Mark Woolnough of ING Direct explains innovations he's seeing in global mortgage markets and how different countries are striving to improve processes.
Video transcripts below:
Reporter: The Australian mortgage market is a shifting landscape as we know, but what is happening globally? Mark Woolnough of ING explains the innovations he is seeing in the global mortgage market.
Mark Woolnough, Head of Broker Distribution, ING Direct
Mark Woolnough: I think the whole point about innovation is, that it’s trying to make the complicated more simple and often that leads to how do you do so in a very technical and in an environment where there is technology at the fore. But if you think of innovation in a very simplistic sense it’s around meeting customer needs. So the greatest ways to innovate is to actually understand what the consumer wants, work with them to deliver on those solutions, use them and allow them their space in terms of self-direction, self control which is becoming more and more important to them in today's day and age, but to do so in a very elegant way that delivers through their needs, almost preempts where their need is using their data through digital means and then doing so in an environment which is very seamless and in a sense that delights.
Reporter: Woolnough cites ING D’s partnership with Interhoop in Germany, a portal of 300 lenders that both brokers and customers can access.
Mark Woolnough: So there is over 2,000 providers in Germany where you can avail of a mortgage so having 300 is a pretty significant subset of that. What the innovation is actually is a portal designed where the customer or the broker uses it as a CRM, uses it as a decisioning tool, integrated into one is 300 different lender products decisioning tools. So they're actually bringing in transparency and they are mixing that with diversity just to give the customer and the broker a single point and a single solution. Now the benefit is you put your application in and based on the data that they share with us, they have an incredible and extraordinary high success rate in terms of getting the answer and getting the solution back.
Reporter: He also cites innovation happening in the Netherlands that strives for a more harmonious process.
Mark Woolnough: The way they are to take that to the next step is to make sure that the customer and the broker and their solutions actually work together and this is another example that we are seeing in the Netherlands whereby changes to the way the broker and consumer and lender model have worked they're actually bringing the effort of the customer and the broker together. Now I will give you another example. What you are now seeing is the broker and the customer meeting very early on and deciding how they are going to work with one another in order for them to take a mortgage to buy a home. What does that mean? It means that they're agreeing on which steps of the process they are going to own and they are going to take accountability for. So they are sharing that cost and sharing that value and I think it's quite unique that in a world today where they say that customers need banking they don't need banks and there is this continued talk in innovation, continued of being very inadequate in digital and technology to help consumers, you’ve got the power of the consumer, the power of the third party and the lender all working together to make sure that the direction going forward is one that all three will actually work harmoniously with one another rather than competing and having that tension across the various distribution channels.