Social media is no longer just a platform on which one shares, likes, or comments live, in real-time, with the click of a button. Platforms such as Facebook and Twitter are now providing services to users either directly, such as transferring money to a friend or ordering an Uber via Facebook messenger, or through partners like Twitter partnering with the NFL to provide live streaming of football games. As these platforms continue to grow and provide higher levels of use, engagement and penetration, financial institutions have taken notice of the endless opportunities that social media can bring to their business.
The financial services industry arrived late to the world of social media due to strict regulations of electronic communications and the fact that firms are required to archive digital communications posts on social media. But, since arriving on the scene, many institutions, such as banks, wealth advisors, investment firms and brokerage firms, have been increasing their usage by leaps and bounds.
Below are a few examples of what some prominent financial services firms are tweeting, posting, and sharing on their social media platforms:
1. Chase: Philanthropic causes and community service
2. Vanguard: Tips on investing and retirement
3. IShares: Educational blurbs with infographics to show technical information in a visually appealing, reader friendly manner
4. Schwab: As of now, the only brokerage firm that uses Twitter as a customer service tool to interact with its clients quickly and digitally
Social media isn’t just about liking your friend’s new car or live tweeting your experience at the Beyoncé concert. It encompasses real-time information in a user friendly way. The takeaway is that social media is here to stay and if you’re not on it….well, you better get started.