After 13 years since its last true bull market, gold has embarked on a generational upswing, increasing roughly 35% since its October 2023 low, eclipsing the performance of the S&P 500, TSX, and Nasdaq. As global institutional and retail investors rush to capitalize on daily price movements, the landscape is ripe with opportunity for junior gold miners.
Although sentiment is not quite euphoric, if you’re running a junior gold company, the famine is over and you’re licking your chops at the potential.
And for the long-time junior gold CEO, your worst fear that younger investors are not interested in the precious metal is proving to be a myth. Sticky inflation and a cost-of-living crisis have a way of making people understand what ‘value’ is… hence, gold’s rise.
There is a great meme circulating on X and Instagram today… It highlights the fact that ten one-kilogram bars of gold could have bought a lovely house in 1929, and they still can in 2024! This is a powerful visual for Millennials and Gen Zers struggling to afford a home despite being the most educated generations ever.
Moreover, the adoption of financial apps like Fey by younger investors, which features daily gold and silver prices, signifies a shift in investment preferences, particularly in light of recent market volatility in other sectors, such as cryptocurrencies.
To be sure, this is a mainstream gold bull market, and it’s in the early innings. Look no further than Costco's sales of gold, estimated to be around $200 million a month! That’s as retail as it gets…
Soon, investors will look for new ways to play the gold bull, first looking at the miners and then the juniors.
How To Market Junior Mining Companies In 2024
This is a reminder to junior gold miner CEOs: There are hundreds of publicly listed companies like yours in Canada, and the smart ones are already vying for the new money coming into the space by making their company discoverable online, through the production of engaging content. The companies that capture investor interest win. It’s really that simple.
All else being relatively equal, the junior gold companies exploring or developing assets will have to sell their story and ambitions better than the next to succeed in this new gold bull market. They’ll have to be seen more online, and be willing to educate newcomers to the space. They will have to be discoverable, which means utilizing various high-traffic, social platforms while making content people want to share.
The landscape is reminiscent of the cryptocurrency boom five years ago, where educational leadership by individuals and entities created substantial investor interest and liquidity in their ventures and offerings. Similarly, junior gold mining companies must embrace their role as educators to the masses to capture and retain investor attention, which will inevitably lead to a growing shareholder base — the lifeblood of a junior.
So, if you’re not a content producer, you’re toast.
For examples of how we bring junior gold mining stories to life, while educating and entertaining, click here and here.
Tip: The junior gold companies that will win investors’ attention will be those that clearly articulate their strategy, uniqueness, and the value of their projects while educating investors on the broader industry (i.e. macro issues impacting price, how to interpret drill results, what a resource estimate is, the process required to reach production, jurisdictional advantages and so forth). If you are looking for help on this front, drop me a line (click here for contact info).
It’s Too Noisy — Press Releases Are NEVER Enough
It’s wishful thinking that your drill results or economic studies will do the marketing for you. Yes, of course they matter. They are fundamental. You can’t sell the advantages of your project without them. But it’s 2024… and press releases alone will not get you discovered by younger investors who are still trying to understand how and why junior gold companies are valuable!
Leverage digital platforms and marketing firms with reach to the younger investor base. If you don’t contract this out, your company needs to create engaging video content, go on podcasts, and utilize tailored email campaigns to amplify your message and enhance visibility. Sure, it will add cost to your IR and marketing budget, but the upside can be tens of millions to your market cap, lasting liquidity, and a growing shareholder base of genuine supporters.
The investment world is noisier than ever. Create content (or have a firm do it for you) and promote your company on platforms that make it discoverable! Press releases are virtually impossible to find for someone who has never heard of your company…
You’ve been waiting over a decade for this gold bull market. Don’t squander the opportunity.
Good luck!
Aaron
P.S. In my latest pod, Alex and I discuss the current state of the gold bull market. I think you’ll enjoy it.
