As a banker in a former life, return on investment (ROI) is something I consider across various aspects of my businesses, including conferences and events.
If you think there are more industry conventions than ever, you’re right. From 2010 to 2020, the conventions and events segment is expected to grow 44 percent, according to the U.S. Bureau of Labor Statistics. There are about 1.8 million meetings in the U.S. every year and the meeting business is said to contribute more to the economy than professional sports or air transportation.
In one of those industries — my current, industry law — there are dozens of major events each year and hundreds of local events, all over the country. Yet I only attend maybe three major events a year and various regional events. How to choose?
Here are seven factors to consider:
1. What are my business objectives?
Events are expensive. It’s not unusual to spend $10,000 or more for one person to attend, let alone sponsor the event which can run upwards of $50,000 or more.
That means the return on your investment has to justify the time and expense, including the opportunity cost of being away from your business or office. ROI can manifest in various forms. What is most meaningful to you depends what you intend to get out of the event. What are the top three objectives you intend to achieve from the event?
Be sure to have clear objectives so you can clearly measure your returns.
2. What’s the format?
There are different types of events from trade shows to speed-dating style customer-vendor match ups and more. Assess what format works well for your business and aligns to your objectives. Industry plays a role in this determination. Certain formats may work well given your industry while others might not.
Also, thinking about how to reach your target customer will be important here.
3. Who will be there?
An event is only as good as the audience it draws and what that audience means to your business. If you are launching a video-based product, for instance, then reaching an audience of industry influencers, media and taste-makers is going to be key which means The Consumer Electronics Show (CES) and VidCon had better be on your list.
Carefully consider the audience before committing yourself to attend.
4. Where is it?
This may be the digital age, but we haven’t perfected Virtual Reality-based conferences so if this one is in New York and you’re in Santa Fe, you’re going to have go get on a plane.
It might make sense to stake out a mid-level event within a day’s drive rather than aim for the A-list one you to which you have to fly. If there is a top event, then regardless of geography, you may need to be there. If you are looking to expand your business into another region, then you may need to travel to that region to gain exposure.
Be strategic about when you’ll invest in traveling.
5. Am I thinking strategically?
Strategy plays a huge role in selecting which events to attend and what that means to your business, your brand and your objectives at that point in time. These needs will likely change over time so revisiting this strategy each year will help you select the right events for that year that are going to help you maximize your ROI.
6. What’s the word on the street?
Get the straight scoop on the event from those in your network who have attended or sponsored in the past. If it’s a new event then tread cautiously or wait it out and then consider attending once you can gather the word on the street.
7. Is there a better way to achieve my objective?
If your object is to network, perhaps you will get more out of a half-hour a day of social media than an event. That’s not to say you should skip events, but consider viable alternatives.
After the event, ask yourself: Did I get what I wanted out of this event?
After attending the event, assess your returns relative to your objectives. What were the results?
Will results be evident over a period of time? If so, what is that timeline to retain returns as opposed to dilute it? Identify that timeline then re-assess after. If ROI was not reached, why not? Make future decisions based on your results.
These are boom times for the conference industry and easy for business owners to get drawn into thinking that they need to be at every event. Identify a clear set of objectives, choose wisely and assess ROI.
Being selective will ensure you are booked with the right events for your business.