The Social Media Effect on Banks and Financial Institutions

Banks and financial institutions have felt the social media effect in a big way. With the advent of social media, the banking and finance industry has seen a sea change in the way it conducts business. From being a conservative industry, it has changed into social media backed enterprise. Today because of the critical business benefits that it offers, banks and financial institutions have made social media an inevitable part of their marketing strategy.

Take a look at how social media has transformed banks and financial institutions in India and around the world.

Citi Bank’s official Twitter page for Customer Service

Yes Bank promoting its Money Monitor on Facebook

HSBC’s YouTube Channel. Note the different sections for advertising, sponsorship and ideas exchange.

Aviva India launched its Customer Centre on Facebook on May 1, 2013.

HDFC Bank’s Pinterest page

What next?

With growing data streams both structured and unstructured, increasing customers’ expectations and their seeking never like before engagement, the need of the hour for banks and financial institutions is to leverage social media for gathering actionable insights to make informed decisions. BFSIs must explore social media analytics to tap greater business intelligence.

 Using social media analytics tools, banks and financial institutions can take their social engagement to the next level; understand their customers’ exact needs and service/product/brand affinities to drive customer-driven product innovation. Social media analytics tools also aid and simplify online brand reputation and market research

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Put simply, banks and financial institutions can use social media analytics tools to not just ENGAGE but also to LISTEN, MANAGE AND MONITOR.

Have cases of social media transforming banks or financial institutions in your area? Please share with me. How do you think social media analytics tools can benefit BFSIs?  Send in your comments I’d love to hear from you.