We’ve heard the questions more than once: Do we need an analyst relations program? Is it really that important? The answer to these questions is, of course, yes. In the short term, analyst relations can help you hone the messages you’re bringing to market. And in the long term, analyst relations can get your name front and center with buyers. So, whether you’re a start-up, a growth-phase company or a mature organization, analyst relations is a must-have component of your company’s marketing strategy.
An analyst program should run in tandem with your media relations strategy, i.e., much of the information you’ll be sharing with analysts you’ll also be sharing with the media. However, media might be more interested in short-term news, while analysts are determining how that news fits into your overall strategy and measuring your progress.
Every company in the AI, IoT, mobile, wireless, and telecom industries likely knows at least a few analyst firms. You may have worked with them in a previous role or found them while doing due diligence on your company’s strategy. But for most parts of the technology industry, there are at least 20+ additional analyst firms that have unique insight into the buying behavior of your potential customers. Determining which to strike relationships with—paid or unpaid—is often a lengthy process. Your PR Agency can help speed this up because they already have relationships with these firms.
Still thinking about why to get started? Here are five reasons to start an analyst relations program today:
- Analysts know the market better than anyone else. It is an analyst’s job to know the market well, and that means talking with as many companies as they can within their section of the industry. By briefing these analysts frequently (at least every 3-6 months), they’ll be sure to know how you fit into the market, your strengths and weaknesses compared to competitors, and what makes you stand out.
- They can poke holes in your strategy. Many analysts dig quite deep into your business and your technology, and the questions they ask about your company can help reinforce your go-to-market positioning —or force you to rethink all or parts of it. Be sure you have completed a Positioning and Messaging exercise—complete with value proposition and proof points—before you speak to any analysts.
- They’ll ask the questions you’ll need when you speak with the media. By briefing industry analysts first, you’ll get a pretty good idea of what types of questions you’ll get from the media. Because your time with media is likely time-constrained, analysts can help you understand which part of your product or solution you should be highlighting. Pay attention to their responses when you’re talking about key product features—what you think is important may not necessarily be what the media and its end user audiences are interested in. Many journalists like to include a few third-party sources in their articles, and at least one of those is likely an analyst. When you can show you’ve already briefed analysts, you can help save the journalist that extra step of tracking them down.
- They can help position your company in a category. Analysts need to know where you fall into the matrix of companies that are already on their radar. They especially like “buckets”—as shown by the success of Gartner’s Magic Quadrant—and they usually have analysts that specifically cover just one or two of these categories. Most companies have a list of competitors and can generally place themselves in a product or service category based on this list. But if your company is truly different, you may need the help of analysts to accurately place you in a category, or help you establish a brand new one.
- They hold influence with buyers. One of the main reasons analyst relations is so important is in the value it brings by driving revenue through influence. An industry survey from ADP reported that “roughly 92% of respondents said that analyst reports and reviews influence their decisions.” Look for analysts that you can convert to “Champion Analysts”—those that know your market well (possibly because they cover competitors) and can speak to the important role you play in the industry. You might find them at smaller and midsize firms instead of the big firms and it’s likely they have experience working at a vendor or two before becoming an analyst.
Whether you undergo a full-blown analyst relations program, or take things more slowly, it’s important to get started as soon as possible. Calysto has the connections you need to make your program a success. Contact us today!