Analyst Relations tips from CMS Watch

Analyst relations professionals can get a quick reality check from Alan Pelz-Sharpe, an analyst with CMS Watch. Alan has expanded and updated his candid AR tips for dealing with analysts, now organized as 12 Do’s and Don’ts.

I would say #7, “don’t kiss my a**,” is not widely applicable. However, individual skills in puckering up do count. If you don’t do it well, you’re at a disadvantage. On the other hand, #8 - “don’t ask me for advice,” is a universal reminder that analyst feedback during a briefing is best viewed as a priviledge and a courtesy, unless the analyst has been contracted for feedback.

CMS Watch defines “independent analysts” as those research firms that do not earn revenues by consulting to vendors. In fact, CMS Watch sees taking vendor revenues as a conflict of interest. This is one of the most extreme and controversial definitions of “independent analyst” that I’ve encountered.

For many years, I’ve used the term “independent analyst” to describe small and sole proprietor research companies. It’s more comfortable for me than saying the more popular term “boutique analyst.” Who wants to look an executive in the eye and say, “This quarter, we should spend an extra $50K with these boutique analyst shops.”

Lately, I’m thinking that Alan and his colleagues have the better idea. It’s time to start using SOHO, mid-size and large as appropriate. Leave “independent” where it belongs, on the competitive battlefields of objectivity and transparency.