Social media use among consumers has increased significantly within less than a decade. This creates both opportunities and threats to companies. However, financial services in general and the insurance industry in particular have been slow to adapt to this development. LV= has aimed to do this through a balanced presence on different social media channels, while leveraging the strengths of each.
Features and benefits
- Leverage the strengths of various social media channels by understanding the key differences between these platforms.
- Improve customer service functions on social media by exploring best practice examples.
- Gain insight into what consumers expect from their financial services providers and how these can be achieved through social media.
- Enhance processes from brand portrayal through to recruitment by learning how to utilize connective technologies such as smartphones.
Consumers are increasingly broadcasting their experiences and opinions on social media channels such as Twitter. A presence on these channels helps financial services providers influence the positive portrayal of their brand, and to react to any negative comments proactively.
The insurance industry is often forced to adapt to changes caused by external factors, instead of driving innovation internally. This results in little differentiation between providers and products, reducing the competitive advantages of any innovation. Social media offers an opportunity for insurers to stand out from the competition.
The insurance industry is expected to provide reassurance and comfort to consumers in their times of need, and trust is a major factor influencing this. Social media can be used to build and promote trust between providers and their customers, as well as with the wider public.
Your key questions answered
- Why is a balanced presence on social media important?
- How can brand portrayal be influenced through the use of social media?
- What are the benefits to providers of designing their own social media platforms?
- Which consumer trends drive the use of social media by consumers?