While social media continues to help advisors acquire new business, LinkedIn tops Facebook as advisors’ preferred platform to use for business — with 52% of advisors saying they’ve increased their visibility on LinkedIn.
That’s according to American Century’s just-released seventh annual financial professionals social media adoption study, which polled 302 financial advisors, brokers and registered investment advisors.
According to the study, 46% of advisors reported acquiring business this year via social media, which is up from 43% last year, Adam Sokolic, senior vice president of client marketing at American Century Investments, told ThinkAdvisor. “We have every reason to believe the number will only continue to increase each year just has it has in each of the seven years we have done the study.”
The study also found that 55% of financial professionals said they are more likely to do business with their social media connections.
“LinkedIn’s dominance for business use continues to grow,” Sokolic said. “Advisors feel it helps them enhance their profile with clients while enhancing their business knowledge.”
However, advisors do not view LinkedIn Premium services as “essential at this point,” Sokolic said. “It will be interesting to see how that evolves in years to come as individual advisors begin to understand and leverage data analytics to drive their business. The premium services offered by LinkedIn can really help to enhance that side of things.”
What other reasons do advisors use social media? The study found that the top reason was to read commentary and market news — with 30% stating that reading expert insights was their top business use of social media.
Sokolic noted that the “level of commentary and insights has grown” on social media. “Advisors are now used to looking for content on social media; they’ve internalized it as an important ‘go-to’ place for information that they can in turn offer their clients.”
Photo source: American Century
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