In the industry of event planning and management, there is one topic that often remains shrouded in mystery and silence: pricing. It is a taboo subject that is seldom discussed openly, yet it plays a pivotal role in shaping the dynamics of the events industry. We are calling for more pricing transparency.
Below we will delve into the world of pricing transparency, shedding light on three crucial aspects that are often overlooked.
By addressing these issues, we hope to initiate a much-needed conversation and encourage event professionals to rethink their approach to pricing.
The “if there is money, it will be spent” conundrum:
At times there is the notion that if a business has allocated a specific budget for an event, that budget must be fully expended.
While this may seem like a logical approach, it often overlooks the opportunity to provide clients with valuable advice and guidance.
Instead of simply accepting the budget at face value, event professionals should consider advising their clients on optimising their investment.
For instance, rather than hiring a required item for a single event, is it worth exploring the possibility of the client investing in the item for long-term use?
This approach may require a larger upfront investment but can yield greater benefits in the future.
The lack of transparency in margins
Transparency is crucial in fostering trust and establishing strong client relationships in any business.
When it comes to the margins added to various event investments, the events industry can often be a little misleading with this.
While some event management companies may outline these details in their terms and conditions, the lack of open discussion can create an air of uncertainty for clients.
Embracing transparency by openly explaining how these margins are calculated can help build trust and enable clients to make informed decisions.
The challenge of random cost assignments
No two events are the same, and every client has unique requirements.
Yet, in many cases, event managers rely on rough estimates or arbitrary figures when it comes to pricing events.
To ensure fairness and accuracy, it is essential to calculate and detail the costs associated with each event.
This requires dedicated effort and collaboration with the client during the planning phase.
By working closely with clients, event professionals can thoroughly understand the scope of work and accurately price the event, delivering a tailored experience that meets the client’s specific needs.
We have a new way of working with clients, which we talked about on LinkedIn (watch the post here). This creates a whole new level of accurate pricing and transparency!
Final thoughts
Pricing transparency is an integral part of building trust, fostering long-term client relationships, and ensuring the success of events.
By challenging the traditional approaches to pricing in the events industry, event professionals can revolutionise the way they engage with clients and provide exceptional value.
It is time to embrace open discussions about budgets, explain the margins applied, and meticulously calculate costs to deliver bespoke event experiences.
Let us break the silence, initiate honest conversations, and transform pricing transparency into an industry norm.
If you want to learn how we work through transparency, contact us.