5 Ways Companies in Financial Services Can Leverage Social Media
Data is Increasingly Important to Making Better Decisions and Growing Margins.
Big Data has been a hot topic for years now, and it continues to grow as more and more business decisions are made using it. Terms like metadata were seldom heard before 2010, particularly in a product or marketing department. But the digitization of commerce and the portability of of the internet have changed the game forever.
In this post, we’re going to explain a few ways people in the financial services sector can extract crucial insights from raw social media data to improve the performance of their team, and their business overall.
Let’s dive in!
1- Track What’s Being Said About You, and All That You Do
It all starts with monitoring what’s being said about your brand, which is important all year long to make sure your service offering hasn’t fallen off vis-a-vis your competition. You can track what’s being said about your services and your products to identify wins or potential challenges. But there’s still more value that comes from monitoring, think of corporate citizenship…
This month in Montreal for example, the 37th edition of the city’s Jazz Festival took place, brought to you by TD Bank — as you can see above. Hundreds of thousands of people turned up in the city streets, and all were exposed to the sponsors who helped make the event possible. How do you track the ROI from this kind of corporate sponsorship? Being a good corporate citizen may be seen by some as a requirement for companies in this industry, but financial institutions still need to decide where to invest their sponsorship dollars, and those decisions must be based on data.
In this case, tracking the festival hashtag (#FIJM) and other chatter related to the festival and the artists performing there is one way that banks and financial services companies can measure to what extent their investment is paying off.
2- Learn What the Competition is Doing
Some people might tell you that tracking all things associated with your brand is only half the job. And they’d be right. If you want to complete a SWOT analysis for example, you may want to also monitor what’s being said about your competitors, their products and customer service, the cultural events they promote and so on… this competitive intelligence can help you set realistic benchmarks for performance, and also help you identify any market gaps that could lead to a big opportunity.
3- Spot Emerging Opportunities and Market Gaps
The amount of social data being produced goes up by a factor of 10 every 18 months. Think outside the box… analysis of large amounts of social data can help you spot emerging trends and develop a product to meet demand as it arises.
Improve your customer service by reaching out directly on social media to people who have complained about your service? Upset customers love to feel valued and engaged, and connecting with them on social media to address their concerns accomplishes both.
Some even take this a step further, and engage their competitors’ unhappy customers with the promise of better service and lower prices. When done right, this can actually be an effective strategy because it makes a frustrated individual feel valued again.
4- Double Your ROI on Paid Advertising
Unlike traditional broadcast and print advertising, web based advertising can be tracked and traced down to the individual viewer. You still don’t get access to their identity, but you often get to know where they are, their gender, age and certain key preferences. However, the amount of bots and fake accounts out there drastically reduces the efficiency of the paid social channel.
That’s why Nexalogy has developed Audience Discovery, a new way to filter out bogus accounts and boost the accuracy of Twitter ads, in many cases by more than 100%.
The byproduct of this is bringing the advertiser better ROI through higher CTR and engagement rates. Imagine your ads being viewed by twice as many people as your competitors! Now that’s a real advantage.
5- Compare Social Data with Your Other KPIs
Tracking all this social data can help you see if you have more demand for certain services in various domestic markets. This in turn allows you to plan sales strategy, marketing budgets and in some cases capacity.
Financial institutions can also compare the information gleaned from social media with age and other demographics, as well as with other key metrics including revenue and cost per user in each category. Thus helping to identify the most profitable market segments for sales and marketing to target.
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