Chapter Five
Event Marketing
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Chapter learning objectives
5.1 Appreciate the universal relevance of marketing and its
application in the event industry
5.2 Understand key marketing concepts including marketing
as a way of thinking, a way of organising, and a set of
techniques
5.3 Appreciate the main benefits to be gained from the
appropriate application of marketing concepts in the
event industry
5.4 Understand the relevance and application of the extended
marketing mix
5.5 Have an awareness of the challenges associated with
event marketing and how those challenges can be
addressed
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Chapter learning objectives
5.6 Understand the approaches and techniques aimed at
enhancing levels of customer service.
5.7 Understand the process of event marketing
5.8 Be aware of the marketing frameworks that may be used
as a part of a situation analysis
5.9 Understand the key elements involved in marketing
strategy development
5.10 Be aware of marketing mix decisions and how they are
applied in an event management context
5.11 Appreciate the importance of implementation and
control.
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Units of Competence and Elements
SITXCCS501 Manage quality customer service
1. Develop quality customer service practices
2. Manage the delivery of quality service
3. Monitor and adjust customer service
SITXMPR404 Coordinate marketing activities
1. Plan and organise marketing activities
2. Undertake a general public relations role
3. Review and report on marketing activities
SITXMPR502 Develop and implement marketing strategies
1. Collect and analyse information on the internal business environment
2. Collect and analyse information on the external business environment
3. Develop marketing strategies
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Units of Competence and Elements
4. Prepare marketing plan
5. Implement and monitor marketing activities
6. Conduct ongoing evaluation
BSBMKG401B Profile the market
1. Segment the market
2. Identify the target market
3. Profile the target audience
4. Develop a positioning strategy
BSBMKG607B Manage market research
1. Prepare market research plans for implementation
2. Engage external consultants or service providers
3. Manage market research activity
4. Evaluate research processes and findings
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Introduction
• Marketing is more than just advertising and personal
selling.
• Involves ‘identifying, anticipating and satisfying
customers’ requirements profitably’.
• Marketing focus starts with customer needs, not the
product.
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The marketing challenge
• The basic challenge that marketers face is finding
creative and innovative ways of:
– recognising and understanding customer needs
– satisfying customer needs
– in a competitive and commercially viable manner.
• Adopting a marketing focus means that the needs
and wants of the customer come first.
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The application of marketing to the
event industry
• Marketing events can be like a matching process.
• It generally involves the segmentation of markets,
that is, dividing customers into various groups based
on age, income, special interest, or some other
characteristics.
• Segmentation is based on detailed market research
and it allows event marketers to identify a target
audience.
• Once identified, it is the needs of this target
audience that drive the marketing process.
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The application of marketing to
the event industry
• Events are services or perhaps more
precisely, ‘service experiences’.
• They generally provide customers with an
intangible experience.
– Eg. the excitement of a Grand Prix
– the amusement and enjoyment of a comedy festival
– a community festival that engages the interest of visitors in
some way.
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Events as services
• It is important to distinguish between
the marketing of products and services.
They can be distinguished in terms of:
– Intangibility
– Simultaneity
– Inseparability
– Heterogeneity
– Perishability
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Events as services
• Events are perhaps the ultimate in terms of
intangibility and perishability.
• Performances, shows, festivals or contests can’t be
stored and can’t be tested for quality beforehand.
• Event success depends critically on the skills,
attitudes and expertise of human resources.
• Success also depends on the appropriate
application of marketing principles and concepts.
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The importance of human resources
• The quality of products can be improved, worked on
and tested well before a customer ever sees or buys
them. On the other hand, the quality of a service is
only ever tested at the so-called ‘moment of truth’
when a customer actually consumes it.
• The staging of an event represents the
ultimate ‘moment of truth’.
• Event quality depends critically on the ability of key
events people to respond in the right way at the right
time.
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Key marketing concepts
• Marketing as a way of thinking
– applying the marketing concept implies a 100% focus on
what customers want and expect from an event.
– questions about event design should focus on audience
impact rather than what is easiest, what we are currently
best at doing, and so on.
– all aspects of staging the event should focus on audience
engagement, audience involvement, audience impact
and ultimately, audience satisfaction.
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Key marketing concepts
• Marketing as a way of organising
– from the development of an event concept through to
staging of the event and event shutdown, customer wants,
needs and interests must be paramount
– this involves integrating all aspects of the organisation with
the customer in mind
– the quality of the event needs to be measured from a
customer perspective
– success also needs to be measured and thought of in terms
of customer satisfaction, customer reactions and
customer feedback.
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Key marketing concepts
• Marketing as a set of techniques
– Used to understand customers and their needs
• Market research
• 5 C, PEST and SWOT analyses
• Market segmentation
• Identification of target markets
• Positioning the product
• Product development
• Price and ticket program development
• Promotional campaign development
• Evaluation
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The key benefits of marketing
• Adopting a marketing philosophy
– Decision-making framework
• Financial implications
– Proposals for funding
• Sponsorship success
– Provide confidence
• Customer focus
– Attractive to potential customers
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The marketing mix
• The 4 Ps
– Product
• Event itself
• Surrounding elements – service, food, theming
– Price
• Set by several factors
– Place
• Venue
• Includes host community and facilities
– Promotion
• Total marketing communication program
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The marketing mix
• The extended marketing mix
– More Ps apply to marketing services
• Participation and people
• Process
• Physical evidence
• Packaging and programming
• Positioning
• Power and partnership
• Public
• Managing the marketing mix
– Need to balance each element for maximum effectiveness
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The challenges of event marketing
• Intangibility
– Tangible items – customer knows what they are getting
– Intangible events – rely on expectation
– Place a strong focus on people and organisational
image
• Can reduce perceived risk and add value
• The people involved can make a difference
– Use physical evidence
• Photos, websites, merchandise
– Use personal sources of information
• People source information from friends – encourage this.
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The challenges of event marketing
• Simultaneity and inseparability
– Events are performed in real time
– No separation between the event and those who create it
– People have parts to play at all stages
• The pre-purchase stage
• The purchase and pre-event stage
• The staging of the event
• The post-event stage.
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Enhancing customer service
• In the current competitive environment, advantages
gained from lower price, higher quality, and even
better promotion, can be quickly copied and eroded.
• This dilemma can be addressed by offering
exceptional customer service.
• Rather than treating customer service as an
additional service it needs to be treated as a
strategic initiative.
• Hence, rather than an emphasis on price, product,
place or promotion, the focus is on the client
experience.
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Enhancing customer service
• Exceptional customer service involves:
– Creating an organisational culture which emphasises the
importance of every customer contact
– Continuously improving customer service by listening to,
and acting on, customer feedback
– Maintaining a positive approach to customers as well as
professional and courteous communications.
– Always delivering what is promised and, in fact, seeking to
give customers more than they expect
• Under promise and over deliver
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The process of event marketing
• Situation analysis
– Developing an understanding of customer needs
– Identifying opportunities for meeting those needs
– Identifying market opportunities
– 5 C analysis
• Company
• Competitors
• Customers
• Collaborators
• Climate
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The process of event marketing
• Situation analysis (continued)
– PEST Analysis
• A focus on the political, economic, social and technological
factors in the external environment
• Additional models have been developed to reflect changing
needs
– SLEPT – social, legal, economic, political, technological
– PESTEL – political, economic, social technological,
environmental, legal
– STEEPLED – social technological, economic,
environmental, political, legal, demographic
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The process of event marketing
• Situation analysis (continued)
– SWOT analysis
• Should be carried out around the objectives of an event:
– Strengths
– Weaknesses
– Opportunities
– Threats
• Matching strategy – strength matches opportunity
• Conversion strategy – focusing on unpopular events.
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The process of event marketing
• Marketing strategy development
– Strategies should maximise ticket sales from target markets
– Allow resources to be utilised most effectively
– Build on information from situation analysis
– Market segmentation
• Targeting specific parts of the market
• Segmentation allows for better use of promotional materials
– Targeting the appropriate market segment
• Tailoring marketing mix to segments most interested
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The process of event marketing
• Marketing strategy development (continued)
– Positioning the product within the target market
• How the event will fulfil customer needs
• Unique nature of the event
• Consider
– location
– attention span
– competitive costs
– program
– Developing a value proposition for the target market
• Customer value proposition – price-based and value-based
• Needs to line up with customer needs for that segment.
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The process of event marketing
• Marketing mix decisions
– Product
– Price
– Place
– Promotion
– Participation and people
– Process
– Physical evidence
– Packaging and programming
– Positioning
– Power and partnership
– Public
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The process of event marketing
• Implementation and control
– While each stage of the event is implemented it needs to be
closely monitored
– Gaps may be identified between planned and actual results
– Control measures may then be required.
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Chapter summary
• A marketing focus starts with the customer’s needs.
• Events are services and face the challenge of
marketing an intangible experience.
• The extended marketing mix of 11 Ps is relevant to
marketing intangible services.
• Following the sequential marketing process will
allow event managers to get to know their target
markets and the event.
• This process should then result in an integrated and
targeted marketing campaign.
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