The stock market is extremely volatile. Investors buy and sell large share portfolios in a short space of time. As long as no reliable stock market forecast is possible, even major investment decisions are largely made on an emotional basis. That is why a solid image strengthens confidence and the willingness to invest.
Brand images as a reflectionEvery investor has personal inner images of a company that they perceive subjectively. As share decisions are made at very short notice, they can be compared with other impulse decisions such as those made in front of the supermarket shelf. Buying behavior here is often a reflection of deeply rooted image values. Well-managed brands have an advantage and inspire trust, which becomes more important as the investment volume increases. Internal brand images are created through a multitude of impressions and experiences that result from the company's overall behavior. The image is also subject to external, uncontrollable influences. With a transparent and credible information policy, however, many things can be actively influenced. Opinion-forming corporate media that provide objective and authentic information play an important role in this.
Proud of the companyThe annual report is of central interest to investors. Investors with a diversified portfolio will not delve too deeply into the financial reporting, as this only allows for limited forecasts of future developments. But they will follow the activities of the companies in which they themselves have a stake with a certain pride. This audience is extremely receptive to positive news and outstanding achievements in the reporting year, which form the basis for future success. If positive inner images dominate the investor's mind, they will favor the purchase of shares at the decisive moment.
More scope, more topicsToday, many companies prepare their annual reports according to journalistic criteria, which also makes them interesting for a wider audience. Basel West examined the annual reports of listed Swiss companies and found that their average length has doubled in ten years. The proportion of companies that venture an outlook into the future has increased from 20 to 47 percent and the variety of journalistic forms has increased by a third, while the textual structure with subtitles, leads and boxes has even become two thirds more refined. The high standard is also evident in images and illustrations. In the past, a third more agency images were used than today, where companies can be specifically documented in an individually defined style. For its part, structured reader guidance contributes to reader-friendliness. This creates added value for the recipient, because bare figures sell better when they are beautifully presented and journalistically edited.
Markus Siegenthaler
Information: Basel West Corporate Communications AG
Markus Siegenthaler
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