A significant gap exists between advisers and BDMs when it comes to the perception of the value BDMs have been providing since the advent of the Covid-19 pandemic.
In a report released last week by respected Sydney-based firm, Business Health, it was revealed that while 47 percent of BDMs believe they have added significant value for advisers during the Coronavirus pandemic, only 19 percent of advisers are of the same opinion.
This is one of the key findings stemming from the solutions-based services firm’s report, on which it reflects that to have such a ‘disconnect’ “…can only end in disappointment for all parties.”
Other key findings around the evolving nature of the relationship between advisers and BDMs across the broad areas of communication, BDM value, engagement and sentiment, include:
- Well over half of both advisers and BDMs expect there to be far less one-to-one, in-person meetings once the community emerges from the pandemic lockdown requirements
- 96 percent of BDMs expect far more adviser engagement in future using video conferencing platforms, however:
- 42 percent of BDMs have stated that video conferencing has not been a predominant means of communicating with advisers during the pandemic
- More than 50 percent of rural/regional based advisers have reported less contact than usual with their (product/platform) BDM service providers
- According to BDMs, the multitude of issues advisers are currently facing can be grouped into the following areas:
- FASEA and the pending education requirements and timeframes
- Maintaining an acceptable level of client engagement
- Managing employees working from home
- Investment market volatility
- Short term cash flows and business profitability
In a beautifully-expressed summary regarding the nature of the future relationships that will exist between advisers and BDMs, Business Health states:
When the entire world seems to be gripped by fear and uncertainty, business relationships can be truly tested. Many bonds will be strengthened when forged in the fire of this chaos but alternatively, there will be a high price paid by those who were seen to be ‘missing in action’ when they were needed most.
Advisers, BDMs and other interested stakeholders can click here to request access to the full report released by Business Health, entitled When the going gets tough – Insights into BDM engagement with Advisers during COVID19.
