Zillow plans to become the first company to take questions during an earnings call via social media. The NASDAQ-listed operator of real-estate websites will discuss its first quarter financial results on May 7, with Facebook and Twitter users invited to submit questions to the conference call.
‘Individuals may submit questions via Twitter using hashtag #ZEarnings to the @zillow Twitter handle, or to the official Zillow Facebook page,’ the company states in a press release.
Raymond Jones, IRO at Zillow, says the move is aligned with his company’s brand. ‘Social media are already ingrained in Zillow’s DNA, so it made sense for us to be at the forefront of engaging with investors via [these channels],’ he explains. ‘The Zillow identity is one of accessibility and empowerment, so if we can find a way to provide investors with greater access through social media, we will.
‘As far as taking questions via Twitter and Facebook, we couldn’t see a downside. Once it became clear these new channels were open to us, we decided to lay the groundwork for a social media strategy that will evolve as disclosure practices do.’
The move comes at a time of heightened interest in social media after the SEC said earlier this month that companies can use channels like Twitter and Facebook to release material information, as long as they let investors know in advance which channel they intend to use.
Jones says he applauds the SEC’s decision to approve social media as an appropriate channel for disclosure. ‘Many investors – both institutional and individual – already use social media, and this can be a good way for them to get valuable, real-time information about companies,’ he says.
