The channel needs to better compete with banks, argues one network head, and that doesn’t mean beating them on rate.
“We need to be the first choice for consumers. [That's] the most success we’re going to have in taking market share away from the banks,” Eddy Cocciollo, president of the Mortgage Centre, told MortgageBrokerNews.ca. “It’s not going to be lower rates because they can turn those types [of clients].”
Cocciollo argues that, to continue to win share from the big banks, the channel needs to be the first-choice for consumer when it comes to mortgages.
And the only way to do that is to educate the consumer.
“We can do that via our associations, via social media,” Cocciollo said. “We need to let people know we’re the experts and if you want to go to someone who sells every other product … banks have a tough go at being good at one thing and that’s what we do.”
Reaching the customer can be done through various levels; from the top via industry associations and from the ground-up, through individual broker initiatives.
But Cocciollo also argues individual broker networks can also do their own part.
“That’s one place we should all be unified, definitely, if everyone does their part to educate the consumer. I know DLC
does it via TV and radio ads and that helps the whole industry. More of that would be great, and our associations have a role,” Cocciollo said. “Every single individual broker and agent just spending time and money on multimedia; all of those little things help everybody to advance and enhance what the mortgage broker does.”
This was part of an exclusive interview with Eddy Cocciollo for CMP magazine. For the rest, be sure to check out our next issue.