If you are planning a product launch press conference at a premier industry event, what will be important to a financial analyst? What would motivate a financial analyst to attend a product launch press conference?
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In this post, I will address what I believe is the most important determination for a financial analyst.
Here is a hint. Analysts that personally attend product launch press conferences are more interested in the future than the past. Financial analysts are interested in the future because they are making recommendations about purchasing, selling, or holding company stocks.
A product launch provides an extremely valuable insight about the future of a company. A successful launch provides an innovation assessment of functional areas such as management, development, marketing, sales, and distribution. A successful launch validates strategy and tactics. A product launch press conference is a critical part of a product development and launch process because it can reveal the current operational excellence of the entire organization. Specifically, a company that systematically introduces differentiated and innovative products is more likely to be an attractive investment.
Earlier this year, I attended a major conference and exposition as a media representative. Historically, these events are a preferred venue to introduce new products. My original goal was to find at least one great story about a new product. I scheduled the time to attend two, on-site press conferences.
The first company, a mature, industry leader, spent most of the first 15 minutes of their high profile press conference reviewing financial results. Although there were hints about new products, the presentation focused on history and not news. Eventually, information about the new products was revealed as part of an overall status report for the company. When the press conference was opened for questions, it became clear that there were two kinds of specialists in the audience of more than 100 people: industry journalists and financial analysts.
The second company, also a mature, industry leader, spent some time during their press conference addressing the implications of a recent merger but did highlight many new products that they were introducing.
During the press conference luncheon, I sat at a table populated by financial analysts. For half an hour, I just listened. One of the analysts was familiar with the financial reports from both companies and it was clear that he had studied this market sector. I learned that he had allocated only a few hours of his time for this industry event.
When I had the opportunity for a private conversation, I had only one question. I asked, “Why did you invest the time and effort to attend this event in person?”
The seasoned veteran replied, “There are specific meetings for analysts but I come to this meeting to get another perspective. Is anyone really going to buy this stuff?”
At a product launch press conference, the financial metrics provide the historical summary of a company’s performance with the old products while the press kits provide specifications about new products. Remember that financial analysts have historical data about performance and great industry data back at their office. They have access to a lot of official information. The additional perspective that they hope to gain by attending an onsite, new product press conference at a major trade show is about future performance.
If you want to build confidence about future product sales, here are three suggestions to consider when planning a press conference that financial analysts will attend.
The first suggestion is about the inclusion of enthusiastic customers or other experts.
- Present reference customer that can showcase improved ways to solve old problems using your new products. Enthusiastic users are essential ingredients to a great story and an indicator of the future sales of a new product.
- Provide opportunities for the financial analysts to interact with these evangelists.
The second suggestion is about demonstrations.
- Beside static images of the new products, consider showcasing the products in context using both live and prerecorded demonstrations.
- Showcase enthusiastic representatives using your product. Great demonstrations are powerful. Instead of a customer saying that your product was “powerful” imagine the reaction if they did something powerful using your product.
- Find passionate people to demonstrate your product. If your CEO or the product manager can’t masterfully demonstrate your product, find someone who can.
- Find a way to let analysts experience the product. Can you provide a sample? Is there some way to develop a connection with your product? Is there a way for analysts to use your product even if it is a virtual experience?
You may by thinking “But things can go wrong at a demo” When the demo design and preparation are poor, awful things frequently happen. However, when the demo design is innovative and properly prepared, the results can be amazing.
If you are thinking about the investment for a powerful, proficient demo ask yourself another question. When is a great demo more important than at the press conference where you are launching your new product?
The third and final suggestion deals with the future.
- Present reference customer that can showcase improved ways to solve emergent problems using your new products.
- Demonstrate that your product roadmap is aligned with future trends and that your team is agile enough to adapt.
What is important
Customers and competitors are likely to engage in discussions about features, advantages, and benefits. Industry journalists are likely to report on what happened at your press conference. Financial analysts want to know about the future. “Is anyone really going to buy your stuff?”
