As the world continues to navigate the residual financial impacts of the pandemic, in addition to preparing for the possibility of a recession, companies are looking for ways to continue to grow their business during an economic downturn. One of the most effective ways to do this is through hosting events. Whether internal or external, events provide valuable opportunities for companies to connect with customers or employees, increase revenue, boost brand awareness and loyalty, and align and motivate attendees. Let’s take a look at why you should make events a key part of your strategy.
The benefits of external events
40% of business-to-business (B2B) companies acknowledge live events as their top source of leads (Chief Marketer, B2B Research).
Revenue generation
One of the main benefits of hosting an external event is the revenue they can generate. Through ticket sales, sponsor sales, and connecting with customers, companies can directly boost their bottom line. In addition, events can accelerate the progression of the sales pipeline by fostering interest in their products and services. By leveraging these revenue-generating opportunities, companies can maintain financial stability during tough times and build a sense of community among attendees.
Brand awareness and advocacy
Hosting events can be a great way to increase brand awareness and help to set companies apart from their competitors. This is especially important during times of economic uncertainty—allowing companies to maintain a strong presence in the market and position themselves as leaders in their industry. By attracting attendees and fostering relationships, events can also foster an emotional connection with their audience to drive retention with future attendance and encourage drive advocacy whilst showcasing products and services.
Community-led growth
Events can be a valuable tool for companies looking to create and grow engaged communities. Through nurturing audience relationships and encouraging engagement, events can provide a platform for companies to connect with their customers and create a sense of community. A strong and engaged community can drive advocacy and help companies spread the word about their products and services, particularly through word-of-mouth referrals, which are considered the most valuable. This allows companies to establish themselves as trustworthy leaders in their industry. By leveraging the power of events, companies can build a loyal and supportive customer base that will help them thrive during difficult economic times.
In addition to this, cost sharing is a key benefit to many event planners.
“93% of mid to senior-level marketers view live events as a crucial opportunity for attendees to form in-person connections.” (Bizzabo).
Whilst events can often have significant ROI, planning them can be costly, but external events offer the opportunity to create a partner ecosystem. This can be a beneficial strategy during an economic downturn. By sharing the costs of an event with other companies that target the same Ideal Customer Profile (ICP), companies can reduce expenses and maximise their Return on Investment (ROI). Partnering with other companies can also increase the reach of the event and create avenues for joint marketing and cross-promotion. These events can help companies reach new customers and grow their business, even during a recession.
This is the case regardless of event format. One of the few good things to come out of the pandemic was the rise in popularity of hybrid and virtual events. Both options offer opportunities for cost savings, increased reach, high-quality production, and flexibility. In addition to this, they can reach a larger audience as attendees can participate from any part of the world. Companies can invest in high-quality production to create a professional and engaging event experience for attendees. The content of these events can also be recorded and repurposed, helping to extend your marketing’s reach and event’s impact.
Do internal events have the same benefits?
Whilst the benefits of having an internal event are similar, the results vary. Instead of a direct ROI that comes from lead generation, sales and brand awareness. Your return comes from team alignment, company buy-in and brand advocacy.
Internal events are crucial for companies, especially when they are undergoing restructuring or repositioning during an economic downturn. They provide a platform for companies to communicate updates and share information about changes with their workforce, fostering a sense of unity and collaboration. Through internal events, employees have the opportunity to learn about the changes and realign their goals and strategies accordingly. This can help to ensure that everyone is working towards the same objectives, which is essential for the success of the company during any economic difficulty.
During economic uncertainty, such as a recession or cost of living increase, it can be common for employees to feel stressed and overwhelmed, not to mention worried about their future—which can lead to decreased motivation levels and a lack of focus. By bringing employees together, internal events help to create a sense of community, foster positive relationships, and provide opportunities for employees to feel valued and appreciated. Helping the team to feel heard, stay motivated and focused on the work that they need to do to achieve their goals.
According to TravelPerk, 79% of companies allocate a specific budget for team events and gatherings, and for good reason. Employee morale is important for the success of any company, and it can be particularly challenging to maintain during a challenging economic climate. Internal events provide an opportunity for companies to recognise their employees’ hard work and achievements, which can help to boost morale and create a positive work environment. For example, companies can host an event that celebrates employee achievements, such as an awards ceremony. This helps with creating a sense of community and teamwork within a company, something that can significantly impact employee satisfaction and team collaboration.
Internal events bring employees together and promote these values without feeling forced. These events can include team-building activities, company-wide social events, or even volunteer opportunities that allow employees to work together towards a common goal. By creating a positive and supportive work environment, employees can connect with their colleagues and the company, leading to increased job satisfaction and motivation. Which, in turn, can lead to increased productivity and better results for the company.
The main impact of internal events is that they acknowledge and reward employees for their hard work and contributions to the company. These events can be a fun and enjoyable way to show appreciation for employees and recognise their achievements. Companies can use internal events to celebrate milestones, such as anniversaries, promotions, or the completion of a big project. They can also be used to acknowledge top performers and reward them with special recognition, such as awards or bonuses. We use our internal events as a way to connect our team, bring them together, share our vision and progress and to discuss anything that comes up along the way. It’s an open forum for connection, collaboration and conversation—and has such a significant impact on our team morale as well as our results.
The events industry relies on factors that can sometimes be unpredictable, and times of economic uncertainty are a given in the modern world we live in. But in spite of that, there are always strategies you can implement to mitigate risk and diversify your revenue to weather the storm—and remember, regardless of the economic climate, know that investing in people is what helps us progress.