A recent study at the University of Dallas has found Internet video is under-utilized as a medium for connecting investors with SmallCap companies (IR Web Report, 29 October 2007).
A survey of Wall Street Hedge Fund and SmallCap 600 Investor Relations Managers found that investors and SmallCap companies are slow, in general, to adopt Internet video as a marketing or prospecting tool. Marketing methods and relationship management tend to rely on the tradition of personal selling techniques. Websites are pervasive, but the use of Internet video to connect SmallCap companies with investors is lagging (IR Web Report, 29 October 2007).
If you search for the term 'investor relations' on YouTube for example, very few videos come up.
The project research revealed that most investors surveyed found Internet videos to be more credible if produced by a third party, such as the media, versus by the SmallCap company.
Surveyed investors consider financial metrics critical content, including reference to key ratios such as the P/E ratio and profitability (IR Web Report, 29 October 2007).
To see how publicly listed SmallCap Australian biotechnology company, Stirling Products Limited has used YouTube click the following links for of my interview with CEO Dr Calvin London.