a stronger sense of loyalty towards them, it is in brokers’ best interests to foster a dynamic relationship in order to continuously engage clients and maintain trust in their advice. By providing clients with regular updates on changes in the market, in addition to providing information during key stages in their mortgage journey, brokers will keep the line of contact open and ensure they are on the front foot when it comes to securing further business opportunities.
That said, it is also important to strike the perfect balance between being overbearing and staying in touch. Avoiding spamming clients while proactively providing them with regular updates is a tight line to walk, but getting it right will mean clients continually create new associations in their minds with the broker as someone who always provides the most relevant advice in an evolving market.
Engage them through social media
A useful way to maintain more frequent contact with clients without being overly intrusive is through social media. Many brokers are already social media savvy, with a presence on Twitter, Facebook or Tik Tok. Whatever their preference, these communication tools provide invaluable opportunities to connect and resonate with clients, putting them at the forefront of the mind when it comes to future mortgage decisions.
These steps, along with personalised messages such as moving in, Christmas or holiday celebration cards, can go a long way in making clients feel that their broker is a real human who understands their issues, and who they can rely on for all their mortgage needs.
How can Coventry for intermediaries help?
If you are interested in finding out more about how you can boost your client retention, read our Mortgage Broker’s Guide to Customer Retention (5.3mb pdf).
For adviser use only. Please note this content has been supplied by our lender partner and as such, is their responsibility. No party shall have any right of action against Legal & General in relation to the accuracy or completeness of the information in this article.