Social media recommendations for financial services [trends guide]

Our financial services social strategy recommendations and best-practice case studies put you in the driver’s seat to accelerate your financial services digital marketing ROI by 2024

In recent years, financial services companies have embraced social selling programs and employee advocacy. Those who integrate the data generated by their financial services social media strategies into a single source of customer truth are prospering.

Financial organizations are effectively engaging with digital customers, distinguishing themselves with real-time communication via social channels. There has been a clear shift from pre-review to post-review, with the industry viewing social media posts as interactive communications rather than static advertising.

Companies recognize that social media provides a wealth of value and enables differentiation through human communication. They create value by integrating this with their CRM systems, tracking ROI and ensuring compliance. To increase this value, organizations expect solutions to help them track ROI, integrate with CRM solutions, provide compliance, and provide best-in-class publishing tools.

Perceptions of social media for financial services

Social media is sometimes seen as less relevant in financial services compared to other channels such as search, display and aggregators. There are many objections to investing more in social media in financial services. However, we will see from the examples in this section that creative options are possible within the constraints of compliance.

Customer-oriented social media trends

With the financial sector having access to detailed customer data, we are seeing an increase in social advertising by the financial sector, with Lookalike Audience models in Facebook advertising becoming increasingly popular. This means segmenting the audience into groups of people who ‘look like’ their current customers and website visitors. Mobile video ads on YouTube and retargeting LinkedIn prospects on Instagram to reach the same audience at a lower cost are also good ways to connect with potential customers.

Additionally, Smart Insights provides financial services marketing strategy for all aspects of the marketing mix, plus strategy and planning for marketing leaders. That’s why you can download our free RACE digital marketing plan template to inform your integrated strategy.

Social media channels for financial services

Below, we’ve put together our recommendations for social media strategies for financial services marketers, based on current industry trends and innovations. Social media is a big part of your business’s online presence. That’s why we’ve broken this down by channel.

Meta Facebook and Instagram

Meta drives strong organic engagement, especially with Gen Z and millennial customers, and attracts new workforce talent. FS brands are falling behind and have not yet widely adopted the visual platform. Meta’s advertising capabilities are easy to manage as mobile video engagement continues to increase, as are its extensive advertising capabilities, including shoppable content.

Online lender SoFi has successfully used mobile ad campaigns on Instagram and Facebook to create a 39% increase in loan applications. The company’s Instagram posts show how the company resonates with customers.

LinkedIn

LinkedIn remains the central social channel for financial services providers, now reaching more than 590 million professionals. 98% of the Forbes Fortune 500 list use LinkedIn, with amplifying content and connecting with potential customers remaining the top reasons for use.

FinTech companies, which have typically invested in Facebook as their primary channel, are investing more in LinkedIn, with FS organizations increasingly using their CEO or senior leadership figures to amplify their content through personal insights and thought leadership articles, such as Mastercard APAC’s 130% follower growth.

YouTube

This channel is often used by financial services companies to extend the reach of TV advertising campaigns, curate playlists of content on personal finance and investing topics, and target high-value prospects with pre-roll ads.

YouTube has seen increased adoption across the Fortune 500, with 75% of companies having active accounts – up 67% year over year. According to ComScore, there was a 26% year-over-year increase in YouTube mobile viewers aged 55-64 in 2018, with the channel reaching 95% of monthly online adults aged 55+.

Snapchat

Very few financial services companies control Snapchat. The geotargeting tools, self-service advertising tools and location-based features could be used by the industry as a way to generate leads locally, for example by local mortgage brokers to encourage consultation with first-time homebuyers. This, as well as searchable stories, location-based context maps and snap maps, could benefit the sector.

Tweet

Twitter is often used by financial services companies to amplify content, monitor brand mentions and customer complaints, and pinpoint buyer-ready signals. Every Fortune 500 insurance company, commercial bank, and financial data service company has a presence on Twitter.

Consumer privacy laws: GDPR and ePrivacy

You will know that the General Data Protection Regulation (GDPR) (Regulation (EU) 2016/679) came into force in all 28 countries in Europe in 2018. It is a regulation agreed by the European Union that aims to ensure transparency and effectiveness of data protection activities. The legislation emphasizes the importance of obtaining consent from new and existing customers who subscribe to mailing lists and have their data stored in CRM and other systems.

Influencer marketing in financial services

There are a wide variety of different influencers you can engage with, so focus your involvement on certain types of people who you think will best deliver your message to your target audience. According to Onalytica There are four main measures of influence that you need to analyze to find the most important influencers in your market.

While these elements are important, you need to consider the message they will send in the broader context of your audience. For example, the controversial e-commerce tools that enable ‘Buy Now, Pay Later’ are expected to grow at a compound annual growth rate of 26.1% between 2023 and 2030.

Enabling BNPL solutions provides sellers with benefits such as higher CR%, AOV, improved brand experience and direct cash flow for customers. Some disadvantages include higher merchant fees and integration/accreditation challenges. In addition, BNPL is often associated with longer-term debt problems for customers.

Keep your financial services social media strategy consistent

Appreciating the strengths of each major social media platform helps financial marketers create a targeted and manageable social media strategy. A good example is TSB, which has used social channels with a consistent tone and frequent posts to promote its brand position.

Smart Insights has a wealth of marketing training and tools designed for channel marketers to upskill and develop their knowledge, as well as strategy and planning resources for those who manage them.

Because all of our Smart Insights marketing solutions are integrated into our RACE Framework, you can confidently track and customize the paths you know will deliver the best results, integrated across multiple channels.

Social media campaigns are most effective when each platform consistently works together under a common theme, with unique messages and content types customized for each channel. Join Smart Insights and get instant access to our free RACE digital marketing plan template.