Powered by MOMENTUM MEDIA
the adviser logo
Broker

Banker reveals what really drives the broker market

by James Mitchell4 minute read
Lisa Claes

It’s not a complex mortgage market that has borrowers rushing to see their broker, according to the executive director of a non-major bank.

The third-party channel has largely benefited from the regulatory changes of 2015, which saw differentiated pricing introduced by many lenders and a number of policy changes announced. While many believed this complexity caused borrowers to seek advice from a broker, ING Direct’s executive director of customer delivery Lisa Claes is not one of them.

“One thing we do know is that complexity is increasingly not a determination of channel preference,” Ms Claes told The Adviser.

“Recently there was a view that if something in or outside financial services was complex, it required a face-to-face interaction or touch point,” she said. “That is no longer the case.

Advertisement
Advertisement

“Complexity is no longer driving the distinction. It’s the customer’s desire or need for personalisation that is driving the channel of choice, if you like.”

Ms Claes said that customers don’t think about ‘channels’ when they approach an interaction with a financial services provider.

“What they are looking for is transparency, personalisation, value and the ability of the provider to use the data and the information the customer has provided them intelligently and predictively,” she said.

“This puts an onus on the broking industry, which is a critical part of the financial services industry, to adopt or strengthen those aspects of their current service propositions. Brokers are already strong in many of those areas, such as value and personalisation.”

At a time when online channels and new digital players are entering the mortgage market, Ms Claes believes mortgage brokers are well placed to use customer data to provide a more personalised service.

“There is an expectation that you are using the data given to you under the umbrella of a trusted relationship for the purpose of helping that customer get ahead in their financial journey,” she said.

“Gone are the days when there was a high sensitivity around using data for anything but the binary one-transaction purpose. There is now an expectation and loyalty and advocacy if you intelligently use the data a customer has given you to further that customer’s financial needs.

“You need to be smart about that. You need to use data to retain, maintain and attain your customer.”

[Related: Broker market share set to skyrocket]

lisa claes  x

James Mitchell

James Mitchell

AUTHOR

James Mitchell has over eight years’ experience as a financial reporter and is the editor of Wealth and Wellness at Momentum Media.

JOIN THE DISCUSSION

You need to be a member to post comments. Register for free today

MORE FROM THE ADVISER

PhilipLowe mb

RBA attempts to curb runaway inflation

On Tuesday (5 July) the Reserve Bank of Australia (RBA) announced at its monetary policy meeting it will increase the...

READ MORE
flood qld suburbs ta

Home loan support offered to NSW flood victims

Widespread persistent heavy rain over large swathes of NSW over the weekend and into Monday (4 July) has caused major...

READ MORE
Dr Jane Rennie CPA

Accountants to decline ‘capacity to repay’ requests

The leaders of CPA Australia, the Institute of Public Accountants (IPA), and the Chartered Accountants Australia and...

READ MORE
magazine
Read the latest issue of The Adviser magazine!
The Adviser is the number one magazine for Australia's finance and mortgage brokers. The publications delivers news, analysis, business intelligence, sales and marketing strategies, research and key target reports to an audience of professional mortgage and finance brokers
Read more