According to Adviser Ratings’ analysis, business development managers (BDMs) can make or break the adviser experience, with even the top-rated platforms at risk if they are unable to deliver the level of service advisers have come to expect from their BDMs.
Based on its research, the firm concluded that advisers are “no longer content with traditional relationship management”, now demanding more collaborative and substantive services from their interactions.
When it comes to what advisers actually want, the firm said the most requested enhancement is “sharing knowledge of industry best practices”, highlighting the expectation that BMDs will offer insights on improving efficiency, regulatory compliance, technology integration and business growth strategies.
“They desire partners who comprehend their practice dynamics, client challenges and growth objectives well enough to provide meaningful guidance, not just generic support,” Adviser Ratings said.
Explaining why this has changed, the firm suggested that increasingly complex technology and even business models are likely at the heart of it as the advice profession evolves with client expectations.
With this in mind, platforms will need to ensure they are providing their BDMs with adequate education on these in-demand topics, offering a level of service that was not generally expected in the past.
“The most successful BDM interactions now involve substantive discussions about practice optimisation, market trends and strategic opportunities based on knowledge of the practice and its clients, given the data the platform has access to,” the firm said.
On top of this, advisers also suggested that the frequency of “meaningful engagement” has been lacking, noting that routine check-ins about product updates are not enough anymore.
For platforms that do deliver effective BDMs relationships, Adviser Ratings found there is a multiplier effect across platform satisfaction metrics, with stronger relationships linked to improved adviser satisfaction on platform functionality, problem solution experiences and greater confidence in technology decisions.
However, the inverse becomes true for those who fail to deliver, with the firm suggesting poor BDM execution has the ability to “undermine otherwise strong platforms”.
“The future belongs to platforms that recognise BDM relationships as growth drivers rather than cost centres, investing in capabilities that deliver strategic value and competitive differentiation in an increasingly sophisticated marketplace,” Adviser Ratings said.