Holmes Report 14 Sep 2012 // 11:00PM GMT
CLEVELAND—Dix & Eaton has launched its new IR Web Intelligence system, designed to allow management teams and their boards of directors efficiently monitor ongoing smartphone and social media conversations and quantify their impact on a variety of factors, including market valuation, trading volume and corporate reputation.
The IR Web Intelligence system monitors the content and tone of conversations among investors and market influencers, as well as where and when they take place. This monitoring can be done on an ongoing basis or during specific times of heightened attention, such as an activist investor campaign, leadership transition, class-action lawsuit, acquisition or other significant corporate activity.
In addition, the system provides insight on the level and breadth of the impact of these conversations. Qualitative analysis of the discussion content, channels used and the participants’ range of influence is combined with quantitative analysis of concurrent effects on such things as spikes in trading volume and share price movement.
“Over the past few years, the overwhelming focus of the investor relations community with regard to technology has been to what extent it should ‘talk’ online,” says Scott Chaikin (pictured), chairman and chief executive officer. “We believe this focus is greatly misplaced as there is no singular, universal answer to this debate. On the other hand, there is no question that all companies need to ‘listen’ to—and understand—these online discussions.
“For example, activist investors are increasingly utilizing the Web to rally support for their particular agenda, as Carl Icahn did in his recent proxy fight with Lionsgate. We can now help boards of directors and management teams understand not only what’s being said and the impact it is having, but also their options on how to deal with the online activity effectively.”