Attract Investors with the Help of ESG Professional
Last Updated on February 10, 2023 by Admin
ESG has become an essential aspect of any business. All the players out there have started focusing on ESG strategies to attract investors. The sole purpose of these strategies is to make a better stand in the market to impress investors. Communicating your ESG progress with your investors can make a big difference in your business. An ESG professional can professionally do this, and that’s why companies look for one. It can fill the gap between your sustainability and investors’ expectations.
Also learn How ESG Advisory Services Can Benefit Companies And Investors. ESG communication and sustainability are both the factors to engage your investors and customers and to portray your ESG progress and sustainability effort. It can positively affect the shareholders when you showcase how you integrate the business value with effective ESG practices. If you work with an ESG professional, follow the checklist below to make an effective communication plan.
- How does ESG fit into the business model
You can follow several ways to adjust ESG in the business model through operational and strategic areas. Operational areas may include packaging, manufacturing, and transportation, while strategic areas may include product development. ESG company analysis should specify these strategic and operational areas in ESG communication.
- Determine a list of ESG investors
According to a recent survey by BlackRock, the respondents are planning to increase their ESG investments by two times by the year 2025. Along with the bigger institutional investors, also give importance to identifying ESG fund managers, other asset managers, or ESG index owners. They may be willing to show interest in your business. It can be one of the techniques where ESG communication shows a direct financial impact.
- Meeting top expectations of your investors
Your ESG professional, along with the investors’ relation team, would have a thorough understanding of the challenges and expectations of your investors. It is also essential to determine whether all the potential and existing investors have similar or varying expectations. Take help from ESG advisory services to analyze the top 5 expectations from your potential investors. It can be very helpful for your communication initiatives.
- Cover material impact in ESG communication
Apart from the environmental benefits of your ESG initiatives, showcase the financial and material impact too. Your messaging and communication should include a financial impact record of the company. This may consist of growth in customer acquisition through new sustainable practices such as new products or improved operational efficiency.
- Improve investor relations and determine stakeholder expectations
The investor relation team of any firm is the first in touch with institutional investors. But, along with them, it is also essential to identify the internal or external stakeholders who can impact the ESG communication plan. These may include internal teams like corporate finance and marketing and external stakeholders like customers, suppliers, and paid media.
- Develop a digital channel strategy
Creating a digital channel strategy is critical to engage with the customers and investors. Investors move to every digital platform to know about the company’s ESG initiatives. They use such information with their own tools to figure the company’s financial impact. You can try many digital strategies, but one of the most effective is creating a digital vertical to deliver ESG and sustainability goals. Get guidance from your ESG professional to move in the right direction when it comes to creating a digital vertical.
If this checklist helps you, take a step forward and contact Communique Global to get in touch with a specialist.
