week 5- revenue- expenses- net income- sponsorship

indirect means you are applying a themed name to a non themed item

Winter theme Performer: skaters- direct

direct connection- figure skaters are a winter sport

Performer- indirect connection to Halloween:

indirect connection- instead of the traditional trick of pulling a rabbit out of a hat, the magician modifies his/her. their act to pull the clown head from IT

Each planner decides he/she is interested and whether to proceed or not to the design the event stages

design the event:

  • plan the event

  • coordinate the event

  • Execute the event

  • Evaluate the event

how is revenue generated?

revenue- expenses= net income

revenue generators:

how can an event generate revenue before the event?

  • tickets- is it free admission or will tickets be sold?

  • if tickets are sold, what is the price and will discounts be offered?

  • sponsorship

sponsorship:

  • trying to attract a corporation (or a person) to sponsor (invest) in ur event

  • It opens the door to join forces, an opportunity to unite for the betterment of both parties

  • It is a way to gain revenue/ reduce expenses

  • It is a business investment

  • A sponsorship agreement means the sponsor will provide support based on what they receive in return

  • It is the same package for everyone- basically means are u interested?

who to approach?

  • before u can approach potential sponsor you need to:

  • know urr attendee profile (demographics)

  • know ur financial objectives

  • then you can select companies that match ur event/ client

  • similar image, similar culture, similar demographic or have a demographic u wish to attract

  • u need to know who what ur financial objective is- u need to have an idea

what the sponsor wants to know:

  • explain who you are (charity/ organisation)

  • what type of event u are planning (history of event/ target audience)

standard types of sponsorship support:

  • financial offering- business or individual providing cash investment

  • in kind- business or individual providing product or an experience that can be auctioned off during a live auction, supplier reducing (lowering or waiving) their fees on their product or service

  • literally asking them for cash/ cheque

  • u are asking a company for money- not just strangers

Example of in-kind sponsorship:

  • product sponsorship for LIVE auction- formula 1 Lewis Hamilton- autographed boot

  • give the boot for free- hold the boot up for free showcasing it- hoping several ppl in the crowd will bid on the boot

  • this is giving someone a special product

  • experience sponsorship for a live auction- chef coming to ur home and cooking for u and (ur guests)

what does the sponsor want in return?

EXPOSURE- heightened brand awarness and visibility

examples:

  • business- logo, history, facts

  • individual- name, biography, achievements

prior to and post event:

  • social media

  • website

during event:

  • branding- logo displayed

  • featured in- program booklet (along with agenda and menu)

  • slide desk

  • direct connection- booth and speech (speaking)- these u have to be careful with- if this is a gala ppl want to party, ppl are excited and energised, u dont want to bore ppl with a lot of speeches

Sponsorship chart example and format:

different levels(options provided)—- :maximum:—- mid- level:—- minimum:

different options provided: different branding, posting u on social media

example:

different option: insta exposure

maximum- a post of the client’s insta of the sponsor’s name, logo three days prior to the event and the day of the event

mid level - a post of the clients insta of the sponsor’s name, logo three days prior to the event and the day of the event

minimum- a post of the clients insta of the sponsor’s name, logo three days prior to the event and the day of the event

BUILD- more of the same offering is provided - change the weeks above in each section e.g. 2 weeks prior to event, 1 week prior to event

TIERING: Additional offerings are provided- the same category but maximum and mid level have different offerings

percentages in this chart= BUILD

how can an event generate revenue during the even?

  • sell merchandise

  • raffles

  • bslloon pops- sell baloons and the winning balloons holders receives a prize that was donated

  • 50/50 draw- sell tickets and the winning ticket holder recives 50% of the cash thst was raised, the remaining 50% goes to the cleint (host)

  • silent auction table- donated products/ services on display for attendees to bid on

  • live auction

  • fund a need- attendees make a financial fund

donations:

  • a donation is when a company or person provides product to the event while not wanting anything in return

  • why? the donator feels good about supporting/ helping an event (often a charit)

who could u ask?

request product or service:

  • dinner at a fancy place

  • a day at a spa

benefits of donations:

  • there is NO cost to the client for the product/ service

  • funds raised by the donations is straight profit

as donations are one way transaction, the product and/ or services that are received are at lower dollar value

  • as sponsorship is partnership between the client and sponsor, the sponsor or product is high dollar value

silent auction with bid sheets:

  • The purpose of a silent auction table is for event guests to bid on the product

  • The event guest who has the highest bid wins/receives the product and pays the event for the product

auction of bid sheet to include:

  • a description of the item

  • retail value of item

  • the min dollar amount required for the starting bid

  • the min bid increment

  • name and phone number of the bidder

  • bid amount

the aim is to have as many items on the silent auction table as possible