Why  Banks  need  to  become  social.  Isola5on  or  integra5on?    Ma:  Dooley  Director,  Connected  Thinking  Ltd  Former  Head  of  Digital  Experience,  Global  Commercial  Banking,  HSBC    Future  of  Digital  Finance  Hong  Kong,  24  November  2011  

Welcome  to  the  Social  Era  

Agenda  1.  Why  social  media?    2.  Social  Media  in  Asia    3.  Cases:  Isola5on  or  Integra5on?  

 Forced  Par5cipants:  •  BP  •  HSBC  

 Willing  Par5cipants:  •  First  Direct    •  Amex  

4.  What  should  you  do?  

Why  should  you  care?  

•  Over  750m  social  users  •  22%  of  all  5me  online    •  #1  ac5vity  on  the  web  •  Impacts  SEO  •  Impacts  credibility    

 Sources:  Facebook,  Neilson,  Socialnomics,  SEOmoz  

Social  media  =  people  • Connec5ons  • Conversa5ons  • Rela5onships  

• 90%  trust  peer  recommenda5ons  • Only  14%  trust  ads  

People  trust  people  not  ads  

People  influenced  by  social  media  

Social  ads  deliver!  • 3x  Ad  recall  • 3x  Awareness  • 4x  Purchase  Intent  

• 93%  of  marketers  use  social  media  for  business  

Asia  is  more  social  

The  Players  •  Facebook  dominates  •  Local  players  dominate  

North  Asia  

Usage  •  North  Asia  for  video  

watching/sharing    •  South  Asia  for    social  

networking.  

Source:  Edelman  &  Comscore  

Source: Asian Banker Research

Social  Media  Growth  in  Asia  

Social  Media  Growth  •  Highest  growth  as  you  

travel  North  

Emerging  Asia  •  Mobile  driving  growth  

and  ac5vity    •  More  ac5ve  on  social  

sites  

Most  corpora>ons  and  industries  are  very  reluctant  to  enter  into  social  media  world  

 A  genuine  fear  where  conversa5ons  are    

ü  Open  ü  Not  controlled  ü  Transparent,  and  ü  Poten5ally  viral  

Social  Media  Cases:  

Forced  par5cipants:  1.  Energy:  BP  2.  Financial  services:  HSBC  (UK)  

Willing  par5cipants:  1.  Financial  Services:  First  Direct  (UK)  2.  Financial  services:  AMEX  (US)  

BP’s  First  Disaster:  Gulf  Oil  Spill  

April 20, 2010

Q.  What  are  your  goals,  what  are  you  trying  to  accomplish  by  using  social  media?      

BP’s  Second  Disaster:  Social  Response  

Fake  TwiKer  Account:  Brandjacked!  

@BPGlobalPR  •  55,000+  within  one  week  

@BP_America  •  Under  7,000  

VS

Viral  success  @  BP’s  expense  Traffic  and  headline  news  in  one  week  •  55,000  Twi:er  followers  in  a  week    •  Online  ar5cles  •  TV  and  print:  Newsweek,  CNN,  Fox,  CNBC  

They  even  mone>sed  their  success  

•  Spoof  “BP  cares”  design  

•  Sell  t-­‐shirts  with  proceeds  to  the  cause  

Today,  BP  on  twiKer  

• Invested  in  5me  and  resources  

 

• 32,000+  followers    

• Planorm  to  drive  traffic  to  BP  sites  and  other  relevant  local  sites  

Social  integra>on  on  BP.com  

Crea5ng  dialogue,  ac5on,  empathy,  respect  and  community    •  Richer,  engaging  

content  

•  More  transparent  and  relevant  

•  Links  to  wider  network  of  sites  

on  wide  network  of  “relevant”  sites  

BP  owned     Relevant  non  BP  sites  

Response & issue related sites

and  woven  into  “new  corporate  DNA”  

Social  Media  Cases:  

Forced  par5cipants:  1.  Energy:  BP  2.  Financial  services:  HSBC  (UK)  

Willing  par5cipants:  1.  Financial  Services:  First  Direct  (UK)  2.  Financial  services:  AMEX  (US)  

HSBC  introduces  fees  on  student  accounts  

• Promised  free  GBP1,500  overdrao  for  1  year  

 

• But  introduces  9.9%  rate  for  Graduates  

 Ini5al  HSBC  response  • “Every  year  the  graduate  fee  changes  so  students  can  re-­‐evaluate  their  borrowing  needs.”  

Students  set  up  facebook  campaign  

Students  go  public  for  HSBC  to  reconsider  

• More  than  5,000  student  go  online  to  protest  

• Daily  news  –  online,  TV,  print  

HSBC  backs  down  

• Listens  to  students  • Reverse/  refund  fees  

   

Revised  HSBC  response  “….we  have  taken  the  decision  to  freeze  interest  charging”  

Students  1:  HSBC  0  

Today,  new  offering  to  Graduates  

• Promote  their  Graduate  service  on  UK  social  media  sites    

   

Social  integra>on  on  hsbc.co.uk  

• Social  Newsroom    • Plus  use  Facebook,  Twi:er,  Youtube,  Flickr  

   

And  at  “heart”  of  their  growth  strategy  

• Rumors:  social  media  is  at  heart  of  business  growth  strategy  

   

Social  Media  Cases:  

Forced  par5cipants:  1.  Energy:  BP  2.  Financial  services:  HSBC  (UK)  

Willing  par5cipants:  1.  Financial  Services:  First  Direct  (UK)  2.  Financial  services:  AMEX  (US)  

•  Truly  digital  with  no  branches  •  Seen  as  innova5ve  and  customer  service  orientated    Today,  •  84%  ac5ve  digital  banking  users    •  89%  of  customer  contact  is  digital  •  53%  of  sales  are  now  online  •  UK’s  most  loved  brand!  

   

Social  is  the  rule,  not  the  excep>on.  

First Direct: A leading social bank

Social  to  listen    

Social  for  insight  and  conversa5on  

Social  to  amplify  news  

Social  to  inspire  advocates  

Social  for  more  engaging  ads  

Social  for  brand  engagement  and  teaser……  

First Direct Buddy Video

FD’s  iPhone  Apps  •  First  UK  Bank  to  launch  a  “Bank  on  the  go”  app  in  January  2011  

Social  for  trust,  respect,  and  results  

Social  for  product  feedback,  sugges5ons  and  test  ideas  

Social  Media  Cases:  

Forced  par5cipants:  1.  Energy:  BP  2.  Financial  services:  HSBC  (UK)  

Willing  par5cipants:  1.  Financial  Services:  First  Direct  (UK)  2.  Financial  services:  AMEX  (US)  

Amex  driving  community  and  business  

•  7  million  registered  businesses  •  Resources  and  network  to  grow  •  Connect  peers  •  Celebrity  experts  provide  advice  

and  discussion.  

   

Small  Business  Saturday  

Last  Year  Results:  •  41  officials  from  27  states  

declared  it  a  holiday.  •  28%  boost  in  sales  in  stores  

accep5ng  Amex  •  Largest  ever  small  business  

community  on  Facebook        

A  real  grassroots  movement!      

American  Express  >es  up  with  Foursquare:  “Check  in  and  save”    

•   Offer  foursquare  users  "coupon  less,  hassle-­‐free  savings  within  the  foursquare  app.”  

•  AmEx  card  holders  simply  link  their  credit  cards  to  foursquare  and  deals  and  discounts  are  automa5cally  applied.  

•  Ini5al  offers  @  popular  stores  (H&M)  and  some  restaurants  in  NYC  

Isola>on  or  Integra>on?  

1.  BP            Integra5on        2.  HSBC          Integra5on  3.  First  Direct        Integra5on  4.  AMEX            Integra5on  

So  what  should  you  do?  

As  a  minimum    

1.  Social  Media  Monitoring  –  brands,  products,  compe5tors  2.  Iden5fy  your  social  stakeholders  -­‐  nominate  a  “Champion”  and  Commi:ee  3.  Social  Media  Policy  

Listen  •  Iden5fy  unhappy  

customers  •  Iden5fy  their  pain  

points  •  Watch  for  customer  

complaints  •  Look  for  advocates  

Act  &  Respond  •  Fix  problem  or  relevant  

informa5on  •  Help  your  customer  •  Improve  product/service  •  Improve  process  

Results  •  Be:er  customer  

rela5onship  •  Improved  brand  

reputa5on  •  Improved  product/

service  •  New  Ideas  

Then,  use  social  media  to  funnel  sales  traffic    

         

Connect,  build  rela>onships,  and  track  right  through  to  sales  

One  final  thought  

ABS  has  launched  a  Facebook  branch  

Thank  you!    Email:    ma:@connectedthinking.asia  linkedIn:    ma:hew  dooley  Twi:er:  ma:ldooley