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EventView 2009: North America David M. Rich Senior Vice President, Strategic Marketing/Worldwide George P. Johnson Experience Marketing Katie Callahan-Giobbi.

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Presentation on theme: "EventView 2009: North America David M. Rich Senior Vice President, Strategic Marketing/Worldwide George P. Johnson Experience Marketing Katie Callahan-Giobbi."— Presentation transcript:

1 EventView 2009: North America David M. Rich Senior Vice President, Strategic Marketing/Worldwide George P. Johnson Experience Marketing Katie Callahan-Giobbi Executive Vice President, MPI Foundation Chief Business Architect, Meeting Professionals International

2 Session Overview EventView Background Status KPI’s Summary Discussion Subjects – Budget – ROI – Measurement – Green – Event-to-Experience Transition What this all means to you

3 Study Overview Annual, global and first-of-its-kind study of event marketing trends across industries and geographic regions Launched in 2002 by George P. Johnson (GPJ), EventView is the longest –running study of the event marketing industry Co-sponsored by MPI Foundation since 2003 Co-sponsored by the Event Marketing Institute since 2007 Currently in it’s 7th year reporting on the perceptions senior level executives have of event marketing US respondents surveyed earn upwards of $200 million in annual revenue with over 41% of US based respondents representing companies that generate over 1 billion in revenue Aligns with MPI Strategic Plan

4 Survey Demographics - Title

5 Survey Demographics - Revenue Key Take Away: 41% of respondents represent large enterprise companies.

6 Marketing Budget 67% of respondents have marketing budgets over $1M

7 Marketing Concerns Thinking about your current marketplace, what would you say is your primary marketing concern today? a)Measurement of return on marketing investments b)Re-engineering the marketing mix to improve performance c)Reaching new customers d)Keeping loyal, profitable customers e)Growing market share profitably f)Maximizing sales in emerging markets g)Building brand awareness

8 Key Take Away:Reaching new customers has been the primary concern among respondents for the past three years. Not surprisingly, concerns about the economy ranked second (12%) this year. North America Companies’ Primary Marketing Concern Question: Thinking about your current marketplace,what would you say is your primary marketing concern today?

9 North America Trends in Event Marketing Status KPI’s

10 North America Trends in Event Marketing Status KPI’s Key Take Away: Despite the challenging economic landscape, event’s proportion of the marketing `budget has remained relatively stable but with the percentage of marketers expecting budget increases predictably on the decline. While historically the future importance of events has been optimistic, the number of respondents ranking it’s future importance as increasing declined somewhat this past year. 2003 - 2008

11 Future Importance of Event Marketing Key Take Away:The future importance of event marketing has remained optimistic over the past several years. In what could be a sign of industry maturation, those that rank the future importance of events as remaining constant has remained steady over the past couple of years while those that rank it’s future importance has declined as events rise to prominence among marketing disciplines. North America 2004 – 2008 Question: How do you estimate the future importance of event marketing for your organization?

12 North America Trends in Event Marketing Status KPI’s Events’ proportion of the overall marketing budget is a clear indicator of an industry that is maturing and whose function as a sales driver is becoming more well known throughout the enterprise. Although over a third of respondents (39%) expect budget decreases, budget fluctuations are most likely related to tightening marketing budgets due to the economic downturn, not necessarily a decline in the perception of event marketing’s value to the organization. Respondents have historically been optimistic about the future importance of events and the number of those ranking it’s future importance as remaining constant in 2008 is on par with previous years. The slight decline in the number of respondents who rank the future importance of events as increasing could be interpreted as another sign of event’s rise to prominence in the organization and the stabilizing of it’s ranking among marketing channels. Implications

13 Key North America Findings

14 Key North America Findings: Budget Trends

15 Budget Trends What percentage of your company's total marketing budget is currently spent on event marketing? How is your marketing budget split among disciplines? Would you say your overall marketing budget has increased or decreased? By what percentage do you anticipate your event marketing budget allocation will increase or decrease? If you have experienced a budget increase, where will the dollars go to? If you have experienced a budget decrease, where will the dollars come from?

16 North America - 2004 – 2008 Question: What percentage of your company's total marketing budget is currently spent on event marketing? Event Marketing’s Share of the Marketing Budget

17 Key Take Away: Event marketing’s share of the marketing budget in North America has declined slightly to 25%. North America - 2004 – 2008 Question: What percentage of your company's total marketing budget is currently spent on event marketing? Event Marketing’s Share of the Marketing Budget

18 Marketing Budget Allocation Question: How is your marketing budget split among disciplines? a)Event marketing b)Print advertising c)Broadcast advertising d)Sales promotions e)Public relations f)Web marketing g)Direct mail h)Other North America – 2008

19 Marketing Budget Allocation Key Take Away:Event marketing (26%) and print advertising (24%) spend make up for half of respondents’ marketing budgets North America – 2008 Question: How is your marketing budget split among disciplines?

20 Marketing Budget Fluctuation North America – 2008 Question: Would you say your overall marketing budget has increased or decreased? Increased Remained Constant Decrease

21 Marketing Budget Fluctuation Key Take Away: Over half of respondents expect their budgets to increase or remain constant. North America – 2008 Question: Would you say your overall marketing budget has increased or decreased?

22 Event Marketing Budget Fluctuation Key Take Away: Respondents expecting additional budget expect a 15% increase. Those expecting cuts expect a 25% decrease in their spend. North America – 2008 Question: By what percentage do you anticipate your event marketing budget allocation will increase or decrease?

23 Marketing Budget Flows - Increase a)Event marketing b)Print advertising c)Broadcast advertising d)Sales promotions e)Public relations f)Web marketing g)Direct mail North America – 2007 - 2008 Question: If you have experienced a budget increase, where will the dollars go to?

24 Marketing Budget Increase Key Take Away: Event marketing and Web marketing gain equally from shifting marketing dollars. North America – 2007 - 2008 Question: If you have experienced a budget increase, where will the dollars go to?

25 Marketing Budget Flows - Decrease a)Event marketing b)Print advertising c)Broadcast advertising d)Sales promotions e)Public relations f)Web marketing g)Direct mail h)I have not experienced a budget increase North America – 2007 - 2008 Question: If you have experienced a budget decrease, where will the dollars come from?

26 Marketing Budget Decrease Key Take Away:Event marketing (53%) and print advertising (48%) are first affected by budget cuts. North America – 2007 - 2008 Question: If you have experienced a budget decrease, where will the dollars come from?

27 Key North America Findings: ROI Trends

28 ROI Trends Of the following marketing elements, which would you say provides the greatest return on investment?

29 The Greatest ROI in Marketing Direct Mail Web Marketing Public Relations Sales Promotions Broadcast Advertising Print Advertising Event Marketing North America – 2004 - 2008 Question: Of the following marketing elements, which would you say provides the greatest return on investment?

30 The Greatest ROI in Marketing Key Take Away: Marketers have ranked events as the discipline that provides the greatest ROI for 5 years and provide a higher ROI than broadcast by x 5. North America – 2004 - 2008 Question: Of the following marketing elements, which would you say provides the greatest return on investment?

31 ROI Trends Of the following marketing elements, which would you say provides the greatest return on investment? Why does Event Marketing provide the greatest ROI?

32 Why Event Marketing Provides Greatest ROI a)It can be measured b)Minimal investment for highest exposure? c)Wide exposure? d)In person contact? e)Reaches a targeted audience? f)Builds new contacts? g)Primary source of information? h)Number of people reached? North America – 2007 - 2008 Question: Why does Event Marketing provide the greatest ROI?

33 Key Take Away: 81% of North American respondents consider event marketing to provide the greatest ROI because it includes opportunities for in-person (face to face) contact. North America – 2007 - 2008 Why Event Marketing Provides Greatest ROI Question: Why does Event Marketing provide the greatest ROI?

34 ROI Trends Of the following marketing elements, which would you say provides the greatest return on investment? Why does Event Marketing provide the greatest ROI? Of all the marketing disciplines, which would you say is best for accelerating and deepening relationships? 1.Event marketing 2.Print advertising 3.Broadcast advertising 4.Public relations 5.Web marketing 6.Direct mail

35 Accelerating and Deepening Relationships Key Take Away: Event marketing is the overwhelming choice as the discipline that best accelerates and deepens relationships. North America – 2008 Question: Of these marketing elements, which would you say is best for accelerating and deepening relationships?

36 Key North America Findings: Metrics Trends

37 Metrics Trends Do you do any event measurement? What percentage of the event marketing budget is allocated to measurement? Why do you measure? What do you measure? What is the impact of measurement on budgets?

38 Measurement in Event Marketing North America - 2005 - 2008 Do you do any event measurement?

39 Measurement in Event Marketing Key Take Away:The percentage of respondents who report measurement has rebounded 9 percentage points since 2007. North America - 2005 - 2008 Question: Do you do any event measurement?

40 Budget Allocations for Measurement Key Take Away: Despite a renewed interest in measurement, budget allocations for the activity are at an all time low. North America – 2004 - 2008 Question: What percentage of the event marketing budget is allocated to measurement?

41 Measurement Motivation a)Procurement influence b)Marketing best practice c)To justify expenditure d)To protect or increase budget e)To demonstrate marketing ROI f)To improve attendee experience North America - 2008 Question: Why do you measure?

42 Measurement Motivation Key Take Away: The majority of respondents measure to justify expenditure (43%). North America - 2008 Question: Why do you measure?

43 Measurement Topics a)Number of qualified leads b)Learning impact c)Media impressions d)Overall experience satisfaction e)Attendance f)Quality of leads g)Sales increase h)Overall communication effectiveness i)Change in brand perception j)Other North America 2006 - 2008 Question: What do you measure?

44 Measurement Topics Key Take Away:The leading categories of event measurement are the number of qualified leads generated (36%) closely followed by sales increases (33%). North America 2006 - 2008 Question: What do you measure?

45 Measurement Impacts Event Marketing Budgets Key Take Away: Companies that measure are over 2 times more likely to expect increases in their event marketing budgets than those who don’t measure. North America – 2007 - 2008 Question: How do you anticipate your marketing budget allocations will change relative to event marketing?

46 Key North America Findings: Green Trends

47 Green Trends When do you plan on implementing green initiatives within the event function? Why is your company implementing a green initiative? What percentage of your event budget is dedicated to green initiatives?

48 Green Initiatives Implementation a)Already implemented b)No current plans c)Do not know d)In the next three months e)In the next six months f)In the next twelve months North America – 2007 - 2008 Question: When do you plan on implementing green initiatives within the event function?

49 Green Initiatives Implementation Key Take Away: Enthusiasm for green remains strong with 13% of respondents implementing eco friendly initiatives within the next 12 months and 53% reporting that they are already integrating green into their event programs. North America – 2007 - 2008 Question: When do you plan on implementing green initiatives within the event function?

50 Motivations for Green a)Corporate responsibility mandate b)Cost savings c)Gain a competitive advantage d)Win or maintain customer loyalty e)Don’t know North America – 2007 - 2008 Question: Why is your company implementing a green initiative?

51 Motivations for Green Key Take Away: Abiding by a corporate responsibility mandate continues to be respondents’ primary motivation for going green. North America – 2007 - 2008 Question: Why is your company implementing a green initiative?

52 Green Initiatives Key Take Away: Respondents that implement green initiatives dedicate 13% of their event budgets to related activities. North America – 2008 Question: What percentage of your event budget is dedicated to green initiatives?

53 Key North America Findings: Event-to-Experience Trends

54 Which of the following statements best describes for you the term Experience Marketing? – An event where an audience has the opportunity to interact with a company's product/service –An event where an audience has the opportunity to interact with a company's product/service and its brand –An integrated interaction with a company's product/service and its brand before, during and after event(s) through the combination of media –Other What primary marketing objectives do you currently use experience marketing for? – Awareness – Consideration – Preference – Purchase – Loyalty – Do not use experience marketing

55 Perception of Experience Marketing Question: Which of the following statements best describes for you the term Experience Marketing? –An event where an audience has the opportunity to interact with a company's product/service –An event where an audience has the opportunity to interact with a company's product/service and its brand –An integrated interaction with a company's product/service and its brand before, during and after event(s) through the combination of media –Other North America 2006 - 2008

56 Perception of Experience Marketing North America 2006 - 2008 Question: Which of the following statements best describes for you the term Experience Marketing?

57 Experience Marketing at Work Key Take Away: Building awareness is most frequently sited as the primary marketing objective experience marketing is used to support. North America 2007 Question: What primary marketing objectives do you currently use experience marketing for?

58 The Transition to Experience Marketing How quickly are you transitioning? a)Not at all b)Don’t know c)In the next three months d)In the next six months e)In the next twelve months

59 The Transition to Experience Marketing Key Take Away:Swift transition of event marketing into experience marketing efforts. 33% are already there. North America – 2006 - 2008 Question: How quickly are you transitioning your event marketing initiatives into experience marketing?

60 Key Take Aways

61 Since 2004, event marketing has been considered by respondents to provide the greatest ROI among marketing channels and is perceived to provide a higher ROI than broadcast advertising, by a factor of five. Further confirming the power of events, event marketing is the overwhelming choice of marketers as the discipline that best accelerates and deepens relationships. Although budgets have been somewhat affected by the economic climate, event marketing’s share of the marketing budget remains stable. As budgets tighten, interest in measurement is renewed. The percentage of respondents who conduct post event measurement has increased 9 percentage points since 2007.

62 Key Take Aways Companies who measure are nearly 2 times more likely to expect increases in their event marketing budgets than those who don’t measure. When budgets increase, event marketing and Web marketing gain the most in the marketing mix. Events and print advertising are first affected when budgets decrease. Event marketers’ enthusiasm for green remains strong with 13% of North American respondents implementing eco friendly initiatives within the next 12 months and 53% reporting that they are already integrating green into their event programs.

63 How does this affect you? As the role of event marketing increases in prominence it will likely be increasingly used to anchor integrated communications campaigns. Event marketers and meetings managers that can expand their knowledge outside of the event function and grow will increase the avenues to career growth and enhance their role as a strategic contributor. One important leverage point will be in knowing how meetings and events accelerate and deepen relationships so that you can better build this capability into your events and be the person responsible for driving outcome. No longer moments in time, meetings and event experiences live on through digital media. Your success will depend on how well you integrate the power of face to face marketing with the reach and speed of the Web.

64 How does this affect you? With budgets expected to continue contracting the need for measurement will only increase. How will you incorporate qualitative and quantitative data to fully articulate the value of the events in your portfolio? The job market is always looking for even higher ROI and competition during this recession is high. In addition to logistical innovation, what strategic vision can you bring to the table?

65 Katie Callahan-Giobbi Exeuctive Vice President, MPI Foundation Chief Business Architect, Meeting Professionals International Kcallahan-giobbi@mpiweb.org David M. Rich Senior Vice President, Strategic Marketing/Worldwide George P. Johnson Experience Marketing david.rich@gpj.com

66 Addendum

67 The Role of Event Marketing In planning a marketing campaign, what best describes the role of event marketing? a)A Lead Tactic b)A Vital Component Of The Plan c)Taken Under Consideration With Other Mediums d)Usually An After Thought

68 The Role of Event Marketing Key Take Away: Over time, consideration of event marketing as part of the marketing campaign has steadily increased, indicating broader awareness and acceptance of it’s significance in the marketing mix. North America – 2005 - 2008 Question: In planning a marketing campaign, what best describes the role of event marketing?

69 External Event Budget Distribution What types of external events currently account for the majority of your event budget? a)Mall Marketing b)Guerilla Marketing c)Sports / Entertainment Sponsorships d)Road Shows & Mobile Marketing e)Conferences & Seminars f)Trade Shows g)Grassroots Campaigns h)College Marketing i)Nightlife Campaigns

70 External Event Budget Distribution Key Take Away: Trade shows and conferences have accounted for the majority of the event budget for the past 4 years. North America – 2004 - 2008 Question: What types of external events currently account for the majority of your event budget?

71 Key Take Away: Respondents use experience marketing primarily to motivate purchases and build brand loyalty. Loyalty was also a leading secondary purpose for using experience marketing (27%) in addition to driving awareness (28%) North America 2008 Experience Marketing at Work Question:Thinking about why you currently use experience marketing, how would you prioritize the following objectives?

72 Procurement Influence To what degree does your procurement or purchasing department influence the selection of an event marketing provider (1=low, 5=high)?

73 Procurement Influence Key Take Away:Respondents continue to perceive procurement’s influence on the selection of event marketing providers as low. North America - 2005, 2007 - 2008 Question:To what degree does your procurement or purchasing department influence the selection of an event marketing provider? (1=low, 5=high)

74 Future of Procurement Influence Would you say the influence of procurement or purchasing in the selection of a provider is: a)Increasing Strongly b)Increasing c)Constant d)Decreasing

75 Future of Procurement Influence Key Take Away:The percentage of respondents that perceive procurement’s influence to be increasing has declined slightly since last year and is on par with 2005 findings. North America – 2005, 2007 - 2008 Question: Would you say the influence of procurement or purchasing in the selection of a provider is:


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