Ongoing list of Social Media Efforts from Banks, Credit Card, Financial Institutions and Lenders
I’m here in NYC, one of the financial nerve centers in the world, attending Forrester’s Finance Forum. With loyalty to brands decreasing over time, companies need to figure out how to reach customers where they are, where many, are discussing their financial past, present and future online.
During today’s panel and speaker discussions, I heard a lot of trepidation, fear, and uncertainty from many of the brands. Most are answering the first two of the five questions (”what” and “why”) I use to gauge company sophistication. Some mentioned they want to toe-dip and get out if it didn’t work well, others mentioned they were monitoring, and some feel threatened by the peer to peer models that cut out the middle man.
The finance industry has a unique challenge, hindered by government regulations and often a conservative culture, they have a real challenge embracing the online conversation that’s already happening between customers.
Criteria: Although there are many finance startups and consumer review sites, this list is really about the financial institutions, large brands, and banks that are adopting social media to reach customers.
Ongoing list of Social Media in the Financial Industry
Wells Fargo
The first and greatest case study to date is of what Wells Fargo has done with their multiple blogs, starting with the Guided by History blog, Later, they launched the Student LoanDown blog, and a virtual world called Stagesoach Island Community that lets members learn and experience financial management.H&R Block
This company has done quite a bit with blogs, virtual worlds, Facebook campaigns, and social media programs and campaigns. During tax time, there was a significant upswing of activity from Facebook applications, and they engaged in online dialog in Twitter by first monitoring keywords and directly responding to members.Intuit
Online communities are nothing new to Intuit, this customer-focused brand let’s customers self-support each other, as well as communicate to them using blogs. Quickbooks (financial software) has extensive growth for SMBs who want to connect to each other.Chase +1
This credit card company used Facebook to find out about what customers desired, laying the foundation for delivering a customer-focused productErnst & Young
This large accounting services and consulting firm is anxious to reach new hires fresh out of college, by creating a sponsored Facebook group, they have online dialogs with graduating students starting the interview process online. Smart way for each party to learn for each other.Royal Bank of Canada
Launched this ongoing blog called the Innovator Blog, which goes back to October 2006. Link via Trevor Cook. Also, they’ve a Facebook page, (link from iljazz)ING
Trevor Cook has more details, listing that ING has an Asia / Pacific blog, My Cup of Cha, a microfinance blog, and a Chinese blog. They’ve also created a microsite called I need to go, that has a spreadable widget.Fidelity
Using map mashups and podcasts, Fidelity is reaching to it’s customers using new channels. (from Benjamin Ensor, Forrester)Genworth
Springboardforum - From Genworth - you need to get an account to see it (free) “Genworth has partnered with Dow Jones, Time Inc., Bloomberg and Source Media to provide you with tools & resources that may support your business”(tip from Jay Bryant)HSBC
This online community from HSBC Business Network is for SMB and entrepreneurs (tip from Jay Bryant)Alberta’s Commonwealth
Online community for Alberta’s Generation Y provides a lifestyle platform for youth to self express and support called Young & Free.Discover
This lifestyle portal provides helpful content for Discover customers, called Discover Edge, it delivers expert best practices for money management. It’s difficult to see if this has social features.American Express
This website called OpenForum provides a dialog for customers, Chris Brogan has the details.Capital One
This social network for small businesses, called Slingshot, allows people to connect to each other, promote their services, in this ‘yellow pages’ type of marketplace.Canada’s Largest Credit Union, Vancity, launches blog
This blog, called Change Everything, is intended to spread feel good messages and videos to attract Vancity’s community, and interesting project.MyVault by Scotia Bank
This ‘dashboard’ style interactive application allows members to manage their money, gather feeds, and communicate with community members via forums, called MyVault.IT Counts by the Institute of Chartered Accountants
This community site ION, yields blogs by thought leaders on the topic of technology, sponsored by Microsoft.
Who else? Leave a comment, of if you’re shy, send me an email. I’ll keep this updated until I can’t scale further
Related Resources
Social media for the insurance agency Social media for the automotive industry List of social media strategists and community managers at enterprise corporations
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Amex and Social Media
http://www.openforum.com/index.jspa
(Do not work for Amex - no relation to Amex)
I met a guy at ONA in Toronto last year who was online editor for the Federal Reserve Bank. He had been charged with figuring out how they could incorporate social media without giving away the bank, so to speak. I think I’ll follow up with him and report back.
Here are two that often come up in conversation:
- The Motley Fool’s CAPS
- Reuters Stock Buzz (powered by SocialPicks)
Angela, thanks, let me know if you’ve any reports.
Eric, good examples, let me review.
Dude, Those are old-time financial behemoths re-engineering with social media - a good thing. Noticeably absent from list are sites like mint(TC40 winner last year), NYC based geezeo.com and the p2p lending sites (NYC based fynanz.com for student loans), social stock portfolio sharing sites (like NYC based covestor.com). Most of these are born from social media.
As we all know, banking and the financial industry as a whole can be, well, a bit conservative. In order to get them to understand the benefits of social media, there must be a strong ROI, especially in the wake of the many issues in financial markets. However, I do believe that through social media, it is a great opportunity for these companies to connect with their customer based and vice versa.
Jeremiah,
Based upon my experiences, there are a few extra inhibitors to the external facing adoption of web 2.0 in financial services.
For listed financial services organisations there is an added constraint that communications disseminated by anyone in the company must be thoroughly sanitised in order to protect sensitive information leaking that may impact the share price.
There are also only a limited amount of people that are allowed to contact the outside world on behalf of their organisation, without prior approval. This sort of formality is not very supportive of social networking principles and definitely not condusive to real-time discussions.
As you allude to above, other inhibitors are that unlike other industry consumer based idea incubators (e.g. Dell ideastorm), financial services industry products are heavily regulated and the potential to differentiate is limited beyond fees, commission, tax inentives or performance (the relevant metric is based upon the type of product obviously). After all, it’s all about managing cash, debt and spreadsheets.
Unless you’re the federal reserve or one of a few economic or trading geniuses, creating new types of cash based products is out of the question for most.
Banks arguably have the best chance given they are obviously retail based and their sheer numbers mean they all need to seek some sort of differentiator even if it’s only for a brief period of time. I just hope it doesn’t become yet another tool for banks to pretend that they’re our “friend”.
I also suspect that there may be more non-retail based financial services organisations than there are retail and therefore the majority of the market has a need to communicate with a different type of customer, i.e. other financial services, intermediaries and general organisations.
In Spain we have some examples of the use of Social Media. An intersting exemple is Caja Navarra with their improvement of web 2.0. Their get the oppinion of their costumers about their invesment policy on social projects.
(http://www.cajanavarra.es/es/)
Here are three more to add to the list:
http://www.openforum.com - A site from American Express for their small business owners
https://www.springboardforum.com - From Genworth - you need to get an account to see it (free)
And: http://network.hsbc.co.uk/index.jspa - From HSBC for entrepreneurs
One I just found out about recently is ZeccoShare, though I haven’t really spent any time digging into it to see it’s positives/negatives or how many members it actually has.
Also there’s
Bankrate.com
epinions has ratings
and many others like mint.com
The mBank Portal — www.mbank.cz (not in English, ps) — which is branchless banking in the Czech Republic, Slovakia, and Poland attempts to maintain something of a blog — in Czech — but the posts, I’ve found, are rather inane and airy, and while the client numbers are rising nicely, +vely on fire in Poland. I suspect that people are ecstatic to just have branchless banking at their disposal as opposed to being told how to manage their money. There are options, in other words.
Blogging, think they — who gives a hoot, at this stage, it would seem…
I don’t think this is on your list yet, but Capital One started a community called Slingshot. This SNS connects a group of small business owners with buyers and suppliers. Check it out
Jeremiah, you should visit our site, SmartyPig. It is the only true banking application that is social where you can invite your friends and family to be a part of your saving process. We also offer cash incentives from top retailers and one of the most competitive interest rates in the country (currently 3.90% APY). The platform itself is Web 2.0. SP utilizing blogs, Facebook, widgets and social networking applications, twitter and get satisfaction. We launched just a few months ago and already have users in all 50 states. Check us out. Thanks, Jon Gaskell, Co-Founder
Jeremiah,
I really like your blog, but I must disagree with your having listed WF as the #1 social media savvy corporation. Their blogs are rarely edifying, and don’t really come from a significant place of authority. The entire SI feature could be replaced by 15 minutes in the presence of an informed adult, or their perfectly adequate FAQ. In fact, I would consider Wells Fargo the poster child for poorly conceived social media efforts. I will give them points for trying, and I don’t mean that sarcastically, but I don’t consider them a success in that arena. SouthWest, Adobe, Kodak and SmartyPig (above) are better examples IMO. (and I do like what H&RB has done with Twitter)
Royal Bank of Canada is doing a few other things. Check out their Facebook initiative “RBC Bankbook”: http://tinyurl.com/6psktw
RBC also has a group blog by students, RBC P2P:http://www.rbcp2p.com/index.asp
You missed the programs that the team I led at Scotabank put together, including our podcast “The Money Clip” and the online community, MyVault. www.myvault.scotiabank.com
I left the bank in January of this year, but those programs were forerunners to the other digital and social media efforts of Canadian FI’s.
Hey Jeremiah, thanks for kind words!
A couple of corrections: It’s “The Student LoanDown Blog”, not “low down”…although, nice name
and you had an “X” there. Did you mean to mention our Stagecoach Island Community? That’s a site in addition to the virual world–the blog/site supports users of the world. We also have a B2B blog, but it’s for customers only.
[…] Ongoing list of Social Media in the Financial Industry […]
Excellent post!
It’s hard to introduce solutions based on new media or social media to financial brands. Somehow they’re quite conservative.
I try to follow every interesting innovation in finance market.
I would add to your list a very interesting social network for entrepeneurs in Europe:
http://www.join2grow.biz/default.aspx#
It is a community created and supported by Fortis Bank. One of the biggest banks in Western Europe.
[…] In a follow-up to yesterday’s blog post about VISA, Jeremiah Owyang now has an ongoing list of the social media efforts from banks, credit card, financial institutions and lenders. He’s […]
Ed, thanks, I made the changes
Don’t forget about VanCity’s altrusitic endeavor: Change Everything
TD Canada’S Money Lounge on Facebook
and Visa’s recent facebook small business endeavour
The ICAEW’s IT Counts site at www.ion.icaew.com/itcounts sponsored by Microsoft is aimed at chartered accountants.
Jeremiah, The VanCity site is Change Everything not Change Anything.
Hi Jeremiah
Sorry for the late comment but I have something to add to ING. Last year they had a great campaign call “I need to go” in which you were able to download the campaign’s widget (toilet doors) to your blog’s sidebar.
Omar, thanks I updated
[…] need to figure out how to reach customers where they are, where many, are discussing their fhttp://www.web-strategist.com/blog/2008/06/23/ongoing-list-of-social-media-in-the-financial-industry…Add Listing: MarketPlace :TDWITDWI&39s marketplace displays an extensive listing of products and […]
we have one in israel that we built for jerusalem bank.
two blogs at the moment for international investment and stock market experts. the two is writing by top manegers from the bank.
http://www.bankjerusalem-blogs.co.il/
[…] Related: I did this same list for the Finance industry, see Ongoing list of Social Media Efforts from Banks, Credit Card, Financial Institutions and Lenders […]
[…] The retail world offers many examples of best practices. From great sites such as Mint.com, which can organize an individual’s financial accounts, to crowd-sourced investment ideas at the Motley Fool, there are a host of opportunities to gain from the wisdom of the crowd. Recently, Jeremiah Owyang from Forrester listed many retail examples. […]
Great post - v interesting- does anyone have any examples of social media initiatives in higher level finance organisations ie those that handle hundreds of millions of dollars investments.