 |
Richard John, events consultant and known for his Event Marketing courses, takes a positive view of the MICE sector in these challenging times. |
Forget the dreaded "R" word; the UK's events market continues to flourish. The MICE sector (it stands for Meetings, Incentives, Conferences and Events) is growing and research from the plethora of trade associations show little sign of any downtown.
Of course, some sectors are looking more buoyant than others; with the property price slide comes a downturn in audiences at shows like Property Investor, although it tends to be the amateur investor rather than the professional who is missing from the aisles, a situation which rarely worries the major players. And even though sales of motor vehicles are in rapid decline, the organisers of the forthcoming London Motor Show are expecting record audiences.
However, it's worth taking a look at that event to see what is at the heart of successful "live marketing". Despite the title, the Motor Show is actually an experience which encompasses live theatre, the chance to drive the cars, a new feature showcasing luxury boats, and a collection of evening pop concerts. Such an approach may dismay the motoring purist, but it packs in the families needed to deliver the all-important demographics. Visitors to any kind of event need to be involved. "The experiential marketing philosophy should be understood as a commitment to building brands by creating authentic experiences that engage all stakeholders in long-term, two-way relationships," explains Matt Jones, creative strategist at event giant Jack Morton.
The Motor Show will take place at London's Excel, which has just been sold to the Abu Dhabi National Exhibition Centre (ADNEC) in a deal worth £350 million. ADNEC chief executive Simon Hogan explained, "Our strategy is to become the world's leading provider of venues to the exhibitions industry." Had the deal not gone through, Horgan freely admits that Birmingham's NEC, the UK's largest exhibition venue, would have been in their sights. Clearly the major financial players see great future growth in live events.
The events industry holds its own events - Confex in London, IMEX in Frankfurt and EIBTM in Barcelona are the major players - and all are claiming substantive growth, suggesting meetings and events industry professionals are hungrier than ever for new ideas and global networking opportunities. Meanwhile, the sector is gaining an added maturity with the arrival of young people with events degrees. Five years ago on two UK universities offered an events degree; now more than 50 offer some form of events training qualification.
But why is this form of marketing so effective in the post Web 2.0 era so popular? Well, many companies seem to have appreciated that prospects suffer from "message fatigue", and have found it necessary to engage with people on an emotional level. And, as the homogenization of products and services continues apace, it's the aura around them that provides the differentiation. Think Nike Town, or the Apple stores as a prime example of how to enhance brand values. And if your organisation doesn't own that kind of real estate, the temporary and neutral environment of a major show is a perfect replacement.
Some organisations are so keen on the live arena they create their own events. Drinks manufacturer Innocent created their own Fruitstock music festival and followed it with a giant summer picnic. While this is not a cheap undertaking, it ensures that the brand name cannot be subsumed in the event's own reputation; contrast that with the £100 million plus fees necessary to be a tier one Olympic sponsor. Can you name the UK financial provider associated with the 2012 Olympics?
And if putting on a major event like that sounds daunting, you'll have seen the small-scale field marketing events that agencies run in prime locations such as railway stations. Such activities can pay fabulous dividends in terms of starting a relationship with consumers, and can complement above the line marketing activities to provide a cohesive, integrated approach.
However with the growth in the sector is an ever-more strident demand for effective ROI. The events industry has always been slow to prove its worth, and the last few years have seen major service providers rebelling against the demand by corporate procurement departments to get involved and see evidence of value. To address these concerns, the CIPS and various event trade bodies are now working effectively together in providing the necessary tools, and smart organisations are investing in the necessary training which allows staff to provide the research. However, the temptation for many companies to work to short lead times, and task a junior member of staff with organisation - "it's only a meeting" - is still a too prevalent attitude.
"There are far too many organisations whose approach to conferences are known as DILLYs - that's Do It Like Last Year", according to Richard Tierney of Reachout who has run events on four conferences. "There's a demand for something new, but then too many companies retreat into the safety of the familiar. Sometimes it's necessary to surprise and even shock delegates, and you can rarely do that with 6 hours of PowerPoint." It's a view shared by Rob Hogarth of Events Secrets. "A good live event allows you to see the white's of the eyes of the audience, and only then do you know whether you've gained real commitment?"
For many organisations, the appeal of conferences and events as a marketing tool is ably summed up by Michael Webb, an organiser of several exhibitions who now runs conferences for event organisers; "all other marketing activities are about getting your organisation and staff in front of prospects, and then they stop. Events start at that point, and go further than any other form of communication activity."
It doesn't get any better than that. |
