Slides from a presentation I gave to the NIRI Capital Area Chapter on Jan 6, 2010. Some of the slides are repetitive from previous presentations. Includes an overview of the recent trends of how social media is being used for investor relations.

1. Social Media and Investor
Relations – Winter 2010
Presented by:
Darrell Heaps
Co-Founder & CEO
Q4 Web Systems

2. This is clearly a nascent
movement in the field of
communications,
something that hasn't
happened since the
advent of the internet over
15 years ago.
Brian Rivel, President of Rivel Research Group
Dec 9, 2009 Rivel's Intelligence Council Conference
http://bit.ly/8zGcPP

3. Social Media is the New Normal
67% of global online population use social
networks and blogs
80%
70% 67%
60%
50% 58%
Sep-06
40% Jun-07
30% 36% Mar-08
20% 27% Mar-09
10%
0%
Global Social Media Use
Source: Universal McCann Wave 3 &
Nielsen Online reporthttp://bit.ly/11il0Y

4. Facebook Leads Sharing

5. Institutional adoption of social media
 47% read information posted on a blog which prompted
them to investigate an issue further
 20% read information posted on a blog which led to an
investment decision or recommendation
 63% of US pro investors say blogs and social networks will
play an increasingly important role in investment decisions in
the future
Source: Brunswick Group Sept 2009 http://bit.ly/yz482

6. Financial Blogs and Social Networks
 Largest financial blog aggregator and
community 4 million unique users/month
 Trading social network. Based on
Twitter. Available through Bloomberg.
 Wiki finance portal. Social interactive
data.

7. Package content so it’s easy to share
 YouTube, SlideShare, Flickr
 Bloggers, media and investors
share and republish your content
 Increase awareness of your
company or point of view
 Establish “voice of authority”

8. Use the same channels to influence

9. Primary Benefits of Social Media for IR
Large Cap Small Cap
 Voice of authority  Increased awareness
 Mitigate value erosion  Amplified content
 Front run issues  Find new investors

10. So what does this all mean?
“Fish Where the Fish are”
 The web and social media are the dominant channel
 Traditional channels are no longer effective on their own
 Prioritize the web/social media to compete effectively for
capital

11. Risks

12. What are the risks?
 The risks exist whether you participate or not
 Social media policy is required to control company wide use
and related disclosure risks
 Only share material content that has been previously
disclosed under Reg. FD (website content should be the
focus)
 Manage selective disclosure risks through “voice of authority”
approach

13. Twitter for IR Examples
Q3 2009 Report

14. Twitter use by Sector
1%
3% 2%
Technology
3%
4% Services
5% 29%
Industrial Goods/Basic
Materials
6% Pharma/Healthcare/Biotech
Natural Resources
8% Utilities
Consumer Goods
15%
12% Telecommunications
Automotive
12%
Exchanges

15. Live Earnings Tweet

16. Live Earnings Tweet

17. Engaging in „conversations‟
Use as a Engage using
broadcast @replies and
channel retweets
52% 48%

18. Asking for questions

19. The public don‟t care about divisions

20. Engagement through retweets

21. Retweeting 3rd party content

22. Social Media Tactics
Dealing with environmental activists

23. Proactive vs. Reactive
 Proactive  Reactive
 Early on Twitter,  Late adopter
YouTube and  Activist shaping truth
SlideShare online and impacting
 Front run issues with media
activists  Stock value eroded
 Shapes the discussion  Moved aggressively to
 Mitigates value execute on social
erosion media
 Still working through
issues

24. Social Media ROI
Website Traffic
Increased Liquidity

25. TVI Pacific - Small Cap Social Media ROI
 Objective
 Increase web traffic
 Improve liquidity
 Increase share price
 35 % institutional target
 Tactics
 Website redesign
 Twitter
 Facebook
 YouTube
 Flickr Connect with us:
http://www.tvipacific.com/Investors/Investor-Connect/default.aspx

26. Results
 Website visits up from 100/mth to 4,000/mth
 Social channels
 Twitter 78 followers
 Flickr 1519 photos viewed
 YouTube 696 views
 Slideshare 625 views (440 on slideshare, 185 embeds on TVI site)
 Average daily trading increase of 55%
 Share price $0.06 before launch to $0.12 today

27. Discussion

28. Thank you!
Contact:
Darrell Heaps
1-877-426-7829 ext. 222
darrellh@q4websystems.com
http://twitter.com/darrellheaps