Social media platforms such as Twitter can be a fantastic resource to keep up-to-date with industry news, trends and analysis.
Also, given that a recent Association of Professional Financial Advisers (Apfa) survey identified that less than half of financial advisers are currently using social media, it can really help advisers differentiate themselves from the competition.
However, social media is not something you can just dip your toe into and expect to get real results.
How to use social media
When and how frequently you post on social media will depend on the social media platform you are using and what you are using it for, Sue McLean, technology and outsourcing lawyer at international law firm Morrison & Foerster, says.
For example, she says if you are using Twitter, you would typically want to check the platform at least once if not a few times a day to keep up-to-date with developments, as well as ensuring that you respond to messages you have received in a timely fashion.
Whereas if you are using Linked-In, Ms McLean says posting a few updates per week may be sufficient.
Some advisers may argue they simply do not have time to invest in a social media strategy, but she points out it doesn’t have to be particularly time-consuming. If you are time-poor, she says you can even use tools to schedule in advance when content is posted.
You may also be tempted to use the services of a company that produces standardised content for financial advisers, but Ms McLean says you should consider this approach carefully. If you want to build trust and enhance your relationships with clients and contacts, authenticity is important.
She says: “Although you need to post regularly enough to encourage a following, it is really about quality over quantity. Your content needs to be of value to your target audience.
“Genuine interactive engagement is what consumers are looking for and is the key to the most successful social media strategy.
“Consumers are not typically going to be following you or your firm because they want to be sold to, but because they are interested in hearing what you have to say.
“Therefore, ideally, your posts should be a mixture of sharing relevant news and commentary carefully curated for your audience from third party sources, together with any original blog posts, articles or videos you have created about topics that may be of interest.”
Ms McLean adds it is not just about sharing content as social media is also a great tool to interact and engage with your clients and contacts - whether that is liking or commenting on one of their posts, congratulating a client on a personal achievement or letting them know about an event you are hosting or attending.
If you do want to go further and use social media for the purpose of making financial promotions or highlighting endorsements of your service, this is an area where you will need to tread carefully and be aware of the rules.
More information on the FCA’s rules for financial promotions can be found in the FCA requirements for social media section of this guide.
Engaging your audience
In terms of why you should bother with social media at all, Richard Ardron, marketing director of SimplyBiz Group, points out if your intended audience is active on social media you should be too.
Mr Ardron says it makes sense that you should be visible in a space that they occupy and via which they are already being influenced. The caveat to that is you must be able to commit the time to social media, otherwise it simply won’t work.
He says: “So, while relevance is a determining factor for engagement, so is the medium itself.
“When considering relevance, you may wish to keep half an eye on the future – even if your clients today are not active on social media, what about those you will look to engage with in the coming years?
“The obvious thing to do, and the point at which most people get caught out, is to treat social media like any other form of communication and to simply replicate what you usually do, albeit you may find yourself having to condense it just a little.
“But this is not what social media is all about – as the name suggests. Yes you can, and indeed should, use it to relay ‘corporate’ messages, but you need to mix in the personal and social elements if you want real engagement.
“What social media gives you is an opportunity to interact with clients in a different way, on a more personal level. People will want to know what you are doing in your chosen profession, but also what you are doing as a person – and the trick is getting a good balance.”
Mr Ardron says when Simplybiz’s resident ‘tweeter’ was absent for a week recently, he had “the pleasure” of guest tweeting and in the space of a day posted photos from some events he attended, links to articles, and the latest selection of biscuits the team were in the process of devouring.
He says Simpybiz also uses Twitter to showcase the people behind the services.
Mr Ardron says: “Our members rely on our staff for information, so showing our team and their working environment provides a nice window, beyond the voice at the other end of the telephone.
“With regards to frequency, I think the key is to ensure that you remain active. While there are no hard and fast rules, you need to ensure a regular flow of Tweets, blogs, posts – enough to ensure engagement, while ensuring you do not become consumed – it can happen.
“Finally, try and give the audience more. Can you link them back to your website, for example, where you can provide deeper information, perhaps even a blog (which then works both ways – i.e. the blog serves as a driver too).”
A mail shot may not land through a client’s door at the time they need to consider seeking advice.
Reinforcing relationships
Helen Turner, distribution and development director of Tenet Group, says social media keeps the adviser present in the clients’ mind at a time when they find they need more help.
Ms Turner says advisers should use Twitter to directly connect with their clients and recommends posts such as “Great meeting with @joebloggs today” to reinforce relationships.
Connection requests should be sent by advisers via Linked-In following a meeting with a message to thank them for their time and company news and events should be shared on the firm’s Facebook page, Ms Turner adds.
If in doubt about what to say online, she says advisers should look at what others are posting.
She points to “very successful users” of social media in the adviser community who have put a lot of effort into raising their profile through this medium, such as Martin Bamford.
Ms Turner says: “Remember that you do not have to make all your social media messages very formal - adding personality, comments and pictures is all part of what will make a successful strategy.”
