More Related Content Similar to Investor use of digital media 2018 (20) More from Brunswick Group (20) Investor use of digital media 20182. © BRUNSWICK GROUP 2017 2
Our Approach
The Brunswick Group conducted an online survey among
buy-side investors and sell-side analysts to understand how
investors use digital media platforms to research and make
an investment decision.
Digital media in this report is defined as social media
platforms such as Facebook and LinkedIn, as well as online
tools such as search engines.
Brunswick surveyed 150 investor and analysts across North
America, Europe, the UK, and Asia between November and
December of 2017. Tracking data from previous waves in
2016 and 2015 is included for comparison.
3. Key Findings
3
1
Investor use of digital media remains high. Investors use digital
media to make investment decisions at rates comparable to 2016.
However, there is a slight decline in overall use and distrust for some of
the largest social media platforms.
2
LinkedIn is the most trusted platform for investors. The LinkedIn
platform is used by one-in-five investors to make an investment
decision and is also the only social media network that is trusted at
levels comparable to mainstream financial media.
3
Search engine optimization is crucial. Investors acknowledge that
they overwhelming rely on search engines for their work. Search
engines are also the most trusted digital media platform overall.
4. © BRUNSWICK GROUP 2017 4
Overall Trends in Digital Media Use
Despite a slight decline in use, an majority of investors still use digital media sources to investigate potential
issues and ultimately make investment decisions
Investigate an issue
77%
96%
90%
2015
2016
2017
Made an investment decision or
recommendation based on digital media.
41%
78%
70%
2015
2016
2017
71%
66%
78%
Europe laps in use of
digital media to
make investment
decisions
5. © BRUNSWICK GROUP 2017 5
Overall Trends in Digital Media Use – By Region & Over Time
Investigate an issue
80%
93%
89%
72%
95%
90%
79%
100%
91%
2015 2016 2017
Made an investment decision or
recommendation based on digital media.
36%
72% 71%
38%
69% 66%
58%
96%
78%
2015 2016 2017
6. -11
-5
+2
+3
+6
+1
NA
-21
NA
NA
© BRUNSWICK GROUP 2017 6
Leading Sources for Investors
Use of search engines and blogs has declined for investors while the use of LinkedIn to investigate and make
investment decisions is increasing
Leading
Sources for
Investors
Mid-Tier
Source for
Investors
Least used
sources for
investors
Search Engines
% to investigate an issue.
Blogs
YouTube*
Slideshare**
Reddit
Facebook
Stocktwits
% to make an investment
decision
Digital Media Sources
70%
67%
48%
42%
27%
22%
14%
13%
13%
12%
Quora
-13
-4
+7
-4
-4
+3
NA
-6
NA
NA
Change since
2016
Change since
2016
LinkedIn
Twitter
48%
42%
22%
16%
10%
11%
7%
10%
4%
4%
*Was referred to as “video” in 2016
**Was referred to as “presentation sharing” in 2016
Increased use of
LinkedIn to make
investment decisions
7. © BRUNSWICK GROUP 2017 7
Key Sources Over Time - % Used to Investigate an Issue
*Was referred to as “video” in 2016 and 2015
**Was referred to as “social media such as Facebook” in 2009 through 2015
81%
70%
47%
52%
57% 58% 59%
72%
67%
46%
48%
11%
28% 29% 28%
39%
42%
23%
33% 27%
11%
14% 23%
25% 26%
21% 22%
2009 2010 2012 2014 2015 2016 2017
Search Engines Blogs LinkedIn Twitter YouTube/Video* Facebook**
8. © BRUNSWICK GROUP 2017 8
Key Sources Over Time - % Used to Make an Investment Decision
*Was referred to as “video” in 2016 and 2015
**Was referred to as “social media such as Facebook” in 2009 through 2015
61%
48%
20%
18%
24%
27%
29%
46%
42%
15%
22%
4%
12%
14% 13%
20%
16%
9%
14% 10%
5% 2%
9%
7%
9% 8%
11%
2009 2010 2012 2014 2015 2016 2017
Search Engines Blogs LinkedIn Twitter YouTube/Video Facebook
9. © BRUNSWICK GROUP 2017 9
How Digital Media is Used
Digital Media is primarily used to learn about the overall market, with a smaller share using that opportunity to
lean about specific companies and CEOs
70%
63%
59%
52%
27%
24%
16%
13%
77%
66%
54%
48%
35%
30%
18%
15%
45%
68% 68%
42%
29%
32%
39%
29%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
To learn more about a
specific industry or sector
To keep up to date with a
particular company that I
follow
To follow market moving
news
To get more information
about a company’s
strategy
To learn what activist
investors are saying
To learn what specific
CEOs are saying
To network with other
investors
To get tips on companies
to invest in
North America Europe Asia
Most Frequent Use of Digital Media: Learning
More About the Market
Less Frequent Uses of Digital Media: Getting
Specific Information about Companies, CEOs,
and Activist Investors
Rare Uses of Digital Media:
Networking With Other Investors
Question: What are the reasons you use digital media platforms to investigate an issue further for your work??
10. © BRUNSWICK GROUP 2017 10
Trusted Digital Media Sources
LinkedIn stands out as one of the few social media platforms that is more trusted than distrusted by investors;
there is a notably high levels of distrust for Facebook
70%
53% 52%
16%
11% 9%
5%
30%
17%
12%
20%
27%
31%
21% 21%
28%
35%
47% 49%
62%
Search
Engines
LinkedIn Blogs Slideshare Quora StockTwits Reddit Twitter YouTube Facebook
Trust Distrust
Most Trusted Digital Media Least Trusted Digital MediaLess Known By Investors
Question: How much do you trust the following media sources to give you accurate and useful information for your work?
Net
Trust +50 +26 +21 -5 -10 -19 -30 -17 -32 -50
11. © BRUNSWICK GROUP 2017 11
Trusted Mainstream Media Sources
Investor trust in mainstream media is higher for print publications compared to cable networks
88% 86% 88%
70%
66%
32%
2%
7% 7%
21%
24%
49%
Bloomberg Terminals Bloomberg
Businessweek
The Wall Street
Journal
The New York Times CNBC Fox Business
Network
Trust Distrust
Question: How much do you trust the following media sources to give you accurate and useful information for your work?
Net
Trust +86 +79 +81 +49 +42 -17
12. © BRUNSWICK GROUP 2017 12
Trust in Platforms vs. Trust in Media
Trust in digital media lags behind mainstream publications overall; search engines, LinkedIn, and blogs have the
highest levels of overall trust
71%
53% 52%
30%
17% 15%
12% 11% 9%
5%
Search
Engines
LinkedIn Blogs Twitter YouTube Slideshare Facebook Quora StockTwits Reddit
32%
66%
70%
85%
88% 88%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Fox Business CNBC New York Times Bloomberg
Businessweek
Wall Street
Journal
Bloomberg
Terminals
Most Trusted Least TrustedLeast Trusted
%TotalTrust
Mainstream Media Publications Digital Media Publications
Question: How much do you trust the following media sources to give you accurate and useful information for your work?
13. © BRUNSWICK GROUP 2017 13
Trust in Mainstream Media Publications By Regions
40%
66%
53%
87%
92%
82%
17%
56%
79%
81%
86%
94%
46%
84% 84%
90%
84%
90%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Fox Business CNBC New York Times Bloomberg Businessweek Wall Street Journal Bloomberg Terminals
North America Europe Asia
Question: How much do you trust the following media sources to give you accurate and useful information for your work?
% Total Trust
14. © BRUNSWICK GROUP 2017 14
Trust in Digital Platforms By Regions
5%
8% 6% 6%
15% 13%
38%
57%
53%
74%
5%
8% 8%
13%
21% 22% 24%
54% 56%
68%
6%
13%
26%
19%
6%
16%
26%
38%
48%
68%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Reddit StockTwits Quora Facebook Slideshare YouTube Twitter Blogs LinkedIn Search Engines
North America EU Asia
% Total Trust
Question: How much do you trust the following media sources to give you accurate and useful information for your work?
15. Opportunities Challenges
Implications
15
LinkedIn presents a unique opportunity to
reach investors. It is the social media network
with the highest level of trust, in contrast to
networks such as Facebook and Twitter.
Search engine optimization remains a key
strategy to reach investors. They are used
extensively to inform investment decisions and
are trusted by the investment community.
Digital media use has plateaued. While
digital media informs a large amount of
investment decisions, there does not appear
to be increased adoption from investors
compared to the previous year.
There is an underlying distrust of some social
media platforms. There is very high distrust
of the largest social media platforms:
Facebook, YouTube, and Twitter.