Mortgage Solutions polled brokers on how brokers get the majority of their leads for new clients, with 64.3% saying from current or previous clients, 17.3% saying other sources, whilst 12.2% voted for lead generation companies.
Only 4% voted for other professionals, whilst 2% opted for other brokers.
Andrew Montlake, director of Coreco, said that the best way to generate new leads is to offer clients a superb level of service.
He said: “It is all about looking after your existing clients, they are the main source for leads for new clients.”
Lack of diverse lead sources
Adam Hosker from Bespoke Finance said that the results show the lack of diverse lead sources.
He added: “With just 17% saying ‘other,’ have advisers abandoned the newer lead sources of, online advertising, websites, articles, guides and email marketing to directories like unbiased?
“We may be glad that networking at coffee mornings is thing of the past but are radio adverts, leaflets and direct marketing?
“Is the 2018 adviser outsourcing their business marketing, so they can focus on advice and compliance? If that is the case I am not sure how sustainable it can be and if Deborah Meaden would refer to those as a lifestyle business.”
The importance of being focused on a wide range of sources
Peter Bartlett, mortgage adviser at Capital Fortune, pointed out the importance of using a wide range of sources.
He added: “If we focus on a single source, this might be not always be available, affecting the business.
“Primarily, we go through our website to get completely new clients, but we also work on existing customers to get new leads.
“We do not go for lead generation companies, as you cannot control the quality.”
Brokers know how to look after clients
Jonathan Clark, mortgage partner at Chadney Bulgin, said that he is pleasantly surprised at the results leaning so heavily towards current and previous clients, accounting for the majority of new leads.
He added: “It tells me that brokers really know how to look after their clients and would be the envy of many other industries.”