Can a social media policy or guideline have an impact on growth of your financial advisory business? To answer this question, we looked at surveys on financial advisors conducted by American Century Investments over a 3-year period. Here are some findings that suggest a positive bottom-line impact of getting a social media policy in place for your financial advisory business:
- From 2012 to 2015, financial advisory firms which have a formal social media policy or guidelines in place, increased from 60% to 74%
- In the same period, financial advisors who no longer saw regulatory or compliance issues as their single biggest concern increased from 58% to 68%
- Consequently, advisors who reported using social media moderately to extensively increased from 56% to 62%
- Over the same period, advisors who reported business value from social media increased from 39% to 44%
- Among advisor who have ever won a new client or new business from social media
- 62% reported gains of less than $1M
- 23% reported gains of $1M to $3M
- 9% reported gains of $3M to $5M
- 7% reported gains of more than $5M
Having social media guidelines appeared to have reduced concerns around its use, resulting in gains from increased social media participation.
Do you or your firm have a social media policy or guideline in place?