Login
ISCOVER
A solid client retention strategy is key to ensuring that brokers can maintain a healthy income, a broker has said.
Speaking during a panel discussion at the Pepper Money Insights Live event on Wednesday (26 July), owner and senior mortgage adviser at Sydney-based IFA Mortgages, Anthony O’Flynn, emphasised the importance of sustaining client retention in order to maintain trail commission.
To continue reading the rest of this article, please log in.
Looking for more benefits? Become a Premium Member.
Create free account to get unlimited news articles and more!
Looking for more benefits? Become a Premium Member.
“Trail commission is the most important thing you can have in your business, because even if I don’t go into work tomorrow, I’ve still got that income still coming in,” Mr O’Flynn said.
“So, to me, protecting that is looking after the most important asset to my business, which is the people.
“That’s where I put a lot of emphasis on. I’ve got four staff that constantly review clients’ loan accounts every day.”
Mr O’Flynn stated that looking after clients is one of the most important things a broker can do, as it can lead to referrals that you can’t get any other way.
He further stressed the importance of getting in front of clients early to check in and stay in touch.
“We try to get in before a bank offers them a lower interest rate, which is usually two months out, we’ll talk to them three months out,” Mr O’Flynn said.
Echoing Mr O’Flynn’s sentiment, Pepper Money chief executive Mario Rehayem spoke on how important it is to stay in touch with clients for brokers looking to diversify their business and how it can help brokers avoid clawback.
“Don’t just be a mortgage broker that does a transaction and then all of a sudden disappears, be a part of their financial journey,” Mr Rehayem said.
“If you can do that, I can guarantee you will have a very robust business that then you can think about diversifying into a number of other asset classes that you can come into because you’ve got a hold of your network.
“The best business model has the customer front and centre in their business, it’s not a transaction that is all front-ended.”
Mr Rehayem further stated that client retention is one of the biggest problems in the industry for those who are struggling with clawback.
“Some of the offices I’ve visited that have a really strong customer focus, post-settlement care, and constantly engaging with their customer base – you will never hear them talking about clawback because they have built a level of respect and connectivity with their customers,” Mr Rehayem said.
[RELATED: Pepper launches campaign showcasing real life broker stories]
JOIN THE DISCUSSION