The role of LinkedIn appointments in the financial sector

Published on 07/10/2014

In the financial sector, one of the most attractive news items for the communication media are the major signings of executives by financial entities, fund managers, insurance companies… The entry of a highly prestigious professional in the world of finance is always a significant resource in the communication strategy of a company, which is why all the details of the process must be dealt with carefully. By linking the image of the entity to a new executive, a significant part of the prestige and talent that the company as a whole wants to transmit is constructed.

A few years ago, when a professional was promoted on the job or brought in from another company, the first thing they did was to call their family and friends to tell them the good news. But as in the rest of the areas, social media have revolutionized everything. Once the appointment is official, the first impulse of a majority of the professionals –aside from calling their family and friends, of course– is to update their profile on LinkedIn. Obviously, journalists also have a LinkedIn profile, and tend to have a large part of the sector among their contacts. Their job, as good professionals, is to track any new development in the network, so LinkedIn has become one of the main sources for detecting movements in the financial world.

New additions and appointments are a key communication moment for financial entities. In that sense, LinkedIn has completely changed professional relationships, and any update on this social network can lead to news for the media. But the truth is that if, in the end, the publication of an appointment is based solely on a contact update on LinkedIn, both the company and the journalist miss out on an excellent opportunity to explain the reasons for the change and the role that the new executive will play in that particular organization, which would enrich the news published substantially.

There is no doubt that social media give a lot of clues to good information, but they shouldn’t be the only source, as the appointments could become banal news, losing the informative wealth that this key moment could contribute in an entity’s communication.

Cristina Casares, Consultant. Fiancial Communication Division