Broker coach Jason Back has advised brokers to avoid equating online visibility with business success, particularly regarding social media engagement metrics. Back, in a discussion with Broker Daily director Alex Whitlock, highlighted that:
"engagement metrics such as likes, views, and followers can create a misleading perception of progress if they do not lead to commercial results."
Attention vs. Commercial Validation
Back stated that attention alone does not signify value. He explained that social media engagement often provides emotional feedback without commercial validation. While social media is effective for creating brand awareness at the top of the sales funnel, it requires further strategic steps to convert potential clients into actual business.
The discussion also addressed the risk of brokers undermining their credibility by seeking to stand out through controversial online statements. Back noted that:
"in an industry built on relationships and trust, such approaches might lead to being noticed but not chosen by clients."
Effective Social Media Strategy
Back outlined that effective social media use begins with clear positioning. Brokers need to define what they want to be known for before creating content or engaging agencies. He stated that neutral or generic content may attract attention but rarely drives conversion.
Authority is built through consistency, predictability, and a clearly articulated point of view.
Consistency in messaging, however, must be supported by proof. Back suggested that:
"trust is established by demonstrating how brokers think, make decisions, and solve complex problems, rather than solely relying on credentials or success stories."
Whitlock added that proof involves showcasing judgment, trade-offs, and reasoning, which can be more compelling than surface-level outcomes. This approach requires showcasing patterns in client interactions, decisions made, and lessons learned.
Industry Scrutiny and Guidance
The discussion occurs as financial services professionals face increased scrutiny regarding their digital platform promotions. The Mortgage & Finance Association of Australia (MFAA) recently published a guide for brokers on managing advice risks in client conversations and encouraged a review of marketing and social media practices.
The MFAA has also requested clearer, more practical guidance from the financial services regulator, ASIC, concerning its upcoming Regulatory Guide 234, which addresses advertising financial products and services. The association submitted nine recommendations to ASIC to enhance its guidance.