The debate about whether technology will disrupt the middle market is largely over. The most important question now is how quickly the market can move from profit and testing to reliable, effective use.
Technology is constantly changing the way retailers work, from mobile and email, to websites, aggregator partnerships and workflow automation. What feels different today is the pace of change, and the fact that new technologies are increasingly interpretable: they can understand context, create actions and, in many cases, be used without the necessary technology.
To understand how brokers are responding to this next phase of technology adoption, we recently conducted our Broker Technology Survey, which received responses from more than 800 brokers across the middle market. That scale gives us a strong evidence base to understand not only when salespeople see an opportunity, but where they need more confidence, support and effective guidance.
It is in that shipping phase that we see a clear gap in the rest of the consumer market. In this survey, 67% of consumers said they have low confidence in using AI in their business. Many want to see real, proven and safe examples of how new technologies can be used in a way that supports the high standards of compliance expected in the real estate sector.
That is a fair position. Consumers need to be confident that any technology they use supports strong, predictable and compliant customer outcomes, especially where it informs processes that sit alongside advice.
That’s why we focus on an effective support strategy for our intermediary partners. With 98.5% of respondents telling us they want more help with training and tools for emerging technologies, our role is to help turn interest into informed action. That support will include webinars, in-person events and direct communication with our business development management teams, who continue to play a key role in helping brokers understand what technology can mean for their individual businesses.
At a broad network, club and firm level, we are already seeing strong results from technology adopters using digital tools to create a better customer experience. We also need to be aware of how customers are using AI in their wider lives. For many, AI is quick to adapt, with new and more advanced models creating greater levels of familiarity and trust. Even if those expectations are not fully realized in debt, it is important that we understand where customer behavior is heading and what that may mean for the mid-term journey.
Our Vendor Technology Survey also highlights where there are opportunities for strong collaboration across the technology ecosystem. For example, 34% of consumers go directly to lender websites to check terms. That suggests there is a significant opportunity, from an industry perspective, to simplify and standardize the way terms are presented, distributed and trusted across the market.
Another area charged with new technology is customer relationship management. One in five retailers now use a proprietary customer management system, and many of these options have emerged in recent months. AI tools help accelerate the development of these systems, including solutions developed by retailers themselves to meet the specific needs of their businesses.
That creativity and focus on problem solving is why we’ve renewed this year’s Dragons Challenge. It gives both established and emerging technology providers in the mortgage space an opportunity to identify a real market problem and pitch their solutions. It’s a personal highlight for me, because it allows us to work closely with innovative businesses that help support a healthy, competitive and growing consulting industry.
The industry has no shortage of technology. Consumers now have access to some great tools. The key questions are very practical: where are those tools, how can they support my business, and what does auditing, trust and governance look like around them?
Our focus is helping marketers answer those questions with confidence, so they can use technology safely and effectively, reap the benefits of efficiency, reach new customers and help define the next generation of the middle market.
Frances Cassidy, head of strategic partnerships and technology at Lloyds Banking Group
