Business Resources

Doug Dillard

The event planning service business is a $500 billion business worldwide today, with lots of growth opportunities. The profit margin has gone up from 15% to 30 to 40%. People hire event planners because they don’t have the time and expertise to organize events themselves. Some of the events for which event planners are hired are:

• Celebrations (fairs, parades, weddings, reunions, birthdays, anniversaries)
• Education (conferences, meetings, graduations)
• Promotions (product launches, political rallies, fashion shows)
• Commemorations (memorials, civic events)

Qualifications: The best way to set up an event planning service business is to start as an apprentice with an event management company. This gives you useful exposure to the industry, and you learn the tricks of the trade without investing anything. You may also acquire knowledge about the industry by getting an event planning or management degree or certificate from a local university and also become a CSEP (Certified Special Events Professional) or CMP (Certified Meeting Planner).

Target Market: The target market for event planning service business is huge. Companies as well as charities and non-profit organizations host gala fundraisers, receptions and athletic competitions, among other events, to expand their public support base and raise funds. Companies also organize trade shows, conventions, company picnics, holiday parties and meetings for staff members, board members or stockholders. Besides this there is a large social market. This includes organizing of weddings, birthdays, anniversary parties, Sweet 16 parties, children’s parties, reunions and so on.

Start-up Costs: The start up costs of an event planning service business depends upon your business profile. A low-end event management business can be started for $8,000 while a high-end may cost $30,000 to $50,000. The main expenditure is on three heads: equipment, number of employees and office space.

Tasks and operations: Social events generally involve more weekends and holidays than corporate events. Some events have “on” and “off” seasons. The main tasks of an individual running an event planning services business are:

• Research: Find out everything about vendors and suppliers, talk to other planners who have produced similar events, read about issues of custom and etiquette. Ask your client a lot of questions and write down the answers.
• Design: You need to sketch the overall “look” of the event. To get good ideas you should have brainstorming sessions, either by yourself or with your employees. Consult your notebook for client’s answers to the questions you asked in the research phase. These responses will help you thoroughly check each idea for feasibility before suggesting it to the client.
• Proposal: The production of a proposal can be time-consuming and expensive, especially if you include photographs or sketches. You should receive a consultation fee, which can be applied toward a client’s event if he or she hires you.
• Organization: During this phase, you’ll rent the site, hire vendors and take care of many more details. Make sure to discuss all major decisions with your client or someone acting on client’s behalf, but avoid consulting many people.
• Coordination: Ensure that everyone is on the same wavelength, that all vendors have a general idea of the overall event schedule, what’s expected of them, and when. Make sure all your staff members know their roles.
• Evaluation: Ensure your customer satisfaction so that your client will provide a great word-of-mouth advertising for you. You may also hire an event planning consultant to evaluate your work.

Earnings: There is no fixed fee in the event planning service business. The fee varies from event to event, and is proportional to the volume and quality of work involved. Generally, you can expect to make 15 to 20 per cent on every event. Given the size of the industry, part-time event planners can gross around $20,000 annually while full-time event planners can hope to earn $100,000 or more.

Marketing: The best way to promote your business is by word-of-mouth publicity. Encourage your clients to refer their friends to you. However, this will happen only when your work is good. You can also consider advertising in yellow pages and trade journals. A website is another useful place to give details about your event planning service business.

Alexander Gordon

What is Event Management?

Event management refers to methods of outsourcing business occasions, social occasions, or a combination of both. There is no limit to the business development ideas for an event management business. It is possible to organize every kind of event ranging from wedding to a political rally. An event management team can be retained for any type of business meeting.

500 Billion Dollar Industry:

Last 15 years have witnessed a tremendous growth in the field of event management. If we add the amount of money spent on event management all over the world in one year it comes to a whopping 500 billion dollars. Gone are the days when we could do with hiring only a small catering team that supplies the food for a business event. If you wish to make an impression on your potential clients today, hiring a meeting management company is a necessity.

Events of Any Range Can Be Managed:

If you wish to start an event management business and you are looking for business development ideas for it then you will be happy to know that you can start this business for any range. It is possible to manage an event for only a small group of people. On the other hand, you can manage mega events for five thousand people and more.

People prefer to choose an event management team that is known for its expertise in this field. When you plan an event, it not only consumes your valuable time but also produces much stress. Event management business owners have contacts in this field and they can offer you the best possible services at the most competitive prices.

Manage Accommodation and Entertainment:

As an event management business, when you organize an event involving five thousand people for a whole day, you should not assume that catering is the most difficult thing to manage. Accommodation and entertainment are also very important for managing such large events. You also require sufficient and efficient staff for the event. Moreover, you also have to plan about the size of the room, seating arrangements, and the total budget of the event. If you do not have enough expertise to deal with all of these factors, you may face difficulties in running event management business successfully.

External Factors Affecting Event Management Business:

Several external factors also affect the growth of the event management industry. Some of these factors are the rate of the growth of economy, lifestyle, and changing characteristics of the people living in the area. Tourism and branding activities like festivals and corporate activities such as conferences, product launches, award ceremonies, and gala dinners are under the scope of event management business. Key factors for the success of an event management business are reputation, network, service promotion, links with the suppliers, and high quality managerial skills.