A new study has revealed the majors’ share of the broker channel has dropped to a five-year low.
The report, from Market Intelligence Strategy Centre (MISC) found the percentage had dropped from
64% in Q2 2011 to 59.8% in Q2 2012, which is the lowest number since 2007.
A spokesperson for MISC told Australian Broker Online the results were not surprising given the jump in popularity of regional banks.
“To a certain extent, regional banks have grown share. This could be to do with the less aggressive nature of the major banks’ activity,” he said.
“Regionals and second-tiers are discounting…The RBA
cuts were not passed on.”
The report claimed a ‘major structural change in the broker originated market’ was underway, although the popularity of the majors varied greatly from state-to-state.
There was a modest increase in broker usage of the majors in WA and South Australia, with a 2.5% and an 8.3% growth, respectively.