Des Moines Business Record, IA 09-01-07 For-profits planning events for cause, exposure

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Des Moines Business Record, IA
09-01-07
For-profits planning events for cause, exposure
BY SARAH BZDEGA
n the midst of a downtown revitalization and rapid suburban growth, Greater Des
Moines is experiencing another phenomenon: an increase in events. Whereas
Greater Des Moines residents used to find a few festivals a year sponsored by
nonprofit organizations focused on bolstering community activity, calendars are
now filled with multiple offerings.
Leading this trend are a number of for-profit businesses that are creating events
as a way to add vibrancy to Greater Des Moines and often to support a charitable
cause, in addition to generating exposure for their business and bringing in a
small financial stream.
"I think we've been entertainment consumers for years, and a lot of us are
building businesses around that experience in Des Moines," said Kathryn Dickel,
co-owner of Swaelu Media, who is working on a citywide festival for 2008. "It's an
evolution like everything else, an evolution of the entertainment industry."
The effect is an increase in diverse cultural offerings, which enhances the quality
of life and draws people to the area, said Greg Edwards, president and CEO of
the Greater Des Moines Convention and Visitors Bureau.
"What we're doing is changing people's attitudes and behaviors and patterns,"
said Melinda Toyne, owner of In Any Event, who started this year's SWINE
festival. "It's not once a month you have an event or festival to go to. It's perhaps
every weekend or every other weekend."
Small firms, big events
In collaboration with Doug Bakker, a former colleague who now runs a vineyard
and is director of the Iowa Wine Growers Association, Toyne introduced the
SWINE festival this summer. The one-day event featuring Iowa wines and pork
creations from Iowa chefs on Des Moines Area Community College's Ankeny
campus drew 1,000 participants and raised $1,000 for DMACC's new viticulture
and enology program.
"The goal in the first year was to break even and then make a donation back to
DMACC, which we were able to do," Toyne said. "I recognize that as being a
success."
Though the money Toyne pocketed from the event was not enough to make up
for the amount of time she invested in it, she said it gave her valuable exposure.
At least one person has contacted her about a potential project after attending
the event.
"They enjoyed the experience," she said, "and therefore saw that as a reflection
on In Any Event's work."
Though running an event can become a profitable business venture over a few
years, Toyne points out that the risk can sometimes be greater. For SWINE, she
and Bakker provided most of the financial backing and had to handle details
ranging from insurance policies to lighting and marketing.
"[Attendees] purchase a beverage for four dollars and think it's pure profit," she
said. "That's very much not the case. That's why you don't see more larger-scale
events or only see them one time."
Like Toyne, much of Nathan Hewitt's work is for the cause, which often is to
showcase fashion, art and other talent in Greater Des Moines.
Hewitt, who provides marketing and runway fashion show and event planning
services through his business, Ambush, has worked on several events, including
LoveStruck, featuring Des Moines' most eligible singles, which drew 1,000
people and raised $16,000, $6,000 of which went to Big Brothers Big Sisters of
Central Iowa. He also produced Glamour Girl Charm School, an edgy runway
fashion show, which attracted 400 people, and Big Hair Ball through the Des
Moines Art Center's Art Noir program, which last year drew 1,000 people.
Though he is moving to Chicago in a few weeks, he also is involved with
planning Catalyst State: Iowa Design Weekend, which will showcase design in
fashion, architecture and graphics on Nov. 16 and 17.
Most of Hewitt's work is pro bono or for a small profit, but he said, "It definitely
generates awareness for my company and for my creative input." Even if clients
are not looking for an event planner, he often acts as a consultant. Through
connections from doing these events, he also has found ways to cut costs and
collaborate with other people.
Still, he said, "it takes a lot of passion and a lot of energy. I don't know if it's my
personality or if it's just what I'm doing, but I don't find a lot of financial reward in
it."
Companies want in
Thanks to the exposure they receive, many of these event-planning operations
have found opportunities to work with larger companies interested in hosting
major events.
Hewitt relates this to a lecture he attended at Iowa State University, where the
guest speakers from Harvard University talked about the "experience economy"
and how the service industry has evolved into needing to create memorable
events so that consumers remember and connect with a product or service.
"I think you're going to see more and more events and festivals hopefully
sponsored by bigger companies and brands as they come to see more and more
value from producing these events," he said.
Hewitt is in the process of planning an event for a friend, artist Lee Ann Conlan,
which in addition to having a band that does video installations and instrumental
rock/hip-hop, could also feature Conlan drawing a portrait of a nude model at the
event to connect people to her work, which often features nude female figure
drawings.
Edwards agrees that more companies are looking at hosting events as a way to
connect consumers to their brand.
"If you look at the trends across corporate America, probably in the last decade,
all of these companies are now putting their names on things, from the big
football bowl games to locally, like the Principal Charity Classic and Hy-Vee
Triathlon," he said. "I think corporations want to get their name out in front of the
public in a different way and it shows they're giving back to the community."
Over the past four years, Toyne has helped organize and evolve Oktoberfest into
a major event for Full Court Press Co., owners of Hessen Haus and many other
bars and restaurants downtown. What started as a party in the bar parking lot
has now evolved into a weekend event that expands into Fourth Street. Last
year, 12,000 people attended, up from 8,000 the year before.
Though the Full Court Press owners assumed all the expense and liability and
endured a couple of years before they realized a financial gain from the event,
Toyne said, "it shows they have a broader goal for downtown Des Moines. Yes,
they want to bring unique restaurants and bars to the area, but they also want to
extend that in a natural way to a few special marquee-type events."
However, a few other clients Toyne has worked with have decided not to pursue
an event after she took them through a cost analysis and what they needed to do
to make it happen. "At a glance, it may seem like a short-term investment for
immediate return on a large scale," she said, "but that's not always the case."
Future festivities
To lessen the risks associated with hosting an event, many event planners have
collaborated with several partners, along with developing relationships with
restaurant owners, musicians and other small businesses. Many also rely on
sponsorships to cover a large portion of the expense.
When Dickel and her business partner, Heather Hansen, began conceiving of the
FAMA festival (acronym for food, art, music and awareness), they decided to
hold it the same time as the World Food Prize Harvest Festival and the Des
Moines Marathon in October, so that the events could combine marketing efforts
and draw more people to each event.
"It's a trifecta that's going to bring in an international crowd and a lot of people
who are into nutrition and health. It has a lot of implications for food and the
whole political dynamic," Dickel said, pointing to how Iowa will be in the spotlight
during the presidential election campaign.
The event, which has been put on hold until 2008 to allow more time for planning,
will involve more than 50 locations throughout Greater Des Moines, featuring
aspects of international culture, from world cuisine to international art and music.
With an overall focus on world hunger, the event will also strive to raise
awareness about that issue.
"There really hasn't been a festival geared toward driving traffic into the
businesses," Dickel said. "Usually it brings everyone to a location."
In addition to working with venues, Swaelu Media also has been working with
many small businesses to receive services, such as printing and advertising, in
exchange for sponsorships. The event also gives Swaelu an opportunity to
integrate its work with several industries, including entrepreneurs, nonprofits and
entertainment groups, into one effort, while creating a new product that the
company can build upon and eventually use to generate money.
With so many people planning events of this scale, Toyne worries that
competition for drawing people to an event could heat up. "If you're the sole
event, that's more the exception to the rule," she said.
However, Edwards believes the diversity of events will encourage people to
attend several in one day. And as the city continues to grow, he expects the
number of events to grow with it.
"I think we'll continue to see some moderate growth," he said, "I think as other
new things happen around Des Moines, especially as the Principal Riverwalk is
completed, I think you'll see more events happening down there. All of the
booming suburb areas are going to continue to see event growth, too, because it
helps keep residents happy and enhances the quality of life."
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