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‘The New Frontier – Events as a marketing tool’ Events – The New Marketing Media Simon Baggs Lateral Marketing & Management
‘The New Frontier – Events as a marketing tool’
Events – The New Marketing Media
Simon Baggs
Lateral Marketing & Management
‘The New Frontier – Events as a marketing tool’
Paradigms are changing
Before the GFC Events were gaining ground as a marketing tool
During the GFC Events prove their success as a marketing tool
After the GFC Events are gaining a greater share of the A&P budgets
‘The New Frontier – Events as a marketing tool’
A definition of marketing is;
‘creating an environment in which sales can happen’
The marketing arsenal has traditionally consisted of;
Advertising
Direct Mail
Public Relations
Point of Sale & Promotions
Advertising commands 78% of all marketing spend in many industries
‘The New Frontier – Events as a marketing tool’
Advertising is not working so well anymore
Fragmentation is rife
While media advertising costs rise, results plummet
Online advertising is the hero – capturing 30% of ad spend
OOH media is gaining ground
TV, Radio, Newspaper, Magazine media is having to work harder
‘The New Frontier – Events as a marketing tool’
Events are the new heroes because;
Events provide an interactive, two way audience
Events are a gateway to a face-to-face experience with customers
Events enable customers to experience the product or service
That experience is all powerful in purchase decisions
Events create bonds with customers that advertising does not
Also – events are extremely accountable
‘The New Frontier – Events as a marketing tool’
An ad agency will deem their job done if they place the right ads in the right media to
achieve their reach – end of story
To determine the success of an ad campaign – expensive research is required
The old adage lives on:
‘we know we are wasting half our advertising, we just don’t know which half’
‘The New Frontier – Events as a marketing tool’
Advertising agencies are not event supporters because;
They are not good at creating events – it is not their forte
They can’t earn their 17.5% of the budget
It is all too hard
‘The New Frontier – Events as a marketing tool’
While advertising plays an essential and irreplaceable role in marketing, the potential of events
have been largely ignored until now
Advertising delivers a clearly defined message in a very controlled environment – it
communicates an exact message on a predefined schedule
However advertising is non-interactive
While a prospect may see or hear an ad, the brand does not become an experience
‘The New Frontier – Events as a marketing tool’
Events could capture a far greater share of the overall marketing budget if marketers focused on
Return on Investment (ROI) which they are now doing thanks to the GFC
However, event managers need to understand how the advertising industry have been
able to price advertising – by guaranteeing audiences
For years the advertising industry has been charging for access to a set demographic,
rather than charging per ad
‘The New Frontier – Events as a marketing tool’
TARPS (Television Average Rating Points)
For example: if you wanted to reach men 18-39 year old, you buy a number of TARPS
If 25% of men 18-39 in Sydney watch CSI: Crime Scene Investigation we could also say
the TARP of this show is 25
The cost per TARP is the cost of advertising within a program divided by the number of
TARPS it will achieve
For example: if Sunrise costs $2,000 for a 30 second spot and delivers 4 TARPS for the
target audience, then the CPT (cost per TARP) is $500
‘The New Frontier – Events as a marketing tool’
Print Media
With the print media we have CPM (Cost Per Thousand) – the cost to reach 1,000
people within the target audience
The ‘M’ of CPM is the roman numeral for one thousand
For example: a magazine reaches 820,000 women aged 14+
The cost for a full page ad is $14,550.
CPM = (14,500/820,000) x 1000 = $17.68
‘The New Frontier – Events as a marketing tool’
Measuring the effectiveness of events is like herding a mob of subjective opinions into a neat excel
spreadsheet, adding some hard data, some formulas and coming up with a number
Accountants understand numbers, it is their elixir of life
Give them numbers, not platitudes
They will love you for it!
‘The New Frontier – Events as a marketing tool’
The 1st rule of measurement:
Measure the outcomes you are aiming to achieve
Measure incidental outcomes as an adjunct, they have value too
Start with the end in mind
‘The New Frontier – Events as a marketing tool’
Satisfaction & Planned
Action
Learning
Application of Learnings
Business Impact
ROI
The Event ROI
Pyramid
How will you use what you learned?
No Probably Not MaybeProbably
YesDefinitely
Average
Score
Discuss with my colleagues 0% 0% 0% 37.5% 62.5% 4.6
Seek ways to acquire additional funding
through A&P budgets0% 0% 0% 50% 50% 4.5
Review how we value the events produce 0% 0% 50% 37.5% 12.5% 3.6
Put our prices up quickly! 0% 12.5% 12.5% 62.5 12.5 3.8
Tell uncle Jack that his advertising career is
over12.5% 12.5% 62.5% 0% 12.5% 2.9
Other (specify below) 0% 0% 0% 0% 0% 0.0
Do you think there is a potential for events to become more important to marketers
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Avg
BEFORE the seminar 0 2 0 4 2 2 4 0 0 0 0 40%
AFTER the seminar 0 0 0 0 0 0 0 4 2 2 6 87%
Do you feel comfortable comparing the ROI of events over advertising?
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Avg
BEFORE the seminar 2 2 2 2 0 4 2 0 0 0 0 31%
AFTER the seminar 0 0 0 0 2 4 0 0 4 2 2 70%
Could you put forward a case for funding from an A&P budget?
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Avg
BEFORE the seminar 6 2 2 2 2 0 0 0 0 0 0 14%
AFTER the seminar 0 0 0 0 2 4 0 2 2 0 4 70%
Are you excited about the prospect of the events growing with A&B budgets?
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Avg
BEFORE the seminar 8 2 0 2 0 2 0 0 0 0 0 13%
AFTER the seminar 0 0 0 0 0 2 6 2 0 0 4 71%
‘The New Frontier – Events as a marketing tool’
Events as a marketing tool come in various categories;
As a communication medium (conferences/road shows etc)
As a product trial medium (experiential Marketing)
As a medium to establish and enhance relationships
And many others
‘The New Frontier – Events as a marketing tool’
Events as a marketing tool come in various categories;
As a communication medium (conferences/road shows etc)
As a product trial medium (experiential Marketing)
As a medium to establish and enhance relationships
And many others
‘The New Frontier – Events as a marketing tool’
Using events as a tool to establish and build relationships
with your most important customers begins with an analysis of;
Who your clients are
The relationships your organisation has with these clients
Ranking/measuring those relationships
Identifying where multiple relationships are desirable
Before you create events and send invitations, you do an analysis of your client’s
lifestyle preferences and prioritise their potential
‘The New Frontier – Events as a marketing tool’
‘The New Frontier – Events as a marketing tool’
‘The New Frontier – Events as a marketing tool’
‘The New Frontier – Events as a marketing tool’
‘The New Frontier – Events as a marketing tool’
‘The New Frontier – Events as a marketing tool’
Events that have been funded from A&P budgets
Case Studies from the ‘Lateral Vault’
‘The New Frontier – Events as a marketing tool’
‘The New Frontier – Events as a marketing tool’
‘The New Frontier – Events as a marketing tool’
‘The New Frontier – Events as a marketing tool’
‘The New Frontier – Events as a marketing tool’
‘The New Frontier – Events as a marketing tool’
‘The New Frontier – Events as a marketing tool’
‘The New Frontier – Events as a marketing tool’
‘The New Frontier – Events as a marketing tool’
‘The New Frontier – Events as a marketing tool’
‘The New Frontier – Events as a marketing tool’
‘The New Frontier – Events as a marketing tool’
‘The New Frontier – Events as a marketing tool’
‘The New Frontier – Events as a marketing tool’
‘The New Frontier – Events as a marketing tool’
‘The New Frontier – Events as a marketing tool’
“The New Frontier – Events as a marketing tool’
‘The New Frontier – Events as a marketing tool’
‘The New Frontier – Events as a marketing tool’
‘The New Frontier – Events as a marketing tool’
‘The New Frontier – Events as a marketing tool’
‘The New Frontier – Events as a marketing tool’
‘The New Frontier – Events as a marketing tool’
If events are used for delivering key messages, building
relationships, sales or for whatever purpose;
Events deliver a heart/mind connection
Events deliver an experience
Events deliver an interactive reaction from attendees
Advertising does none of the above
‘The New Frontier – Events as a marketing tool’
If events are used for delivering key messages, building
relationships, sales or for whatever purpose;
Events deliver a heart/mind connection
Events deliver an experience
Events deliver an interactive reaction from attendees
Advertising does none of the above
If the events industry gained an additional 5% spend from Australian advertising budgets,
we estimate the events industry could grow by an estimated 25%
‘The New Frontier – Events as a marketing tool’
Events – The New Marketing Media
Simon Baggs
Lateral Marketing & Management
www.lateralmarketing.com.au
