Private equity firms are not for public consumption. They mostly want to stay under the radar because they are trying to protect their business operations. Plus, they promised their clients complete privacy and non-intervention from the public and the media. The standard answer of all private equity companies is a “no comment” to anyone asking about an issue, scandal, controversy, or shift in corporate power. But the times are different now. These companies cannot remain private forever. They need to reach out to their market and find new investments that will bring them success.
The important thing about marketing a private equity firm is to understand your goals. What are the goals of your marketing campaign? Most equity firms will want two things: close more deals and find more investors. But to achieve these goals, they can’t carry on as they usually do. They certainly can’t do what other companies are doing, too, because equity firms are different.
Instead, they have to look for a marketing firm for private equity companies. The specialized services are tailor-fit for equity firms. They also help equity companies handle crises in the business.
The problem with these firms is that they feel so hard to reach even for their markets. Those who want to start investing in these firms even have to look for a broker to negotiate a meeting. Such a reputation does not help in wooing new investors and closing deals. So, what do private equity firms have to do?
Spend Time with Journalists
The routine “no comment” to journalists will end up in a disaster. Journalists will not stop until they get a story. If you give them a “no comment” answer, they will look further into the issues. If they find something, they can write about it as long as there’s even a piece of evidence. Do you really want to go down that route? The best way to market your firm is to spend time with journalists, get to know what they want, provide the information they need when possible, and build a relationship with them.
Walk them through the issues that your business is facing. An internal or outsourced public relations company can help you with this, too. But coupled with your marketing strategies, your company will be a solid force to contend with.
Use Social Media
Like with other companies, you also need social media. You can use Facebook, LinkedIn, and other social media platforms to vet small businesses or startups. They need this to learn more about the company and interact with their customers. It is easier for private equity firms to visualize potential growth when they see how they’re faring on social media.
Remember that for most businesses today, social media is the source of all information and even e-commerce opportunities. If a business has no strong social media presence, what does it say about that company? As a private equity firm, you may want to reconsider any plan to invest in it.
Be Known for Your Specialization and Unique Investment Approach
What separates you from other private equity companies? What is it that you want to be known for? Do you have a different investment approach? Highlight these things that make your company unique. Be known in the industry and community for your specialism. This means that when capitalists are looking for investment opportunities in their particular field, your name will come up in the conversation. Your firm will be the first thing in their mind.
Build a Reputation
When investors look for your company on Google, what can they find out about you? Increase the news flow of your firm. This means not only improving your search engine optimization (SEO) but also using the other tools available on the internet to build up your firm and portfolio. Make sure to publicize your deals and explain the investments that you recently made. These strategies will humanize you in the eyes of your market—investors, capitalists, and entrepreneurs. When your target market searches for your company on Google, they should get a good picture of what you can do, what you can offer, and why they need to consider your firm.
It is not easy to make private equity firms seem more “reachable.” There is an air of bravado around these companies that ordinary investors don’t feel at ease dealing with their representatives. However, as the world switches to digitalization, private equity firms must learn to harness the advantages of social media and use traditional and modern marketing methods to bring their companies to new heights.