New research has found the majority of financial planners may not be generating as many business leads as they could be because they are not using social media facilities like Twitter or Facebook.
The national phone survey was conducted by Zurich and was performed with a view to find out the extent to which advisers understood social media, how they used it, and how popular smartphones were. In all, 200 financial planners took part in the study.
"Australians are huge users of social media, with three quarters using some basic forms of social media. They also spend more time on social networking sites than any other nation. That tells us financial advisers, mostly the older generations of advisers, are missing out on reaching their target customers," Zurich Life general manager Colin Morgan said.
The report showed older advisers were the least likely to use social media as a form of communication, with 77 per cent of planners over the age of 45 totally ignoring this medium.
"Considering the majority of Australians have online access, it's an opportunity for advisers to catch up with those that have long been using social media," Morgan said.
"Social media is cheap, easy and you can reach your target customers without the effort of regular communication. Some networks, such as LinkedIn, are specifically business focused," he added.
Despite the advantages social media can bring, the survey revealed the main reasons among respondents for not using it were a lack of knowledge as to what it is, and a perception that it was just a waste of time.
The research also showed of the 39 per cent of advisers who used social media, 40 per cent used it for promotional purposes, 40 per cent for communication and 20 per cent to network.
