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Navigating Regulatory Waters: Friend or Food? How To Stay Ahead in Financial Services

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It seems Mr Abbott is up to his old tricks again – and we’re not talking about anything to do with boats or budgie smugglers. This week, we read a Fairfax article that said the Abbott government has banned political commentary on social media sites such as Twitter and Facebook.

This isn’t the first time Mr Abbott has come out guns a-blazing about his staff’s social media interactions. In fact, my colleague Katharine Verville wrote about this back in December 2012 when another Fairfax article reported that the head office of the Abbott-led opposition party, had urged select MPs against using Twitter or tweeting on behalf of the LNP. Apparently the measure was intended to limit online ‘stuff-ups and scandals’ from Liberal MPs according to a Fairfax source.

We think Katharine’s previous post still has some sage advice – not just for Mr Abbott but also for financial services organisations that are considering to take the social media plunge but are concerned about online risk management. So here we run through our thoughts on this issue again:

Firstly, it’s true that, like any form of public communication, social media does come with risks. But is a ban really the way to go? We think not.

For politicians whose livelihood and success depends so heavily on communicating effectively with constituents, social media is a critical opportunity to speak directly to the electorate – without the media as middle man to interpret or editorialise their message. Look at Obama’s 2008 campaign, the first in history to use social media as a key campaign tool. Obama’s grassroots mobilisation centred on social media outreach. He was able to reach normally apathetic or apolitical voters through social networking sites and speak to them directly about the issues that mattered to them. As a result, when he arrived at the White House he was armed with a database of millions of supporters and the ability to engage them almost instantly.

Yes, back to that pesky risk issue – and what it means for your financial services organisation. It seems that the real issue here is how to properly equip your brand ‘ambassadors’ (or party ambassadors, as the case may be) to communicate and promote your message via social media. With the right preparation and policies, social media has the power to transform your communication strategy for the better.

So listen up, Tony – here’s our advice:

  1. Make sure your ambassadors understand your key messages. This goes for all forms of communication, whether via social media or not.
  2. Get yourself a social media policy – this should outline very clearly what topics and language are off-limits. Make sure your ambassadors understand the policy and how it applies to them.
  3. Get yourself and your ambassadors trained about how to harness each social media channel most effectively.

With these steps in place, the Liberal Party shouldn’t have to worry about a Twitter disaster. On the contrary, they’ll have a fantastic (and free!) communication tool to engage supporters and build their base at the most personal level. Really, the only thing to be scared of in social media is missing out.

To learn more about BlueChip’s social media offerings or to receive a copy of BlueChip’s online reputation risk checklist, please email social@bluechipcommunication.com.au.

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