The ever-changing world of intermediary sales
Change and agility
Headhunters, business coaches, and management consultants talk about agility a lot and what does this mean? Well I think this video from Columbia Business School captures the concept well. Agile leaders in my view process information quickly, map out the future landscape, and mobilise their team to adapt at speed. As mentioned though, whether a firm is selling DFM, retail funds, or tax efficient products to the intermediary channel, they’ve already seen a great deal of change.
I first started recruiting for intermediary sales roles in 2007, just before the financial crisis, and it was very much a people business. It still is in many ways, a BDM’s network and knowledge will always be invaluable, as will their ability to articulate an investment proposition, but the days of late nights drinking with clients seem to have largely disappeared. The industry has had to adapt. Since the financial crisis, firms have had to cope with margin compression, consolidation, and a centralisation of buying decisions.
At the same time wealth creation in the UK has been weak and so BDMs have had to make more noise and to be more sophisticated in how they sell to an ever concentrated audience. Their audience is also increasingly dealing with more complex issues. Fram’s Wealth Management Practice recruits for financial advisers and we’ve seen first-hand the qualification arms race and professionalisation of the adviser industry (both very good things for the industry). However, this has resulted in more advisers advising on a wider range of issues – all of which the BDM needs to understand. Nowadays, providers try to put on informative and strategic events - helping advisers to understand their products and to develop their practice. There’s very much a focus on value add rather than just product push.
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Lessons from marketing
Field- or office-based?
Another area we feel may change due to COVID is the role of the internal/office based BDM. Often this is used as a training ground for less experienced colleagues, who are mainly phone based. However, whilst many firms want to be on the road again, they are also enjoying seeing their travel bills decline and their productivity increase. They’ve realised too many first meetings were speculative and advisers too have enjoyed the time savings that video calls offer. Will telephone BDMs become video BDMs? Will these teams be a blend of “rookies” and more experienced colleagues who excel at video calls?
Perhaps it makes more sense to have some very experienced BDMs in the office, who can carry out more fact find meetings from the desk before introducing the most appropriate colleague? Either way, video conferencing should increase amount of events, client contact, and learning opportunities for advisers.
Without a doubt the world of intermediary sales will evolve again, and the role of the BDM (both field and internal) is about to undergo significant change.
About Fram Search
Established in 2010 by Simon Roderick, a recruiter with 20 years City recruitment experience, Fram Search is a specialist financial services recruitment consultancy. We focus on permanent and interim recruitment in the UK & internationally.
Our Sales & Marketing Practice provides high quality contingent and retained recruitment services to boutiques and global brands. We have long established relationships, outstanding market knowledge, and access to deep talent pools. Fram takes a highly consultative approach, combining outstanding tech with a human approach. We are proud that our contingent fill rate is nearly three the industry average and we augment our retained search methodology with rigorous psychometric testing.
We take ESG seriously, we are champions of diversity and all staff have undertaken unconscious bias training, we also carbon offset.
Please contact us on 01525 864 372 / [email protected] to learn more.
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