How to find the secret sauce for automated lead generation!
by Peter Levick
There are very few things that are more fun than seeing enquiries flow in to your business on autopilot.
I mean that’s the appeal for every mortgage broker I have ever met… “give me leads everyday and I’ll close them” is what they all say to me… They all want to know what the secret sauce is to make that happen.
What it looks like
Imagine, being out to dinner with your mates and your phone just keeps going “ding, ding, ding” as the leads keep coming through….
Your mates would be saying…. Dude, someone’s texting you like crazy, you’ve got 3 of those messages in the last 10 minutes…
And you’d be like… Yeah, it’s cool, just more customers applying for my latest offer…
Of course, you’d try to be as relaxed as possible about it so as not to come across all douchey…
But for most brokers… the notifications just don’t go “ding” as they have to hit up referral sources for leads, or go back to existing customers for leads… or worse pay up to half their commission to referrers just to get loans leads.
And then, maybe they get a few of those leads who actually want to talk to them.
When to ask for a referral.
Oh and by the way, I have found that the best time to ask mortgage customers for referrals is right at the beginning – at the interview stage when you are finished filling in the paperwork. Why?
Well first of all nothing has gone wrong yet. No bad credit problems, no lowball valuation to deal with, no LMI issues… No lender issues, no problems at all at this stage and your customer is happily involved in the process. No better time than now to ask for the referral.
Speaking of leads.
Recently, I sat down with one broker who told me that she was paying 20 basis points to a real estate agent for the leads that she was getting.
I asked, “So what were the leads like. She said… “Oh sometimes when I can get hold of them, they may be ok”…
Ok…. my first thought was…WTF, they are not qualified, “What do you mean”, I asked?
“Well, out of all the leads I did last year, I closed 2 out of 15 on average”, she said.
“And you had to pay 20 basis points on your upfront fee for that”, I asked.
Then she dropped the bombshell…
“Oh, yeah and 1/2 the trail on the client also”…
“You mean to tell me that you paid half your commission ongoing and one third of your up front fees, just to get a loan”, I said.
“Yes, that’s about it, but the real estate agent sells me to the customer first, so they know what to expect before I call”, she told me.
“Ok, but you told me you only closed 2 out of 15 of those type of leads. So what information does the real estate agent give you?”, I asked.
“The person’s name, their phone number and sometimes I get a bit of information about what they are buying”, she said.
I couldn’t believe it… I have worked with lots of brokers who were conditioned to do the same thing and when I tell them that they can get leads from real estate agents, financial planners or accountants or any introducer without having to pay they look at me in disbelief.
How do you do it without paying for leads.
In over 20 years of doing mortgage finance, I never paid any introducers… ever for leads or loans. The bottom line is you need to provide lead sources with something of value.
A broker that is highly reliant on referred leads, lives a dangerous life.
Because, if you have a business that is based only on referrals, when your introducers’ business slows down, or goes on holidays, it affects your income. A lot…
So, here’s why you need an automated way to get leads in for your business… but when I say leads, I don’t mean a name email and phone number… that’s not a lead.
That’s not a knife… this is a knife
Just like that scene in Crocodile Dundee…. Where he pulls out his knife and shows the difference between a pocket knife and a bowie knife…
Here’s the key thing about generating those shiny “new leads”: they must be QUALIFIED, they must be the full bowie knife experience, not entering a competition, where the main reason you get their details is because of the prize offered.
And of course, you don’t want to spend all your time figuring out online marketing, learning a new course, or trying to figure out social media either.
My guess is, you’d rather be putting loans into “Apply Online”… or at least have someone else do it for you.
I’m sure that you’ll also want a pretty cool way to follow those leads up if they don’t buy from you first up… and I’m not talking about emailing them the RBA updates on the first Tuesday of every month either.
How boring is that. Is that like light reading for a customer that wants to go to sleep early at night…. Yawn.
No, let’s talk about engaging content that gets the customer to come back to you….
A business model that worked like crazy
I want to tell you about Jason and how we helped develop a business model for him that worked like crazy….
Before that, let me give you some background on Jason.
Jason was a broker in Newcastle and had been there for 20 plus years. He had a pretty good business and had lots of referrals coming through.
After a series of personal crisis and a couple of family members passing away, Jason fell into a bit of depression.
Things got progressively worse for Jason and his business started to slow down. He was not as attentive to his customers, some of them refinancing and his trail book was declining.
His depression was getting the better of him, so he decided to move cities and start again.
A fresh start would enable him to put some of the grief behind him and he could think about his business again and get mobilized and motivated to write more business.
The problem was he was starting again in a new city with no contact base to send him referrals, no existing customers (in that city), so it was like starting a brand-new business.
Jason, had 20 plus years of experience, however still had to rebuild his book… that’s when we met him.
Jason had a website, but it was not built for sales, not built for the right education for his potential market…. but most of all it was not built with his IDEAL customer in mind.
So, we set about making some changes to it to make it more customer sales focused.
We made the front page really identify with his ideal client. And the “about us” page was designed to make sure that people could relate to him and showed that he cared about fixing the client’s problem.
Then we set up the automated sales machine for him….
96 qualified leads in month 1
In his first month advertising, he got 96 enquiries. Not bad, but the amount of information he received for a refinance campaign was way, way beyond a name, email and a phone number.
He had enough information to work out the total loan to value ratio for refinance enquiries, before he picked up the phone to talk to them, he also had all their debt and income information, so he knew exactly what he could do before he even spoke to them. PURE GOLD…
I know what you’re thinking
I know what you’re thinking…. how much did that cost, “qualified”, really I’ve heard that before… or what about…. what was his conversion?
I have to be totally honest here… The cost was relatively low, the quality was excellent, the conversion….. to start with not great. Why???
After reviewing the campaigns and the leads, I went back through everything, to have a look at them.
Were they crappy leads, as so many brokers have told me they get from various providers?
Did they leave false details – not possible our system filtered the leads really, really well…?
We carefully analyzed all the data and I could easily see that there were 10 potential loans in the first list that could easily go through most banks, even with the latest tough criteria at the time.
So, I asked Jason, why didn’t he convert them to sales appointments or loans.
He explained later that unfortunately he was still suffering from some depression and in his own words, his head was not in the game.
Sometimes it took days to get him to answer the phone and I know he was struggling to get back to customers, because he simply was not up to talking to them.
Finally, the breakthrough
So, we decided, let’s try a different approach and did the same campaign in Brisbane. We gave the leads to brokers here and BOOM, instant sales. One broker, Laurie closed a $420,000 refinance deal from the first lead we gave him.
Then another and another…. And it just kept going….. that’s when I knew we were on to something.
Our process worked…
We quickly rinsed and repeated it in Melbourne and the Gold Coast…. again, BOOM instant sales, with up to a 21 percent conversion rate.
Of course, not all customers bought immediately, so we set up a follow up system…. and again… BOOM instant success, with 19 percent of those customers that did not buy initially, came back to the table to talk to the brokers again.
If you’ve read this much, so far you probably would like to know how we did it…. Right?
Well why not book a time to talk to us and I will share with you the secret… Not the secret sauce!
But here’s a free tip for you for reading so far…
The simplicity of what we created comes down to three basic things. A winning campaign is made up of three things.
- The right message – show you care about your customers problem.
- The right market – find the right audience to put your message in front of.
- The right media – YES, Facebook works, done right it works super effective.
Look forward to talking to you soon.
Want to know more about the process… watch the video below… just click on it to start…GET STARTED