IR You Ready?

Growing demand for real-time data-driven insights, the rise of AI-powered technologies and evolving investor demands have added layers of complexity to the current investor relations (IR) landscape. This year’s NIRI conference underscored these changes, highlighting how IR professionals must adapt to thrive in this evolving landscape. Our colleague Kala Krishnan offers her key takeaways from the event:

1. Balance AI with human touch: While AI tools may excel at automating workflows and offering valuable insights, the human touch in investor relations is irreplaceable. The next generation of IR leaders will recognize this fact and combine the power of AI with the human elements AI can’t replicate – active listening, synthesis and empathy.

2. Embrace retail and new media: Retail investors are growing in importance as a distinct stakeholder group. Companies are engaging them through tailored events, Q&A sessions and creative formats like virtual reality tours and online forums. Meanwhile, new media, including podcasts, “finfluencers” and AI-driven platforms are increasingly popular sources of information, providing new ways to reach and engage diverse audiences.

3. Take the experiential road: Investors expect more than traditional presentations; they want immersive, story-driven experiences. Sharing real stories, customer testimonials and live demonstrations helps humanize data and fosters stronger emotional connections with stakeholders.

U.S. companies are increasingly opting to strike surprise settlements with activist investors before any public agitation begins. According to Barclays, nearly half of the 37 U.S. settlements this year were inked quietly, behind closed doors. The trend reflects a more pragmatic – and sometimes more precarious – approach to defense in today’s volatile economic and geopolitical climate.

Several forces are driving this trend. Macroeconomic uncertainty, market volatility and geopolitical stressors have left corporate leaders with less appetite for prolonged fights. When share prices are soft and activists arrive with credible board candidates and shareholder-friendly critiques, a discreet agreement can seem like the safer bet.

At the same time, the dynamics among activists themselves are shifting. Lesser-known or cash-strapped hedge funds may still rely on noisy campaigns to attract capital and attention. But more established players are opting for private negotiations as an effective, lower-risk path to influence.

For activists, the private route often proves equally effective. So far this year, U.S. activists have secured 86 board seats, a 16% uptick from the year-ago period – even as the total number of campaigns globally fell 12%.

Still, quiet settlements carry strategic risks. Boards must carefully weigh the optics of cutting quick deals against the potential backlash from shareholders who expect them to put up a fight. But with experienced activists pushing for change and companies under pressure to deliver, both sides are increasingly finding common ground behind closed doors.

Introductory meetings with reporters can be a great way for your spokespeople to develop relationships with the individuals actively covering your industry or key policy issues – and position your spokespeople as a go-to resource for them in the future. After analyzing a reporter’s recent coverage to ensure you understand their style and interests, getting a meeting on the books is the next step. Reaching out to reporters at the right time (e.g., when they shift to a new role/outlet or during a significant moment for your industry) and being specific about conversation topics can go a long way.

Once a meeting is on the calendar, here are three tips to make sure it’s a success:

1. Do a run-through. Now that you’ve researched the reporter and have a sense of their style, meet with your spokesperson in advance to walk through how the meeting might go. Pose tough questions so they can practice responses and know when they might need to pivot.

2. Make the reporter's life easy. Send a calendar invite with the location of the in-person meeting or a reliable virtual dial-in. Provide a biography of your spokesperson in advance and shoot them a reminder on the day of the interview.

3. Keep it small. To help facilitate relationship building and avoid overwhelming the reporter, try to limit the number of attendees on your organization’s side. Ideally, keep it to the spokesperson and one comms person.

4. Always follow up. After debriefing, send the reporter a message thanking them for their time and share any additional information about your organization based on the conversation.

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