FPRA - Florida Public Relations Association Blog

The importance and function of an organization's annual report should not be underestimated. The document can build a positive and strong perception of your organization. It can also serve both marketing and information functions, with real impact on organizational performance ratings.

Annual reports typically communicate with a variety of audiences, including customers, employees, donors, stakeholders, government regulators and investors (if applicable). The quantity and quality of the publication can contribute to future investment in your organization, as well as customer satisfaction and employee well being.

I work for Florida’s sixth largest municipal electric utility. Even though we are a government entity, we recognize the value of producing an effective annual report. Other than our monthly customer newsletter, the annual report is our single largest communications expenditure.
Research shows that the average reader spends approximately three and a half minutes reviewing an annual report. Yikes! How can we as PR professionals make an impact in that amount of time?

Here are a few tips on what it takes to create an eye-catching and successful annual report:

• Well written text.
This is an obvious but important point. Use the copy to tell a connected story… a story the reader is likely to remember. Use the copy to give readers a complete analysis of your organization’s progress and future goals, keeping in mind that the writing should be readable and understandable to the intended audiences. Avoid jargon – but define it if you have to use it.

• Images, illustrations and photography that draw in different audiences.
Be creative. Make it visual. Show your ingenuity and imagination. Too many annual reports are the same size and shape from year to year. Also, consider different textures, shapes, fonts, colors and binding techniques to make the report unique, fresh and attractive to the reader.

• A simple and inviting look and feel.
Don’t try to cram 48 pages of information into a 36-page report. Maintain appropriate design scale and take advantage of white space. Less truly is more.

• Financial information that is complete but not overwhelming.
It’s easy to get your readers “lost” in the financials. The best way to capsulate this is through the use of charts and graphs. You also might consider an alternate way to present the financials. Several years ago my utility began putting the financials on compact disc to minimize production cost and environmental impact (less use of paper). Now when the report arrives with the CD, the financials don’t overwhelm the report.

• A compelling design that forces the reader to stop “flipping” through the report.
The report should pinpoint a theme that is forcefully supported throughout the publication. Does the design itself tell a story?

• Make it honest.
The report should provide an analysis rather than just a recounting of the past year, and a sense of the organizational direction for the coming year.

• Find a balance between esthetics and substance.
Avoid gimmicks. I’ve received annual reports in the past that included pop-up pictures of the company’s CEO and another that had a sound effect when you opened the cover. Nice ideas for an event invitation or promotion, but not for the annual report.

• Outstanding print quality.
We’ve all had great design pieces that remained great until the image hit the paper. Thoughtful consideration should be given to paper stock. How well will color reproduce on the stock you’ve selected? A bad paper choice could ruin your whole project.

• We DO judge a book by its cover, so your annual report cover should have impact.
The cover should give off the general feeling of the report. And make sure you tell readers what they are looking at. You’d be surprised how many annual reports are produced with no mention of what it is on the front cover.

• Good “bang for the buck.”
Keep in mind the dollars spent on the report and what they will yield for your organization. Make it worth the time and money you spend.

• Make it available.
Don’t just mail out copies of your annual report and put the rest on a storage shelf. Consider posting the report on your organization’s Web site and archive previous reports on your Web site as well. We promote the availability of our reports through PSAs on our government access channel and through our customer newsletter.

Here are a few examples of some effective annual reports:

Ameristar Casinos, Inc.

Fossil

The George Gund Foundation
2004
2003

Harley Davidson
2005
2004

If you produce an annual report, look at ways to make it better. If you haven’t produced one, consider the benefits of this effective form of communication.

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Chris M. Gent is corporate communications manager for Kissimmee Utility Authority. The annual reports produced by KUA over the past six years have earned a total of 27 awards, including four Golden Image Awards, five Image Awards and three ADDY® Awards.