Talking technology

Before any of the ‘more experienced’ brokers start shouting, it must be said nothing will ever replace good old fashion hard work and great customer service, but no one can deny technology has made things a whole lot easier.

By making the more labour intensive and time consuming tasks, such as manually completing a 20 page loan application, much easier and much quicker, technology has allowed brokers to spend more time and energy on the important things, like generating new leads and developing client relationships.

So for brokers thinking to themselves, ‘then why am I still spending so much time on this boring stuff?’ it’s time to look at how technology can better work for you.

Brett Spencer, chief executive officer at Stargate Technologies, a leading supplier of technology to the broker channel, says one of the easiest and most effective things a broker can do to improve their business is to sit down and look at their existing systems and learn how to better use them.

“They should take one hour a day for three weeks to fully learn all of the functionality in their current systems,” he says.

“They will be amazed at how little they are actually using and will be ever more amazed at what capabilities are in the systems they are using,” adds Mr Spencer.

From a broker’s perspective, Mardee Thomas from 1st Street Home Loans, acknowledges her and her colleagues have been guilty of undervaluing technology.

“Last year we were a little bit slack and it was more 'give us the quickest and easiest way to get in the system and do what we have got to do’ rather than trying to understand what the system could do and taking advantage of that,” she says.

Learning from their mistakes, Ms Thomas says the 1st Street brokers are now all making the effort to use their systems much more efficiently.

“There is definitely a lot more education in that space for us at the moment and I think that that’s going to keep going”.

“I think there is still a lot more to learn and capitalise on. It’s definitely something we haven’t done very well in the past and it’s definitely something we are trying to promote and get all of us back on track,” she says.

Mobile Mortgages

For brokers, one of the most important advancements in technology has been the evolution of mobile solutions. From the initial rise of laptops, now long ago, to the smartphone and tablet revolution, mobile technology has driven enormous change in the broking channel- something Mr Spencer predicts is likely to continue.

“The next big thing will be mobile/tablet based data capture solutions that enable brokers to get the customers to enter data into a single weblink that then auto populates their CRM,” he says

“Many aggregators such as LoanMarket and Vow Financial are now taking advantage of platforms such as eFind by Stargate to deliver these solutions to their brokers, which then simplifies the interview and collection process,” adds Mr Spencer.

The advantages of this type of software can be huge. Obviously, it can save a broker hours and hours of time consuming data entry, but according to Mr Spencer, it’s the changes to the interview and data collection process that may be most important.

“It will turn what is essentially an interrogation of the borrower to get their data entered into their CRM into a 2 way conversation that builds the customers profile together,” he says.

Another of the most significant emerging mobility trends in the broking space is the implementation of cloud based storage systems. Cloud based storage systems allow users to save data online, rather than on a physical hard drive. This means the data can be accessed from anywhere and at any time.

For some this may seem a little risky, information is the backbone of a broker’s business and to lose it all would be disastrous; but cloud systems are safe and they are secure, according to Mr Spencer.

“Cloud is everywhere and most people are using it without even knowing they are. Those using iTunes are using a cloud based music system, YouTube is a cloud based video sharing system and all forms of Social media are Cloud based collaboration platforms,” he says.

“Anyone who says that an offline CRM system is the way to go is stuck in the stone ages. Cloud gives you access to your business all the time, even in the middle of the night. It’s cheaper for the broker to run as they don’t need expensive hardware or servers and only need a PC that has access to the web and you can take your office with you,” says Mr Spencer.

Ms Thomas says 1st street has already adopted cloud based storage and it has been a great success. Having access to information at all times and at all places significantly improves a broker’s customer service, she says.

“All your clients’ information is on hand, you can look at it anywhere you are. To be able to be talking with a client and then rather than saying ‘I’ll have to get back to you tomorrow about that’ get the info straight away and provide an answer can be a great thing”.

“If the client needs to make any changes to their information you always have their file in front of you, you just log on and there you go,” says Ms Thomas.

Must have hardware

To use the best systems, a broker needs the best equipment. The latest software needs the latest operating systems and the fastest processors to be effective, and while it can be expensive, hardware is an area in which brokers cannot compromise.

So what do brokers need? “The best laptop or ultrabook that they can afford” says Mr Spencer, “and if they can’t afford $3,000 for the best, then perhaps they should not be a broker,” he says.

“Nothing and I repeat nothing will replace the need for a broker to be running the most powerful laptop or ultrabook possible so that they can take advantage of mobility, cloud based solutions and technological efficiencies,” he adds.

While this attitude may seem a little over the top to some, Mr Spencer makes no apologies for his tough stance on the importance of using the very best equipment.

“Imagine running the 100m finals at the Olympics in thongs….it doesn’t work,” he says.

“Neither does trying to access a cloud based CRM system that requires the latest internet browser, new versions of MS Office and a wireless network connection to operate to its maximum efficiency and you are on a 2005 era laptop that weights four kilos, has no WI-FI and runs on Windows XP”.

Social circumstance

By now, brokers have been told time and time again that they must utilise social media, but is it really that important?

“Right now in today’s market, I’d say it’s at 50 per cent on the importance scale. In 5 years’ time, it will be closer to 100 per cent,” says Mr Spencer. 

People are still trying to work out how to use social media for business, it has potential but how does it best work? A lot of businesses, brokerages included, are trying social media half-hearted and not having great results.

“It’s a great way of interacting with people, but will you be crucified for not having one…..NO. If you do have one, then you need to make sure you are doing it right, because if you do it wrong, then you will certainly be crucified for misusing it,” says Mr Spencer.

Much confusion seems to be about social media’s best purpose. In a recent industry survey, 32.5 per cent of brokers said they use social media for attracting new clients, 43.6 per cent said they use it as part of their marketing strategy and 46.1 per cent use it for networking.

To be effective, social media policy needs a defined aim. For brokers, Mr Spencer says this should be to build trust in your brand.

“Putting out on your social profile info that the public sees as important will show them that you are an expert and this then builds trust in your brand. One you have trust in your brand, it will be so much easier to win them over as a customer when it’s time for them to make the buying decision,” he says.

“Social media is another tool that consumers will use to determine the professionalism of one’s business, it will be used to check how up to date you are in the current market trends and whether or not you are ‘cool’ enough for them to do business with you,” he adds.

So what type of content should brokers be posting?

Content that can demonstrate your expertise and establish you as a reliable source of knowledge will build your brand, content that demonstrates what you did over the weekend won’t.

Keep it professional and keep it clean, says Mr Spencer.

“As a consumer, I don’t need to know that last you night you partied at the Playboy mansion and then today you are telling me about rates dropping. Keep the personal heroics and anecdotes away from your business profile”.

“Think of social media as another form of your website and ask yourself the age old question “Would I post that to my company website,” he says.

Is it worth the application?

Every business seems to have a mobile application these days, from pizza shops to the liquor shops, from airlines to the taxi companies-but should they? Certainly, there are many instances where an app can be great; ordering a pizza at the touch of a button for instance, but when is an app just not worth the trouble?

In broking, according to Mr Spencer: “Brokers think they need an App to be relevant…..that’s crap,” he says.
“Brokers should not waste a single dollar on getting their own app. They should spend their money on improving their search engine results in Google or Bing as a web based search engine is the number one way in which we search for something,” he adds.

But while not many people will search the app store to find a broker, there are other benefits. Ms Thomas says 1st Street Home Loans recently launched an app and it has been a great success. The free app, available on both iPhone and Android devices contains information about what 1st Street does, as well as providing clients with relevant forms and a range of calculators plus all relevant contact details.

The app has been great for referral business, according to Ms Thomas.

“Of course, if they are going to look us up out of the blue for a general inquiry it would be on the web but for referrals the app is great”.

“Our business relies heavily on word of mouth and we are finding that existing customers are telling people to download our app when they refer us,” she says.