Tuesday 05 May 2020

*UKHotViewsExtra* – designing a digital mortgage experience

Target BThe current imperative to embrace technology enabled business change within Financial Services has been felt most acutely and for longest in banking, where industry-wide transformation is already well underway. The established banks are seeing their traditional business models challenged by a wave of tech-enabled new entrants. 

Despite banking’s relative digital maturity, the mortgage market remains a laggard. The often slow, bureaucratic and outdated processes have been treated with a “digital lipstick” applied to the front-end of an archaic process. It’s in the mortgage space that Target B is looking to launch the first genuinely digital process. 

The origins of Target B

Target GroupTarget B is collaboration between service design agency Bio and business process outsourcer Target Group, with both Bio and Target Group sharing the same parent following acquisitions by Indian tech giant Tech Mahindra back in 2016 (see here and here).

Target has over 40 years domain expertise in mortgage lending and regulated financial servicing, and is a provider of business process servicing and operational transformation for over 50 major financial institutions including clients such as RBS, Barclays and Santander.

The Bio agency is a London-headquartered digital design consultancy, acting as a “change agent” taking a customer centric approach to service design and digital transformation, focused around customer journey transformation. The Bio agency specialises in front-end transformation, which fits well with Tech Mahindra’s technical capabilities and Target’s expertise in service delivery.

By bringing this blend of competencies together (domain expertise, customer journey transformation and tech delivery), Target B has the opportunity and capability to do something rather special. 

Target B’s first product to market is “The Mortgage Hub”: a fundamental rethink of a process that has remained pretty much unchanged since the 1930s, delivered as a brand new “white labelled” digital mortgage platform due to launch in mid-2020. What makes this so different to current offerings in the market is that it is the first mortgage platform to have been designed from the ground up, centrally focused on customer experience with technology as an enabler… more here.

HV PremiumUKHotViews Premium and research subscribers can read more of our analysis on Target B and The Mortgage Hub – designing a digital mortgage experience here.

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Posted by Marc Hardwick at '08:55' - Tagged: bps   mortgages   mortgageservices   designthinking