12/27/2014

BankersAdda:BankingwithSocialMedia

BankingwithSocialMedia
Dearreaders,herewearepresentinganarticleonRoleofSocialMediain
BankingSector.Hopeyoulikethepost.
IndianBankingIndustryhasshownatremendousgrowthonSocialMedia
platformslikeFacebook,Twitter,andYouTubeetc.
TheBankingsectorinIndiahasproventhatitsnotjustaboutopeningsaving
bankaccounts,creditcards,investments,wealthmanagement,mutual
funds,insuranceandsoon.WiththeincreasinggrowthinSocialMediain
India,bankshaveunderstoodthatlikes,tweets,sharesdomattertoengage
withtheyounggeneration.
Socialmediaisoneofthefastestgrowingchannelsinbankingsector.Social
networkinghasbecomesocommonandbroadbasedinitsusethereare
nowmorethan500millionTwitterusersandmorethan1billionFacebook
usersthatbankshavenochoicebuttoincorporatesocialnetworkinginto
theirmarketingefforts.
Withamoreglobalizedapproachandincreasingcompetition,bankshave
increasedtheirmarketingbudgetsandSocialMediaisoneofthemajor
portionofit.Therearebanksthatwehaveseen,usingsocialplatformsas
anothercustomercare,usingthemtoshowcasetheirthoughtleadership,
usingthemtolaunchnewproducts,endorsingcelebritiesandmanymore.
Today,customersareabletoquicklyraisetheirissuesthroughsocialmedia,
andithasbecomeanimportantmethodforbankstobuildrelationshipswith
theircustomersandtoreachayoungeraudience.
Asistrueforsuccessinanybusiness,itisimportanttobewhereyour
customersare,andfuturebankingcustomersareonline.
IndianBankshavestartedusingsocialmediaintheirregularoperationsin
variouscapacitiesandareatdifferentstagesofmaturity.Nowadayssome
privatebanksprovideregularupdatesonthelatestoffersandallowbasic
customeroperationsthroughpopularsocialmediasites.
AlargeprivatebankinIndiahostedFacebookapplicationonitssecure
serversallowingbalanceamountcheck,chequebookrequest,stoppayment,
etc.SomeoftheprivatebanksareusingtheirFacebookpagetoprovide
customers,exclusiveoffers,productdetailsandcustomercareservices.
Withafewbankstakingthelead,thedirectionissetforotherbankstooffer
onlinefinancialservicesthroughsuchplatformssoonerratherthanlater.
ICICIBank,HDFCBankandAxisBankareamongthetop10Bankswith
SocialMediapresenceasperasurveybyFinancialBrandinJuly2013.
BanksinIndiacannotanylongerliveindenial.Therecouldstillbea
tendencytonotuseSocialMedia.Banksthinkingontheselinesmayhaveto
rememberthattheircompetitionisalreadyactiveonSocialMedia,thus
threateningtheirownbusiness.
Presenceonsocialmedia:
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12/27/2014

BankersAdda:BankingwithSocialMedia

Bankssocialmediastrategyisbasedonasimpleprincipletoengageand
interactanditspresenceisspreadovervariousplatforms.
NowadaysvariousBankhasestablisheditspresenceonTwitterby
creatingarobustinfrastructuretolistentoitscustomers.Thishashelpedit
toeffectivelyandefficientlyaddressqueries/concernsofitsendcustomers.
WecanseeeveryBanks(PublicorPrvt.)haveFacebookpagenota
mediumtoconnectwiththeaudiencebutalsoprovidevalueaddedservices
ontheplatform.
IndiansBankengageswithitsfansnotonlybyprovidingtheminformationon
convenienceofbankingbutalsobyeducatingandincreasingfinancial
literacyamongitsyoungfanbase.
TheBankencouragesfeedbackfromitsfansandmakestheconversation
twoway.TheBanksYouTubechannelisalibrarytoviewitsadvertisements,
watchinterviewsofitsseniormanagement,viewproductvideosandshare
themamongeachother.
Engagementwithcustomersusingsocialmedia:
ThesocialmediaplatformalsooffersBanksagreatopportunitytomanage
customerexpectationsandexperience.Allcustomergrievancesare
integratedatthebackendinaCRMmodulebuiltespeciallyforTwitterand
Facebook.
Bankshavecreatedaseparateformtocapturequeriesfromthesocialmedia
platform.Arealtimeonlinedashboardhelpsitkeepatrackofallthe
commentsabouttheBank.
IfBanknoticesthatthereareunhappycustomers,itreachesouttothemand
triestoresolvetheirissues.Thishasbeenendorsedbymanycustomers
whoseproblemshavebeenresolved.
Bankhavealsogonebeyondjustdisseminatinginformationandlimitingits
conversationtobanking.Ithasalsocreatedgames,funapplicationsand
contestsforitsfanstoenhanceinteraction.
Usingsocialmediaaslisteningposts:
Byusingsocialmediaforlisteningposts,theBankisbuildingbetter
relationshipswithitsendcustomers.Oneoftheimportantreasonswhy
Bankshavedecidedtobeonthesocialmediaspaceistocreate
conversationsandbehighonengagementwithitscustomersandfansin
theirdaytodaylife.
ProductPromotion:
Withsuchavastuserbase,socialmediacanbeusedtolaunchnew
productstothemarket,promoteexistingproductsandservicesatveryless
costwhencomparedwithothermarketingchannels.

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BankersAdda:BankingwithSocialMedia

Fore.g.ICICIbankpromotesonlinegoldpurchasesonsocialmediawith
attractiveoffers.Thisofferisvisibletotheir800koddfollowersonfacebook.
Itisnotpossibletoreachthesemanypeopleusingotherchannelswithout
spendingabigfortune.
UsefulInsights:
Socialmediaisatwowaycollaborationmechanism.Peopleonthewebshare
theirviews,providefeedbacksandwritetheirexperiences.
Notonlythebankscanpromotetheirbrandandproducts,theycanalsogain
usefulinsightsfromtheusergeneratedcontent.Theuserinquiries,
preferencesandfeedback'scanbeanalyzedthroughasocialanalyticstoolto
checkpopularityofexistingproducts,identifyunbankedsegmentsand
createpersonalizedcampaigns.
Fore.g.ifpeoplearetalkingaboutfixedratev/sfloatingrateloans,
processingchargesabankcanrelatetheseviewstoidentifythemarket
sentimentslikewhatsthepreferredprocessingfeerangeforfloatingorfixed
rateloans?Whichoneismorepreferred:fixedrateorfloatingrateloan?Are
peoplefeelingtheheatpayingtheprocessingcharges?
Throughsocialnetworkscustomerscanbereachedtoamorepersonallevel.
Gainingadditionalinformationfromsocialnetworkscanhelpidentifyingthe
hiddensegmentswhichcanbeusedforpersonalizedcampaigns.
Theusefulnessandgrowingimportanceofdigitalplatformshavebeenwidely
acknowledged,banksarenowfacedwiththechallengeofhowtobest
executesocialmediastrategies.
Socialmediaempowersbanksinanew,excitingway,toreachtheir
customers.Thisbringsgreatbenefitstocustomersandmakeseasierfor
bankstointeractwiththeirexistingandnewcustomersinaneffectiveand
easymanner.

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