Individual investors have become increasingly influential on the share price of a public company and it's never been more important to connect with them. As technology continues to evolve, public companies will need to establish a strategy to reach their individual investors as they command an increasing level of influence on capital-raising outcomes and on-market performance.
1. The average trade on the ASX and AIM is $4,850. 2. Retail investors make up to 76% of your trading volume. 3. The ‘long tail’ of your shareholder base is comprised of retail investors. 4. Shareholder offers that include retail investors outperform placements.
Traditional methods of investor relations (IR) are sufficient for public companies looking to engage solely with their top 20, but they lack the scalability and digital infrastructure to deliver a quality experience across the entire shareholder base which is where individual investors reside. That'swhere investor marketing stepsin.
It's an efficient method to scale investor communications while delivering a top-20 experience to all your shareholders, including the individual investors who disproportionately influence your share price.
Investor marketing doesn't replace your existing IR, it improves it with visibility over the investor journey that lets you structure the strategic touchpoints in your company story that nurtures more individual investors over time into sticky shareholders (solving a problem we call 'investor debt').
"Every company with a retail base, who is serious about engaging with their shareholders, should be on InvestorHub."
Investor marketing strategies that focus on attracting and acquiring new investors focus primarily on uplifting company announcements and newsflow. You need to ensure that your company newsflow is high-quality, high-frequency and well-structured with frequent touchpoints to nudge investors through their journey to becoming shareholders.
If you want to engage your existing shareholders alongside prospective investors, your investor marketing strategies will focus on establishing direct channels and personalising your investor communications. You need to understand the investors you’re communicating with because that gives you the information to tailor your engagement and resonate more deeply with each segment.
Investor marketing strategies that specialise in converting investor demand into successful capital-raising outcomes rely heavily on leveraging shareholder data. You should be able to pinpoint the HNW investors in your shareholder base to build and nurture a Chairmans list which provides you with concrete data that you can use to forecast your shareholder participation and raise potential.
With investor marketing, data is everything. When you’re running attraction, engagement and conversion strategies, you’ll collect key data points on what performs best and the improvements you can make, which informs how you’ll structure your investor marketing strategies going forward. You can keep track of this data individually, but it’s a smoother experience if you can do it all on one platform.
Bridge the gap with retail and build shareholder value.
An effective investor marketing strategy is key for listed companies to attract new investors, engage shareholders, convert investor demand into capital, and optimise investor relations with data.
What could that look like with InvestorHub?
InvestorHub is an effective tool that combines every type of investor marketing strategy into a single platform. Our data-driven approach to investor marketing (with a ton of user data) means that we’ve identified the most effective ways of acquiring new investors and engaging existing shareholders.
Here’s a small taste of what you can do with InvestorHub.
Acquire new shareholders
Update your ASX announcement template to include links to your investor hub.
Make your hub launch an ASX announcement.
Use automated email distribution to push newsflow and announcements.
Directing paid media to hubs.
Include your investor hub at presentations.
Use hub signs at investor conferences.
Multiple hub entry points from your website.
Leverage social media & link to your hub.
Import existing contacts from other sources.
Use registry data and tagging to send personalised communications.
Public companies trust us to help boost retail engagement.
See what the leaders of public companies have to say about how their investor marketing strategies are going.
Easy to use.
For the first time, a platform has allowed me as CEO to interact, communicate and market to my own shareholders in a simple & easy to use way. I am very impressed with the product and have recommended it to other CEOs
Iggy TanCEO @ ASX:ATC
InvestorHub has fitted perfectly into how we operate as IR professionals and has unlocked a whole range of efficiencies along the way. We now spend less time cobbling together various solutions, reach more investors, and have an easy way to measure our impact.
InvestorHub is our most efficient tool that optimises the way we engage all our shareholders. The platform alerted us to a downgrading shareholder, which enabled us to reach out directly and have a conversation. As a result, that investor stopped selling and resumed buying into our company.
David PrenticeMD @ ASX:BRK
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Explore the InvestorHub resource centre and find ways to attract more retail investors.