By Rebecca Pike
A new report has shown that while more financial service businesses are using social media, they are behind the global average in not monitoring customer sentiment.
According to Hootsuite’s 2018 Social Business Report, eight out of ten Australian financial service businesses said social media has become more important in the last two years. Around 70% said they use social media primarily for customer service.
The global social media platform’s report also looked at brand perception, particularly after the Royal Commission noted a lack of transparency and trust in the finance industry.
Roger Graham, senior director, growth & marketing, Hootsuite APAC, explains, “Now more than ever, the industry is operating in an environment where they need to understand exactly what their customers are saying. Social is a constant source of direct feedback, and it is vital for businesses to act on this feedback.”
While most businesses have recognised social’s power to create positive customer service experiences, only 20% were found to be measuring customer sentiment, which is behind the global average of 40%.
Measuring sentiment on social can provide insights to understand customer pain points and address issues. It also allows businesses to make decisions based on the feedback it receives from customers.
Currently, Australian financial organisations focus more on so-called vanity metrics, such as the number of followers, likes, shares, comments.
The report found Australian financial service organisations are also lagging behind the rest of the world when it comes to leveraging brand advocates.
The report shows that in Australia, 39% of organisations currently leverage social media for employee advocacy purposes, compared to 53% globally.
With the industry perception suffering following the Royal Commission, employee advocates can offer a trusted voice.
Further research from Hootsuite reveals 81% of leaders in the financial services industry surveyed believe that brand perception and trust is positively impacted by social media.