How do you explain to investors that a tumultuous decline in your stock price added up to a $55 Billion loss in value?
Well, when your market value still is well into the hundreds of billions, you might say it’s all relative.
However, the recent precipitous losses suffered by Apple investors, due to a disappointing company projection for the first quarter, helped lead an overall steep decline in the Dow Jones and other averages.
This news, of course, received a tsunami of media attention, and demanded a response from this massive tech company with so much impact on the US investment market.
Apple CEO Tim Cook had to approach that challenge with a definite plan.
In a series of three vignettes, we detail and evaluate his performance.
We identify the three primary steps The Media Trainers® counsels clients to take, and Cook appears to have taken preparing for an extended CNBC interview: first, identify target audiences; next craft clear, honest and positive messages for each audience; and, third, have an end game, or predetermine the result he needed this interview has on Apple’s business. We call this his ROI or Return on the Interview.
Vignette #1: What Happened
Analysts’ predictions and expectations for Apple’s first quarter are not going to be met. In fact, they will fall far short. So, CEO Tim Cook first had to speak to those analysts and give his take on why Apple 1st Q revenue will be way off and that revelation led to a nearly 10% in his stocks value:
But another specific change in Apple’s iPhone business in China also contributed to the hit.
There’s another reason, as well: a change in a company policy.
Also, Apple fell short meeting demand for new products.
While Cook had to deal with significant negative news, his body language is sending a very powerful positive message. He’s calm. He smiles. His eye contact is excellent. And he uses his hands to punctuate his words.
Holding his hands in a prayer-like position, and moving them with emphasis is especially effective in accentuating and highlighting his most important messages.
So, at the start of the CNBC interview, Tim Cook talks to the critical audience that has so much influence on his stock’s performance, industry and market analysts. Their predictions and projections directly affect his investors, who definitely are looking for reassurance. More on that in Vignette #2—Message to Investors.
Always keep in mind that in today’s world of instant global communication,
“Anyone who talks about you…or your business…is media!”
The Media Trainers®, LLC