Advertising and social media.

• Author: Kincy, Jason
• Position: SOCIAL MEDIA

SINCE THE RARLY DAYS of the social media transformation of the Internet, companies, including banks, have asked how they can leverage these new platforms to market their products and services to consumers.

The conventional wisdom has been that the only way to effectively sell with social media was to "join the conversation" by establishing a brand presence on social networks like Twitter and Facebook. The goal has been to subtly share your brand message and weave product promotions into your bank's social media efforts. We had to entertain and engage, but also produce ROI.

Today, we're seeing a convergence of traditional online strategies based on targeting prospects with paid search or display ads. Marketers have partnered with social platforms to deliver advertising to the user based on characteristics such as location, age, interests and usage habits. The result is an explosion in the advertising revenue for these platforms and a new stream of advertising targeting social users. It is entirely possible to effectively leverage social networks for advertising whether or not your bank has a strong social media presence.

Many social networks offer advertising options to target prospective customers.

* Ad targeting: Most social platforms allow you to select the target audience for your ad based on varied factors. A brand building or name awareness strategy would use a broader set of criteria than a specific product offering or message, which may require a very narrow selection to reach the right audience. Geographic targeting allows you to market differently in various communities if needed.

* Display ads; Social networks use ads similar to traditional 'web banners1 you may already be familiar with. These are best used when your strategy is to get your message in front of a large number of viewers, but can still be targeted within the social network. Ads can be purchased on a per-click basis or based on views.

* Social ads: Social ads provide marketing...