Listening and Investor Relations

25 March 2010

If your company (and IR department) is like most it likely spends a lot of time preparing for earnings calls, writing press releases, answering investor questions, answering analyst questions, updating websites, updating contact databases, traveling, presenting at conferences, talking to financial media, organizing and executing an analyst/investor day, writing an annual report, and watching the stock price.

Correct?

How much time does your company (and IR department) spend listening to your investors?  I don’t mean listening to their questions and then answering them.  I mean listening to their opinion, listening to their thoughts, and listening to their beliefs (regardless of whether you agree with them or not).

If your company thinks market share growth is the most important success metric but your investors think its earnings, who is right?

If your company thinks that you are leading the pack but your investors think the competition is eating your lunch, who is right?

Listening is a powerful way of crafting an IR message that directly addresses (and guides) an investors opinion.

Take the time to actually listen to your investors.

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