The changing face of Australia’s financial services and those using them has meant the role of the financial planner is greater than ever. As a result if the sale pitches are to be believed consumers will use the services of a planner when the need for advice arises.
The changing face of Australia’s financial services and those using them has meant the role of the financial planner is greater than ever. As a result if the sale pitches are to be believed consumers will use the services of a planner when the need for advice arises.
However with this growth and change in the industry the ability to keep track of the shifts becomes difficult and planners need to find reliable sources for informa-tion also.
For some time the role of Business Development Managers (BDMs) has been to provide this information and the old joke about BDM also standing for Brochure Delivery Men is well worn and still reflects part of the role.
Laughlin Executives consultant Simone Mears says BDMs are still sales people but their role has expanded.
“A BDM has to sell themselves, their company and service if they wish to avoid planners moving to another dealer group.”
“The planner is also a salesperson who also sells the product onwards so anything they want or need is the responsibility of the BDM,” Mears says.
Supplying a large degree of a planner’s information means the sales role of a BDM must also possess a strong technical element with communication skills according to Financial Recruiting Group managing director Judith Beck.
“Planners won’t allow anyone to come in to their practice and pass out information. There must be a value add for the planner and any BDM will need to have strong product knowledge and technical skills.”
“They are faced with having to answer planner’s question about 95 per cent of the time so the need for background knowledge is undeniable,” Beck says.
These information and communication skills are the result of the career path most BDMs take to reach their current roles according to Mears. Most begin their career in the finance industry with a tertiary qualification in business, marketing or com-munication before moving into customer service, at a large organisation, for finan-cial planners.
Beck says some come from planning backgrounds also before moving into a junior BDM role and finally into a senior position and realising salaries in the $90,000 to $150,000 range.
“A BDM will typically have six to seven years in financial services at least and some have worked elsewhere in planner support or come across from areas like ac-counting but it is a very up front role.”
“It is indicative of the natural progression of those employed in the role and after a few years most tend to move on to state or regional managerial positions,” Beck says.
Demand for the skills of BDMs will continue according to Mears as the industry continues to grow, driven by changes to the financial environment.
“There is that expectation of someone supplying technical skills in the planner and BDM relationship and ongoing legislation changes will increase both roles in that relationship.”
“The BDM will continue to be part cold caller and part account and relationship manager but while still linked to planners, with the changes, the short term role of the BDM is secure,” Mears says.
Most university graduates are keen on gaining their first job and also doing some travel. Credit Suisse business development manager Clayton Copplestone says those working in the financial services industry could do worse than heading for a junior position in the business development hierachy.
“The biggest challenge in the job is the level of travel and it does attract a number of younger people. Much is it is plain legwork and wearing out shoe leather, and most often also in regional areas,” Copplestone says.
While this doesn’t sound appealing Copplestone says those with the skills will move on and end up in the financial centres and cities dealing with a small core of clients but there is an emphasis on skills.
“Personality and communication skills are obvious and some of the technical areas are just a matter of time but there is a real need to understand the mechanics of money.”
“It is also important to know your clients and know the issues facing those clients so better responses can be given,” he says.
Copplestone began his career while still at university with part time share broking work before moving into the money markets after graduation.
After moving into sales in his native New Zealand Copplestone came to Australia heading up a sales office for Equity Link and Tyndall’s retail sales before moving across to Credit Suisse.
This background has supplied him with an ability he says to see the wide and closer perspective.
“I have a pretty sound knowledge of equities as well as macro economics and can discuss stocks and trends while also taking a look at market movements from a macro view.
However Copplestone says the most important attitude is dedication and being able to relate to clients.
“There is a need have some personality and show we are not geeks. Also to be te-nacious enough to keep on top of an issue and to understand the implications on products so we can give foresight and advice to clients,” he says.
“It’s probably an ego thing but fortunately I enjoy talking with planners and to hear my own voice.”
