Keeping shareholders engaged is a challenge you’re likely familiar with.

There are a million and one other things you need to worry about on any given day, and shareholder engagement might fall to the wayside. For a while, this might be okay. Your shareholders will remain engaged enough to give you a false sense of confidence. But before long… things begin to change. Your shareholders disengage, and your organization suffers as a result. 

Don’t let this happen to you! Today, we’re going to share effective ways to keep your shareholders engaged no matter what else you’re doing with your business.

What is Shareholder Engagement?

First, let’s go back to basics and understand exactly what shareholder engagement looks like. Here’s a great definition from Diligent Insights:

“Shareholder engagement is a unique form of discussion between the shareholders and the company. It’s a different type of engagement than analyst calls or shareholder activism. Shareholder engagement isn’t based on the specifics of business strategy. During shareholder engagement, investors have an opportunity to reframe governance issues as business issues so they can have a conversation with corporate leaders about concerns that could become business risks.”

Effective Strategies for Shareholder Engagement

Remember that shareholder engagement is a two-way relationship. First and foremost, you need to remember that shareholder engagement comes from engaging your shareholders. They won’t automatically engage without effort on your part or the part of your business. This is a two-way relationship that takes work to grow and maintain. So, if you feel as though shareholder engagement is dropping off, check-in and ask yourself if you are as engaged with shareholders as you should be. 

As for exactly what you should be doing to engage them further? Here are some actionable steps to start taking!

Invest in shareholder education

Keeping your shareholders up to date and informed on everything to do with their investments is a useful strategy for keeping them engaged.

When you invest in their education, you’re making a direct investment back into your company’s success! For example, educating your shareholders about its long-term goals and visions is a great way to keep them engaged.

After all, when shareholders have a clear vision of where the company intends to go, they’re a lot more likely to be on board and confident about their decisions!

Invest in digital software solutions

Much like everything else, the world of shareholder engagement is increasingly online. A recent report from Broadridge finds that about 95% of investors are active online. So, if you haven’t already, it’s time to start investing in these digital solutions where you can further engage your shareholders. This includes things like data analytics and a host of other board management software solutions.

By investing in these solutions, you’re in turn automating several timely and expensive processes that simply aren’t efficient in today’s modern world.

Rethink your annual general meetings

Annual general meetings are one of the best and one of the most under-utilized opportunities to maximize shareholder engagement. These meetings are a prime opportunity to educate, inform, and engage shareholders.

The problem is, many companies have gotten lazy with their AGMs. If they still have them, they might not be strategically planned with the shareholder’s needs in mind.

Rather than your plain old AGM, a new approach could be just the thing it takes to get engagement rates higher than ever!

Change the game by planning AGMs that will be unforgettable (in the best way) for shareholders. Encourage them to actively participate with the use of polls, quizzes, or other interactive elements. 

Contact Hybrid Financial for Shareholder Engagement Services

Finally, don’t overlook the option to outsource these shareholder services to a company like Hybrid Financial!

Leverage Hybrid’s experienced team to keep your shareholders engaged in your company’s growth. Our consistent communication with your supporters ensures they are updated and educated as your company achieves its milestones. And don’t worry—you still approve all outbound communication. This means you’re in full control of your message and your brand.

Want to learn more? Click here to contact us and figure out how we can work together. 

Did you learn a lot from this article? Be sure to check back soon for other helpful tips and strategies for engaging your shareholders and growing your business.