Research backs claims that Vistage CEOs outperform their nonmember peers.

In last week’s post, I featured a CNBC broadcast regarding Vistage Member CEOs forecasting  short term growth for small companies over the next two quarters.  In that report was a caveat that Vistage CEOs may not be a totally representative sample of Small Business CEOs,  because independent research shows that they consistently outperfom peer nonmember companies.  I asked Vistage International to share their evidence, and was impressed with the research they produced.   As can be seen from the graphs below, a Vistage Sample of  1265 member companies was compared with a statistically matched sample of about a million D & B nonmember companies.  Over the period 2006 though 2009, Vistage companies outperformed nonmember companies on CAGR  by15 percentage points.  Moreover, this trend was consistent across all major business segments, ranging from a  13.2 percentage point difference in the Transportation and Communication Sector, to a  25.7 percentage point difference in the Wholesale Trade sector.   In other words, in one of the toughest economies in history, Vistage member companies averaged 5.8 % revenue growth, while nonmembers averaged a (9.2%) revenue decline.  In future posts, we will explore the factors that contribute to that sizeable performance difference.

 

 

 

 

 

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