COLUMNS - SALES AND MARKETING

BY PAUL WATKINS

Marketing of mortgage services has only really had one big change over the last few decades, which is the online component. Other than that (though it was a VERY BIG change), it is a case of variations on a theme when it comes to gaining and keeping clients.

However, the variations on a theme require matching client and prospect’s thinking at the time.

At times you need to talk to them more, at other times, less. At times, you need a different message for key segments, and at other times, a revisit to a previous message works. At times, delivering online messages can replace phone calls, at other times, the phone is king.

Right now, we live in a world none of us have ever seen before. Covid has caused dramatic changes to many aspects of life. Some strange consumer behaviours are taking place. With international travel off the agenda for at least another year or two, we are buying cars and spa pools like crazy, as well as renovating our homes. At the same time, many face anxieties about their jobs or incomes, retirement is apparently being postponed, and the move to working from home has been substantial. In many cases, this will become a permanent arrangement. In the case of your service, house prices are blossoming (many think at an out of control rate), and mortgage interest rates are dropping to unheard of levels. So, what does this mean to your marketing messages? It means we live

in uncertain times and people need information. It is a time to contact them a lot, and more often than usual. Facebook traffic increased by over 80% during lockdown and it has not dropped off much since, with informational items (yes, including fake news) being the most viewed. Blatant ads for your service are passed over quickly in almost all mediums. The “trick” is to inform clients and prospects of things that clearly show you as the trusted expert. Trust in governments, government agencies, lenders, the Reserve Bank and various businesses starts to wane when things go out of whack, as they are right now. And everyone has an opinion. So, who do they listen to? The most important point here, is that people want credible guidance from credible people, aimed at them. They don’t care about global messages, such as “The housing market is hot right now” or “Interest rates are at lowest levels ever”. What they want is the “How-to” bit, which I find to be remarkably missing in the broker emails, websites, blogs and newsletters I see. As a first home buyer, tell me the key steps to financing a house. As someone wanting a larger home, tell me the steps in refinancing, and what I should be aware of. As an investor, tell me the howto of buying my first investment property. As someone wanting to renovate, such as adding a $100,000 pool, tell me the options, like how to go about adding this to my mortgage, re-financing it into a new mortgage or other options. As a difficult-to-borrow prospect (due to background) tell me how I can still buy a house.

Every item of communication you send must be aimed at a very specific group. Generalised communications have little to no impact, as they are not aimed at anyone. Worse, you won’t show up in searches within Google if you don’t. If I searched for, “Can I apply for a KiwiSaver first home withdrawal if my partner has previously owned a home, but I haven’t?” Who shows up at the top? Do this, and see what comes up. It’s not a broker, but a lender. Why? Because that lender understands how people search and has taken the time to write a piece addressing this specific concern.

How do you know what to write? Google can tell you. When you search for a phrase, Google will offer suggestions under the title “people also search for”, and this is the clue. Look at them, ask yourself who most likely asked the question (first home buyer, mature buyers, etc) and then write a blog, newsletter or social media post that specifically addresses this. Here are some examples of real and popular searches: “Can I use my KiwiSaver to buy into my partner’s house?”; “How long do you have to live in your first home with KiwiSaver?”; “Buying a house with a partner NZ”; “HomeStart grant”; “KiwiSaver first home withdrawal rules”; “KiwiSaver first home FAQ”; “Buying a house without your partner”.

I know you could write answers to these with your eyes closed, as you answer these sorts of questions all day. So, when people search for these phrases (most searches are now phrases or complete sentences and not just individual words), do you show up? Does it lead directly to a page or blog article on your website that addresses the question? If not, then get writing.

People deal with people, and coming back to how we now live in uncertain times, trust has become the most critical factor in choice of service provider. Therefore, the next consideration is to make it human, which I have written about in previous articles. To do this, consider video (YouTube now outranks TVNZ 1 in viewership) of yourself, or writing as you speak. Avoid jargon at all costs and just like the Mitre 10 “Easy As” video library, look to explain in words of one syllable, how to get the money they are after and what to consider.

Ideas can include “behind-the-scenes” looks at how lenders consider each loan application for that group of buyers; perhaps share your feelings (yes human emotions) about the housing and lending markets; or offer case studies of real clients (names and some numbers changed). Include emotional terms, such as “I am a little concerned about how many people …” and “My feeling about the situation facing many home buyers is …” and “I just saw a young couple who … I was unable to help them as they had not done ...”

Sharing bad with good is a massively effective way to gain trust, as you are being honest, and it offers a lesson. You are not perfect and can never give every enquirer what they want – say so!

What I have tried to convey in this article is the need for trust building in uncertain times. You do this by not being a faceless machine. You empathise and put yourself in the shoes of the specific prospect you wish to gain the attention of. Information not ads is the only thing that works now in the current weird world we live in and the clue to what to say is in the Google searches. ✚

Paul Watkins writes blog content and newsletters for financial advisers.