• Advisors will be busy handling the new business backlog after the lockdown, but existing customers will also provide opportunities for the future
• The new guide from Coventry for intermediaries sets out the importance of building on these existing customer relationships
• Topics covered by the guide include creative communications, developing local networks and social media

Coventry for intermediaries has today launched The Mortgage Broker’s Guide to Customer Retention. The new guide covers the key steps that brokers can take to build successful, long-lasting relationships with customers in today’s mortgage market, where borrowers are turning to longer-term fixed rate products. The guide covers a range of tactics including creative communications, how advisors can build and benefit from local referral networks and using tools like social media to engage customers.

In today’s market of record-low interest rates and rising demand for longer mortgage deals of three or five years, brokers are facing a need to find new ways to sustain customer relationships in between mortgage transactions. As the housing market begins to reopen after the COVID-19 lockdown, brokers will also be busy handling a backlog of new business enquiries. Yet, building stronger relationships with existing customers could provide further opportunities for advisors to grasp in the future.

While more than three-quarters of all mortgage lending was conducted by advisors in 2019, data shows that brokers are not getting the same share of repeat business when customers return to remortgage. In fact, of the last 10 maturities at Coventry for intermediaries where borrowers had been introduced through a broker, more than a quarter (27%) of these customers contacted the building society direct when it came to discussing a new deal. This is despite Coventry for intermediaries encouraging customers to seek advice from a broker.

Coventry for intermediaries believes the new guide will prove a useful tool for brokers to help them develop secure and reliable income streams for their business in the years ahead.

Jonathan Stinton, Head of Intermediary Relationships, Coventry Building Society said:

“Brokers all over the country are doing an excellent job advising new clients on the right solution for their circumstances and sourcing the best products for their needs.  However, when it comes to dealing with their next transaction it appears some brokers may not be maximising the opportunity?

We have seen more consumers turning to longer-term fixed rate products, potentially reducing the touchpoints between advisors and customers, something that may have been exacerbated by the COVID-19 lockdown. As a lender that is committed to supporting advisors, we want to play a role in helping brokers to meet this challenge.

Our latest guide charts some of the steps that brokers can take to build closer relationships with their clients that last for the long-term. By developing these stronger relationships, brokers can create a steady stream of business for the years ahead.”

For tips on how brokers can build stronger relationships with existing customers and to read The Mortgage Broker’s Guide to Customer Retention, please click here.