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Social Media Marketing

Strategies Adopted by

Financial Services Industry

in Emerging Economies

Market Intelligence Report

Reference code: TE0005MR

Published: September 2012

BRICdata

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EXECUTIVE SUMMARY

Social Media Marketing Strategies Adopted by Financial Services Industry in Emerging Economies

© BRICdata. This product is licensed and is not to be photocopied Published: September 2012

1 Executive Summary

Brazil

Social media represents a valuable opportunity for banks and financial service companies in Brazil. As internet

access increases, a growing number of Brazilians are becoming social networking users and banks are

developing their processes accordingly to be able to respond to web-oriented consumers.

Almost XX% of an average Brazilian’s total online activity is spent on time social networking sites, making it one

of the leading online activities in the country.

Banks and financial services institutions are engaging customers on social media, which is shaping up as a

strong channel for promoting new schemes, identifying customer needs and receiving feedback online.

Brazilian banks have begun to use video sharing sites such as the YouTube for the purposes of posting videos

relating to products and services, key developments, events and conferences.

Banks are marketing their services by posting presentations and brochures on document sharing sites such as

Slideshare.

Banks have still not fully exploited the benefits pertaining to their presence on social networks and need to find

more innovative ways to gain followers.

Other challenges comprise the limited adoption of social networking by banks due to threats pertaining to

negative brand perception.

China

With almost one-third of the population connected to internet, social media has become a popular marketing tool

in China.

Popular websites such as Facebook, YouTube, and Twitter are banned by the Chinese government. There are

two promising, government sanctioned, social networks in the country: Renren and Kaixin001.

Social media marketing is still in its early stages in the banking, financial services and insurance (BFSI) sector in

China. The low levels of adoption are primarily due to the amount of negative feedback posted by Chinese

nationals on bulletin boards – which allow users to anonymously post their experience of products − and rigged

negative product reviews posted by competitors.

With more than XXX million users active on social networks, blogs, microblogs, and other online communities,

China's social media user base is driving banks and financial institutes to maintain an active presence on social

networks.

Since the purchasing decisions of internet users in China are influenced by digital marketing campaigns, banks

are increasing their presence on social network sites to connect to the customers.

While YouTube is banned in China, netizens are active on video sharing platforms such as Youku and Tudou.

Banks in China are adopting a cautious approach towards social media marketing, and are using this channel to

inform consumers about products and services, share annual performance reports and educate consumers about

account security.

Restricted access to global social media platforms remains an impediment for social media marketing growth.

Greater investment in analytics tools, dedicated social media teams and a focus on location-based marketing are

some of the factors which will be key focus areas for financial services companies going forward.

India

Banks and financial services companies are improving their presence on social media sites to promote new

schemes, identify user needs and receive feedback. The increased usage of social media is driven by increasing

internet penetration rates and a rise in the adoption of mobile phones.

India’s mobile subscriber base reached XXX million in March 2012, making mobile devices the preferred medium

for accessing social networking sites.

Facebook and Orkut are the leading social media sites in the country, while Twitter and micro blogging websites

are gaining in popularity.

Social media marketing is gaining in popularity in the Indian BFSI sector as banks are using this medium to

educate consumers about new products and services, identify consumer needs and receive feedback.

The rising competitiveness in public sector banks, coupled with increases in performance accountability, is

driving nationalized banks to improve their presence on social networks. Private sector banks are using social

media marketing to a great extent, with banks such as ICICI Bank leading social media marketing initiatives.

Social media penetration remains limited to urban India.

EXECUTIVE SUMMARY



While private banks are improving their social media presence, nationalized banks are starting to adopt social

media marketing strategies.

Insurance companies are beginning to employ social media marketing strategies to heighten their competitive

differentiation. State-owned life insurance company, Life Insurance Corporation (LIC) of India − and other private

insurance companies − are actively using social networking sites to educate consumers about insurance

products and to highlight the benefits pertaining to owning coverage.

Moving away from urban centers and penetrating rural markets with social media marketing services will be a key

focus area over the medium-term future. Most banks and insurance companies create social media marketing

content in English, which excludes subscribers who are not well versed in English and therefore almost

exclusively use Indian-language social media sites.

Social media is expected to play a larger role in the overall marketing strategy of BFSI companies in the future,

as consumers place a greater emphasis on social networks to derive information and receive peer-level

recommendations.

Indonesia

With XX million internet users − of which XX% are mobile internet consumers − Indonesia is becoming a key

market for all social networking sites, with Twitter and Facebook reporting a significant growth in market

penetration rates.

Being a key market for social networking, Indonesia is a vital territory for banks to establish a social network

presence.

Indonesians are highly active on social networks and most interactions are conducted over smartphone

platforms.

A new set of companies is emerging in Indonesia, which aim to combine social networking with e-commerce,

driving the social media presence of financial service companies.

Digital sales have significant potential as the financial services sector is driven by the rising popularity of

smartphones. Attractive data plans offered by telecom operators, coupled with a growing network of merchants,

is anticipated to drive the social commerce market.

Though companies in Indonesia’s BFSI sector have made investments to strengthen their social media presence,

little has been done to structure and analyze the results of social media interactions.

Social media’s growing user base has driven banks and financial services companies to establish a presence on

such sites. However, most companies don't have a dedicated social media strategy.

The future of social media marketing in Indonesia lies in increased access through smartphone platforms, the

integration of technologies such as augmented reality, location-based services and a greater focus on social

media based commerce.

Russia

In Russia, social media marketing is recording strong levels of growth as internet penetration rates increase, and

mobile subscriber rates rise.

Social networking is a key driver of mobile internet usage as Russians use their mobile phones to access social

networking sites such as Odnoklassniki.ru and Vkontakte.ru.

In addition to informing consumers about new products and services, addressing complaints and seeking

feedback, banks have begun to advertise their charity-related initiatives on social networks involving their fan

base in such initiatives to build brand equity and creditability.

The next steps for social media marketing include the integration of social networks with bank's existing internet

banking applications.

Video sharing sites attract a high volume of traffic in Russia, which is driving banks and financial services

companies to use this platform to post videos related to initiatives and investor presentations.

Russian banks are improving their presence on social networks and the next step for these banks is the

integration of internet banking with social networks. Banks are also aiming to provide remote access to banking

services through social media platforms such as Facebook, Classmate, Twitter and In Touch.

A high volume of traffic to blogging sites presents financial services companies with opportunities to build brand

equity.

Linguistic barriers for non-Russian companies are a key challenge with regards to posting on social networks.

Russian firms will continue to use video marketing campaigns and social gaming to heighten the awareness of

their brand.

EXECUTIVE SUMMARY



South Africa

With XX million active mobile devices in the country, smartphones are the preferred medium for accessing the

internet and social networks in South Africa.

South Africa has an active social networking user base with MXit reporting more than XX million registered users

and XX,XXX new registrations per day.

Social media is increasingly being used as a marketing tool in South Africa’s BFSI sector. Financial services

companies are using this tool to promote and educate consumers about their products and services in addition to

addressing consumers concerns.

First National Bank is using social media platforms to distribute basic banking products.

A new set of companies focused on social lending and borrowing are expected to help evolve the nation’s social

media marketing practice.

Social networks are underutilized as a marketing tool in South Africa, and typically firms don't have a well-

formulated social media strategy.

While there is an increased in the uptake of social media marketing, the platform is primarily being used as a

communication and advertising tool. It is anticipated that in the future companies will invest in analytics tools to

use this platform to obtain useful information about user segments and key demographics, to help create more

customized offerings.

South Korea

South Korea is well known for its high levels of internet connectivity. The nation has an internet penetration rate

of over XX% due to government investments in developing communications infrastructure, coupled with low-cost

data access plans.

South Korea remains one of the few countries where local social networks dominate over popular social

networking sites such as Facebook and Twitter. Cyworld is the nation’s leading social networking site, with over

XX million users.

The high usage of social networks is driving banks and financial institutes to adopt social media marketing to

better communicate with consumers.

Social networks, blogs, video sharing sites and social commerce are some of the country’s most popular sites,

creating an attractive platform for marketing and advertisements.

In countries such as South Korea, where the adoption of local social networking sites is greater than other global

social networks such as Twitter and Facebook, companies are required to customize their communication

strategy to suit local users.

UAE With a mobile phone penetration rate of over XXX%, mobile devices are the medium of choice for social network

access with more than XX% of mobile phones in UAE being smartphones.

Social media marketing is gaining in popularity, however, companies are typically using it to inform consumers

about their credit card campaigns and other such product launches, little is being done with respect to the

analysis of the social media communication of users to better understand their needs and preferences and

customize products accordingly.

Video sharing sites are growing in popularity and are being used by banks as a channel to reach end users.

The biggest challenge to social media marketing remains the severe punishments imposed by the courts for

defamation on social networks. In addition to this, the government has banned Orkut, flicker, and Hi5.

Well-defined social media strategies and the rise of smartphones as a platform for social media interaction are

considered the key growth drivers.

TABLE OF CONTENTS



TABLE OF CONTENTS

1 Executive Summary ................................................................................................................................ 2 2 Social Media Marketing Opportunities in Brazil ................................................................................... 9

2.1 Introduction to Social Media Marketing in the BFSI Sector in Brazil ......................................................... 9

2.1.1 Key social networking sites in Brazil ....................................................................................................... 10

2.1.2 Social media marketing in the BFSI Sector ............................................................................................ 11

2.2 Key Social Media Marketing Trends in the BFSI Sector in Brazil ........................................................... 12

2.3 Case Example ......................................................................................................................................... 14

2.3.1 Banco Central do Brasil (BCB) ................................................................................................................ 14

2.3.2 Brazilians banks and their presence on social networks ........................................................................ 16

2.4 Challenges............................................................................................................................................... 18

2.5 Future of Social Media Marketing in the BFSI Sector in Brazil ............................................................... 19

3 Social Media Marketing Opportunities in China ................................................................................ 20

3.1 Introduction to Social Media Marketing in the BFSI Sector in China ...................................................... 20

3.1.1 Key social networking sites in China ....................................................................................................... 21

3.1.2 Social media marketing in the BFSI sector ............................................................................................. 21

3.2 Key Social Media Marketing Trends in the Chinese BFSI Sector ........................................................... 22

3.3 Case Examples ....................................................................................................................................... 24

3.3.1 China Merchants Bank (CMB) ................................................................................................................ 24

3.4 Challenges............................................................................................................................................... 25

3.5 Future of Social Media Marketing in China ............................................................................................. 26

4 Social Media Marketing Opportunities in India .................................................................................. 27

4.1 Introduction to Social Media Marketing in India’s BFSI Sector ............................................................... 27

4.1.1 Key Social Networking Sites in India ...................................................................................................... 28

4.1.2 Social media marketing in India’s BFSI sector ........................................................................................ 29

4.2 Key Social Media Marketing Trends in the BFSI Sector in India ............................................................ 30

4.3 Case Examples ....................................................................................................................................... 32

4.3.1 ICICI Prudential Life Insurance ............................................................................................................... 32

4.3.2 HDFC Bank ............................................................................................................................................. 34

4.4 Challenges............................................................................................................................................... 35

4.5 Future of Social Media Marketing in the BFSI Sector in India ................................................................ 36

5 Social Media Marketing Opportunities in Indonesia.......................................................................... 38

5.1 Introduction to Social Media Marketing in the Indonesian BFSI sector .................................................. 38

5.1.1 Key social networking sites in Indonesia ................................................................................................ 39


5.2 Key Social Media Marketing Trends in Indonesia’s BFSI Sector ............................................................ 40

5.3 Case Examples ....................................................................................................................................... 43

5.3.1 Bank Mandiri ........................................................................................................................................... 43

5.4 Challenges............................................................................................................................................... 44

5.5 Future of Social Media Marketing in Indonesia’s BFSI Sector ................................................................ 45

6 Social Media Marketing Opportunities in Russia ............................................................................... 46

6.1 Introduction to Social Media Marketing in Russia’s BFSI sector ............................................................. 46

6.1.1 Key social networking sites in Russia ..................................................................................................... 47

TABLE OF CONTENTS



6.1.2 Social media marketing in Russia’s BFSI sector .................................................................................... 48

6.2 Key Social Media Marketing Trends in the Russian BFSI Sector ........................................................... 48

6.3 Case examples ........................................................................................................................................ 50

6.3.1 Promsvyazbank ....................................................................................................................................... 50

6.3.2 Sberbank ................................................................................................................................................. 52

6.4 Challenges............................................................................................................................................... 53

6.5 Future of Social Media Marketing in the Russian BFSI Sector ............................................................... 54

7 Social Media Marketing Opportunities in South Africa ..................................................................... 55

7.1 Introduction to Social Media marketing in the South African BFSI sector .............................................. 55

7.1.1 Key social networking sites in South Africa ............................................................................................ 56

7.1.2 Social media marketing in South Africa’s BFSI sector ............................................................................ 56

7.2 Key social media marketing trends in South Africa’s BFSI Sector.......................................................... 57

7.3 Case Examples ....................................................................................................................................... 59

7.3.1 First National Bank .................................................................................................................................. 59

7.3.2 Standard Bank ......................................................................................................................................... 60

7.4 Challenges............................................................................................................................................... 61

7.5 Future of social media marketing in South Africa ................................................................................... 62

8 Social Media Marketing Opportunities in South Korea ..................................................................... 63

8.1 Introduction to Social Media Marketing in South Korea’s BFSI Sector ................................................... 63

8.1.1 Key Social Networking Sites in South Korea .......................................................................................... 64


8.2 Key Social Media Marketing Trends in South Korea’s BFSI Sector ....................................................... 64

8.3 Case Examples ....................................................................................................................................... 66

8.3.1 Kookmin Bank ......................................................................................................................................... 66

8.3.2 Citibank Korea ......................................................................................................................................... 68

8.4 Challenges............................................................................................................................................... 69

8.5 Future of Social Media Marketing in South Korea................................................................................... 70

9 Social Media Marketing Opportunities in the UAE ............................................................................ 71

9.1 Introduction to Social Media Marketing in the UAE’s BFSI Sector.......................................................... 71

9.1.1 Key social networking sites in the UAE ................................................................................................... 72

9.1.2 Social media marketing in the BFSI Sector ............................................................................................ 73

9.2 Key Social Media Marketing Trends in the UAE ..................................................................................... 73

9.3 Case Examples ....................................................................................................................................... 75

9.3.1 Standard Chartered ................................................................................................................................. 75

9.3.2 Mashreq Bank ......................................................................................................................................... 76

9.4 Challenges............................................................................................................................................... 77

9.5 Future of Social Media Marketing in the UAE ......................................................................................... 78

10 Appendix ................................................................................................................................................ 79

10.1 What is this Report About? ...................................................................................................................... 79

10.2 Definitions ................................................................................................................................................ 79

10.3 Methodology ............................................................................................................................................ 80

10.4 Disclaimer ................................................................................................................................................ 81

TABLE OF CONTENTS



LIST OF FIGURES

Figure 1: Social Networking Sites in Brazil by Total Unique Visitors, Dec 2010 vs Dec 2011 ............................................................ 10 Figure 2: Facebook vs Orkut, User Growth Comparison, Brazil .......................................................................................................... 11 Figure 3: Banco do Brasil with an active presence on video sharing site, YouTube .......................................................................... 12 Figure 4: Banks Using Slideshare in Brazil ........................................................................................................................................... 13 Figure 5: Uploaded video views of Banco Central do Brasil ................................................................................................................ 14 Figure 6: Snapshot of Banco Central do Brasil’s Twitter Presence ..................................................................................................... 15 Figure 7: Bank of Brazil, the Most Cited Bank on Social Networks in Brazil ....................................................................................... 16 Figure 8: Twitter Remains the Most Popular Social Networking Site Among Financial Services Companies .................................. 17 Figure 9: Barriers in Adopting Social Media, March 2010 ..................................................................................................................... 18 Figure 10: Frequency of Social Network Visits by Chinese Users ....................................................................................................... 21 Figure 11: Snapshot of Social Media in China, 2011 ............................................................................................................................. 22 Figure 12: High Percentage of Chinese Internet Users Refer to Digital Media before Making Purchases ......................................... 23 Figure 13: Chinese Users Share More Negative than Positive Reviews on Social Networking Sites ................................................ 25 Figure 14: Leading Social Networking Sites in India, July 2010 ........................................................................................................... 28 Figure 15: Fan Growth of Indian Banks on Social Networking Sites.................................................................................................... 29 Figure 16: Internet Activity of Urban and Rural Population in India ..................................................................................................... 30 Figure 17: Snapshot of ‘Living Your Passion’, a Social Initiative Launched by ICICI Bank ................................................................ 32 Figure 18: Adoption of ‘Living Your Passion’, a Social Initiative Launched by ICICI Bank ................................................................ 33 Figure 19: HDFC Bank Advertising Products on Social Networks by Posting Similar News Articles ............................................... 34 Figure 20: Social Networking Users in India, 2012−2016 ...................................................................................................................... 36 Figure 21: Social Networking Users in Indonesia, 2011 (in millions) ................................................................................................... 39 Figure 22: Social Network Users in Selected Countries (as a Percentage of Internet Users), May 2011 ........................................... 39 Figure 23: Snapshot of Wishkoo.com, Combining Social Networking with E-Commerce .................................................................. 41 Figure 24: Usage of E-Commerce Sites by Indonesians ....................................................................................................................... 42 Figure 25: Snapshot of Mandiri Fiesta Adverts on Facebook ............................................................................................................... 43 Figure 26: Mobile Consumers in Indonesia, December 2011 ................................................................................................................ 45 Figure 27: Snapshot of Social Media in Russia, 2011 ........................................................................................................................... 47 Figure 28: Average Hours Spend on Social Networking Sites per Visitor in Russia, October 2011 .................................................. 50 Figure 29: Snapshot of Promsvyazbank’s social media initiative launched on Facebook ................................................................. 51 Figure 30: Online Savings App. Launched by Sberbank, Combining Social Media with Mobile Applications .................................. 52 Figure 31: Social Networking Users in South Africa, 2011 ................................................................................................................... 56 Figure 32: Snapshot of RainFin, Providing P2P Social Lending in South Africa ................................................................................ 57 Figure 33: Majority of South African Social Networking Users Track their Banks on Facebook ....................................................... 58 Figure 34: Snapshot of RbJacobs Twitter Wall, FNB’s Social Networking Face ................................................................................. 59 Figure 35: Snapshot of Online Spat Between FNB and Standard Bank ............................................................................................... 61 Figure 36: Handset Type Amongst Mobile Users Aged 16−64 Years (Primary Phone) ....................................................................... 64 Figure 37: Incidence of Application Usage and Median Number of Applications Used ...................................................................... 65 Figure 38: Snapshot of KB Dream Talk Installment Savings Account Launched by Kookmin Bank ................................................. 67 Figure 39: Areas of Social Media Requiring Improved Approaches .................................................................................................... 70 Figure 40: The UAE Leads Facebook Penetration Rates in the Arab Region, (%), December 2010 ................................................... 72 Figure 41: Number of Active Twitter Users in Arab Nations ................................................................................................................. 72 Figure 42: Survey Results Depicting the Value of Social Media in UAE, 2011 .................................................................................... 74 Figure 43: Snapshot of Mashreq Bank’s Presence on Facebook ......................................................................................................... 76

TABLE OF CONTENTS



LIST OF TABLES

Table 1: Market Environment for Social Media Marketing in Brazil ........................................................................................................ 9 Table 2: Response rate of Brazilian Banks on Consumer Complaints Posted on Social Networks .................................................. 16 Table 3: Market Environment for Social Media Marketing in China ...................................................................................................... 20 Table 4: Market Environment for Social Media Marketing in India ....................................................................................................... 27 Table 5: Presence of Private and Nationalized Banks on Social Networks ......................................................................................... 31 Table 6: Market Environment for Social Media Marketing in Indonesia ............................................................................................... 38 Table 7: Market Environment for Social Media Marketing in Russia .................................................................................................... 46 Table 8: Presence of Banks and Insurance Companies on Social Networks in Russia ...................................................................... 48 Table 9: Top-10 Russian Online Video Sites by Total Unique Viewers (000) May 2011 ...................................................................... 49 Table 10: Market Environment for Social Media Marketing in South Africa ......................................................................................... 55 Table 11: Market Environment for Social Media Marketing in South Korea, 2011 ............................................................................... 63 Table 12: Top Global Market, Blogs Usage, June 2011 ......................................................................................................................... 65 Table 13: Personal Information Leaked from Social Networks in South Korea ................................................................................... 69 Table 14: Market Environment for Mobile Marketing in UAE, 2011 ...................................................................................................... 71 Table 15: BRICdata Social Media Marketing Definitions ....................................................................................................................... 79

SOCIAL MEDIA MARKETING OPPORTUNITIES IN THE BFSI SECTOR IN

BRAZIL



2 Social Media Marketing Opportunities in Brazil

This chapter provides insights into the current status of social media marketing in Brazil’s BFSI sector, and details how this

is likely to evolve in the future. Section 2.1 provides an introduction to social media marketing highlighting the business,

infrastructure and consumer drivers. Section 2.2 provides information on the key trends in the social media marketing

sector. Section 2.3 provides specific case examples followed by key challenges, in section 2.4, and the future direction of

social media marketing in section 2.5.

2.1.1 Key social networking sites in Brazil

Orkut was the leading SNS in Brazil in 2010; Facebook overtook Orkut for the first time in August 2011

In December 2011, the total unique visitors to Facebook registered an annual growth rate of XXX%, representing XX.X

million users. The average pages visited per visitor rose from XX in December 2010 to XXX in December 2011 with

average minutes per visitor measuring XXX.X in December 2011.

Figure 1: Social Networking Sites in Brazil by Total Unique Visitors, Dec 2010 vs Dec 2011

Source: comScore © BRICdata

12,379

32,671

11,801

8,939

1,120

0

1,319

0

36,098

34,419

13,301

12,499

4,901

4,300

4,029

3,182

192%

5%

13%

40%

338%

206%

Facebook.com

Orkut

Windows Live Profile

Twitter.com

Vostu.com

Google Plus

Tumblr.com

LinkedIn.com

2010

2011

% Change


CHINA



3 Social Media Marketing Opportunities in China

This chapter provides insights into the current status of social media marketing in the BFSI sector in China and how this is

likely to evolve in the future. Section 3.1 provides an introduction to social media marketing highlighting the business,

infrastructure, and consumer drivers. Section 3.2 provides information on the key trends in the social media marketing

sector. Section 3.3 provides specific case examples followed by key challenges in section 3.4 and future direction of social

media marketing in section 3.5.

3.1.1 Key social networking sites in China

The online landscape in China varies significantly from other economies. Popular websites such as Facebook, YouTube,

and Twitter are banned under government sanctions. Despite internet users having profiles on multiple social networks,

the county’s two leading social networks are: Renren and Kaixin001.

Figure 10: Frequency of Social Network Visits by Chinese Users

Source: iResearch China © BRICdata

One Social Network, 27.1%

Two Social Network, 27.2%

Three Social Network, 29.1%

Four Social Network, 8.9%

Five or above Five Social Network, 27.1%


INDIA



4 Social Media Marketing Opportunities in India

This chapter provides insights into the current status of social media marketing in the BFSI sector in India and how this is





4.1.1 Key Social Networking Sites in India

Facebook and Orkut are the largest social media sites in the country, while Twitter and micro blogging websites are

gaining momentum.

Figure 14: Leading Social Networking Sites in India, July 2010

Source: BRICdata analysis © BRICdata

20,87319,871

4,4323,341 3,267

0

5,000

10,000

15,000

20,000

25,000

Facebook Orkut Bharat Student Twitter Linkedin

Total Unique Visitors ('000)


INDONESIA



5 Social Media Marketing Opportunities in Indonesia

This chapter provides insights into the current status of social media marketing in the BFSI sector in Indonesia and how

this is likely to evolve in the future. Section 5.1 provides an introduction to social media marketing highlighting the

business, infrastructure, and consumer drivers. Section 5.2 provides information on the key trends in the social media

marketing sector. Section 5.3 provides specific case examples followed by key challenges in section 5.4 and future

direction of social media marketing in section 5.5.

5.1.1 Key social networking sites in Indonesia

According to the Pew Research Center, emerging markets such as Indonesia have a higher social media penetration as a

percentage of internet users compared to developed markets. This trend is primarily observed in countries with low

internet penetration rates. Indonesia social network penetration as a percentage of internet users measured XX%

compared to XX% in the US in May 2011.

Figure 22: Social Network Users in Selected Countries (as a Percentage of Internet Users), May 2011

Source: Pew Research Center © BRICdata

86%

86%

72%

60%

59%

56%

Indonesia

Russia

India

USA

Mexico

China


RUSSIA



6 Social Media Marketing Opportunities in Russia

This chapter provides insights into the current status of social media marketing in Russia’s BFSI and how this is likely to

evolve in the future. Section 6.1 provides an introduction to social media marketing highlighting the business,




6.1.1 Key social networking sites in Russia

Social media has become an integral part of everyday life for many internet subscribers in Russia. In 2011, XX.X million

internet users or XX% of the online population were members of social networking sites. Russian internet users are known

to be one of the heaviest users of social networking sites globally.

Figure 27: Snapshot of Social Media in Russia, 2011

Source: BRICdata analysis and comScore © BRICdata

75%

25%

Online Population – 66.5 million in 2011

Presence on Social Networking Sites

Yet to register on Social Networking Sites

75% or 49.9 million internet users

registered on social networking sites in Russia in 2011

In 2010, Russian internet users were

ranked#1 globally in terms of time spent online on social networking sites

In 2010, Vkontakte.ru was the leading

social networking site in Russia with 27.8 million visitors, followed by Odnoklassniki with 16.7 million visitors

Over 25% of the internet users conduct

research on social media websites before making a purchase


SOUTH AFRICA



7 Social Media Marketing Opportunities in South Africa

This chapter provides insights into the current status of social media marketing in South Africa’s BFSI sector in and how





Use of social networks remains limited in South Africa

Although the main South African banks have begun to utilize social media marketing, its adoption still remains limited.

According to a survey conducted by online research company Columinate, while XX% of internet banking customers login

to access internet banking services X−X times every week, XX% of these spend less than XX minutes accessing internet

banking services. In addition, only XX% of the surveyed respondents stated that they follow their banks on social

networks. The survey highlights that the most popular internet banking activities include accessing account statements

(XX%), money transfers (XX%), and setting up recurring beneficiary payments (XX%).

Figure 33: Majority of South African Social Networking Users Track their Banks on Facebook

Source: Columinate © BRICdata

92%

27%

12%

Facebook

Twitter

LinkedIn

14% of the surveyed user base stated that they follow their bank on social networks, out of those people, 92% follow on facebook, 27% on


SOUTH KOREA



8 Social Media Marketing Opportunities in South Korea

This chapter provides insights into the current status of social media marketing in South Korea’s BFSI sector in and how





8.1 Key Social Media Marketing Trends in South Korea’s BFSI Sector

Social networks, blogs, video-sharing sites and social commerce are some of the most popular sites in South Korea

making it an attractive platform for marketing and advertisements purposes.

Social media is one of the most popular sites accessed through smartphones

In South Korea smartphone sales have outnumbered the sale of feature phones.

Figure 36: Handset Type Amongst Mobile Users Aged 16−64 Years (Primary Phone)

Source: Nielsen’s Smartphone Insights Study © BRICdata

28%

33%

42%

49%

48%

70%

72%

73%

74%

75%

81%

90%

72%

67%

58%

51%

52%

30%

28%

27%

26%

25%

19%

10%

Feature Phone Users Smartphones Users


UAE



9 Social Media Marketing Opportunities in the UAE

This chapter provides insights into the current status of social media marketing in the UAE’s BFSI sector and how this is





9.1.1 Key social networking sites in the UAE

Facebook had a penetration rate of XX% in UAE as of December 2010 as stated by Arab Social Media Report.

Figure 40: The UAE Leads Facebook Penetration Rates in the Arab Region, (%), December 2010

Source: Arab Social Media © BRICdata

45.38

42.93

34.27 33.95

23.11

20.64

UAE Israel Bahrain Qatar Lebanon Kuwait

APPENDIX



10 Appendix

10.1 What is this Report About?

This report provides in-depth analysis of social media marketing strategies adopted by companies in the BFSI sector in

multiple countries. The report provides a detailed understanding of how social media platform is being used by financial

services companies to identify new markets, launch products, gather customer feedback and monitor brand performance.

The report provides insights into market trends, drivers, opportunities and challenges. It also provides insights into future

social media marketing strategies adopted by banks and other financial services companies to strengthen market position.

10.2 Definitions

The key market categories featured in the report are defined below:

Table 15: BRICdata Social Media Marketing Definitions

Market Definition

Social media Social media in this report refers to online communities and networking sites enabling forums for sharing

and discussing information. The primary focus of this reports research has been key social networking sites

such as Facebook, YouTube, Twitter, and Orkut.

Social media marketing Social media marketing refers to all the steps involved in marketing – product idea generation, promotion,

and consumer feedback executed through online communities, social networks and blogs.

Source: BRICdata analysis © BRICdata

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Consumer goods

Covering a broad range of areas across the consumer goods market, from interior products to fast-moving consumer

goods (FMCG), ingredients, and packaging, BRICdata offers a comprehensive insight into key consumer sectors across

fast-growing markets, identifying key trends, future innovations and growth opportunities.

Comprehensive data sets including unique primary survey-driven research creates accurate market forecasts and

understanding of the factors driving consumption behavior.

Financial services Providing detailed insights into insurance and banking markets, BRICdata’s financial services reports identify key market

opportunities, emerging technologies and channel strategies. The reports provide unique data combined with local

examples of best practice and expert insights into the market.

Retail BRICdata maintains a comprehensive database of forecasts of retail spending, along with a series of unique indicators

enabling a forward view of retailers’ prospects in emerging markets. The reports identify emerging concepts in retail,

including the nascent online and mobile retail sectors in the BRIC countries and other emerging markets.

APPENDIX



Technology

BRICdata tracks key trends and innovations, emerging technologies and markets, and the key operators in both emerging

markets and technologies. Covering a range of emerging and disruptive technologies including telecoms, social media,

online and mobile retailing, and telemedicine, BRICdata examines strategies for success, the state of the competitive

landscape and the inherent threats and opportunities in the emerging technological economy.

10.3 Methodology

All BRICdata reports are rigorously sourced and created according to a comprehensive, two-stage methodology. This

includes internal audit and primary research.

A) Internal audit

Review of in-house databases to gather existing data:

o Historic market databases and reports

o Company database

o projects database

B) Primary research

Review of the latest company strategy and asset management trends

1) Research

A. Sources

Collection of the latest market-specific data from a wide variety of industry sources:

o Government statistics

o Industry associations

o Company filings

o Broker reports

o International organizations

B. Expert opinion

Collation of opinion taken from leading industry experts

Analysis of third-party opinion and forecasts:

o Broker reports

o Industry associations

o Official government sources

C. Data consolidation and verification

Consolidation of data and opinion to create historical datasets

Creation of models to benchmark data across sectors and geographies

2) Research Analysis

Market forecasts

Feed of forecast data into market models:

o Macroeconomic indicators

o Industry-specific drivers

Analysis of Market Databases to identify trends by sector:

o Latest trends

o Key drivers of the market

3) Report Writing

Analysis of market data

Discussion of company and industry trends and issues

Integration of survey results

Annual review of trends

Standardization of market definitions using recognized industry classifications

APPENDIX



4) Quality Control

A. Templates

Detailed process manuals

Standardized report templates and accompanying style guides

Complex forecasting tool used to ensure forecast methodologies are consistently applied

QC checklists

B. QC process

Peer review

Senior-level QC

Random spot checks on data integrity

Benchmark checks across databases

Market data cross-checked for consistency with accumulated data from company filings

10.4 Disclaimer

All rights reserved.

No part of this publication may be reproduced, stored in a retrieval system or transmitted in any form by any means,

electronic, mechanical, photocopying, recording or otherwise, without the prior permission of the publisher, BRICdata.

The facts of this report are believed to be correct at the time of publication but cannot be guaranteed. Please note that the

findings, conclusions and recommendations that BRICdata delivers will be based on information gathered in good faith

from both primary and secondary sources, whose accuracy BRICdata is not always in a position to guarantee. BRICdata

can, therefore, accept no liability whatsoever for actions taken based on any information that may subsequently prove to

be incorrect.

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