Common Social Media Mistakes Financial Advisors Make: And What to Do Instead

Key Takeaways:

• You are allowed to break away from the old way of marketing and embrace 2024!
• Social media is meant to be social - don’t neglect this very important step.
• Playing it too safe will get you lost in the sea of all the other advisors, you must find a way to differentiate yourself.

Every week there seems to be a new marketing tip for financial advisors to “get ahead” of the curve. While this is great and all, having too many things thrown at you at once and all the time can get to the point of trying to do too many things at once. This can cause even seasoned marketers to get overwhelmed, not use social media effectively, and make common mistakes.

So that’s exactly what this article is going to cover: pointing out common mistakes and offering solutions you can easily implement.

Ignoring Personal Branding:

Personal branding is a unique way of creating an image of yourself to stand out personally, professionally, or both and it is often undervalued by financial advisors. Instead of using the generic practices the majority of the industry uses, you should focus on building your own strong personal brand. This helps you stand out in the online world. People aren't just investing in your financial know-how; they're also investing in you as a person.

If you want to see this in action, check out Sheryl Hickerson , CEO and Founder of Females & Finance. You will see how she still runs her business but incorporates her personal branding, especially when it comes to her hand-written notes and gifts.

Quick Tip:

Share your unique perspective, talk about what you are passionate about show what you're good at, and let your personality come through in your content. It is okay to talk about things other than finance once in a while!

Neglecting to Define a Target Audience:

“I don’t want to leave anyone out…”

A common mistake not having a specific audience to focus on. When you try to reach everyone, you instead reach no one. You have to make your messaging overly generic and in turn, it is less specific and less clear. You should know your target audience inside and out. What they need, what they want, what they like and dislike, their struggles, etc. When you know this, you can create messaging that truly connects with them. Focusing on a specific group not only gets more people interested but also brings in leads who are a good fit for what you offer.

Quick Tip:

Create a client persona or two. Have a detailed profile of your ideal client.

Blaming Compliance:

Believe it or not, compliance is not your enemy. When you don’t even try because you think compliance will reject your content, you remain stuck. Know the guidelines and work creatively within them. Most compliance departments allow more than you think, you just need to understand what you are allowed and not allowed to do on social media platforms.

Quick Tip:

Work with compliance instead of against them. Go to your compliance department with your ideas and plans and get their feedback on what you can proceed with.?

Underestimating the Power of Visual Content:

We are visual creatures so it only makes sense that visual content has the power to capture and retain your audience's interest. And I am not talking about stock images. It is easy to get sucked into text-heavy posts or sharing the same image every other advisor is sharing. The thing is, financial information can be a lot to try to consume so accompanying a post with imagery can help break down complex financial concepts in an easily digestible format. Visuals not only enhance engagement but also make your content more shareable across different social platforms and sharing posts online is a major boost in reach.

Quick Tip:

Stop using generic stock images such as compasses and people on the beach. Think about your target audience and create graphics that speak directly to them. I also highly recommend using images of yourself, your team, behind-the-scenes, etc. to better capture attention.

Ignoring the Importance of Posting Consistently:

“Start and stop marketing is stop and start success.” - Kirk Lowe , CEO at ProudMouth . This is one of my favorite quotes because it is true in the world of social media marketing. Consistency matters on social platforms for two main reasons. One, all platforms have algorithms that prioritize consistency and suppress infrequency, and two, your audience expects consistency and if you don’t give it, they will go elsewhere.

Quick Tip:

Develop a content calendar that outlines your posting schedule and ensures a steady flow of content. This is going to be one of your best practices in remaining on track.?

Failing to Engage with the Audience:

Social media is not a broadcasting platform; it's a two-way street. Financial advisors sometimes forget the importance of engaging with their audience. While there is the possibility that compliance might not allow for commenting on posts, there are ways around that hindrance which we can discuss later. The thing you need to know is that content alone does not work, it is only half of the equation. You must engage as well otherwise you are wasting time and resources creating content to post into oblivion. As for the compliance aspect, if you are not allowed to comment or respond to comments on social media, you can always tell your audience this and let them know if they have any questions, they can reach out via email or give you a call.?

Quick Tip:

Schedule time on your calendar to engage online by responding to comments, answering questions, and participating in other discussions on posts. Do not skip this step. This is a must and it must be done consistently. If you only have 10 minutes a day, then do that, but failure to engage will result in a failed social media strategy.

Ignoring Analytics and Metrics:

Do not skip this part! Checking how well your social media is doing is important for improving your strategy. You need to look at the important numbers like how much people interact, click on certain links or content, and who makes up your audience. Use this information to figure out what's good and what needs to get better. This way, you can make your social media even better and get the most out of it.

Quick Tip:

Every social media platform has analytics available for you to review. Some are more in-depth than others, but regardless, you have the data at your fingertips. Use it.

Dismissing the Importance of Storytelling:

By now you have probably heard all about the success of storytelling. It works because it creates a connection with your audience by being relatable. This doesn’t mean you have to share your private thoughts from your diary. Storytelling is an opportunity for you to paint a picture that your audience can easily connect with and almost feel. It creates an emotional connection that goes beyond numbers and charts.

Quick Tip:

Share personal or relatable stories that your audience can connect with, highlight success stories, take your audience behind the scenes, talk about milestones or celebrations, client testimonials, lessons learned, and even humorous anecdotes are welcome.

Neglecting Platform-Specific Strategies:

Not all social media platforms are created alike. Each has its own unique features and audience preferences. Don’t make the common mistake of adopting a one-size-fits-all approach, using identical content across different platforms. Sure, you can do this, but if you want to maximize your efforts, know how each platform operates so you can have a better ROI.

Quick Tip:

Tailor your content to match the specific strengths of each platform. For instance, utilize LinkedIn for professional insights, Twitter for brief updates and industry news, and Instagram for visually appealing content. Understanding the nuances of each platform maximizes your reach and engagement.

Fearing Controversy and Personality:

Yes, financial advisors need to be professional, but avoiding sharing opinions or showing your personality on social media altogether is a major misstep. Adding a bit of personality can make your brand easier to relate to and remember. Don't hesitate to share your thoughts on industry trends, as long as they match your values and won't harm your professional image. Being authentic helps you connect more deeply with your audience.

Quick Tip:

What are your favorite hobbies? Do you have a grilling secret that makes steaks even more delicious than one could have thought? Is there something you are passionate about that want to talk about more? Share these. Show who you are outside of the stock market and financial planning.

Failing to Adapt to Trends:

Just because you’re a financial advisor doesn’t mean you have to ignore trends. The social media scene is constantly changing, with trends and algorithms evolving seemingly weekly. Financial advisors who resist change may find their strategies outdated. Let me rephrase that, financial advisor marketing content is seen as outdated and boring. We need to change this now. While you don’t have to (and can’t) make TikTok videos, you can embrace trends to better connect with your audience.

Quick Tip:

Stay informed about emerging trends, such as new features on platforms, changes in user behavior, or industry shifts. Adapt your social media strategy accordingly to stay ahead of the curve and maintain relevance in the ever-changing digital landscape.

Not Leveraging Influencer Collaborations:

Can financial advisors use influencers? Absolutely. Influencer marketing is a potent strategy that financial advisors often overlook because they think it doesn’t apply to the finance world. Let me tell you, there are influencers everywhere. They have the power to bring a fresh perspective to your content, introduce your services to a broader audience, and all the while get your name out there more.

Quick Tip:

Identify influencers within the financial industry or related niches who align with your brand values. Collaborate with them to leverage their existing audience and establish credibility.

Too Long Didn’t Read:

Social media isn't just for promoting, as a matter of fact, it shouldn’t be used that way. Social media is an ongoing conversation that needs you to be adaptable, real, and understand what your audience wants. It’s called social media for a reason. Don’t be a stick in the mud.