What social media platforms should advisers use?

Personally, I favour Twitter and LinkedIn for professional purposes but I also have an Instagram presence which is – very slowly – gaining followers.

LinkedIn is probably considered the most suited to professionals of all the social platforms available.

Intelliflo’s 2018 social media survey shows, unsurprisingly, LinkedIn remains the most popular social platform for business, with 57 per cent actively using it, down just slightly from 59 per cent in 2017.

Interestingly, Facebook is becoming less popular among the 379 users of Intelliflo’s Intelligent Office who took part in the 2018 survey, with 37 per cent of those surveyed now using this for business, compared to 41 per cent in 2016.

Twitter usage is also down, with 40 per cent of advisers using it this year, compared to 43 per cent last year.

LinkedIn is predominantly a business-to-business platform but very useful for presenting your background and experience to potential customers, especially if you do not have your own company website.Stuart Wilson

Meanwhile, other social media platforms are finding favour among advisers, “with Instagram being mentioned by 3 per cent of the sample – more than any platform in the ‘other’ category” Intelliflo reveals.

So should advisers play it safe and stick to LinkedIn, or jump on the Instagram bandwagon?

Are Twitter and Facebook equally useful tools for advisers who want to promote their skills and business?

The first thing to consider is what sets each platform apart and therefore how each can be used to interact with clients, potential clients and peers.

Stuart Wilson, channel marketing director at more 2 life, explains: “Every platform is different and has a unique ‘personality’. 

“There are also features that can determine the degree to which you can communicate using the platform.”

He notes: “A good example is Twitter, where even the recent extension to 280 characters per tweet means posting an update requires more thought and planning – especially if you need to weave in a regulatory warning – compared to platforms like Facebook, where you are not restricted in how much you write. 

“LinkedIn is predominantly a business-to-business platform but very useful for presenting your background and experience to potential customers, especially if you do not have your own company website.”

Free tools

The chart (below) shows LinkedIn is the most popular among advisers in the US as well, followed by Facebook and Twitter, while there has been a sharp increase in the use of Instagram by this demographic.

Source: Putnam Investments

Putnam Investments surveyed 1,014 US financial advisers for its report into social media use. But similartities can be drawn between the use of social media by advisers in the US and UK.

One of the most useful features of social media sites is they are free to sign up to and use initially, with the option to pay for certain promotional tools.

“The choice of channels is wide ranging; and with the main ones – Facebook, Instagram, Twitter and LinkedIn – they allow a choice of free and paid-for tools to reach the right audience, with the ability to really define your target audience,” says Emma Walker, director of digital at LifeSearch.

But one of the mistakes advisers and adviser firms often make with social media is to just think “we should be doing social media”, rather than putting a strategy together first and deciding on the most relevant social channels, according to Roger Edwards, marketing director at the Protection Review.

The best way of deciding which platforms to use and the ones to avoid is to know your audience – and know them well.

“If you know your ideal client inside out, you’ll know which social media channels they use,” he adds.

“It’s about testing which social networks work best to reach your target audience by monitoring the results,” Ms Walker confirms. 

“LinkedIn and Twitter for business and views is the approach we encourage, Facebook for targeting customers and prospects.”

She acknowledges: “Instagram is harder to attribute value but is a great way to share creative content that represents your business – maybe awards you have won or pictures of inside your business. But Instagram alone in financial services is not worthwhile, it’s a nice to have.”

I get vastly more hits from Twitter and I didn’t expect that to be the case.Stuart Phillips

Mr Wilson believes there is no reason why advisers should not have a presence on multiple platforms, bearing in mind the likelihood of reaching their target audience. 

“Instagram, for example, has a much younger user base and overall age range compared to other social media sites. Less than 5 per cent of their users are aged 50 plus,” he observes.

“That said, if you have some interesting and engaging content to share and Instagram provides the best platform for your particular approach, you can always use other social media sites to signpost your content – Twitter is excellent for this.”

The choice is yours

What are advisers’ own experiences?

Scott Gallacher, chartered financial planner at Rowley Turton, says: “I think Twitter and Facebook are somewhat better for getting your message out there than the other social media sites, but no doubt other advisers will have a different opinion.

“LinkedIn is, perhaps, the best if you want to go proactively looking for potential clients and contacting them directly, but a lot of financial advisers would be reluctant to be that forward.”

Stuart Phillips, a director at Aalto Mortgages, has a similar experience.

“I find LinkedIn is great for professionals, Facebook is synonymous and Twitter is best for links to the website,” he suggests. 

“I get vastly more hits from Twitter and I didn’t expect that to be the case. 

“Instagram is very visual and I don’t think the industry really has anything that might appeal to its user base. If you promote food and drink, fashion, travel or health then Instagram is absolutely where your customer base lives.”

eleanor.duncan@ft.com