How to make social media work for Investor Relations - January 31, 2012

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Darrell Heaps, co-founder and CEO of Q4 Web Systems (Q4), leads a session aiming to equip IRO's with the knowledge and tools to start tackling these tough questions. Social media can be a powerful tool — make sure it is one working FOR you and not against you.

How to make social media work for Investor Relations - January 31, 2012

  1. 1. How to Make Social MediaWork for YouPresented by:Darrell HeapsCo-Founder & CEO
  2. 2. EVERYBODY IS USING SOCIALMEDIA…BUT ARE INVESTORS?
  3. 3. 49% of institutional investorsread financial blogs. 33% at leastweekly Rivel Research 2011 27% pro investors use YouTube. 9% at least weekly Rivel Research 20113 out of 5 financialbloggers use Twitter as aprimary news source Financial 57%Media Conference, NYC, Feb 2011 Financial advisors report positive ROI on using Social Media LinkedFA 2012
  4. 4.   5M investors reading Seeking Alpha blogs  500k traders & investors using StockTwits.com and blog network  45M investors visiting Yahoo!Finance per month  1.6M Facebook users have investing as part of their profile
  5. 5. The  New  Informa.on  Food  Chain   Traditional Institutional Investors Investors National Media Financial Times Major Online News Hubs Forbes, WSJ Financial Bloggers Seeking Alpha & ST Network Twitter Individual Social Media Posts StockTwits
  6. 6. Social  Media  Data  Powering  Hedge  Funds   `
  7. 7. ARE INVESTOR RELATIONSPROS USING IT?
  8. 8. Social Media IR Adoption 2010 - 2011 80.00% 70.00% 60.00%Using Social Media for IR 50.00% 40.00% 2010 30.00% 2011 20.00% 10.00% 0.00% Twitter Facebook SlideShare YouTube Blogs 2010 65.00% 37.00% 11.00% 29.00% 10.00% 2011 68.00% 46.00% 45.00% 35.00% 19.00% 362 companies in 2010, expanded to 617 in 2011 Q4 Whitepaper Research
  9. 9. WHAT IS THE ROI OF SOCIALMEDIA FOR IR?
  10. 10. What  is  the  ROI  of  using  social  media  for  IR?   1. Increase market 2. Help Investors awareness “Get it” 3. Eliminate low- 4. Improve liquidity value tasks
  11. 11. WHAT ABOUT THE RISKSTHOUGH??
  12. 12. Risks  of  Social  Media  for  IR   1. Reg. FD 2. Employees 3. Misalignment 4. Being Reactive
  13. 13. HOW TO MAKE SOCIAL MEDIAWORK FOR IR.
  14. 14. Social Media for Investor RelationsSocial Networks Social Media Distribute & Engage Publish & Integrate Corporate Website IR Website
  15. 15. Publish  a  wide  range  of  content     Video with CEO or division heads, product launches, operation rollouts   Timeliness and quality of information trump video production quality.   Photos of events and operations   Investor presentations are perfect for SlideShare   Analyst days & product launches
  16. 16. How  to:   Engagement 1. Good IR Website (Tell your story & integrate SM) 2. Basic Content (PR, Events, Slides, Filings) 3. In the News & Other Updates (videos, blogs, media) 4. Live Earnings (prepare tweets with legal) 5. Other Events (Analyst day, non-deal roadshows, operations)
  17. 17. EXAMPLESTWITTER
  18. 18. Quarterly Reporting: Live-TweetingQ4 Whitepaper Research 2011
  19. 19. Live-Tweeting with StockTwits disclaimer
  20. 20. Industry-related News from Financial BlogsQ4 Whitepaper Research 2011
  21. 21. Partnerships/AcquisitionsQ4 Whitepaper Research 2011
  22. 22. Announcing new channelsQ4 Whitepaper Research 2011
  23. 23. Large  Cap  TwiGer  for  IR  Example:  $DELL     Reliable source of all investor updates   Mix of content from across Dell sources   Sharing & RTing posts, video, slides, pics   Interesting and useful to investors   Live tweeting earnings and analyst days
  24. 24. Expanded Reach “IROs spend a lot of their time talking about their company on the phone with securities analysts and portfolio managers. Establishing this one-to-many medium made it a much more efficient way for us to get that information out there to the investor and analyst community. It actually enhanced the conversations that we were having on a follow-up basis because we knew that we had established a base level of Rob Williams, VP IR at Dell understanding about a March 23, 2011 particular topic.”
  25. 25. Social Media Distribution Social distribution can expand reach of your message by 6-10x Financial web distribution reaches over 40M investors each month Corporate IR Website
  26. 26. How  to  make  sure  market  gets  your  strategy     Treat the web as a real-time perception study (aka: listen!)   Is the market echoing back your key messages and strategy?   Do they “get it”?   If not, how severe is the disconnect?   Create media assets (Video, Slides, Post, Etc.)   Publish to relevant social media service   Distribute through social networks & financial web   Add additional tweets for more context if need   Integrate everything into your website   Example: www.teekay.com
  27. 27. Corporate website social integrationTwitter contentintegrated directlyinto news tabs.Updates in real-time.Flickr, YouTube,SlideShare contentseamlessly integrated.Automatically updatesas new content ispublished.
  28. 28. Use  ques.ons  to  reduce  your  workload     If questions come from investors, respond in a timely fashion   Point to information on your website   If not comfortable answering on the fly set a Q&A time when you’ll be available to respond   Use your FAQ section on website to add questions as they come up   Direct investors to your active FAQs page on your site   Repetitive questions will go down A LOT.
  29. 29. HOW TO MEASURE?
  30. 30. Web Monitoring and Tracking   Start with free:   Google Alerts   Website Analytics   Tweetdeck & bit.ly   Upgrade for analytics on social distribution and engagement
  31. 31. Financial  social  media  monitoring    
  32. 32. DISCUSSION
  33. 33. More on Q4:www.q4websystems.comThought leadership:www.q4blog.comContact:Darrell Heaps1-877-426-7829 ext. 222darrellh@q4websystems.comtwitter.com/darrellheaps

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