There are many start-ups that chose to be Internet-only companies. Some companies that were successful in establishing their online brand have become household names, (i.e., Match.com, E-LOAN, and Lending Tree) even though they do not have physical, brick-and-mortar locations. Lending Tree is a good example of quick to market and building a strong brand with the slogan “When banks compete, you winâ€. The brand perfectly empowers the consumer and puts them in control over the lending process. The consumer’s perception of having the control over the financing decision is very appealing to a large audience of new homebuyers and refinancers (Silverstein, 2008).
I do not think that Lending Tree would have been as successful in the crowded lending market as a physical location. The real edge they provided to consumers was convenience. The ease of access to multiple institutions was critical to their online success.
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