How to price a conference

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  • The Retail Approach. The most basic pricing strategy you can use is to calculate expenses, add a profit margin, and then divide the sum by the lowest projected attendance figure.
  • Market Pricing. When you base your conference fees on the market you are essentially playing with a vision of what people can afford.
  • Limited Access Pricing. This is a tiered pricing model that offers more features and benefits to those who pay more. …
  • Incentives and Penalties. You can use incentives and penalties to encourage registration within a specific time period. …
  • Post-Event Access. Offering online access to a recorded version of your conference sessions is a popular idea in the internet age, but be aware that this strategy has the potential …

Full
Answer

How to choose the right pricing strategy for your conference?

Choosing the Right Conference Pricing Strategy 1 The Retail Approach. The most basic pricing strategy you can use is to calculate expenses, add a profit margin, and then divide the sum by the lowest projected attendance figure. 2 Market Pricing. … 3 Limited Access Pricing. … 4 Incentives and Penalties. … 5 Post-Event Access. …

Should you base your conference fees on the market?

When you base your conference fees on the market you are essentially playing with a vision of what people can afford. It is the opposite of the retail approach since it begins by setting the price of admission and then working backward to build the conference within that budget.

How do you review a conference budget?

Review your conference budget for accuracy If you ran a similar event last year, you can simply edit your existing conference budget from that event. But you have to critique it with a shrewd eye. Having two columns in your spreadsheet for cost will help keep you honest: one for “estimated cost,” another for “actual cost.”

Why is it important to know the price range of events?

A firm grasp of price ranges also helps you balance quality and affordability, and make smarter choices when sourcing venues and vendors, and pricing your event tickets . So, we’ve pulled together a handy conference cost estimator for you! Read on for cost estimates of all the big and small costs that add up to an amazing event.

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How much does a conference usually cost?

Estimated cost: + $950 to $1,250 per hour for the event space. Of all the expenses for an event, the venue is one of your most important budget items. It’s also one of the most varied when it comes to the price range. Keep in mind the factors that play into the price of your venue.


How do you budget for a conference?

7 Steps to Simplify and Prioritize Your Conference BudgetReview your conference budget for accuracy. … Create a conference budget priority list. … Pay particular attention to big-ticket items. … Analyze your costs. … Automate what you can. … Don’t forget to give yourself a buffer. … Revisit your revenue.


How do you price a virtual conference?

“Generally, the virtual experience should be 10-30% of in-person experience. 10% for first time virtual events (such as through a member discount), and 30% for groups that have been producing virtual events for a while.


How do you price events?

Add the total cost of the food, venue, entertainment, and misc. expenses together and divide that number by the amount of people you want to attend. That will tell you the average cost for each attendee. Next, you’ll need to determine how much profit you want to make from the event to set your break-even point.


How much should I charge to host an event?

On average, event planners should charge between 15-20% of the total cost of an event as part of their fee. Depending on the complexity of the program and the amount of time it takes to plan and execute an event, sometimes this is enough to cover a planner’s entire cost and source of profit.


What should be included in an event budget?

Important Aspects of an Event BudgetTrack site rental costs. … Estimate catering costs. … Document transportation charges. … Add decor expenses. … Document entertainment & equipment fees. … Summarize printing charges. … Create a line item for gifts. … Identify activities expenses.More items…•


Why do virtual conferences cost so much?

Nearly all in-person meetings have been converted to an online format, the so-called virtual conference. Because so many online communication tools are free to individuals or small groups, people are often surprised that registration fees are being charged at all for virtual conferences.


How much does it cost to host a zoom event?

Zoom Webinar charges from $40.00 per month for 1 host and up to 100 participants to $6,490.00 per month for 1 host and up to 10,000 participants.


How are conference registration fees calculated?

Essentially, you charge enough for registration to break even on your costs — and walk away with a set profit. To calculate your cost-based price, take the costs of your event, add an acceptable profit margin, and then divide by the lowest estimate of attendance.


What is special event pricing?

Special event pricing entails linking a price discount to a holiday, season or specially advertised sale day. The benefit of special event pricing is sales volume. If you effectively advertise the special price discount, customers will flock in to take advantage of the temporary sale.


Can you charge for a networking event?

You may be able to absorb the cost of hosting the event in your marketing budget. If you do choose to sell tickets for the event, remember that some online ticket services — like Eventbrite, for example — will charge a base percentage of your ticket sales, alongside a fee per ticket.


How pricing depends on the cost of the event?

There are three parts to a value-based pricing strategy: perceived value, the actual price, and the cost per ticket for the event. Perceived value is what the customer thinks they will get out of your event.


What is event pricing model?

This idea is the way most traditional event planners price. They figure out the cost of the event and add the amount of revenue they want to make. Then divide that by the number of attendees they plan on having.


What are the pricing elements?

Pricing factors are manufacturing cost, market place, competition, market condition, quality of product.


How do you throw a profit event?

Here is a 5-step plan to set you up for success when hosting an event.Plan your event. Planning is one of the most important aspects of throwing an event. … Hire the right talent. … Generate revenue, even before the day of the event. … Be a good party host. … Analyze results to better prepare for the next event.


How many pricing strategies are there?

Read More News on. Apart from the four basic pricing strategies — premium, skimming, economy or value and penetration — there can be several other variations on these. A product is the item offered for sale.


Why is pricing an event so tricky?

Pricing your expenses for an event is tricky because fees vary from service to service and vendor to vendor. The important thing is to compile a list of deal-breaking expenses first. Everything you need to make your event successful starts with these big-ticket items.


How much does it cost to be a keynote speaker?

The price of a keynote speaker or a presenter at your event can vary. Booking a well-known individual with extensive experience in a subject, such as a renowned published author, will cost between $10,000 and $25,000. Looking to book a famous celebrity? Expect to pay between $50,000 and $100,000.


How much does a wait staff charge?

Wait staff generally charge $25 per hour, greeters and helpers around $12, and security guards earn $40 an hour for their protective services. 6. Travel expenses and hotel accommodations.


What to include in conference swag bags?

Include inexpensive promotional and usable items, such as branded pens, mini padfolios, tote bags, USB flash drives, fidget spinners, or custom power banks.


Is venue a budget item?

Of all the expenses for an event, the venue is one of your most important budget items. It’s also one of the most varied when it comes to the price range. Keep in mind the factors that play into the price of your venue.


What expenses can you deduct from a virtual meeting?

Here are some of the major expenses that you can deduct from your virtual meeting budget: · Hotel – especially attrition. · Travel. · Catering/Food & Beverage costs. · Audio/Visual.


What is an add on to virtual events?

An obvious add-on to virtual events is making the content for your show (already recorded) available on-demand after the conference. Here are some things to consider in making your content available on a subscription basis after your show:


Is virtual event free?

It is important to keep in mind that your virtual event is not free. It takes human labor to organize and produce the show. Furthermore, there are investments in technology and production tools. More importantly, your content has value – that is why people are consuming it.


Is registration count for virtual meeting enhanced?

On the other hand, the registration count for a virtual meeting may be greatly enhanced . Overall though, it would appear that the net revenue for your virtual meeting would be substantially reduced in comparison to say, your annual conference, because of the greatly reduced registration fees and sponsorship levels.


Why is a European approach to conference planning and pricing important?

It is clear that the primarily European approach to conference planning and pricing may be helpful to event planners for several reasons, including the perception of cost savings, the predictability of costs, and ease of client presentation and approvals.


What is included in the Fira Palace meeting package?

During this time, the daily meeting package at Fira Palace included the use of the meeting room, coffee break (s), lunch, screen, and more. The available meeting package (s) essentially included everything that a planner would need to include in a meeting.


What percentage of Crowne Plaza clients are from Spain?

Back when the Crowne Plaza Barcelona was still operating as the Fira Palace, about 20 percent of the hotel’s clients were from Spain. The rest of the annual clientele came from the U.K. (19 percent), the U.S. (17 percent), France (7 percent), Italy (6 percent), Japan (4 percent), and Germany (4 percent).


Do hotels build conference costs?

In the United States, on the other hand, it’s still much more common for hotels to build conference costs line item by line item based on the detailed and customized needs of each meeting or event. Though the practice allows for the event planner to have greater control over every detail of the event, it also frequently creates complicated banquet event orders and more difficulty in managing costs and the overall event budget .


The Venue

When counting up the expenses of a conference, the venue is the highest valued variable. Its cost can vary a lot depending on the type of venue you choose. For example, if you pick a venue in an expensive metropolitan area, it’s going to cost more. However, if you pick something out of the metropolitan boundaries, it will cost less.


Food and Beverages

You cannot invite people to your event and let them go home with empty bellies. Depending on the duration of your event, you will have to make different types of arrangements for their refreshment. For example, if the event is only one or two hour-long, coffee, water, and soft drinks would suffice.


Presenters

Depending on whether you have speakers/presenters within your company, or you need to hire external ones, this accommodation could be costly. Having in-house speakers will be very cost-effective; try to find people within your company who are experts in the topics being discussed at the conference.


Staff

If your venue doesn’t have in-house staff included in their package, you’ll have to hire various types of people to manage your event. These include security guards, helpers, greeters, behind the scene workers, and others.


Equipment

You need various pieces of equipment to conduct your conference. If your venue doesn’t include LEDs, projectors, screens, and monitors, you’d have to arrange them on your own. Moreover, you will also need to hire professional operators to operate these pieces of equipment.


Advertisements

Depending on the type of conference you’re arranging, you’d also have to pay for advertisements. If it’s a public event, you might have to run paid promotions on social media platforms like Facebook. Moreover, you may also need to print banners and make them visible to the public.


Final Words

Conferences are a great way to address the public, deliver information, or send a message. However, they could be pretty costly and you need to plan your conference’s budget carefully. There could be several types of costs involved in arranging a conference. However, the costs I mentioned above are the most notable ones.


Cost-plus (or cost-based) pricing

Cost-based pricing is the most basic method for determining your registration fee. Essentially, you charge enough for registration to break even on your costs — and walk away with a set profit. To calculate your cost-based price, take the costs of your event, add an acceptable profit margin, and then divide by the lowest estimate of attendance.


Competitive pricing

On top of making sure your registration sales can cover your costs, you can also look at competing events and charge a similar registration fee.


Value-based pricing

With a value-based pricing model, you maximize your revenue by asking the most important question about your registration fee: how much are people willing to pay for your event?


Applying value-based pricing

While more complex than cost-based pricing or competition-based pricing strategies, a value-based pricing model allows you to design the best long-run economic model for your event. When you focus on value-based pricing, your goal shifts.


How to take conference budget from overwhelming to ruthlessly prioritized?

It’s time to get into number-crunching mode. By being both critical and creative, you can take your conference budget from overwhelming to ruthlessly prioritized. 1. Review your conference budget for accuracy. If you ran a similar event last year, you can simply edit your existing conference budget from that event.


How to trim the fat from a conference budget?

One of the best ways to trim the fat from your conference budget is to automate processes that a computer can do just as well as a human. This helps decrease your staffing costs and increase your efficiency.


1. Sponsorships for profit

Most large events use proceeds from ticket sales to cover costs, and then use sponsorship money to make a profit.


2. Who is paying for the tickets?

Many large conferences and events sell tickets for hundreds, or even thousands, of dollars. While it may seem like people are willing to pay that much to attend events, this is usually not the case.


3. Price anchoring

Price anchoring is the psychological tactic of placing higher priced items next to similar, but lower priced, items in order to increase sales of the lower priced item.


4. Social proof

Social proof is a psychological term for when people look at the actions and opinions of others, especially those who hold influence, in order to decide their own actions.

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Market Pricing

  • When you base your conference fees on the market you are essentially playing with a vision of what people can afford. It is the opposite of the retail approach since it begins by setting the price of admission and then working backward to build the conference within that budget. One thing t…

See more on thebalancesmb.com


Limited Access Pricing

  • This is a tiered pricing model that offers more features and benefits to those who pay more. For example, a basic ticket might admit someone to the main general session and breakouts. The next tier would provide all this plus a seat at the keynote luncheon. The VIP ticket would include preferred seating at all events and access to an exclusive break room and post-event networkin…

See more on thebalancesmb.com


Incentives and Penalties

  • You can use incentives and penalties to encourage registration within a specific time period. You have probably seen “early bird” registration offers at many of the events you have attended. The goal of these promotions is to cover all of your fixed costsearly so that you aren’t scrambling to raise money near the end. Penalties or late registration fees are almost essential if you are servi…

See more on thebalancesmb.com


Post-Event Access

  • Offering online access to a recorded version of your conference sessions is a popular idea in the internet age, but be aware that this strategy has the potential to affect your marketing efforts. There will be some prospective attendees who won’t feel motivated to attend the live event when they discover that the sessions will be recorded. Not to mention, your organization will also incu…

See more on thebalancesmb.com


Conferences in The U.S.


Conference and Meeting Packages Example


Hotel Clientele


Demand For Conference Package Pricing


Pros and Cons of The European Approach

  • It is clear that the primarily European approach to conference planning and pricing may be helpful to event planners for several reasons, including the perception of cost savings, the predictability of costs, and ease of client presentation and approvals. That said, such an approach places an increased burden on the hotel to predict its clients’ ne…

See more on thebalancesmb.com


American Conference and Meeting Packages Example


An American Industry Shift

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