Getting the right message across Sam Griffiths
Some basic principles can make the difference between getting your Report and Accounts noticed or thrown in the bin. Many annual reports fail to reflect the true value of the business, with little thought given to the intended audience.
Companies are complex animals – it is important that the value of the business is communicated
How did you feel the last time you watched someone take your annual report? Did you want to cringe? Did you think your annual report had not really moved on since some previous dim and distant last minute review of your annual report offering? Of course, the last time you reviewed it you didn’t see it as a big priority. Maybe you even thought that the whole exercise was a waste of time – deep down you suspect nobody really bothers to read your annual report – what's the point in bothering.
Now your sitting in an investor meeting and one of your investors has a copy in front of him and you’re thinking: "Maybe we should have put a little more effort into getting our message across" or "Oh no, there is stuff in that report that is not consistent with our presentation" or "I wish the guys did not look so terrified in our board photo shoot" or "I hope they don’t ask me anything that's in the annual report as I can’t remember what is in it".
Fortunately we have experienced that a few basic, powerful principles can go a long way towards improving the look and feel of your annual report:
- Say enough – no more, no less
- Make your point – and make your point again
- Focus on big stuff – don’t sweat the small stuff
- Make it visually appealing – but keep it simple
Say enough – no more, no less
As far as your audience is concerned, understand their point of view – this is just one of many annual reports that will cross his desk over the next 12 months. Therefore the goal of the annual report should be to get the investor intrigued – to capture his attention long enough that he feels compelled to take an interest in the company.
Make your point – and make it again
Getting your message across involves developing your key messages in the right order. Your reader will be impatient and will want to cut to the chase. You need to make it easy for them to understand exactly what your business is about. Make sure your report explains the company's investment proposition succinctly within the opening pages of the document. Help your reader arrive at the answer to "who is this business?" and "what does this business do?" Ensure your report immediately responds to your reader’s next question: "So what?" or "I’ve heard this all before".
Focus on big stuff – don’t sweat the small stuff
Make sure the report does not go off at the deep end explaining the technology, the product or the service in minute detail. The report is there to convince the reader that you’ve got a great business. Discuss the detail in as little detail as possible! – convey "big picture take-aways" – market dynamics, key value drivers, credibility of the management team and its ability to deliver on its strategic promises. Give your reader confidence that the business understands its key opportunities and challenges. Leave the reader understanding how his investment makes a difference and how it will provide a tipping point for generating future returns.
Make it visually appealing – but keep it simple
Avoid clutter, space fillers and "pyrotechnic" effects. Present the investment story with confidence and enthusiasm. Use your report to advocate the progress, performance, potential and personality of your business.
This article was written by Sam Griffiths (Investor Communications Consultant). We welcome your feedback and thoughts and would love to hear any questions you have.
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Jones and Palmer are focused on the development and delivery of corporate and investor communication media.
Established in 1906, Jones and Palmer has, for the last 40 years, printed annual report and accounts for public listed companies and currently has over 150 plc clients. We are the UK’s largest on-site manufacturer of investor websites and printed annual reports.