B2B REPORT | Principle #2: Embrace Consumer and Industry-Specific Social Platforms

BackBay Communications’ 2015 “Private Equity Brand Equity” survey found that PE social media activity nearly doubled from less than 7 percent in 2011 to 12 percent in the next four years. Twenty-two percent of respondents said they find social a little daunting, but are starting to experiment. Meanwhile, 20 percent are not current users, but are interested in venturing out.

Social media is becoming increasingly more important in PE because it helps GPs “monitor and gauge opinions of them, their portfolio companies and the industry overall,” according to Sal Fira, Transaction Services partner at tax advisory firm Grant Thornton1.

Just like consumer-facing brands, PEs must start leveraging social, with a preference for LinkedIn and Twitter. While some studies suggest that Facebook is the best portal to reach C-Suite executives, we believe the business-content focus of LinkedIn makes it the optimal B2B social-marketing hub. Further, a curated social presence is foundational to the launch of effective content marketing objectives.

Beyond traditional social channels, GPs also need to leverage the increasing value of online PE industry analytics platforms like Preqin and Pitchbook. One senior Preqin representative informed Darien Group that some 3,500 LPs rely on his database for fund discovery. As first-time funds encounter increasing difficulties raising capital from investors, who prefer established brand-name managers, a listing presence on both Preqin and Pitchbook platforms has become vital to promote brand visibility.  On either database, listing is free, and managers, who decline to do so are self-sabotaging fundraising objectives.

It’s important to note that this B2B principle is meaningless unless GPs conduct a thorough brand assessment to define, in a clear and compelling manner, who they are and what they do. Please contact us to learn more about what Darien Group can do for your social media.

For those seeking more intelligence on the evolving landscape of PE fund marketing & branding, DG Journal will be publishing more insights on B2B marketing principles in the coming editions.