Introduction

Fast paced advancements in web technology and the rise of social media have now given vast amounts of power to the consumer, which has huge implications for acquisition and retention. This report dispels some myths commonly held by FS providers surrounding social media’s reach, purpose and value, and also highlights the dangers associated with a lack of adoption.

Scope

*Using extensive secondary and primary research, recent trends in social media and consumer appetites for its use in the FS space are identified

*Identification, and in-depth analysis, of assumptions commonly held by FS providers regarding social media’s reach, purpose and value

*Discussion of the dangers associated with lack of adoption

*Provision of concrete actions for FS providers to take in order to integrate social media into a holistic retention strategy

Highlights

In a world where social media is now hard to get away from, it is vital that FS providers acknowledge that it is no longer an option not to get involved with this medium in some way. Consumers are identifying with this channel above all other online services, so FS providers must increase their visibility here in order to be noticed.

In light of the extent to which the value of customer relationships can be influenced through this channel, and that ‘trust breeds trust’, as it were, by the same token it is vital that providers understand the volatility of trust as a concept and how easily it can be broken through misuse of personal information

Whilst it is clear that this channel remains the most popular source of advice amongst Generations X and Y, it is clear that the greatest growth is being seen in the older demographic segments, given their fast increasing awareness and the emergence of more tools to with cater to them.

For more information, please visit :

www.aarkstore.com/reports/Social-Media-in-Financial-Services-2010-38018.html