Budget
There has been a marginal increase in IR budgets this year, with the global average now standing at $335,000, up $6,000 from 2020. This represents a stabilization following the 16 percent reduction in IR budgets from 2019 to 2020.
While the fall in IR budgets at the onset of the Covid-19 pandemic was considerable, it was also part of a long-term trend of decreasing budgets from just under half a million dollars in
2015. The broad maintenance of IR budgets during the course of the Covid-19 pandemic is notable in itself, but could also be an early indication of the end of the trend in IR budget reduction.
According to company size, both small-cap and large-cap IR budgets have fallen in the past year, by $12,000 and $22,000, respectively. During the same period, mid-cap IR budgets have increased by $9,000 and mega-cap budgets have increased by $43,000.
The proportion of IR budget spent on external services has dropped slightly, from 30 percent to 28 percent. This means the global average in real terms is now $93,800. The percentage of IR budget spent on outsourcing is highest among large and mid-cap companies.
