Why Virtual Investor Updates Are the Latest Corporate Communications Trend with Staying Power

Investor updates are a pivotal piece of every corporate communications strategy. Not to mention they’re often legally required.

Wall Street uses investor updates to make investing decisions. And companies leverage them to fuel their growth and boost their valuations.

For decades, the method for delivering investor updates stayed mostly unchanged. Enterprises published paperwork required by the U.S. Securities and Exchange Commission while holding quarterly and annual telephone calls to brief investors and the media about their performance.

And some large organizations hosted in-person events for investors to meet and engage with an enterprise’s leadership.

But the confluence of evolving technology and the COVID-19 pandemic shifted how companies deliver investor updates.

For example, in September 2020, the pharmaceutical company Pfizer hosted Virtual Investor Day. The event spanned two days, featuring company executives updating investors about Pfizer’s progress, including developing a COVID-19 vaccine.

Pfizer’s move signals a change in how companies are starting to deliver investor updates. More organizations are increasingly going virtual to keep Wall Street informed and engaged with the enterprise’s business.

But what’s the best way to go about hosting virtual investor updates?

Below, we highlight the benefits of live streaming updates to your investors and what you should keep in mind as you deploy this latest transition in corporate communications.

Why Virtual Investor Updates Make Sense

In April 2020, as COVID-19 disrupted regular business operations, research firm IHS Markit asked its clients if they were planning to host virtual investor relations meetings.

Ninety-five percent of respondents said yes, up from 45% before the pandemic.

Why the increase? Companies told IHS Markit they were moving to virtual investor updates because of convenience, efficiency, and cost-effectiveness.

It’s far easier and costs less to host a virtual gathering for investors than one that’s in person. You don’t have to pay for a venue, catering, equipment rental, and more.

Plus, you’re likely to have greater attendance for a live-streamed event that anyone can join from any location.

Another benefit of virtual investor updates is that you can get detailed analytics about your live-streamed event. With this data, you can develop a deeper understanding of who your investors are and what resonates with them.

And, if you select the right enterprise video streaming solution, you’ll receive hands-on, reliable support that integrates seamlessly with how your company operates. That assistance frees you up to focus on delivering the highest value to your investors.

Now that we’ve covered some primary reasons why companies incorporate virtual investor updates into their corporate communications strategies, let’s talk about what you need to pull off a successful live-streamed investor meeting.

What You Need to Live Steam Investor Relations Meetings

Hosting your first virtual investor relations meeting might seem confusing. Where do you start? What technology do you need?

We have identified a few critical best practices that can ensure your virtual investor update goes off without a hitch.

It starts with technology. You need a video platform built for the enterprise, not for social media.

While tools such as Facebook and YouTube support video, these social media sites aren’t suitable for live streaming your virtual investor updates. They don’t provide the customization, security, and reliability your company requires.

Instead, it would be best to have a solution that supports white labeling and an ad-free environment void of distractions.

You don’t want your investors to click-off from your event when they see another company’s video pop-up in their view. You also want your investors to receive your fully branded experience. You tailor and design a space to your specifications for an in-person event, and you need to be able to do the same for your virtual event.