Back to resource centre

Why investor emails are important.

When a company chooses to offer a Share Purchase Plan (SPP) to its shareholders, it is usually an anxiety-filled experience for its executives. With the average company only having 30% of its investors' email addresses, the best method for shareholder communication for most issuers remains the postal service.

The issue with sending mail, of course, is that it isn't instant and isn't traceable. In one memorable test that Fresh ran in 2021, mail took a total of three weeks to arrive in some investors' letterboxes. 2021 was admittedly a year disrupted by Covid-19, but the fact remains that during an SPP, the last thing that an issuer needs is their mail service to be so slow and unpredictable.

To resolve this issue, companies have been trying innovative ways to collect investor email addresses. The question has always remained, though, "how much more effective is it to have an investor's email address?"

InvestorHub recently analysed the registry data of dozens of issuers to try to understand if there is a correlation between SPP participation and email data. It turns out that there is!

The report found that the participation rate for those with an email address on file is 13.67%. For those without an email address on file, it’s 4.87%. That represents a 2.8x increase in likelihood of SPP participation from investors with email addresses vs. those without.

Shareholders with email addresses are 2.8x more likely to participate in an SPP

So if you're considering how to maximise your next capital raise outcomes, you might want to consider how you can increase the number of investor email addresses that you have (something that InvestorHub can help with).

Become an expert at investor marketing.

Subscribe to receive regular investor marketing insights, how-to guides, and case studies.

Error

By submitting your email you agree to be send marketing emails from and about InvestorHub

When a company chooses to offer a Share Purchase Plan (SPP) to its shareholders, it is usually an anxiety-filled experience for its executives. With the average company only having 30% of its investors' email addresses, the best method for shareholder communication for most issuers remains the postal service.

The issue with sending mail, of course, is that it isn't instant and isn't traceable. In one memorable test that Fresh ran in 2021, mail took a total of three weeks to arrive in some investors' letterboxes. 2021 was admittedly a year disrupted by Covid-19, but the fact remains that during an SPP, the last thing that an issuer needs is their mail service to be so slow and unpredictable.

To resolve this issue, companies have been trying innovative ways to collect investor email addresses. The question has always remained, though, "how much more effective is it to have an investor's email address?"

InvestorHub recently analysed the registry data of dozens of issuers to try to understand if there is a correlation between SPP participation and email data. It turns out that there is!

The report found that the participation rate for those with an email address on file is 13.67%. For those without an email address on file, it’s 4.87%. That represents a 2.8x increase in likelihood of SPP participation from investors with email addresses vs. those without.

Shareholders with email addresses are 2.8x more likely to participate in an SPP

So if you're considering how to maximise your next capital raise outcomes, you might want to consider how you can increase the number of investor email addresses that you have (something that InvestorHub can help with).

[LOGO] InvestorHub – Long – White 1.png

Join the community of 4,000+ public leaders.

Unlock the secrets of success when it comes to running a public company.

Error

By submitting your email you agree with our policy

Cookie Settings
This website uses cookies

Cookie Settings

We use cookies to improve user experience. Choose what cookie categories you allow us to use. You can read more about our Cookie Policy by clicking on Cookie Policy below.

These cookies enable strictly necessary cookies for security, language support and verification of identity. These cookies can’t be disabled.

These cookies collect data to remember choices users make to improve and give a better user experience. Disabling can cause some parts of the site to not work properly.

These cookies help us to understand how visitors interact with our website, help us measure and analyze traffic to improve our service.

These cookies help us to better deliver marketing content and customized ads.