Benefits Of Social Media Marketing To Financial Professionals And Agencies
Neyra Nunez
October 2017

The term Social Media Marketing (SMM) brings plenty of questions. Does social media marketing really matter? How can the use of social media increase business? How much will social media marketing cost? The answers are found within this article, which will serve financial professionals and agencies by offering insight into the benefits of social media.

Does social media marketing really matter? Do you yourself ask that question once in a while? Well, the answer should be yes. Yes, it does matter! In the past, social media was a complicated subject in the financial services industry due to regulatory requirements on communication with the public. Over the years, however, it has become a more common and an extremely useful communication tool within financial services. Though social media is seen by some business professionals as an instrument difficult to incorporate into the workforce, the truth is using social media to market one’s business is actually just another networking tool to add to your other repertoire of communication tools. As a financial professional, you already talk to other financial professionals, prospects and clients over the phone, via text messaging, and through email. Social media is just another very powerful communication tool whose true power derives from how it can help you build relationships with people. People who can do business with you, and who can tell others why they should do business with you or your agency!

In this article, I am going to cover some of the benefits of social media marketing and statistics that may help clarify ways you can use social media marketing for your agency. Just know that if you are not marketing via social media, most likely your competitors are.

So how do you use social media for your business? How much will social media marketing cost you? Let’s skip the chitchat and get down to the nitty-gritty. Here are some of the most important reasons I believe social media marketing is beneficial for you, the financial professional, and your agency:

  • It doesn’t have to cost you money: Social media is an inexpensive (and sometimes free!) way to connect with your audience. Profiles are free, posting is free. If you do spend money on boosting posts or advertising, the amount paid compared to traditional marketing is very small and, when done correctly, the returns can be great.
  • Build your brand: Leverage SMM to boost your business’ visibility. Keep the image of your brand consistent throughout all social profiles—you control the perception of your brand. You can do this by focusing on creating useful content that your audience will want to share. Make sure that any content you create aligns with your mission, vision, and core values. Don’t be afraid to share visual content—40 percent of people will respond better to visual information than plain text.1
  • Increase brand exposure and agent/client loyalty: When you have social media presence you’re making it easier for agents and/or prospective clients to find and connect with you. You can use SMM to get in touch with them on a personal level, to thank them with raffles, contests and promotions (if regulations allow it), and to remind them that you couldn’t have made it here without them.
  • Insight on your relationships: Now more than ever, you have instant access to agent/client life events. Is someone celebrating a birthday/anniversary? Did your agent or client recently become a grandparent? These events are extremely important. Be personal and send a message or a comment. Those responses may go a long way.
  • Keep you competitive: With social media, you can monitor and gain knowledge about your competitors. (I definitely do this here and there.) This kind of information will allow you to make strategic decisions on your social media calendar. It will help you to stay ahead of them.
  • Reach target audiences: If you opt to spend money, social ads are a low-cost way to promote your business and distribute content, and they offer powerful targeting options so that you can reach the right audience at the right time. For example, if you run an ad campaign on LinkedIn, you can segment some of the following: company, job title, location, age —the list goes on. If you’re running a Facebook ad, you can target based on location, demographics, interests, and age. This creates benefits such as tracking and measuring the performance of your social ads in real time. For instance, in 2016 we hosted training workshops for financial professionals called “Great 8 Boot Camps” in various cities throughout the country. We used targeted Facebook ads to create traction to the events. For you, similarly, when you need to use advertising as a recruiting tool for your events, do it. It’s well worth it.
  • Interactions are made fast and easy: Maybe you want to tell your audience about a new tool available on your website? What about an article recently published by Broker World magazine? Is your office closing early on a particular holiday? You can reach a large audience in seconds by posting the news on your social account.
  • An easy way to get feedback from agents and/or clients: Do you want to know what your audience thinks of your website? Maybe you want some feedback on the topic of last week’s webinar? Simply ask on social media and you will quickly receive the needed information.
  • Create leads: The ability to redirect to forms and capture information is made easy. Instead of making your article fully available, re-direct agents/prospects to a form—and upon completion they receive a copy of the full article. This can be done by including forms and calls to action to capture leads. Remember that social media is all about interaction: Liking, sharing, commenting, and endorsing, just to name a few. Build on those pieces—it creates a real connection with potential agents/clients and can make great things happen for your business.
  • Have conversations: Conversations that are friendly, personal and sometimes fun but definitely genuine. This alone will help generate leads through word of mouth and page recommendations from your audience.
  • Increase website traffic: SMM helps you direct people to your website. What business owner doesn’t want more website traffic? I know we do! Tell your agents, clients, and prospective clients about products, tools or services you offer. Make sure to also produce relevant and quality content that they will want to refer to and even share.

Social media marketing allows you to easily learn about and engage your audience—from creating and maintaining relationships to increasing agent and/or client loyalty.

The following statistics identify some network key audience demographics and usage characteristics. The statistics below were taken from an infographic put together by Marketingprofs. There are an immense number of people using social media—2.8 billion active users worldwide to be exact as of January 2017.2

Facebook is the most popular social media network with 1.9 billion monthly users—75 percent of users spend 20 minutes or more on Facebook every day. Generation X spends almost seven hours per week on social media.2

LinkedIn has over 106 million unique monthly users, with 45 percent of people making $75K/year or more.2

Twitter is the most oversaturated social media platform with 317 million monthly users, and those users spend an average of 2.7 minutes per day on the Twitter mobile app.2

I want to emphasize that social media marketing offers so many benefits to you and/or your agency. Through strategic planning and organization, social media can be made into a great asset to serve your organization depending on your customer needs. I truly believe that everyone’s business plan should include a social media marketing strategy. I don’t believe you have to join all social media platforms to have a successful strategy, but you should definitely be participating in a platform or two.

Remember that social media is to be used as a tool. This tool is to help you conduct business, not to help you make the sales for your business. In order to achieve social media success you need to interact with those people through comments, likes and shares. We are in a relationship-building business and interactions need to be made, so use social media to your advantage.

By now, I hope you have a better understanding of how social media marketing has actually opened the communication lines to financial professionals and agencies with other agents, clients or prospective clients. Remember that the true power of social media comes in how it can help you build relationships with people! I challenge each of you to log in to one of your social media platforms and comment on a picture, article or say, “Have a great day,” to one of your agents, clients or prospective clients. Their response will surprise you.

Footnotes:

  1. https://www.slideshare.net/NewsCred/50-best-stats-presentation, slide #33
  2. Forer, Laura-Contributor. Demographics of the Top 7 Social Networks [Infographic]. Marketingprofs article MAR 3, 2017 Web. 8 March 2017. https://www.marketingprofs.com/chirp/2017/31688/demographics-of-the-top-7-social-networks

For financial professional use only. Not for use with consumers. This material is intended to provide general information only. The testimonial may not be representative of the experience of other financial professionals and is no guarantee of future success.

Author's Bio
Neyra Nunez
Marketing and Communications coordinator, Partners Advantage Insurance Services, LLC, began her career with Partners Advantage in August, 2011. She drives the Partners Advantage brand through various marketing efforts, in addition to coordinating the development, compliance approval process, and execution of all marketing initiatives and campaign analytics. A focus in her role is to educate Partners Advantage financial professionals and sales and marketing team on how to properly create and maintain relationships via social media platforms. Nunez can be reached via phone at 888-251-5525, Ext. 138. Email: nnunez@partnersadvantage.com.















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