Event ROI- Do You Know What to Measure and Why?
Event ROI- Measurement Basics
According to a survey, 44 percent of marketers experience a 3:1 ROI from event marketing.
By no means is this number a benchmark as to what is an ideal ROI to corporate events. Still, getting three to one from your investment doesn’t sound so bad, does it? One would think that making such event a grand success would be the toughest challenge at-hand for businesses. Indeed it is! But measuring Return on Investment is just as troublesome for them as the following numbers suggest.
· 22 percent of brands don’t know how to measure return of their investment in events.
· 34 percent of marketers report being dissatisfied with how they can measure ROI and ROO.
How do you assess the success of your corporate events? Do you even do it?
It’s Not That Straightforward
Unlike other metrics, there’s no hard formula to measure ROI of corporate events, and this is the source of every problem. You can’t times or divide the numbers to conclude whether yours was a successful conference, seminar or product launch. You must depend on associated metrics to determine the outcome of your event.
So you can say goodbye to referring the guides and textbooks. Being strategic is a key here.
Do You Know What to Measure and Why?
With unmovable determination you dived into finding ROI. Only to realize moments later that you have nowhere to start from. This is quite a familiar situation.
What are the associated metrics or other measures that you should look up for? After all there exist so many. The answer depends on a range of factors, starting with the kind of events you hosted and what was your ultimate goal. Some common related metrics include:
· How many people attended the event- The larger the number of attendees, the better you will reach your end goals.
· How did the attendees respond- Were they happy? Did they like the event? Did you get the positive response you were hoping for?
· What kind of media exposure did it get- What kind of buzz did your event create on digital platforms? The more people are talking about it on social media, the better sign it is.
· How many leads did it create- If you introduced a new product in the event or you were pitching to sell, did you manage to create any lead? How many people are now interested in your product/service?
· How much did the sales grow by- Broadly speaking, higher sales is an ultimate goal of every corporate event. After the event, how much did your sale grow by?
There exist a lot more related measures, including customer retention, revenue, quality of attendees, and in-event survey result. You should note that that not all of these complement every kind of event. So again, instead of focusing on the common ones, you must act strategically by…
Identifying Metrics of Value to Your Organization
In your quest to find the ROI of your event, you must recognize certain associated metrics that are relevant to you. Here are 3 things to consider:
1. Event Type
To find a precise estimate if it was a success or not, it is important to know what kind of event was it. After all, not every metric complement every event type— some are better suited for selected than others. Say for example, if it was a conference, ‘Number of Attendees’ is an important measure. However if it was an executive retreat, there’s no question of the number of attendees. Or if it was a dinner with your clients, do you think the amount of social buzz that dinner generated is an important metric? So understand the type, objective and audience of your corporate event properly.
2. Short-Term Goals
What exactly is the objective of your event? What do you want to achieve in its immediate span? Know what your short-term goals are and then try to find the relevant metrics. For example, if you wanted to introduce a new product in the market, media exposure is one key metric you should look at. Also, the amount of buzz it created on social media platforms is just as important of your consideration. Whereas, since you just launched your product, there would hardly be any instant sale (maybe your product isn’t even on sales yet). So looking up your sales data doesn’t really make sense; your event won’t have any impact on your sale in short-run.
Whether you’re taking your team out on a cruise, having dinner with clients or organizing conference, your ultimate goal is to improve your revenue. Even when you’re looking to build your brand reputation in the market, that is revenue-driven as well. Making money is your long-term goal. And your events should help you stride towards that goal. Which metric does identify your pace with high precision should have your foremost attention.
4. Identify your goals
Short-term goals of any event vary from your long-term ones—not necessarily largely, but it does. So you may want to achieve immediate sale, media buzz or more clients in short-run, what do you want to achieve from your corporate event in the long run, apart from the revenue. What is the long-term impact of your event? How you want the event affect you, your team and the company in the coming days? Is it the business sustainability you’re aiming for? Or do you want to cross old records and benchmarks set by your competitors? You must have explicit answer to it to know important metrics that complements it.
These are 3 simple factors that will help you find associated metrics. They, in turn, will assist you in estimating the return from your corporate events. Admittedly things won’t be so simple. You’re going to find a lot more complexities in measuring ROI. But as we mentioned— you must be strategic.
This is the second in our 4-blogs series that discusses the significance, benefits, challenges, and strategies of measuring ROI of corporate events.