The number of affluent Americans using social media is increasing, according to a survey conducted in the second quarter of this year by Spectrem Group.
The proportion of “mass affluent” Americans -- meaning individuals with a net worth between $100,000 and $1 million -- who say they use Facebook has increased steadily from 29% in 2010 to 61% this year, while the proportion of “millionaires” (net worth of $1 million to $5 million) increased from 26% to 55%. Similarly, the proportion of ultra high net worth individuals ($5 million to $25 million) who use Facebook jumped from 27% from 52% over the same period. Over the last year, this represents a 1% increase among mass affluents, a 1% decrease among millionaires, and a 5% increase among ultra high net worth individuals.
The proportion of mass affluents using LinkedIn has increased from 10% in 2010 to 31% this year, while the proportion of ultra high net worth individuals jumped from 18% to 40% over the same period; the latter figure represents an 8% increase over last year. On the other hand Twitter lags far behind, with just 7% of ultra high net worth individuals saying the use the microblogging site, along with 9% of millionaires and 11% of mass affluents. The UHNW figure represents a 1% decrease from last year.
Earlier this year a study by Cogent Research found that 34% of affluent investors use social media -- including Facebook, Twitter, LinkedIn, YouTube, and blogs -- as a source of information for personal finance and investment decisions. Within this group, 70% -- or 24% of the total -- said they have shifted investments or begun (or changed) their relationships with investment providers due to information derived from social media.