Customer Experience (CX) – The Secret Sauce of Digital Transformation
The past few years have seen a tumultuous change in the mortgage industry as many servicers struggle to keep pace with stringent regulatory requirements, increasing per-loan servicing costs, operational challenges, fragmented view of the customer and rising consumer expectations. But what if this reaction could be less about just keeping up with the changes and more about a paradigm shift to a focus on what the borrower wants and needs? Recently, when Fannie Mae surveyed mortgage executives, one of the notable points of the survey was the use of next-gen technologies to improve the consumer experience across the loan life-cycle. However, most lenders agreed that there are many significant barriers including cost, implementation, and integration issues that are holding them back. 38% agreed high costs is the biggest challenge 23% said implementation of next-gen technologies is too difficult 20% found integration as a complex issue Two-thirds of lenders have not used next-gen technology vendors at all So, what are the ingredients of the ‘Secret Sauce’? Well! It’s the Customer Experience, which is a Journey of Expectations Personalization is more important than ever Customers expect personalized services, and it can be difficult for consumer lending organizations to deliver. Not because they do not have the desire, but because of legacy systems and regulations that restrict them to the traditions of the past. These constraints hold them back, even while they recognize that location and products alone are not enough to attract and keep empowered customers. A Good CX Means a Loyal Customer The customer is equipped with loads of information before even making the first contact; they are not that loyal as they look for the best deal and are likely to maintain a relationship with more than one financial institution. A recent report from Deloitte (Reshaping the retail banking experience for the customer of tomorrow) reveals the importance of positive customer experience: 90% of customers trust a recommendation entirely; they are seven times more likely to trust a reference than an advertisement. If a customer encounters poor customer service, he or she may never come back and will advise their friends as well to do the same. Transform Destination into a New Beginning Of course, integration of multiple systems is complex and one of the major challenges faced by lenders. But that should not impact the experience when it comes to quickly processing a loan. Think if your customers get an even better digital experience towards ending of processing cycle, the chances are bright when they are looking for next loan. The opportunity for change: How many loans originated this year? How much do you want to grow loan revenue? How many loans are processing on average? Do you want to raise this number? How long does it take to process a loan? Average wait time and processing cost? Are you expected to reduce these costs? If yes, then by how much? The answers to these questions can help you refine your vision for the future of your lending activities, and nurture discussions with your solution partner helping to pave the way to measurable improvement. LOOKING AHEAD The digital transformation underway in the mortgage industry is undeniably not a fad. Digital solutions address numerous industry challenges. The technology and process transformation will provide a single view of the customer and personalize the customer experience, spur innovation within services and products offerings, increase compliance and cut down origination costs. Lending companies and mortgage servicers must embrace digital solutions to stay relevant. Migrating from a legacy mortgage model to a digital-solutions-based model will require dedicated organizational alignment. Remember, digital is not just a box to be checked or leveraged only for pointed solutions to specific problems. Are you off late having a train of thought? How to modernize, measure and manage a mission-critical runtime environment and partner ecosystem that is high-performing, robust, efficient and responsive to change? Tavant’s AI-powered digital lending solution can help you: Reduce application processing time Reduce the cost of the overall process Better control over the process and reduced error rates High visibility on loan application status across the organization Increase customer satisfaction and business, and enhance employees’ efficiency Do you wish to explore further? E-mail us at [email protected] to schedule a meeting. Innovative Lenders have altered their way of doing business to not only roll with the industry changes but also thrive in – and even help drive – the transformation. We will discuss this in our next blog.
2018 Women of Influence: Geeta Mishra, Enterprise Solutions Architect at Tavant
SANTA CLARA, Calif., August 1, 2018 Tavant, a leading digital products and solutions company for the consumer lending industry, today announced that Geeta Mishra has been selected as one of the most influential women in the housing industry. Geeta Mishra is one of the 85 women recognized by HousingWire for demonstrating leadership that inspires people in her company, community, and industry at large. As the director of consumer lending at Tavant Technologies, Geeta possesses an in-depth mortgage functional and technology expertise and a vision of the future that is transforming the landscape of mortgage technology. “Geeta has demonstrated immense technical expertise in building powerful platforms while selecting and leveraging tools for front-end development, B2B Integrations, Open API gateways, Rules & Workflow Engines, Distributed Processing of Workload, Application Security and more,” said Hassan Rashid, CRO, Tavant. “With her passion for innovation and incredible determination, she has created architecture blueprints of Tavant VΞLOX product suite – FinXperience and FinConnect. These solutions have been transformative for the mortgage industry and have helped in shaping a brighter, inclusive future for Tavant in the industry,” Rashid substantiated. About HousingWire: HousingWire is the most influential source of news and information for the U.S. mortgage and housing markets. Built on a foundation of independent and original journalism, HousingWire reaches over 40,000 newsletter subscribers daily and over 4 million unique visitors each year. Our audience of mortgage, real estate, financial services and fintech professionals rely on us to Move Markets Forward. Visit www.HousingWire.com or www.solutions.housingwire.com to learn more. Find Tavant Technologies on LinkedIn and Twitter.