| Traditionally the financial sector leads technology | | | | shying away from the openness and |
| innovation and used to invest huge sums in | | | | accountability of social media |
| systems and software. Looking at the | | | | marketing. ComplianceOnline is a regulatory |
| engagement rate of social media and the adoption | | | | compliance solutions provider operating in the B2B |
| of multichannel approaches it seems this industry | | | | arena. Operating in a highly fragmented and |
| is not yet embracing social media marketing (see | | | | hyper-competitive marketplace the website has |
| graphic below) - was it hit too hard by the credit | | | | more than 2 million unique visitors per year and |
| crunch? Obviously there’s room to improve | | | | 500,000 registered users. By actively engaging |
| when it comes to engaging socially with | | | | users in a two-way dialogue the company behind |
| customers or community building since many | | | | the community MetricStream uses social media to |
| participants in that market are perceived rather | | | | ultimately create awareness and generate qualified |
| monolithic and imposing as opposed to caring and | | | | leads which make up 30% of their total sales |
| engaging. Caused by the economic crisis in | | | | leads. |
| particular Banks also deal with trust issues which | | | | Mobile |
| probably accelerate a change towards an opening | | | | Another financial services |
| to social media in the future. | | | | company namely Nationwide Insurance provides |
| | | | a free, company-branded “Accident |
| Social media engagement by industry | | | | Toolkit” iPhone application for advising what to |
| Nevertheless there are some success stories of | | | | do after an accident. The app can call emergency |
| how regulated industries like the financial industry | | | | services, collect and exchange accident |
| can gain from social media and below are great | | | | information (even using the iPhone’s camera |
| example of sites in or about the industry from | | | | and GPS), connect with a towing service, and (for |
| the world wide web. | | | | Nationwide customers) initiate the claims process, |
| Tracking social media participation | | | | among other things. That is indeed social media. |
| For some great insights and to get an overview | | | | Crowd-sourcing and Peer-to-Peer |
| of the adoption have a look at Visible Banking. | | | | Peer-to-Peer lending makes perfectly sense |
| It’s not very pleasing on the eye but is | | | | where there are enough people needing to |
| bursting with articles, interviews and a directory | | | | borrow money and those wanting to lend. They |
| about social media initiatives of the financial | | | | are better off dealing directly with each other |
| services business. An example of its Twitter | | | | rather than using banks or other middle-men. |
| watch is here: | | | | Each, for a fee of course. Have a look to find out |
| Visible Banking Twitter Watch #15 – | | | | more about that great idea. |
| November 2009: 877 Accounts / 46 Countries / | | | | If you still have unfulfilled dreams make us of the |
| 331,351+ Followers / 9,960 Lists – Top 10s | | | | social saving approach of smartypig. Its a bit of a |
| Financial Institutions / Credit Unions / Insurance | | | | crowd-sourced social network where, if you share |
| Communities / Networks | | | | your saving goal (dreams), friends and family can |
| HSBC appears to be the most innovative player | | | | provide financial support. You can also add your |
| with its HSBC Business Network and the | | | | personalized SmartyPig widget to your Facebook |
| “Little Black Book” microsite for First | | | | or MySpace page, blog or Website. Not to |
| Direct customers to exchange recommendations. | | | | mention, you can start your own SmartyPig |
| The HSBC Business Network is an online | | | | Friends Network. Cute. |
| community for both customers and | | | | Twitter |
| non-customers, allowing businesses and | | | | Often quoted the Bank of America Twitter |
| entrepreneurs to share information with and gain | | | | account is a good example how Twitter can be |
| information from their peers. It is a good example | | | | used to help, listen and learn from customers, |
| of brands using online communities to provide a | | | | even in a sensitive environment like sharing |
| service that compliments and enhances their | | | | financial information over social media. |
| existing product portfolio. | | | | Other twitter based applications worth mentioning |
| The Little Black Book an affiliate of HSBC is a | | | | are StockTwits and AdviserTweets. More |
| community where users exchange information | | | | geared towards financial professionals rather than |
| not related to financials. But in in particular the | | | | customers, they are innovative approaches of |
| page live.firstdirect is a remarkable progression | | | | how social media can be utilised by asset |
| towards social media openness and authenticity. It | | | | managers or financial advisors. |
| monitors and visualises live customer and | | | | Not so good examples |
| non customer feelings about the brand. This is a | | | | Just two examples I came across today. These |
| brave step in a sector where balancing customer | | | | are Deutsche Bank’s and UBS’ |
| satisfaction against profitable customer | | | | facebook fanpages. I am asking myself why and |
| management has proved challenging to say the | | | | how they managed to get 1,700 users (by the |
| least. It currently says 74% of all live words are | | | | time of the writing). There must be a reason why |
| positive; hope remains that this is unfiltered | | | | they don’t put any content on their pages. Is |
| information …. | | | | it regulatory reasons? Maybe someone can shine |
| Compliance and regulatory issues are amongst the | | | | a light on this. |
| major reasons the financial services industry is | | | | |