Skip to main content

Financial analysts vs Industry analysts (RIM as an example)

If you just starting out in PR one of the things you will encounter if you are working in a corporate setting is financial and industry analysts. Often these functions are specialized functions which you won't be asked to engage in. Yet, if you are good at PR, it's very common that you may find yourself doing working with both industry and financial analysts (I know I did). After all your core messaging should be the same for the media as it is for financial and industry analysts.

If you have time it's worthwhile watching two recent interviews on BNN. One is with an industry analyst from IDC (Brandon Mensinga) and the other is with a financial analyst from Jefferies and Company (Peter Misek).

(sorry the videos aren't embedded, BNN doesn't offer that ability - very annoying, but what can you do).

Anyway, both Brandon and Peter gave great interviews. But as you can see, industry analysts focus exclusively on the technology. As such, they tend to be more open minded about various possibilities a company could pursue to get back on track. They are use to an endlessly shifting tech landscape and are weary of calling someone down for the count until it's abundantly clear they actually are.

When you listen to Brandon, you get the feeling that RIM shouldn't be counted out just yet.

The financial analysts tend to be more concerned with operations and execution and the question of 'why' a company got itself in to the mess it's in and whether the variables that created the mess are still present or whether they have been addressed.

When you listen to Peter you get the perspective that RIM is all but sunk (I share more Peter's view myself).

What's interesting is that you can see how complicated relationship management gets with various stakeholders. You wouldn't connect Brandon with the same people that you would connect Peter with internally at RIM. Brandon might talk to a Senior Director of Software Development while Peter would probably talk with the CFO or CIO.

And yet, your job as a communicator would be to ensure that despite each speaking with a different person within the company (and each focusing on different facets of the company) that they both walk away with the same 'impression' of RIM's situation.

This is why PR goes beyond simply writing news releases or Tweeting. It's really a very complex art of relationship management and servicing a wide-range of information requests (which is why a good PR person ends up knowing every little detail about the business they work for). When done properly you get all kinds of different stakeholders saying the same thing (because they've all been exposed to the same story - whether they spoke with someone from R&D, finance, or marketing).

Companies tend to get themselves in trouble when they understaff their PR department (media relations, investor relations, analyst relations). And trust me, it's very common - I'd argue 90 per cent of companies understaff their PR departments.

When they tend to view PR as simply writing a news release and managing in-bound media calls. This results in stakeholders basically not getting the tailored messages that they should be getting - where the company's story isn't told to various stakeholders within the context of their preconceived notions.

This is why when you are in a company you have to develop internal relationships with your engineers, marketing folks, and even the finance guys. You can't sit in an ivory tower firing out news releases here and there (even though news releases are a high priority activity, don't get me wrong). You need to leverage expertise from across the business to manage your external stakeholders.

As you can see from the videos, you can't engage with Peter the same way you would with Brandon, they each have a different notion of the issues that are important and require different experts internally to satisfy their desire for clarity and insight.

It's not hard to begin to understand why a lot of PR folks work 70 hour weeks. It's also not hard to begin to understand how a PR department can become swamped and unable to manage relationships effectively.

I continue to say I think a lot of RIM's problems are tied to marketing and PR and when you hear thought leaders talk about RIM (such as Brandon and Peter) you can tell that they are not hearing a narrative that inspires confidence in RIM's future. 

Comments

Popular posts from this blog

Morgan Freeman Botches Reddit IAmA - Black Eye on PR

For those not familiar with Reddit it's basically a forum where people post interesting things on a wide variety of subjects. Postings gain popularity when people 'up vote' them and become more visible in their particular subreddit (a subreddit is simply a subject category, like politics or videos). One of Reddit's most popular subreddits is the IAmA subreddit - which allows reddit users to ask questions of various people. Over three million people subscribe to IAmA, which is also widely used by celebrities. An IAmA can last a couple hours during which Redditors (the term Reddit users call themselves) can ask the person doing the IAmA questions. The term "IAmA" comes from the concept of "I Am A doctor, ask me anything", "I Am A movie star, ask me anything" - you get the drift. IAmA's are not just for celebrities, lots of common folks do them as well. Recently Morgan Freeman did an IAmA  and it turned into a PR mess. To make a lo...

Mainstream versus Alternate Media - Where is the news now-a-days?

It's well known that CNN has been suffering an exodus of viewers, losing over half their viewership over the past couple of years. Yet Fox News has not lost viewers, but has increased its viewership slightly. It's an odd phenomena given that Fox news is clearly biased in their coverage. Mind you, so is CNN according to many. But I'd suggest it comes down to something much more simple.  While Fox may be holding its ground, the rise of alternative media is taking off where CNN left off - a focus on hard news. For those of the under 40 crowd, that's what they are looking for, NEWS. The simplest way to highlight the difference between mainstream media and alternative media is to take a look at their homepages and the stories they highlight. It becomes very clear why people are turning away from CNN and turning to alternative media. Let's look at five media sites and their homepage (click on pictures to enlarge): CNN Feature stories: CNN heroes Top t...

E-cigarettes: A PR battle Health Canada cannot win?

So I've now been using an e-cigarette (e-cig) for two months and thought I'd talk a bit about how I see the upcoming battle between Health Canada and e-cigs going. First though, let's do a quick overview of what exactly an e-cig is. Basically an e-cig vaporizes liquid that contains nicotine. The vapor is then inhaled. People who use e-cigs are called vapers (not smokers). Because the liquid is atomized (ie. vaporized), not burned the way tobacco is, vapers do not consider themselves 'smokers' in anyway. An e-cig is comprised of basically three components: The tank - this is the component that holds the juice (sometimes referred to as e-juice or e-liquid). The atomizer - this a coil and wick unit that atomizes the juice. When the coil is heated (from the battery) it atomizes the juice that has soaked into the wick. The battery - batteries for e-cigs come in various capacities (some last 8 hours, others 40+ hours, depending on their size).  The ba...