The Rise of Event Marketing

Why Companies are Focusing on Events as Their Primary Marketing Channel

In recent years, there has been a noticeable shift in the marketing strategies of many companies. Increasingly, organisations are turning to events as their primary marketing channel, investing substantial resources in everything from industry conferences and trade shows to product launches and experiential activations. I’ve seen this up close and personal with some clients, and I can see the attraction if you’ll excuse the pun, ?but I’ve been here before, and it’s not all good if budgets and ROI are being questioned.

This trend reflects a broader transformation in how businesses engage with their audiences, especially in a post-COVID-19 world, and how create impressions, good and bad. However, while focusing on events can offer significant advantages, it also comes with its own set of challenges. Here, I discuss why companies are prioritising events, the potential pitfalls of an event-centric approach, and whether it truly represents the future of marketing.

The Appeal of Event Marketing

Direct Engagement with Target Audience

Events provide a unique opportunity for companies to engage directly with their target audience. Unlike digital or traditional advertising, which can often feel impersonal and detached, events allow businesses to create a tangible and immersive experience. Attendees can interact with products, meet company representatives, and engage in meaningful conversations. This direct engagement helps build trust and fosters a deeper connection between the brand and its customers.

Building Brand Awareness and Loyalty

Events are powerful tools for building brand awareness and loyalty. By creating memorable experiences, companies can leave a lasting impression on attendees. This is particularly important in today’s crowded marketplace, where consumers are bombarded with marketing messages from all directions. A well-executed event can differentiate a brand from its competitors and cultivate a loyal customer base.

Generating Leads and Driving Sales

For many companies, the primary goal of event marketing is lead generation and sales. Events provide a platform for businesses to showcase their products and services to a highly targeted audience. Attendees are often more receptive to sales pitches in an event setting, as they are already interested in the industry or topic being covered. This can result in higher conversion rates and a more efficient sales process.

Creating Networking Opportunities

Events also offer valuable networking opportunities for both attendees and organisers. They bring together industry professionals, thought leaders, and potential customers in one place, facilitating connections that might not have occurred otherwise. For companies, these connections can lead to new partnerships, collaborations, and business opportunities.

Showcasing Industry Leadership

Hosting or participating in events allows companies to position themselves as industry leaders. Businesses can showcase their expertise and thought leadership by organising high-profile events or speaking at major conferences. This not only enhances their reputation but also reinforces their credibility and authority within the industry.

Gathering Market Insights

Events are also excellent platforms for gathering market insights. They provide an opportunity to interact with customers, understand their needs and preferences, and gather feedback on products or services. This information can be invaluable for refining marketing strategies and developing new offerings that better meet customer demands.

"It can be great but it’s not all good"

Pitfalls of an Event-Centric Marketing Strategy

While focusing on events as the primary marketing channel offers numerous benefits, it also presents several challenges that companies need to consider.

High Costs

One of the most significant drawbacks of event marketing is the cost. Organising events can be expensive, with costs for venue rental, production, marketing, staffing, and more. While large companies may have the budget to absorb these expenses, smaller businesses may find it challenging to justify the high costs associated with event marketing.

Limited Reach

Events typically have a limited reach compared to other marketing channels. While a digital campaign can reach millions of people worldwide, an event is often constrained by physical location and capacity. This can limit the potential audience and reduce the overall impact of the marketing efforts.

Time-Consuming

Planning and executing an event requires a significant time commitment. From initial planning and promotion to logistics and follow-up, events demand a considerable amount of time and resources. This can divert attention away from other important marketing activities and business operations.

Risk of Low Attendance

There is always a risk that an event will not attract the desired number of attendees. Factors such as timing, location, and competing events can all affect attendance rates. Low attendance can result in wasted resources and missed opportunities, undermining the effectiveness of the marketing strategy.

Dependence on External Factors

Events are highly dependent on external factors, such as weather, travel restrictions, and economic conditions. Unforeseen circumstances can disrupt events and impact their success. The COVID-19 pandemic, for example, led to the cancellation or postponement of numerous events, highlighting the vulnerability of event-centric marketing strategies.

Lack of Long-Term Engagement

While events can create memorable experiences, they are often short-lived. Once the event is over, maintaining engagement with attendees can be challenging. Without a solid follow-up strategy, the impact of the event can quickly fade, and the opportunity to build long-term relationships may be lost.

The case for a balanced marketing portfolio

Given the potential pitfalls of an event-centric approach, many experts advocate for a more balanced marketing strategy that incorporates a variety of channels. A diversified marketing portfolio offers several advantages:

Broader Reach and Engagement

By using multiple channels, companies can reach a wider audience and engage with different segments of their target market. This can include digital marketing, content marketing, social media, email campaigns, and more. Each channel offers unique benefits and can help reinforce the brand message across different touchpoints.

Risk Mitigation

A diversified marketing strategy helps mitigate risk by not relying too heavily on any single channel. If one channel underperforms or is disrupted by external factors, other channels can help maintain momentum and achieve marketing objectives.

Cost Efficiency

A balanced marketing portfolio allows companies to allocate resources more efficiently. By investing in a mix of channels, businesses can optimize their marketing spend and achieve better results without the high costs associated with focusing solely on events.

Sustained Engagement

Using multiple channels enables companies to maintain sustained engagement with their audience. While events can create a significant initial impact, ongoing communication through other channels ensures that the brand remains top of mind and continues to nurture customer relationships.

Data-Driven Decision Making

A diversified approach also provides more opportunities for data collection and analysis. By leveraging insights from various channels, companies can make more informed decisions and continuously refine their marketing strategies to achieve better outcomes.

Is Event Marketing the Future?

While events can play a crucial role in a company’s marketing strategy, relying on them as the primary channel may not be the most effective approach. The high costs, limited reach, and potential risks associated with event marketing highlight the importance of a balanced strategy that incorporates a variety of channels.

In today’s dynamic and complex marketing landscape, companies need to be flexible and adaptable, using a mix of traditional and digital channels to effectively engage with their audience. Events should be viewed as one component of a broader marketing strategy, complementing other efforts to create a comprehensive and impactful approach. Companies also need to review the ROI of events not just in revenue terms but also the effort and time consumed, which could be used in other ways.

Ultimately, the key to successful marketing lies in understanding the unique needs and preferences of your target audience and using a diverse set of tools and channels to meet those needs.

By maintaining a balanced marketing portfolio, companies can achieve sustained growth and build lasting relationships with their customers, ensuring long-term success in an ever-changing marketplace.