Mortgage Brokers Implement Trust-Based Marketing Strategy

"Trust" is frequently the missing ingredient in the mortgage industry. New trust-based marketing strategies prove successful for mortgage brokers and loan officers trying to differentiate their services.

SANTA CLARA, CA, November 4, 2006 -- A quick search of on-line news for the phrase "mortgage broker" generates a long list of articles about legal actions targeting the mortgage loan industry. Services-On-Tap™, a supplier of services to the mortgage industry, has just published a trust-based marketing strategy designed to help mortgage brokers distance themselves from unscrupulous and deceptive players in the industry.

One large broker advertises a flat lender fee of just $395, but fails to mention that its interest rates will be slightly higher. A small broker recommends a loan that has a higher interest rate, but pays him a higher commission. And yet another broker communicates to her customer one set of refinance terms only to find that the final paperwork differs dramatically.

In highly competitive marketplaces, like the mortgage loan industry, there can be a temptation to stretch the truth in an effort to close a sale. "My clients have told me so many stories about offers that are simply too good to be true, that I realized that I could distinguish my firm by simply committing to always be honest and tell the customer the whole story", said Denise Cadwell, President of Prime Capital in San Mateo, California. "I would rather make less money, earn my customer's trust and use that trust to enlist the customer to help generate future customer referrals."

Trust-Based Marketing Plan

• Here are four things any mortgage broker can do build a trust-based marketing strategy.
• Don't Go Negative. Never say anything negative about any of your competitors. Anytime you even suggest that your competitors might not be trustworthy, the discussion itself will cause your customer to question your trustworthiness.
• The Quick Commit. Begin any relationship with a prospective borrower by making commitments. These commitments should be strong statements. Start by committing to always making recommendations in your customer's best interest, not in yours.
• Build a Customer Partnership. Customers will only believe that you are truly committed if they understand that behaving in your customer's best interest is also in your best interest. Just like a waiter works for tips, a mortgage broker works for future referrals. Happy customers, and the referrals they can generate, are much more valuable than any one loan.
• Referral Marketing. Referral marketing creates instant trust. Consider supplement your customer referrals by hiring a lead generation firm that can generate similar introductions. While there are many different flavors of leads, only exclusive leads can reduce competitive pressures and create a trust-ready referral.

About Services-On-Tap™

Services-On-Tap provides a range of on-demand services for the mortgage industry including exclusive live and electronic mortgage leads, loan processing and verification services. Services-On-Tap has helped generate more than $1 billion in loans and is committed to helping mortgage brokers and loan officers profitably grow their customer base while reducing their back office costs. For more information visit http://www.ServicesOnTap.com.

For More Information
Contact Greg Harris
www.ServicesOnTap.com
Tel: 408-764-5111