A recent poll of economists from the Wall Street Journal puts the chances of a recession in 2023 at 61%. As businesses navigate a volatile market, you, as an IR professional, must maintain the trust of stakeholders, demonstrate stability, and show a clear path to success. Clear communication during economic uncertainty is critical. In fact, the consequences of insufficient or unsuccessful communication from investor relations teams can be disastrous … for you or your company.
Our experience has shown us that when you need to instill confidence that your company has prepared for a potentially challenging economic road, holding a virtual investor’s day, also referred to as an analyst day, is the best way to deliver your message effectively. We invite you to read about why a virtual investor day may just be your most promising option for convincing your stakeholders to continue to trust your company.
When economic conditions are unpredictable, many participants across the capital markets are concerned with every dollar they spend. Virtual investor days allow you to effectively connect with analysts, shareholders, and potential investors while minimizing costs in a volatile market. Instead of spending money on expenses like air travel and hotels, your audience can virtually participate in an investor day without breaking their expense accounts.
Not only do virtual events save costs for your audience of potential investors and analysts, they also save your organization money. Because virtual investor days require less air travel, hotel bookings, executive cars, hosting dinners, and other administrative costs, the expense of a virtual investor day is significantly less than hosting an in-person event. For example, an article published by the American Bar Association states that, on average, virtual events are 75% less expensive to execute compared to live events. You can take full advantage of these savings by reallocating funds to other parts of your IR program, saving you time and resources when every dollar counts.
Optimal Organization And Logistics in a Volatile Market
Even with the lifting of restrictions on travel and large in-person gatherings, virtual meetings are still the best option for those seeking a streamlined and effortless event. Your audience registers and logs into an event online, which makes joining and participating in the investor day straightforward. There are no long lines at the airport or missed connections, and there’s no struggle finding the right conference room. All your stakeholders need to do is turn on their computers and log into your event.
By communicating your message virtually, you likewise take full advantage of how a virtual investor day can benefit your company. Having a stable, easy-to-use platform for delivering your company’s plans means your C-Suite doesn’t need to worry about everything that can go wrong with an in-person event. You can pre-record portions of the meeting, host and moderate Q&A sessions, and deliver dynamic presentations, giving your C-Suite confidence that their plan for the company’s financial future is being effectively communicated.
For the IR team, organizing and anticipating the volume of attendees for the event is much less challenging than hosting a live event. Because registrants submit their information before the event, you can tailor your messaging based on your audience’s demographics, needs, and expectations. Email and live communication before and after the event will give you insight into what your potential and current investors are most interested in hearing about regarding your plans for dealing with market instability.
Data Analytics Provide Deeper Insight
When you work with the most Q4 to host your investor day virtually, the IR team can integrate the data from the event with the audience’s pre- and post-interactions with the IR website, emails, and additional data points. Combined with the attendance information gathered from the virtual investor day, you then have access to a 360-degree view of interaction across your IR platforms, a requirement for understanding valuable insights into how effectively investors and potential investors receive your message about the business’ stability.
Facing The Future
Failing to effectively communicate your company’s strategy during an unpredictable market can be debilitating and sometimes even crippling to a company. The investor relations team plays a critical role in this paradigm. Hosting a successful virtual investor day is one of the best and most immediate ways to calm current investors and reassure potential investors now.For more information, see our virtual investor day offering or read about What Investor Relations Officers Need To Know When Facing Market Volatility.