Equity is a common feature in employee total compensation plans – in an AON market analysis, they found that 49% of S&P 500 companies and 38.5% of Russell 3000 companies offer an ESPP to their employees, with much higher prevalence in the information technology sector. This comes with little surprise; at technology start-up companies in particular, equity compensation comes with some very exciting potential if the company should go public in the future. But it comes with just as many risks if the company should fail, and oftentimes employees are deterred and steered away from holding any company stock when they don't understand the entire picture.

In cases where an organization is offering slightly lower salary compensation in favor of a larger share of stock options, it's absolutely critical that employees are provided resources and education around how those shares work, how and when to exercise them, and – of course – what it'll mean for your employee-investors in a major financial event like an IPO. According to UBS, employees whose companies do provide these valuable communications with clarity, transparency, and detail have a much higher appreciation for equity than those who don't.

Unfortunately, however, less than half of employees are actually receiving the education or advice on equity that they need, which leads to a huge missed opportunity for organizations when it comes to retention, engagement, and motivation. If employees simply don't understand their equity packages, they're much less likely to use or value them.

Use these four strategies for employee communication to boost awareness and understanding of your equity benefits:

1. Personalize messaging for the right employees at the right time.

From the very beginning of their experience with your organization, new hires should have transparent and clear resources around their compensation – especially equity. Providing details on exactly what they can expect can set the right tone up front and demonstrate that you are invested in making sure your newest employees have all the information they need to start off on the right foot at your company.

Outside of this critical new hire group, remember that your employees likely have a widely varied understanding of equity programs – some may be very familiar from experience at past organizations, while others may never have been offered shares before. Your one-size-fits-all email will likely not appeal to the vast majority of employees; being too complex for some and To personalize and tailor your resources for such a wide variety of experiences, use polling or surveys to get a sense of how to segment and target certain employee groups.

2. Provide access to digital and in-person resources.

Nearly 75% of employees say they want access to online education to manage their equity. Whether or not you're approaching an IPO, details are everything when it comes to equity. Important disclosures, external communication and social media policies, plan information, and much more, are all key resources to create, audit, and distribute throughout your workforce. And, keeping all of this in a central, easy-to-navigate location is key for employees to explore and learn at their own pace (and revisit when they need to).

Keep in mind, even with strong digital resources, nothing can replace having a professional to walk through concepts and potential scenarios when it comes to personal financial decisions. If they're available, consider inviting your organization's equity plan administrators to consult with employees one-on-one or in small groups.

3. Use timely, digestible messaging that won't overwhelm employees.

Everyone consumes information differently – and especially in today's content-centric world, it's critical to stand out among the digital clutter. A kitchen-sink style message about equity benefits simply won't gain the engagement or attention your organization needs to boost participation and motivation around stock options. Instead, simplify complex verbiage into bite-size pieces (like videos, infographics, or playbooks.

Then, use your calendar to your advantage, and provide timely reminders or send dates that align with key dates, like the start of a vesting period. Tying together relevant, engaging content with a timely send schedule will greatly boost the chances your employees will feel engaged and interested in your organization's equity program. Automated delivery can help make this task even simpler for internal communication teams.

4. Build a culture of equity participation.

Equity is especially exciting as a form of compensation because it directly ties together the success of the company with the great work of your employees. By driving major business objectives, employees can actually feel they have a stake in the value of company stock, making those rewards all the more meaningful. Because of this value, there's no reason not to widely share and celebrate company wins in a public, transparent way, such as in company-wide meetings.

And, to reinforce these moments of celebration, make sure people managers know exactly when to follow up with employees who have been extended stock offers, and equip them with information around how the stock value has or hasn't changed as a result. These personal, one-on-one moments help build a culture and a perception that reinforces participation in stock programs.

The first step in enabling employees with the power and value of stock options is to empower them to make effective decisions. Your communications strategy around equity is instrumental in building and driving program participation, and it requires a thoughtful, comprehensive approach. By putting the true value of equity at the center of your messaging, then personalizing and targeting for your particular workforce, you'll see the program engagement your organization is looking for.

Michelle Sedlacek is director of people at GuideSpark.