September 1 , 2009
55% of public companies putting Twitter to work, report
Tweets being used for investor relations
According to a new report by Q4 Web Systems (Q4), a leading provider of software for corporate and investor relations websites, Twitter is being used by public companies to supplement traditional channels of disclosure and to engage in conversations with their stakeholders. The research indicates that 55 per cent of the public companies analyzed are using it for Investor Relations.
“The point in providing this research is to help the investor relations market understand how their peers are using social media channels like Twitter for investor relations“ said Darrell Heaps, Co-Founder and CEO of Q4 Web Systems. “We are also using this research to identify and share best practices with all companies and vendors in the IR space so we can help our market evolve and learn how to succeed in the ever changing world of the web and social media. “
The findings from the report show the initial adoption has come from the technology sector and is now moving into pharmaceuticals, natural resources and a number of others. The use of Twitter by these companies is primarily for sharing previously disclosed information such as news and upcoming events. However, 48 per cent of these companies have evolved from a straight broadcasting approach to engagement – meaning they are posting regular updates to news and events on their site, but also interacting with people, answering questions and providing additional information.
Of the 80 companies reviewed in the report:
- 55 per cent are using Twitter for investor relations.
- 68 per cent provided a link to their Q2 quarterly earnings release.
- 48 per cent are using Twitter to engage with their audience.
Technology and pharmaceuticals/healthcare sectors accounted for 34 per cent and 14 per cent respectively.
“With more than 2/3rds of the online population now using social networks and blogs on a regular basis, social media is defining the online experience. This report illustrates how the early adopters in the investor relations space are embracing this new channel, expanding their communications and strengthening relationships with their market. We look forward to updating the investment community later in the year with another report that will track growth rates of adoption” said Heaps.