Many banks are re-evaluating their commitment to residential mortgage lending in the face of the significant investments required to meet regulatory and customer expectations. These investments would have a higher return if mortgage could have a role in establishing and deepening customer relationships.
Unfortunately, recent Oliver Wyman research indicates that mortgage is not effective as a relationship-deepening platform outside of a few niche areas. Banks should consider cross-sell tactics focused on these niches where returns justify the costs to effectively pursue attractive pockets of opportunity. In our new paper, Mortgage Cross-Sell: The Elusive Opportunity, we examine the opportunities and challenges associated with mortgage cross-sell and the implications for banks and the industry as a whole.
