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The Ridiculous Nature of Profit Sharing With a Marketing Company

The Ridiculous Nature of Profit Sharing With a Marketing Company

We've made our position on unstructured lead generation and pay-per-lead services known in the past: it's our core belief that any business should have the integrated marketing capacity to generate their own business as it's required. This article touches on why any kind of profit-share or commission split with a marketing company is a reckless endeavour, and why any marketing company introducing this model is taking advantage of your efforts and expertise.

We know that Yabber Tag: yabber provides a far better customer experience than the pay-per-lead crowd, and we know our Facebook programs are more far effective than the inferior services peddled to the market. Yabber delivers high-level and enterprise-level functionality to a business via a fully integrated and stacked one-click system that provides holistic marketing and superior lead-generation capabilities. A self-hosted website experience and a fully-integrated marketing journey delivers far more leads for less (so, a far better ROI), and the continued deliverance of business isn't predicated upon an ongoing budget.

The single most essential component of your integrated and fully conditional marketing funnel journey is your website, and it is for this reason we provide a mortgage broker website to our clients that is designed to convert, and it is designed to fully support your organic and promoted campaigns. You cannot have a high-performing marketing funnel unless you have a website to support your promoted efforts, and you certainly won't enjoy an integrated experience if your marketing representation recklessly led you astray with services such as Click Funnels or High Level - your landing pages should always be integrated with your conditional funnel programs.

Far too often we'll see a business that purports to provide a marketing service introduce a model into a business when no support whatsoever is built into your website, or no integration is provided with your website funnel to support your primary marketing funnel. Even more negligent is when we see marketing agencies diminishing the value of your website or relationship-based programs in order to assign value to their poor-performing Facebook program. Any marketing company that tells you that you don't need a website in order to use their lead-generation services is a staple of absolute mediocrity, and in our opinion the advice represents clear professional negligence.

Profit Sharing With a Marketing Company

There's a new and very ugly model making its way (back) into the market: profit-sharing with a marketing company. A marketing company will deliver business and simply share in the commission made by those that do the hard yards by carrying an opportunity though to a conversion. These unscrupulous marketing businesses normally promote the service as 'risk-free' because "we do all the work", when in actuality it's a very high risk model since these companies are not actually introducing assets into your business that'll continue to deliver value to your operation (in fact, they're providing a service my my 7-year-old daughter can perform more effectively). The service is one predicated on taking advantage of the general perception or illusion that lead generation is a difficult endeavour... when it is not.

There's no such thing as "inheriting all the risk" when there's little to no risk to start with. What the model does do is introduce worse-practice and technical debt into your operation, and you'll share a commission with somebody introducing a bottom-of-the-barrel marketing model to your operation when higher quality leads could have been generated by you for a tiny fraction of the cost. What results from this model is an extremely high-priced and grossly inefficient way of generating business.

The Industry Challenge: We've had an industry challenge running for well over a year. The idea is that we'll go head-to-head with any agency that provides a service to the mortgage industry and simply triple their leads. To make the competition fair fairer they'll have 2 hours while we'll give my 7-year-old daughter 20-minutes. In a fit of unrestrained anger we even invited one business via one of his ads (before we were promptly banned). We also have an ongoing rescue package available that is designed to introduce high-performing best-practice into a business that was led astray via poor solutions.
Platinum Program: We've had a Platinum program in operation for around five years. The objective is simply to deliver $150-million into a broker business. We'll be introducing our Opus program very shortly which is an abbreviated Platinum program, with our team managing your fully-owned digital assets. The tools used to build your business should belong to you.

There's a good reason we don't engage with profit-share arrangements: they're grossly inefficient from a business perspective, and they're often non-compliant in structure and execution (with the originating business usually bulk-sourcing traffic, recycling FB pixels, and introducing ridiculous quizzes into your funnel designed to 'qualify'... or erroneously disqualify). Instead, we provide simple systems designed to turn your entire operation into one that supports its own lead generation and marketing efforts.

We introduce digital marketing and social media systems into your operation that provide far better results than any competing service offered to the market, and we do so for a fraction of the cost. More important is that what we introduce to your business is yours forever and will continue to deliver business whether you're engaged with paid promotion or not.

The Opus Program

In response to the collective industry consciousness - or in dealing with the low standard the industry has set for itself - we're on the cusp of releasing the Opus Program. Opus will do what no other program introduced to the industry has ever done in the past: offer a fully-integrated and managed experience for a flat monthly fee.

Our new Opus service will include a website, social media management, advertising management, RBA communication, newsletters, other digital systems, and we'll help manage your settlement workload and post settlement follow-up - all fully managed by Belief in a totally compliant manner. Further, we'll introduce a human element into the equation where early broker support is provided in the care of your opportunity pipeline. Of course, the returns will be infinitely higher than any product ever made available to the industry.

The catch? Unlike our Platinum service the Opus program will not include management of our proprietary high-performing relationship programs.

Conclusion

Best Interest Duty is a mantra that we'd like the marketing industry to subscribe. If this overarching obligation were to be applied by those that provide a marketing service, or there was any measure of industry oversight that was in any way consistent with the same legislated requirements imposed upon brokers, we'd see a lot of the charlatans purged from the industry or end up in prison (certainly, none would promote any kind of profit-share arrangement). Best Interest Duty is a core component of our own Statement of Values, and it's one that we'd like to see more broadly adhered to in the industry. Sharing in the profits of small businesses for the 'simple' task of lead generation is something we find ridiculously offensive, and any marketing agency that chooses to take advantage of a business in this respect should be ashamed.

Every company should have the necessary digital resources to generate their own business and holistically support their array of marketing programs. Paying for leads, or sharing commission, is something designed to diminish the value of your business and profit off your hard work. Lead generation is easy; outsourcing your business vitals just makes it hard.

We've priced Opus to be consistent with what brokers are paying for popular pay-per-lead services.

Featured Image: The Bank of New South Wales (BNSW) building on the corner of Brisbane and St John Streets, Launceston in Tasmania in 1976. The Bank of New South Wales. also known commonly as The Wales, was the first bank in Australia, being established in Sydney in 1817. The Bank of NSW merged with many other financial institutions, finally merging with the Commercial Bank of Australia in 1982 and being renamed to the Westpac Banking Corporation on 4 May that year. [ View Image ]

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