Navigating Social Media Trends in 2024: Key Insights for the Financial Services Sector

Social media

June 28, 2024

With Social Media Day taking place this weekend, now seems like the perfect opportunity for us to hone in on some of the biggest social media trends and changes we’re seeing throughout 2024, specifically those within the financial services sector, in which we operate.

One thing we’ve noticed as an agency in the last year or so is the shifting effectiveness of different types of ad content across LinkedIn. It’s no secret that algorithm changes in recent years have reduced the reach of organic LinkedIn content, with many posts now only reaching around 20% of a page’s followers – a far cry from what it once was.

This ongoing trend has essentially now made the use of paid LinkedIn ads a necessity for brands who are looking to reach their intended audience and continue to grow their following at a healthy rate. As an agency well-versed in LinkedIn’s ad platform, we’ve noticed a significant shift over the last year, impacting both the ROI and cost-effectiveness of key ad types. These changes are now resulting in ad campaigns routinely generating a cost per click of under £1, meaning brands are getting more bang for their buck than before, and leading many to increase the allocation of their media budgets to LinkedIn as a result. In addition to the increased performance of LinkedIn ads, the introduction of new ad types on the platform in recent months has also enabled us to fuel LinkedIn follower growth for our clients at an unmatched pace over the last year.

With 2024 shaping up to be an exciting year for the financial services industry, let’s explore some of the key trends we’re seeing and ones to look out for.

AI & Authenticity

One of the standout insights for 2024, highlighted in Hootsuite’s Social Trends in Financial Services report, is the huge increase in AI usage in the financial sector when it comes to social content. The report reveals that 66% of companies use generative AI to ‘refine and edit’ text, a 40% increase from last year’s survey. In addition, 62% of companies use it to ‘develop new ideas’, an 88% increase from last year’s survey.

However, on the other side of this is the people consuming the content. The report reveals that 62% of consumers are less likely to engage with and trust content if they know an AI application created it.

This suggests consumer preferences towards genuine, humanised content over AI-generated copy and images. For financial companies, this means crafting more personalised and relatable content to foster trust and engagement with their audience.

While AI’s integration into social media offers numerous potential benefits, it also raises significant concerns regarding its impact on users and industries. Jessica Rusu, the FCA’s Chief Data, Information, and Intelligence Officer, has emphasised that deepfakes and other AI-generated content can pose serious risks, such as causing “individual consumer harm” or “manipulating markets.”

Entertainment is key

Another critical trend is the emphasis on entertainment. Hootsuite’s report found that after staying in touch with friends and family, the top reason for being on social media is simply to be entertained.

In addition, 34% of respondents from the research believe companies within the financial sector are overly focused on self-promotion, while 56% think brands should be more relatable.

This is a call to action for brands to transform their content strategies from merely informative to highly engaging and entertaining. This could involve creating educational yet entertaining videos, interactive content, and leveraging storytelling to make financial topics more accessible and interesting to a broader audience.

Selective use of social media channels

In the past, companies spread their presence across multiple social media platforms to reach a broader audience. However, in 2024, the trend is shifting towards streamlining strategies. According to Hootsuite’s report, companies are now focusing on the platforms that deliver the best results.

The reasons for this are the time, and budget it takes to maintain a presence on multiple social platforms. This coupled with how important it’s become to tailor social content to each network, is forcing companies to decrease the effort they’re putting in other platforms to focus on just one.

And that’s where we can come in to help you. With our capacity and intimate knowledge of social media channels and digital platforms, we can cater our services to meet your team’s unique needs – providing meaningful insights and analysis, delivering cost-effective solutions and ultimately, getting you better results. To find out more, please contact Elliot Krieger ([email protected]).