This presentation was delivered at the 2009 Wisconsin Bankers Association's Tech Conference in Madison, WI. This show talked about how the impact of social media and web 2.0 tools are changing the way we build relationships with customers.

1. Banking in a Social
Networking World
Wisconsin Bankers Association
Technology Conference
September 22-23, 2009
Eric Cook, Certified Internet Business Consultant

2. Banking in a Social Networking World - WBA 2009Eric Cook, Certified Internet Business Consulta2
Did You Know Video…

3. Banking in a Social Networking World - WBA 2009Eric Cook, Certified Internet Business Consulta3
What Does This Mean For
Financial Services?

4. Banking in a Social Networking World - WBA 2009Eric Cook, Certified Internet Business Consulta4
Agenda
• “Sticky” banking
• Evolution of the web
• Social networking
– Blogs & “Fab Four”
• Social banking
• Free promotion tools
• Wrap-up and questions

5. Banking in a Social Networking World - WBA 2009Eric Cook, Certified Internet Business Consulta5
“Sticky” Banking Strategies
• Defined: Strategy used to keep customers
around and do what YOU want them to do
• Direct deposit, automatic transfers, bill
payment, financial calculators, mobile
banking, blogs, social networking, others?
• Evolving into “relationship building”

6. Banking in a Social Networking World - WBA 2009Eric Cook, Certified Internet Business Consulta6

7. Banking in a Social Networking World - WBA 2009Eric Cook, Certified Internet Business Consulta7
Why “Gen Y”

8. Banking in a Social Networking World - WBA 2009Eric Cook, Certified Internet Business Consulta8
Shifting Values
1 2 3 4 5
Traditionalists
1901 - 1924
Legacy Loyalty Discipline Logic Consistency
Boomers
1925 - 1965
Climbing the
Ladder
Money &
Status
Hard Work Idealism Competition
Gen X
1966 - 1979
Flexibility Portability Independence Change Freedom
Gen Y
1980 - 1990s
Collaboration Innovation Entertainment Speed Learning
Source: Bea Fields, Author

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Evolution of the Web
• Then (1.0)
– Basic information
source
– Online brochures
– Looks nice, but difficult
to determine
effectiveness
– Expense items
• Now (2.0)
– 24/7 sales person
– Accountable (ROI)
– Feedback
– Conversational
– Transparent
– Open to contribution

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Online Activities

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Online Advertising Spend

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Percent of Total Spend

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14. Banking in a Social Networking World - WBA 2009Eric Cook, Certified Internet Business Consulta14
What is Web 2.0?
• Web 1.0 = One-way conversation
– “Website”
• Web 2.0 = Two-way conversation
– Visitor-generated content
– Feedback and participation
– Involve and interact
• “Business 101”
– Know me, like me, trust me… do business with me

15. Banking in a Social Networking World - WBA 2009Eric Cook, Certified Internet Business Consulta15
social media is basically a
conversation
hi whats up?
social
media
What Is Social Media???

16. Banking in a Social Networking World - WBA 2009Eric Cook, Certified Internet Business Consulta16
Using Networks Such As…

17. Banking in a Social Networking World - WBA 2009Eric Cook, Certified Internet Business Consulta17
Social Network Profiles

18. Banking in a Social Networking World - WBA 2009Eric Cook, Certified Internet Business Consulta18
The Future is Now
Nearly 50 percent of senior marketing executives
believe that social media (networking) is a vital
component of corporate communications that
should be monitored at the executive level and
allocated appropriate resources.
-2008 Survey from TNS Comfony

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Use of Social Networking
Researchers predict that nearly half of all U.S. Internet
users will visit at least one social networking site on a
monthly basis by 2011, with users shifting towards
women and older users.
Key Question: Who makes the financial decisions in the
households you serve?
-2008 Survey from TNS Comfony

20. Banking in a Social Networking World - WBA 2009Eric Cook, Certified Internet Business Consulta20
Objectives of Social Media

21. Banking in a Social Networking World - WBA 2009Eric Cook, Certified Internet Business Consulta21
Customer Rankings
and Feedback
96 percent of retailers
surveyed ranked customer
ratings and reviews as an
effective or very effective
tactic to driving
conversion.
-Forrester Research and Shop.org

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Benefits of Social Media
• Product Development
• Customer Service
• Networking & Idea Sharing
• Market Intelligence (competition)
• News & Information
• Research on People (HR)
• Global Perspective
• Low Cost
• Build Your Brand
• Build Trust
Source: Marketing 2.0

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24. Banking in a Social Networking World - WBA 2009Eric Cook, Certified Internet Business Consulta24
Hello. I’m SEO.
And I’m SMO.
• Just adding pages and pages
of content as an SEO strategy
doesn’t cut it anymore
• Social Media is the new way
to take your SEO strategy to
the next level
• Social Media increases the
number of high quality links &
targeted traffic (2 of the most
important factors in SEO)
SEO & SMO Work Together

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Blogging

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27. Banking in a Social Networking World - WBA 2009Eric Cook, Certified Internet Business Consulta27
Are You Blogging?
• Approx 133 million blogs indexed since 2002 with
900,000 posts in 24 hours (Technorati.com)
• Blended term for “web” and “log” = “blog”
• Website that supports feedback and is more
conversational
• Can be developed for personal or business use
• Comments can be moderated or open
• Good “first start” for companies

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Examples of FI Blogs

29. Banking in a Social Networking World - WBA 2009Eric Cook, Certified Internet Business Consulta29
Blogging Etiquette
1. Be real & engaged
2. Provide value
3. Be accessible
4. Generate
conversations
5. Listen to opinions
6. Ask questions
7. Help others (even
competition)
8. Put others first
9. Listen to community
10.Leverage talent
Source: MarketingProfs.com

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The “Fab Four”
• Facebook
• Twitter
• LinkedIn
• YouTube

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Total Visits
Source: Compete.com

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Some Facebook Stats

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My Newest
Friend…

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Twitter-iffic

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Twitter Tidbits

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Peoples Bank Phishing Alert

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@Banking on Twitter
@CommunityBanks

38. Banking in a Social Networking World - WBA 2009Eric Cook, Certified Internet Business Consulta38
LinkedIn
• Professional networking environment
• More business focused
– Online resume
• Personal and Groups
• Connections
• Recommendations

39. Banking in a Social Networking World - WBA 2009Eric Cook, Certified Internet Business Consulta39
YouTube
• Online video site created February 2005
• Sold to Google in November 2009 $1.65B
• #2 search engine (behind Google)
• 2007 vs. 2000 bandwidth consumption
• Flip camera
• Examples…

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Landmark BankVideo Channel

41. Banking in a Social Networking World - WBA 2009Eric Cook, Certified Internet Business Consulta41
Consider Integrated Approach
• Consider social media as one
leg of the chair
• Identify what offline efforts are
currently underway
• Use to drive traffic to your end
goal
• Leverage tools to aggregate
your message (ping.fm)

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E-Mail Is Cost-Effective
Search
Engine
Advertising
eMail Yellow
Pages
Banner Ads Direct MailSearch
Engine
Advertising
eMail Yellow
Pages
Banner Ads Direct Mail
1.7x1x
4.1x
6.9x
34.3x
2.4x
1x
5.9x
7.1x
8.2x
Cost per Lead Cost per Customer

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Why E-Mail Marketing
• Saves Time: Putting together a direct mail
campaign can take weeks vs. a matter of hours
• Quick Response: Recipients can respond
instantly, meaning an immediate impact on sales
• Lower Costs: 30x more effective at lead
generation than direct mail and avoids fixed costs
like printing and postage
• Measurable ROI: You can see who clicks and
visits your site to track activity and effectiveness

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Social Banking
• Mint.com, Wasabe.com, QuickenOnline &
Geezeo.com
– Web-based account aggregators and financial planning tools
– Accounts, tips from other members and goals (budgeting tools)
– Some even offer “social networking” for connections
• MoneyIsle.com, Prosper.com and LendingClub.com
– Provide P2P saving/lending capabilities
• SmartyPig.com - Provides users a way to save for a
goal and invite others to help

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Online PFMs
Source: Compete.com

46. Banking in a Social Networking World - WBA 2009Eric Cook, Certified Internet Business Consulta46
Mint.com

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USAA - Mobile Deposits

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52. Banking in a Social Networking World - WBA 2009Eric Cook, Certified Internet Business Consulta52
Some Free Promotion Tools

53. Banking in a Social Networking World - WBA 2009Eric Cook, Certified Internet Business Consulta53
Podcasting
• TalkShoe.com
• BlogTalkRadio.com
• InstantConference.com

54. Banking in a Social Networking World - WBA 2009Eric Cook, Certified Internet Business Consulta54
Webinars
• DimDim.com
• Also…
– GoToMeeting/Webinar
– WebEx

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Whitepapers & Articles
• DocStoc.com
– “Community Bankers
Guide to Social
Network Marketing” by
Jesse Torres

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Presentations
• SlideShare.net
– Embeds into
LinkedIn

57. Banking in a Social Networking World - WBA 2009Eric Cook, Certified Internet Business Consulta57
Online Tutorials
• JingProject.com
– Provides free screen
capture for images and
video (up to 5 minutes)
– Easily share online for
training and education
– Full version <$20/year!

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Reputation Monitoring
http://www.google.com/alerts

59. Banking in a Social Networking World - WBA 2009Eric Cook, Certified Internet Business Consulta59
Dealing with Negativity
• Realize you cannot control conversations
• Opportunity for feedback
• Gain respect by accepting criticism
• Address open and honestly
• Let the world see how you handle
problems

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Critical Success Factors
• Be yourself
– Not John Mackey, CEO of Whole
Foods
• Be responsive
• Contribute and give back
• Don’t sit on the sidelines

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It Takes Balance…

62. Questions
Eric Cook
Certified Internet Business Consultant
eric@PoweredByWSI.com
www.PoweredByWSI.com/WBA2009
(269) 841-5007

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