Salesforce needs to allow users the ability to create report layouts. Reporting in Microsoft Excel is very limited and not very user friendly. This is especially true if you are reporting on 20+ fields. The ability to stack fields would be much more reader friendly than having to scroll across a long report.
The design page should enable the user to place Salesforce fields anywhere he/she wants on the page. The design page should also enable the user to format Report Header, Section Header, Report Body, Section Footer, Report Footer sections.
Of course, this would require that the report be exported to an application other than Excel. Microsoft Word would suffice since this is included in the Office plugin.
Finally, the ability to imbed "Subreports" on a "Mainreport" layout is a must. A good example of why this would be necessary is if a user wanted to create a report on a contact and then also include in the same report information related to child custom objects.