Traditionally financial advisers have been slow to adapt to new technology, but research released by Zurich Financial Services Australia suggests headway is being with the use of social media.
While many in the industry have long espoused the virtues of social media for communicating with clients and brand building, most experts have encountered resistance from advisers.
However, the Zurich research shows growth in social media usage by Australian financial advisers has far outstripped the growth experienced in the community overall.
Speaking about the launch of a new infographic, Financial Advisers and Social Media, Philip Kewin, general manager of retail life and investments at Zurich, said that the latest research proved beyond doubt that Australian financial advisers had recognised the importance of social media across the business value chain.
“Since late 2011, we have seen extraordinary growth in advisers using social media; especially the more business and news related platforms, such as Twitter, Linkedin and YouTube,” he said.
“These latest figures show the extent to which advisers are embedding social media into their everyday business operating model, from lead generation to customer care strategies.”
While most growth has come off a low base, the numbers are nonetheless impressive.
Highlights include a staggering 123-per-cent growth in advisers’ usage of Twitter since December 2011 and a 74-per-cent increase in the use of Linkedin, both well in excess of the growth seen in the community over the same period, which was measured at 20 per cent and 34 per cent respectively.
Other findings included a 56-per-cent growth in the use of YouTube and 36-per-cent increase in Facebook usage over that period.
Tablets lead the charge
Kewin observed that the acceleration in usage was matched by corresponding growth in usage of mobile devices, especially tablets.
“Historically there have been many barriers to uptake of social media, including the amount of time needed to monitor and create content, but the widespread adoption of tablets, especially the iPad, has made it quicker and easier to access social platforms,” he said.
“Our own research from late 2012 estimated that over one third of advisers were already actively using tablets as a client engagement tool.
“We are very close to that tipping point where more online activity will be conducted from a mobile device than from desktops, and advisers should consider adopting the mobile-first philosophy already seen in other industries reliant on online channels.”
Yianni Tsimopoulos, managing director of the Nationwide Group of Companies, a wealth advisory firm offering a range of financial services, said he first used social media to address “the biggest obstacle there is when you first meet a prospective client: trust”.
“Why should anyone trust a stranger with their retirement or their hopes and dreams?” he asks.
“In the past we’ve relied mainly on referrals to help accelerate trust. Social media adds to this because they allow you to broadcast your public persona very broadly at low cost.”
