Make It Social: Using Social Media to Drive Mobile Banking Adoption
Mobile banking adoption is key to a financial institution’s growth and profitability because it generates more revenue opportunities and reduces service costs. However, as many financial institutions seek greater adoption of their mobile banking services, a lack of awareness of mobile banking among customers is hindering higher adoption rates.
One effective way to generate better awareness is to make social media an integral part of the mobile banking marketing campaign. Social media channels are useful in driving more awareness and engagement, particularly among younger consumers.
Given this opportunity, financial institutions are beginning to make use of social media to promote their mobile banking services, yet there is still much room for improvement. A 2014 Fiserv Social Media Marketing Study sampled 100 social-savvy financial institutions (50 banks and 50 credit unions) to audit their mobile banking promotion activities on Facebook from January 2013 to April 2014, and on Twitter from October 2013 to April 2014. Two-thirds of the financial institutions analyzed promote mobile banking on Facebook and 26 percent specifically promote mobile deposit functionality. On Twitter, nearly 8 out of 10 promote mobile banking, while one-third specifically tweet about mobile deposit.
Fiserv captured and analyzed 203 Facebook posts and 459 tweets related to mobile banking, and found that a majority of the Facebook posts included links, pictures, videos or calls to action. More than half of the tweets included links, with nearly 40 percent using hashtags and calls to action. Convenience and specific functionality are the most frequently addressed value propositions on both channels.
How can your financial institution leverage the opportunities provided by social media to drive greater mobile banking adoption? According to the Fiserv study, Facebook posts with lead-in questions, links, pictures, videos, and content that includes sweepstakes, incentives and specific functionality help generate higher engagement. Interactive content features such as retweet, modified retweet, @mention and hashtag help boost engagement on Twitter. Based on the study results, financial institutions should keep the following best practices in mind when promoting mobile banking services on social media:
Make social media an integral part of a mobile banking marketing campaign. It’s important for your financial institution to reach accountholders with effective marketing approaches, such as sweepstakes campaigns and monetary incentives, which increase awareness and drive higher engagement. Repeated messaging is needed during a campaign, but employ variety to keep content fresh.
Use lead-in questions to introduce innovative features. Today’s consumer expects a wider range of mobile banking features, including mobile deposit, person-to-person payments and actionable alerts. Using lead-in questions, such as “Did you know you can deposit checks using your smartphone?” is an effective way to introduce innovative features, grab attention and generate higher engagement on social media.
Make full use of the rich characteristics of each social media platform. Your Facebook posts and tweets should be eye-catching and interesting, with compelling imagery, short videos and links. Take advantage of Twitter’s functionality to retweet a customer’s comment on the convenience brought by the mobile deposit functionality. Plus, both Facebook and Twitter offer low-budget options for sponsoring posts and tweets to reach targeted groups of users, including those using specific mobile platforms.
Don’t just promote, but also include the latest mobile banking news and research findings. Mobile banking news and latest industry trends help generate better awareness of mobile banking as a whole. When posting news and research findings about mobile banking, your organization can educate customers about the latest mobile banking features, thereby increasing the awareness of your services.
The mobile-oriented nature of social media makes it uniquely appropriate for driving awareness of your institution’s mobile banking value proposition. By following best practices of other leading institutions, social media can be an important channel to increase mobile banking adoption, which is itself a proven indicator for increased customer profitability, satisfaction and retention.
Eric Leiserson is a Senior Research Analyst at Fiserv. He can be reached at email@example.com. Zifei (Fay) Chen, Marketing and Research Assistant for Fiserv, also contributed to this article.