5 Reasons to Hire an Investor Relations Consultancy An investor relations consultancy is the connection that links senior management of an organization to the outside world. IR consultants are the ones who help you create and nurture a collaborative relationship between the company and its existing and potential shareholders. They help you articulate the key messages, determine milestones, and achieve accomplishments. They know how to translate competitive market intelligence into effectiveness and efficiency. If you are a public trade company and wondering how an IR Consultancy can help you, continue reading to get familiar with the evolving role of IR consultants.
1. Access to competitive intelligence In the previous time, it was enough to gather basic information for shareholders and businesses. However, nowadays, IR professionals strive to collect competitive information that factors comparative valuation data, stock performance, and data on the industry, products, market trends, and performance. Since IR consultancies deal with clients from diverse industries, they get more exposure to more information flow and multiple channels. This helps them to contribute to more competitive intelligence gatherings.
2. Keep an eye on competitors’ actions and decisions These days, it has become more of a mandate to collect information on the company’s competitors. This kind of information plays a greater role while creating IR strategies and winning potential shareholders that might shift to competitors. As such intelligence gathering eats up around 25% of the in-house, full time IROs, hiring Investor Relations Consultancy means you are saving the company’s valuable time.
3. Wider scope of information The IR professionals not only gather information from external databases, such as news releases, Bloomberg, Ipreo, and competitors’ websites but also monitor notes of analysts and conference calls. Another most cited source to gather competitive intelligence is the competitors’ investor conferences presentations. Since the distribution of various information sources has moved to digital platforms, it has become easier to access information but difficult to process as to what information is valid and authentic.
4. Screening of Available Information In today’s environment where information is polluted by rumors, opinions, and news, the unnecessary noise can conceal what’s more important. So, you need to be efficient while making selections about which sources of information to use and what kind of information is more significant for senior management.
5. More Insightful intelligence