Why Mortgage Brokers Fail using Facebook

The trend for mortgage brokers to market themselves on social media is still a competitive industry even if social media expands mortgage brokers to reach a larger target market.  There are many strategies to reach new clients using social media.  With a vast array of online platforms, Facebook has been utilized by many mortgage brokers for online marketing.  Below are some tips to consider when branding your mortgage company using Facebook.

  • Market Segmentation

Setting up your Facebook account with the appropriate information, customer testimonials and links to your other social networks is only half the process.  Being strategic about who you friend is important as well.  Download Facebook Social Graph.   This will help you conduct market segmentation to specifically target age, gender, city and state for potential clients.  If you have similar hobbies that you can build rapport with potential clients, social graph allows you to search for Facebook users with similar interests or hobbies.  Social graph also allows you to search for people who have liked other Mortgage business Facebook pages, which will allow you to scope out your competition and maybe non converted leads.  Best thing about Social graph is that it is FREE!

  • Referrals

When scouting out a restaurant to eat or selecting a contractor to work with, many individuals use Yelp to see what customers are rating the business as.  Same concept can be applied with Facebook by uploading your testimonials from your existing customers.  This engages the customer to make a step to contact you and hear more about your business. 

  • Facebook Advertising

If you already pay for PPC or SEO, paying for Facebook Advertising might not be a great way to help with ROI.   Understanding the type of engagement with Facebook might make your think twice before displaying ads on Facebook.  If you have an ad on Facebook and it leads the consumer to your Facebook page, the layout is not the best way to fully inform the customer about your business.  Facebook can help bring in leads on a macro scale but converting those leads is only a micro size market.  The effective way to advertize with Facebook would be to post your blogs on Facebook, or have clients check in with you when they meet with you.  This drives the potential customer to check your website and hopefully contact you for more information. 

  • Landing Pages

Delivering leads from your Facebook page can only be effective if you are driving traffic to your page.    Your Facebook page should not be your main landing page.  Rather use Facebook on multiple streams.  For example in your email signature, or at the bottom of a blog you posted or even your main website.  The layout of Facebook is limited so keeping it simple with a few action items that will captivate potential customers is important. 

  • Compliance

Make sure your Facebook page and your other social media platforms are compliant with Consumer Financial Protection Bureau. Regulators want to see upper management involved in setting policy and maintaining compliance.  Your social media needs to have a compliance risk management plan in place. And this program is no different than any other risk management program that mortgage brokers have to devise.  This plan must identify the risks in using social media, measure their effects, how to monitor them and how to control them.  The plan must state the strategic goals of the social media efforts, with detailed procedures for use and monitoring. Posts must comply with fair lending, truth-in-lending and other advertising rules, the Real Estate Settlement Procedures Act, Unfair Deceptive or Abusive Acts and Practices laws and privacy laws.

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s