In a competitive market, broker-dealers are struggling to find innovative ways to attract advisors. Some broker-dealers have found a way to stand apart from their competitors by offering a certain niche. They have figured out what financial advisors really want from a broker-dealer.
Jodie Papike, vice president at a broker placement firm, said,
“…Cambridge Investment Research (has) distinguished themselves as the fee-based expert (and) because of that, anyone doing fee-based business will talk to Cambridge. And that’s why they have had wonderful recruiting success.”
If your firm has a specialty that sets it apart from other firms, you must capitalize on it.
Having a brand name or familiar name can help market itself. Many broker-dealers have a brand name that people know of or at least heard of. For example, the name alone stands for how they do business or their great service. Larry Papike, president at a broker placement firm, said,
“LPL has long been on the leading edge of technology, but it recently tweaked that message by emphasizing how that technology can help make an advisor’s office more efficient and profitable.”
There are even options for the advisor who uses a more complex strategy for their clients. According to Jeff Schlegel in Who’s Your Market?,
“BrokersXpress is an independent broker-dealer that’s a wholly-owned subsidiary of OptionsXpress, an online stock, options and futures brokerage service…The company has a self-designed, Web-based platform that lets people trade stocks, options and futures on one account.”
This option is very desirable for particular advisors who want to manage money themselves.
There are so many options now more than ever that will cater to the specific needs of advisors. Broker-dealers need to continue to market themselves in unique ways to attract and retain advisors.