In a departure from considering some of the more controversial issues impacting advisers in the life insurance industry, our latest poll turns its attention to the nature and value of the services provided to advisers by business development managers.
Our latest poll asks:
Are your key BDM contacts delivering more or less value to the productivity and growth of your advice practice in 2012?
The changing nature of how consumers communicate with financial advisers (and with each other) is set to potentially re-define the role of the BDM. Some believe this changed BDM role has already commenced, and relates to the BDM being able to deliver greater ‘personal value’ into the adviser/BDM relationship. But while there will be a range of views on this topic, the bottom line to the debate is whether BDMs in 2012 are adding more value, less value, or about the same value to advisers and their practice.
Well-regarded former adviser and now industry consultant, Baz Gardner (The Social Adviser), believes in the rise of the social BDM. Mr Gardner says that ‘social’ does not relate to expertise in social media, but rather to a new way of conducting relationships and to building relationships of value, particularly between the adviser and his/her client and between the adviser and their key BDM contacts.
“The most important requirement to become a ‘Social BDM’, or a ‘Social Adviser’ for that matter, is not technical, but philosophical,” says Mr Gardner, who adds that the current social evolution of business is far less about social media than it is about learning to deliver service and product in a far more beneficial, enjoyable and profitable manner than our out-dated ‘command and control’ production line based business models.
… effective relationships do not start with a sales pitch or a description of a product
In his article on The Rise of the Social BDM, in the September 2012 edition of riskinfo Magazine, Mr Gardner says The Social BDM understands that building effective relationships with advisers is the key to creating a catalyst for a mutually beneficial relationship. He says that effective relationships do not start with a sales pitch or a description of a product. Instead, Mr Gardner maintains that BDMs should focus on building trust, giving value beyond product and helping the adviser understand how their relationship can allow them to set aside the advisers’ fear of using the BDMs’ company’s products .
The value added by BDMs to assist advisers articulate their message to their clients ranks third for riskinfo readers (based on responses to our 2012 adviser survey), only behind claims and underwriting services, and well ahead of product, technical, compliance and other support services. This feedback is reinforced by another survey conducted recently by Macquarie Life (see: BDM Support Ranks Above Product Features…)
So, the adviser/BDM relationship is already acknowledged by many of you as being important to your business. But are you noticing any change to the nature and/or value of this relationship over recent times? Have you sensed any changes to how you are approached by BDMs? Or is it still ‘same-old same-old’?
Let us know what you think…
Completely agree Baz, It’s pretty easy to separate the wheat from the chaff these days. I’ve had some really great conversations with BDM’s that have been around for a while and where we’ve had zero discussion about product and lots of discussion about industry trends, questions about my philosophies regarding the industry etc etc.
I’ve also had some conversations with BDM’s that make you want to shower immediately afterwards. Interestingly, it has nothing to do with whether they are risk, platform or investment based. I think social media is building a smarter BDM.
I’ve also noticed that 2 risk BDM’s from the same factory can have different attitudes to SM irrespective of their employers stated position.
The world has changed, not only do our clients want us to interact with them differently but we also expect the same from our service providers. And so we should.
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