Preview Mode Links will not work in preview mode

Apr 13, 2018

On this episode of Loan Officer Strategy Sessions, Andrew introduces you to his friend Rick Scherer, a true lending professional who has perfected a number of marketing strategies for loan officers that enable them to create a business that is bulletproof. What does that mean? It means creating a business that is no longer prey to the fluctuations of the market or the whims consumers. It's based on partnerships with real estate agents and other professionals that create win-win relationships. It's a scenario where the relationship and business of both parties grow exponentially. Rick is an outstanding loan officer and leader in the industry and on this episode he explains the marketing strategies for loan officers that produce the most ROI and traction. You won’t want to miss this.

You have to add value first to get anywhere in the lending industry

The same old pitch that loan officers have made for years is still being made throughout the industry, and it's not getting them anywhere. The problem is that most of them don't know anything else - so they keep doing the same things that haven't been working. Rick takes a different approach, believing that if something isn't working, you stop doing it. That gives you bandwidth and brain space to come up with creative ideas that just might move the needle. The marketing strategies for loan officers that he teaches are based on the principle of adding value to every relationship you have in order to eventually build up the trust enough that you will benefit from it. It's based on Gary Vaynerchuk's concept of “jab, jab, jab, right hook,” and Rick explains it in detail on this episode.

How a consultative approach to agent relationships can bulletproof your business

Many mortgage loan officers market their services to real estate agents, and most of them do it very poorly. The approach they take is to focus on guaranteed closings, interest rates, speed in which closings can happen, and many other things that have to do with the process. Rick says that those things should be givens for any loan officer or company if they want to stay in business. He believes you have to go beyond that if you want to truly bulletproof your business. The marketing strategies he prescribes focus on what he calls a consultative approach, taking the role of a coach who is adding incredible value to the agents within your sphere of influence. Rick describes many ways to go about building those kinds of relationships, on this episode, including hosting Mastermind events for real estate agents that add more value than you can even imagine.

Instead of looking for more fish, find more fishermen

The typical mortgage lending approach to marketing is to market directly to consumers. Yes, consumers are your clients, the ones who actually use your services, but they are not your high-level source of ongoing business. Even though the lifetime value of a customer is significant, the lifetime value of a strong referral partner is even greater. Rick says that instead of looking for more fish (the consumer), you need to find a more fisherman. Who are the fishermen? They are the professionals who deal with your target market every single day. Attorneys, accountants, plumbers, building contractors, anybody who is part of the process of moving or life transitions could be an effective referral partner. In this conversation, Rick describes how he teaches loan officers to establish referral relationships with agents and others, so don't miss what he has to share.

Effective marketing strategies for loan officers have to include humility

One of the points that Andrew brings out in this episode is that many loan officers take the approach of the typical salesperson - they consistently and relentlessly put their offer in front of people via voicemail, email, direct mail - basically anywhere and everywhere that they can. The problem is that they don't think carefully enough about the top producers they're approaching and what will really appeal to them. Andrew cites an example of a voicemail one of his top producing real estate agent partners received that said, “I want to talk to you about how I can double your business. Give me a call.” In his mind, that is a completely naive approach that borders on the edge of arrogance. The person who owns the voicemail box that message was left on is already a top producer, so to double his business would be an impossible feat for anyone to accomplish. Find out how to infuse your marketing with humility that in turn, establishes trust-based relationships, on this episode.

Topics From This Episode

  • [0:37] Why Rick is on the show for this episode
  • [2:57] How weather and seasons impact LOs
  • [5:07] The path Rick followed to get into mortgage loan originating right out of college
  • [7:27] How Rick returned to MSA Mortgage after going to a larger company for a time
  • [8:19] Rick’s typical day starts with The Miracle Morning
  • [12:10] The TV show: What? A TV show by a loan officer?
  • [15:25] Why being a media company that happens to do home loans is better
  • [20:17] The common Mortgage Loan pitch to agents and why it’s a terrible approach
  • [27:12] Learn to take a consultative and coaching approach with agents
  • [29:22] Tips for creating/hosting mastermind events for real estate partners
  • [41:11] Audience question: How to determine the value of co-marketing opportunities

Resources & People Mentioned

Connect with Rick Sherer