After an exceptionally challenging 2-year period, the global events industry is expected to witness remarkable growth. According to a report by Research Dive, the industry is projected to garner a revenue of $1,134.5 million and grow at a healthy compound annual growth rate (CAGR) of 23.1% during the analysis period of 2021-2028.
Revenue increases are largely attributed to sponsorships for events, forecasting to garner a revenue of $710.7 million over the analysis period. This is attributed to the exceptional exposure that leading organizations gain through the right sponsorship opportunities. Based on event type, seminars, corporate events, and entertainment are expected to draw the most revenue and profitability across the board.
Projected attendance increases are attributed highly to millennials, as they enter prime spending years, meaning more disposable income than previous generations. The strong financial projections for entertainment event types is also due, in part, to this age group expressing more interest in concerts, sports events, exhibitions, and festival.
For event organizers and hosts, it is critical to take these positive financial insights as a sign to invest in planning for 2023. Planning ahead and focusing on the art of promotion well in advance of your planned event is going to help secure the results you need. With the events industry, there are no hard and fast rules to success. It's all about leveraging the power of your brand and finding the best opportunities to promote it in the most effective ways. It is important to invest in traditional advertising like radio ads, social media campaigns and print advertisements, but do not forget to find new ways to be innovative. For example, for concerts and live music, include your event in pre-concert programming or on local news stations. The goal is to reach as many people as possible with something they will want. You can also run a contest on social media where the person who shares your post wins tickets to the show.
Social media platforms such as Twitter, Facebook, Instagram, YouTube, and other blogging sites can be used organically, but should also be part of a paid campaign strategy. From buying targeted ads on these platforms to creating informative videos and infographics with links back to your website or social media pages, there are many ways digital marketing can help you spread the word about your event. It’s important to remember that it doesn’t always take much to make an impact. For example, even one paid search ad will reach thousands of people who are actively searching for events that might interest them near their location. It’s also worth noting that OTT (Over-The-Top) streaming services have changed the face of entertainment—and events. More and more people are looking for live programming that they can watch without having cable or satellite TV subscriptions.
Based upon the projected strength in sponsorship revenue, leverage this knowledge to your benefit throughout the planning of your promotional strategies. When preparing sponsorship packages that include exposure opportunities, think beyond the traditional sight lines of what has worked in the past. Take advantage of new ways to drive sponsor engagement that will be mutually beneficial. For example, install sponsored vending machines at specific intervals throughout the event so that attendees can pick up refreshments without ever leaving their seats.
In conclusion, it's important to stay on top of industry trends and be prepared to deploy innovative tactics to ensure success. It is worth noting that as operational costs such as onsite expenses, booking costs, food and catering, are all rising above expectation and may impede the projected growth rates. Despite these uncontrollable factors, there is clear opportunity to capitalize on enhanced sponsorship engagements to balance the profitability portfolio.
Sources: https://www.researchdive.com/8401/events-industry-market?utm_source=GNW