3 very important reasons why the finance industry should use social media

Social media is everywhere, but is it right for the financial industry? Many companies in more ‘traditional’ industries (like finance) see social media as new age and perhaps haven’t given much thought to including it as part of their marketing communications. The fact is that social media has become imperative to all types of business and has become a new, if not the predominant, medium in some markers for engaging and reaching customers.

In the finance game it’s all about numbers and ROI – so why would you consider adding social media to your marketing repertoire? Besides the fact that not having a presence these days means you aren’t really in the game at all, below are a few benefits for using social media in the financial industry.

1. Customer service
Being able to respond to customer complaints or issues instantly is what sets you apart from competitors and social media is one way that will allow you to do that. Besides being a great place for communicating with your clients you can use it to answer questions, resolve issues, and get feedback.

It can also be used as a valuable tool within your organization allowing different departments to be able to see what is happening across the company. Implementing social business into your company approach is a great way for your employees to stay connected and improve communication internally as well as externally.

Using ORM (online reputation management) tools also allow you to listen to what being said about your brand on multiple platforms online. This enables you to then join in the conversation and take action where needed, or even prevent issues from escalating.

Used effectively, social media as a customer service tool can add value to your customers by allowing them to engage with you in ways that are convenient and accessible no matter where they are.

2. Education
Social media can be used to provide training, tips, and techniques for both broad themes as well as niche markets. By educating your customers on various elements or topics within the industry they will gain a better understanding of what your business does and what you can offer.

If they are already knowledgeable in this space then you can add to that knowledge by expanding on more detailed areas or inviting them to share their knowledge with others. Using social media to stimulate conversation and participation among clients, colleagues and other business stake holders is a good way to establish fruitful discussions and forums that are not only interesting but add value.

3. Thought leadership
You can use your social platforms to show customers that you are not just a follower of trends, but a leader in your industry. Using social media you can create content providing information or explanations on various topics that your customers are interested in. You can also create content around new ideas that might shift or shake the industry as well as give your company’s opinion on activities or developments in the industry.

Provide constant information on an array of topics that your audience would be interested in. This way you can establish your brand as the ‘go to’ source among industry professionals.

By doing this you are helping your audience feel empowered and knowledgeable around certain topics which not only aids in establishing your company as an authority but as a thought leader in the industry.

The bottom line

Anyone in finance always wants to know the bottom line. The great thing about social media is that it allows you to constantly track and monitor all your activity.

Through constant monitoring and analysis you are then able to gauge what is working, what isn’t and where you need to make changes. You can measure your ROI, how effective your social media activity has been, even down to how well the person managing your social media if performing. Something anyone dealing with numbers loves to hear!