Mortgage Industry

LeadMetrix™ tracks consumer response to marketing programs of mortgage companies. Through the LeadMetrix™ service, Real IQ client lenders can determine if a consumer that was contacted by the company subsequently secured a mortgage, and if so, from what other lender and on what terms. LeadMetrix™ allows lenders to develop a better understanding of what happens to the consumer leads that are processed but not closed by that lender. This data has several important marketing applications:

• Competitive Analysis

  Traditionally mortgage lenders measure their market share based on metrics such as geography and loan type (refinance, purchase, home equity). LeadMetrix™ matches mortgage leads (consumers contacted by Real IQ's lender client) against actual public records data to determine the Funding Ratio™ or percentage of consumers that were contacted by the lender client and then subsequently secured a mortgage from any lender.

  The Closing Ratio experienced by the client lender is then divided by the Funding Ratio™ to determine the client's Touch Market Share™. This metric addresses the client lender's marketing and sales effectiveness. It defines the market of consumers that were contacted by one or mortgage lenders or brokers and measures the market share of Real IQ's lender client in these 'head-to-head' match-ups.

  Once a client lender understands their Touch Market Share™, Real IQ helps the client grow that market share by identifying factors that are causing them to lose the business. Objective factors related to mortgage pricing and terms can be pulled from the public records. Subjective factors related to the client's sales processes can be gathered via survey.

• Lead Source Quality Measurement

  LeadMetrix™ also provides independent 3rd party validation of mortgage lead quality. Results can be used by lenders to evaluate lead sources whether they are direct mail or telemarketing lists or leads purchased from online services such as LendingTree or LoanWeb.com. The Funding Ratio™ can be calculated for each lead source and then ranked by lead quality. This is an objective measurement of lead quality because it is independent of any given mortgage originator's sales processes, products or pricing. It is an important tool in a lender's price negotiations with marketing partners.

Processing Methodology

LeadMetrix™ starts with raw consumer data files provided by Real IQ mortgage originator clients. The input fields for each record consist only of the consumer name and address. No sensitive data such as account information or social security number is required. Lender clients can append optional fields such as Lead Source ID or Closed Loan Value to obtain more granular reporting.

All leads are run through a 3-step process by Real IQ:

• Step 1: Initial record set is run through address hygiene to correct bad addresses, append missing address elements and capture address changes, particularly for purchase leads.

• Step 2: Net record set is matched against public records databases based on both consumer name and address.

• Step 3: Results are analyzed by Real IQ consultants to develop key marketing insights and summarize all reporting elements desired by client.