For financial services, social media has been a tough nut to crack due to industry regulations. Despite these challenges, over the past four years, more and more financial services organizations have begun getting involved in the social space while keeping in line with industry regulations.

In its recent Social Media Leaders report, Corporate Insight reported that:

  • At the end of 2011, 92 percent of financial companies monitored, including banks, brokerages, credit card issuers and insurance companies, had a presence on Twitter, up from 51 percent in 2010.
  • 88 percent of financial services companies monitored were active on Facebook in 2011, rising from 57 percent the year before.

While financial institutions recognize that social media is growing in importance and cannot be ignored as a powerful tool that can support company-wide goals and initiatives, many financial services companies are still unsure about how to create a compliant social media strategy.

Here are a few steps to getting compliantly active in social media:

  1. Develop a clear social media communications policy that focuses on what your social media team, financial advisors and employees can and cannot share.
  2. Invest in or develop your own training program to ensure your company fully understands your tools, technology, social media policy, and the unique environment of each of your social media channels.
  3. Archive and monitor everything. Using a monitoring platform to archive posts and engagement will have you well on your way to to being compliant in the social space.

If you’re not using social media, you’re not hearing what your customers and community are saying, and are missing out on a powerful opportunity to integrate social into your sales, marketing, HR and communication initiatives. The above tips will help you gain a competitive edge by embarking on social media strategically and compliantly. Don’t be left behind.

Are you listening to what your community is saying about your financial services organization and your competitors? If they’re not talking about you, what are you doing to kick-start the conversation? For more on how social media can work for your financial services company, download our ebook, How to Create a Social Media Strategy for the Financial Services Industry.