Monday, 2nd November, 2009 at 16:27
Social Media is here to stay by Benedikt Köhler
Dr. Benedikt Köhler, Director Digital Strategy & Research at ethority, German Brand Affinity Specialist in the field of Social Media, explains why Social Media is no fad, but here to stay! Benedikt is one of the keynote speaker at SOMESSO Zurich09 on November 3.
Social Media is not simply a phenomenon of our time, but a fundamental change in the world of communication. More and more people use online media to seek and exchange information on all aspects of life. As a consequence consumer behaviour is fundamentally influenced by Social Media. Consumers use the internet to find recommendations and advice before making purchase decisions. But what are the implications for the finance sector?
The financial crisis has lead to an enormous loss of trust in banks and the finance sector in general. Consumers no longer rely on the information offered by advisers. Instead they turn to social media to find answers to their questions and develop an idea of their own regarding the products and services they are offered. To regain lost trust and to build a strong bond with customers again, the finance sector has to engage in Social Media. These are four major fields in which banks will benefit from the use of Social Media tools:
Transparency: Banks and financial institutions which do not invest in Social Media now, and which are not willing to change their in-house structure towards dialogue and transparent communication, will suffer massive trust issues.
Customer service: Because of the fundamental change in the world of communication, customers are used to get their information online in real-time. The financial sector has to adapt to this ”Online-isation” and take action in Social Media to keep their customers and also obtain new ones. Fact is: If It increasingly happens online and in Real-time will be valued very positively by the users.
Product Research: Customer decisions are no longer dependent on banks and advisers alone. Webboards, communities, blogs and newsgroups enjoy a high level of trust due to their independence. As a consequence more and more consumers are seeking information about financial products and conditions on the internet and are influenced by recommendations and reviews of fellow consumers. So if banks do not engage in Social Media, they will not exist in this part of the online world.
Human Resources & Employer Branding: We have left the era of printed job advertisements behind. Graduates no longer look for jobs in their newspapers – maybe they’re not even reading one – but are Googling their career. They’re exchanging thoughts and experiences about employers on Facebook, StudiVZ or Xing. At the moment the presence of financial companies on these platforms not even remotely matches the volume and intensity of the high-potentials’ discussions online.
Marketing: Without the use of Social Media Tools and comprehensive real-time Monitoring, banks and financial institutions will sooner or later get difficulties to reach their target audience!
November 5th, 2009 at 3:07 pm
Ausgezeichneter Artikel, bin ganz Ihrer Meinung.