February 6, 2023
When retail investors discover TiiCKER, some have questions about how stock perks work. So the editorial team periodically digs into our mailbag to answer some common questions about TiiCKER. We want you to get the most out of the platform that rewards shareholders for simply owning stock in their favorite companies.
Question: “I work in the investor relations department of the mid-sized publicly traded company and my boss is hounding me about looking into TiiCKER and potentially offering a shareholder reward to our individual investor community.
“Most of the work I do is with institutional investors – the guys who trade for others, you know, the pension funds, banks, mutual funds, hedge funds, endowments and insurance companies. I don’t mean to be crass, but why should we care about retail shareholders since they don’t seem to move the needle?” – Troy K., New York
Answer: Troy, at one time, you might have been correct, but these days retail shareholders literally move markets. If you don’t believe me, ask the folks working in the IR departments at GameStop or any of the other so-called Meme Stocks. The power of the individual investor has never been greater and it is growing.
That’s not just our opinion. It’s a fact. TiiCKER commissioned an online survey by The Harris Poll. The national survey of more than 2,000 adults showed that 77% of individual investors would be more likely to buy shares of a publicly traded company if they were offered a shareholder perk, reward or product discount.
Likewise, share ownership can affect purchase behavior and brand loyalty with 80% of individual investors agreeing that being a shareholder in a retailer, consumer product company or brand would make them more likely to be a customer of that company or buy their products.
And if that doesn’t sway you, let me point you to a scholarly paper published by a trio of researchers in The Review of Financial Studies that indicates that companies that provide shareholders gifts may not be doing it solely out of generosity, but also as a means to increase stock prices and facilitate trading in the stock. The researchers analyzed stock prices of Japanese firms, which are more likely to provide shareholder perks than their American counterparts. They found that following the announcement of new perks, the firms’ stock prices increased.
Retail investors accounted for 52% of global assets under management in 2021, which is expected to grow to over 61% by 2030, according to the World Economic Forum. In one of its reports, the group said: “Retail investors are moving markets, influencing institutional investors and having macro effects.”
You didn’t ask this question, Troy, but we will answer it anyway: The perk you offer retail shareholders does not have to cost your company a fortune. Our brand partners are always surprised that it doesn’t take a lot to engage with individual investors. And TiiCKER makes it simple. We can help you create a strong shareholder reward that won’t break the bank, but will grab the attention of the retail shareholder community. So reach out to our sales team today. They can help you create a shareholder perk program that will have your boss smiling and prove to you that engaging with individual investors is just as important as connecting with institutional customers.
Want to know more about getting your public company on the TiiCKER platform? Drop us a note at firstname.lastname@example.org.
TiiCKER was created for fan-first, brand-first public companies—with exclusive perks served-up weekly to shareholders. Own stock? Connect your brokerage account to view more than 130 perks waiting for you right now!