In 2020, lockdowns forced many companies to quickly transition to virtual shareholder meetings and online corporate gatherings. For Investor Relations officers in large companies, this shift often meant headaches and sleepless nights. However, technology should ultimately save time, money, and effort for corporations and their shareholders. So, what are the keys to organizing a seamless virtual shareholder meeting?In this post, we share seven essential tips to make the process easier for you.
1. Plan your virtual shareholder meeting with professional support
Shareholder meetings are complex events involving multiple stakeholders - event organizers, video production teams, streaming companies, communications agencies, legal firms, and more. Traditionally, all these roles were well-coordinated for in-person meetings, where remote participation and voting were just an afterthought.
When companies were suddenly forced to integrate technology for large-scale use, event organizers had to scramble to adapt processes such as shareholder registration, proxy voting, and quorum counting. This made it clear that technology alone is not enough to simplify operations. What’s needed is a new type of professional service provider - one that specializes in secure electronic voting solutions.
If your next shareholder meeting is approaching and you haven’t yet partnered with an experienced electronic voting provider, now is the time. Look for a partner who can assist with event planning from the outset, not just supply a platform. Your event organizer may already have recommendations, so research your options and choose a provider that actively supports the preparation process.
2. Adapt your meeting announcement to the online format
One common mistake is assuming that an online event should simply replicate an in-person one, with a computer as the only difference. Trying to apply offline behaviors directly to a digital setting often leads to disappointment. You’ve likely experienced this yourself during the pandemic.
Designing a truly digital-native event is challenging in a highly regulated context like shareholder meetings, but it’s possible. It may take some internal advocacy within your company, but the results will speak for themselves. By slightly adjusting how the meeting is announced - without needing to change corporate bylaws and while complying with regulations - you can make the experience smoother for shareholders while reducing stress during critical moments, such as quorum calculations and result presentations.
3. Centralize your shareholder register
Managing attendance cards and proxy votes is one of the most tedious aspects of shareholder meeting organization. The process becomes even more complicated when these documents arrive through different channels or when proxy voting includes specific instructions. This is where technology should be your ally - not another source of stress. Using an intuitive digital register that centralizes shareholder information from various sources and flags inconsistencies is essential.
If your electronic voting platform supports online shareholder registration, you’re already ahead of the game. You may even be able to take advantage of regulations allowing early submission of remote votes, which can simplify quorum calculations.
4. Use widely accepted technology standards
Technology is not an end in itself but a means to achieve your goals. Your shareholders have varying levels of technical expertise, but they all use email and mobile devices regularly. Many are also familiar with video conferencing tools like Microsoft Teams, GoToMeeting, Zoom, or Jitsi. So why make things harder by forcing them to learn an entirely new system? Avoid reinventing the wheel. Ensure that your technology provider (or your event organizer’s provider) understands the needs of your shareholders and applies widely accepted technological standards while maintaining security in identification and information management.
In this regard, industry organizations define interoperability as the ability of two or more systems to work together seamlessly. Verify that your technology provider offers an interoperable electronic voting system that allows secure voter authentication regardless of the video conferencing platform you use.
5. Offer telephone support for shareholders
No matter how intuitive your processes are, some shareholders will always need extra assistance. Investor relations, marketing, and communications teams put significant effort into building shareholder engagement, but all that work can be undone in seconds if shareholders become frustrated during registration or participation. To prevent this, offer a dedicated telephone support line for shareholders to resolve any issues before and during the meeting. A high-quality technology provider should be able to offer this service, aligning with your brand’s tone and ensuring the best possible support for participants.
6. Manage timing effectively in your virtual meeting
As we’ve seen, an in-person event and an online event are about as similar as apples and oranges. At a physical meeting, shareholders can chat during breaks and network over catering. In contrast, in a virtual setting, they could be anywhere - at home, on the street, or even by the pool. This is why timing is crucial. Presentations should be adapted, Q&A sessions should be well-structured, and voting and result announcements should be optimized.
A common mistake is sticking to old ways - setting voting periods that are either too short (excluding less tech-savvy shareholders) or too long (delaying results). A more effective approach is to display real-time online voting results so the secretary can provide a provisional reading within seconds and keep the meeting flowing without excluding anyone.
7. Measure, measure, and measure again
The famous physicist Lord Kelvin once said, "What is not defined, cannot be measured. What is not measured, cannot be improved. Whats is not improved, will always degrade”. Unfortunately, evaluation is often overlooked once an event is over. However, measuring shareholder satisfaction with the meeting’s organization is essential. For virtual meetings, additional metrics related to technology usability should also be included. A technology provider focused on continuous improvement can assist with this analysis.
If you need support organizing a virtual shareholder meeting that meets your company’s standards, contact us - we’ll assess your needs with no commitment required.
