event management midterm

Event
events are temporary and purposive gatherings of people
4 characteristics of an event
Temporary, gathering of people, displays of ritual, unique
Event management
The organization and coordination of the activities required to achieve the objective of events.
8 steps event managers use
-identify objective
-develop plan
-monitor cost
-adjust to changing conditions
-raise money
-assemble best team
-assess progress
-evaluate
why do people like sporting events?
500 billion$ industry
original reality show
fans participate in the reality show via apps..
how sporting events will end
emotional investment
what is the “flying wedge”?
planning + team work = success
team = professionals, volunteers, both
coach= event director
stakeholders= facility, sponsors, government, businesses, broadcasters, media
USO
understand stakeholders objectives.
who are stake holders?
what are their objectives?
communication is key!
Stakeholders
All the people who stand to gain or lose by the policies and activities of a business and whose concerns the business needs to address.
objective
You must know what you want your event to accomplish when the curtain falls.
Start with ONE CLEAR objective; build on that one.
That one objective MUST be top priority and every team member must understand its importance.
Keeps confusion about the purpose of the event at a minimum.
Secondary benefits of your event will become obvious, but you don’t want to miss them.
paper
promotion
audience
partnership
environment
revenue
paper test
P-A-P-E-R test is a useful framework within which organizers can create a more comprehensive list of additional, or secondary, objectives.
promotion
What messages are important? What do I want to communicate to the public about my event? How do I want to position this event for the future?
audience
Who is our target audience? Who else with similar interests be attracted? Can we win new fans by inviting them?
partnership
Can we use our event to strengthen relationships among stakeholders? What kind of experience do we want our athletes and partners with? What kind of impression do we want them to have?
environment
Who are our competitors and how we stand apart from them? How do make our event unique when it’s competing for same dollars and resources in a community? What are the time and economic pressures?
revenue
How much revenue do we need? Do we want to make a profit? Is it necessary for growing the event? Should we be associated with a charity and how much money do we need to generate for it?
why are secondary objectives important
give event organizers the opportunity to make their event the most dynamic it can be. It becomes a marketing tool for organizers, sponsors, local community and other stakeholders.
what are tactics
Tactics are the things that will cost you AND the things that will make you money!
how do event managers decide which tactics are best
PAPER test can help add direction and focus when going from strategies to tactics.
why must event managers know how to speak in financial term.
We must be educated in financial terminology, as we are expected to give financial reports and recommendations.
what are two questions event managers must ask when planning an event?
Is this event going to make a profit?

Can this event continue?

budget
: the business or overall plan of an organization expressed in financial terms
financial accounting
: the system for recording HISTORICAL financial transactions and presenting this information in summary form (legal obligation to do this
management accounting
the forward-looking financial data for planning, decision-making and control purposes
fixed cost
: expenses that never change regardless of how successful the event is
variable cost
expenses that increase/change as the event grows (in attendance and/or sales)
income statement
a summary of financial performance and therefore actual income and expenditure over a period of time
balance sheet
a snapshot of a company’s financial position at a specific point in time
cash flow
a forecast of funds coming in and out, presented over a period of time. Why is this so important for events management?
why is a budget necessary?
Helps us to know where we are…
How we got here…
Where we are going…
How we will get there…
BUDGETS HELP MANAGEMENT PLAN, MAKE DECISIONS, AND EXERCISE CONTROL IN REGARDS TO THE EVENT PLANNING PROCESS.
8 steps to create a budget
Define Objectives
Audit Resources
Operationalize Strategies
Allocate Responsibility
Prepare Budgets
Implement Budgets
Measure Performance
Act to Control the Event
MASTER mnemonic:
MEASURABLE :profit of ___ or break even
ACHIEVABLE: have capabilities—staff, resources, etc.
SPECIFIC: $3 Million this year
TIME LIMITED: need to state a specific date
ENDS RELATED: must relate to ends rather than means
RANKED: rank objectives in order of priority
2 things to consider when preparing a budget?
HOW MUCH INCOME OR EXPENDITURE?
WHEN WILL INCOME OR EXPENDITURE OCCUR?
know why the process of selecting a site is so important
Motivated hosts produce winning results.
Partnerships between hosts and organizers can make or break the success of an event.
Finding a community with event buy-in from local business leaders and government officials almost always guarantees success.
Understanding what leaders want to gain from hosting an event is the best way to engage them and keep them committed to the project.
“If you want the community to invest in the success of your event, demonstrate your organization’s commitment to invest in the success of the community.”
why is hotel occupancy important to host cities
hotel occupancy = money $$$
2 factors host cities consider
economic impact and hotel room occupancy
economic impact
Economic impact: measure of the dollars that will flow into, or out of, a region solely and specifically because of the presence of a particular event, be it a sports event, a convention, a political action, an act of legislation, or virtually any activity that generates new revenues or losses for the local economy
Event organizers have to provide an accurate economic impact forecast to the potential host city for consideration.
how do we estimate economic impact
Sport Tourism Economic Assessment Model (STEAM): online tool developed by the Canadian Sports Tourism Alliance that analyzes certain criteria that enables sports commissions and CVBs to make solid business decisions
Hire independent consultants to make objective and reliable interpretations of economic figures.
Do it yourself!
hotel room occupancy
Room Night: unit of measure used by CVB for hotel occupancy; one room occupied for one night.
why is hotel room occupancy so important for the host city?
The quantity of room nights is a record of the success of the event (left behind by the event planner).

This past history is invaluable to CVB’s and hotels when comparing actual with what is estimated.

Event organizer must be truthful when estimating these numbers during the bidding process.

who are stake holders when selecting a host city?
: CVB, sports commission, mayor, local gov’t officials, chamber of commerce, local PR agencies.
know what rfp is
Request for Proposal (RFP): a comprehensive bid document generated by the event organizers that is sent to qualified hosts
components of rfp
Introduction
Event Description
Event Schedule
Role of Event Organizer
Role of Host City
Definition of the Ideal Event Site
Benefits to the Host City
Sponsors and Marketing Rights
Response Format
reason why hosts are chosen
Availability of best facilities to hold event
Favorable rates on rentals, labor, services
Active support for the objectives from the local leaders, officials, business community, media
Offers support beyond what is requested
Demonstrates experience with events similar in size
Offer financial incentives other than what is requested
Affordable (or no) taxes on event revenues
Local fan base already there
Charlotte economic impact
4
The Economic Impact of
Sports and Sports Events
on the Charlotte MSA Economy
Introduction
This report analyzes the economic impact of
sports and sporting events on the Charlotte
MSA economy during 2011. It consists of seven secti
ons. The f
critical dates calender
compilation of all the major component parts required to stage an event; includes deadline dates for each task
Another name for Critical Dates Calendar is production schedule
critical task analysis
the process of listing all the primary tasks that must be completed, assigning deadlines that are consistent with all the deadlines of other activities
know example of elementary tasks
First, identify the objective of the task. Example: Why are we inviting VIP’s?
Then make each task “explode” with details.
Develop an event budget
Create a schedule of events
Develop attractions and activities
Sell sponsorships
Create a merchandise area
Create a ticket sales area for next season
Identify food and beverage offerings
Book entertainment
Create a floor plan
Invite dignitaries, VIP’s, sponsors, business owners
Invite media
Advertise and promot to fans and non-fans
Set up and install event
Operate the event
Document the event for future sponsorship sales efforts
Evaluate the event
make it explode
Expand the critical dates calendar by exploding each task (detailing them) and creating a critical task analysis.
This will likely help you determine if you’ve realistically set your deadlines.
Adjustment to deadlines is COMPLETELY NORMAL!
why is an organizational plan important?
Because it highlights how work is actually done in an organization. The flow of resources/communications may be different in reality than what is prescribed by the org. structure.
what makes a sponsorship appealing
measurable for of advertising
all business objectives are different so its important to tailor each package to the needs of each business.
what is cpm
cost per thousands- calculation to determine the value of an ad
cpm is the amount of money spend for every thousand consumers who view the ad
stickiness
is harder to measure-
what do we want from sponsors
revenue
cost avoidance
activation
revenue
value of sponsorship is dependent on how effective the event will be in achieving the sponsors business objectives.
must compare demographics of event with demographics of sponsors ideal consumer/customer
cost avoidance
providing products and services in lieu of payment for sponsorship.. vik
makes sure the value of the vik really reduces event expenses.. dont need it, dondt barter it.
activation
when sponsors invest even more of their own dollars to promote their relatship with a sporting event
always makre sure this will allow you to meet your events cash revenue goal
what do sponsors want
exposure
customer hospitality
sales opportunities
fundraising for corporate causes
associative benefits
exposure
in event advertising
repeated viewing of ad message
the more visible the placement of ad, the more valuable to sponsorship.

wearout effect after 3-10 repetititons, effectiveness of advertising dwiindles among consumers.. must keep the advertising methods different.

consumer hospitality
access to the best seats in the house– allows companies to recognize clients, top sales associates, franchisees, etc.
important for B to B companiesbest tickets and invitations to best receptions and parties.
sales opportunities
opportunities for product demonstration, sampling, couponing, premium giveaways.
helps organizers secure a long term relationship with sponsor
fundraising opportunities
enormous PR beneifts to sponsoring/funding a cause related activity
people will purchase tickets to an event if it is tied into a charity=special olympics, susa g komen.
associative benefits
ability to promote their company or brand without interference from competitors
official softdrink of the carolina panthers.
ownership
protect their brand from the clutter of all the other sponsors
unique ways to do this sponsor halftime show, MVP
tournaments, pregame activities, award/ trophy sponsorships
pass through rights
transference by a sponsor of some of its event benefits to its suppliers, distributors, retailers, advertisers, etc
sponsor benefits for consumers
event tickets
limited exclusinve access opportunities
consumer advertising
discount and premium sales promotions
direct sales