In this article, I will explain how to start an innovative event management business. This is my third post in a series where I am sharing unique business ideas. I plan to continue sharing creative solutions to everyday problems until I reach 500 ideas. In this article, we will focus on setting up an innovative and digital event management business.
What is event management?
Event management is the process of planning, organizing, and executing events such as conferences, weddings, and concerts. An event management business is a company that provides event planning and coordination services to clients, handling all aspects of the event from start to finish. This includes tasks such as venue selection, vendor management, budget planning, marketing, and more. The goal of an event management business is to create memorable experiences for attendees while ensuring the smooth and successful execution of the event.
The size of corporate event management industry in India.
The corporate event management industry in India is estimated to be worth around $30 billion. The industry has been growing at a rapid pace in recent years, with more and more companies recognizing the importance of well-planned and executed events for building their brand and connecting with their stakeholders. The growth of the industry is driven by factors such as the increasing number of businesses, rising disposable incomes, and a growing awareness of the benefits of corporate events. The industry is expected to continue its growth trajectory in the coming years as companies look to enhance their brand image and connect with their stakeholders through well-planned and executed events.
Dream big, think big, start small, and scale up.
In this small business concept, marketing professionals and those in the corporate event management industry will receive a novel business idea that they can immediately start. The objective of this idea is to spark the interest of aspiring entrepreneurs and encourage them to either improve upon the concept or promptly put it into action.
What problem this innovative event managemnt business plan will solve?
Problem Statement: Corporate and business entities often participate in outdoor sports and games organized by third-party event companies. The current process of participation and sponsorship involves the event company visiting offices in person, which is time-consuming and not cost-effective. I am proposing an event management business idea that offers a more efficient and personalized solution.
Example
Let’s consider ABC Event Company’s plan to host a corporate cricket league. The traditional process involves booking a venue, visiting offices to secure participation, and securing sponsorships. This process can be time-consuming and costly, especially if there is extensive travel involved. The proposed event management business idea aims to streamline the process, making it more time and cost-efficient for all parties involved. 
Frequently asked questions on event planning business.
Is event management a profitable business?
Event management can be a profitable business, but it depends on various factors such as the type of events you manage, the size of the events, the location, the target audience, and the level of competition in the market.
If you can organize and execute events that meet your clients’ expectations and provide them with high-quality services, you can earn a good reputation and gain repeat business. This, in turn, can lead to higher profits as you build a solid client base and increase your rates.
On the other hand, event management can be a challenging and competitive business, and there are many factors that can affect your profitability. For example, unexpected changes in the industry, economic downturns, or natural disasters can impact the demand for events, making it more difficult to secure clients and generate profits.
Ultimately, the success and profitability of an event management business depend on your ability to effectively manage costs, provide high-quality services, and establish a strong brand and reputation in the market.
What type of event planner makes the most money?
The type of event planner that makes the most money can vary depending on several factors, including their level of experience, the type of events they specialize in, the location of their business, and the size of their client base.
In general, event planners who specialize in high-end corporate events, such as product launches, conferences, and galas, tend to earn more than those who focus on social events like weddings and parties. This is because corporate events tend to have larger budgets and more demanding clients who are willing to pay a premium for the level of expertise and service they require.
Other factors that can impact an event planner’s earnings include their ability to effectively negotiate with vendors and secure cost-effective contracts, their knowledge of industry trends and best practices, and their ability to manage resources and control expenses.
Ultimately, the most successful event planners are those who have a strong reputation in the industry and can provide exceptional service and experiences to their clients, regardless of the type of event they specialize in.
What are the 5 C's of event management?
The 5 C’s of event management are a framework that can help event planners to think through the key elements of an event and plan accordingly. They are as follows:
Concept: This refers to the overall theme and purpose of the event, including the message or experience that the event is intended to convey to the attendees. The concept should be developed in consideration of the event’s audience, location, and goals.
Coordination: This involves the logistical planning and coordination of the event, including activities such as venue selection, vendor management, and scheduling. Coordination is crucial to ensure that all the necessary elements of the event are in place and that the event runs smoothly.
Control: This involves the financial planning and budgeting for the event, including monitoring expenses and revenue to ensure that the event is profitable or stays within budget.
Culmination: This refers to the actual execution of the event, including all activities related to event setup, entertainment, catering, and guest management. The culmination stage is where all the planning and coordination come together, and the success of the event is determined.
Closeout: This involves the final wrap-up of the event, including activities such as final vendor payments, event evaluation, and follow-up with attendees. The closeout stage is crucial to ensure that all loose ends are tied up and that the event has been successful in achieving its goals.
How to start an innovative event planning business?
Starting an event management business can be a rewarding and lucrative career choice for those who have a passion for organizing and coordinating events. This guide will outline the steps you need to take in order to start a successful event management business, and provide insights into how to make it innovative and stand out in a competitive market.
What Will Your Event Management Business Do?
The goal of your event management business will be to offer an efficient, cost-effective and customized platform for businesses to participate in different sporting events. You will be building an app where the Admin/HR of interested business houses can easily access and participate in upcoming events. The authority of the playground, such as schools, colleges, clubs, and government entities, will be able to list their grounds on the app.
Your business will conduct various sporting events and list them on the app for participation. The business will take bookings for the ground and arrange sponsorship for the events. Additionally, you will also list celebrities who can play, inaugurate or cheer at the events, giving businesses a range of choices. You should target metro, tier 1, 2, and 3 cities for your business.
Important Considerations
When starting an event management business, there are a few important considerations to keep in mind:
- Seek permission from government authorities (wherever required)
- Charge in advance for bookings, sponsorship, and celebrities
- Take an e-agreement/consent from all parties involved
How much investment is required to start this innovative event management business?
To launch your event management business, you will need an initial investment of not less than 1 crore. This will be used for building an app, creating a team/office, marketing, and working capital. It’s recommended that you stick to sporting events only, as this will help to maintain the unique flavor of your business model.
Raising Funds for Your Startup
Startup funding is a critical part of launching a successful business, and without the capital to get off the ground, many startups can struggle or even fail before they have a chance to grow. Here are a few common ways to secure funding for your startup:
- Angel investors or venture capitalists: These investors provide funding for early-stage companies with high growth potential, in exchange for equity ownership or debt repayment over time at pre-determined interest rates.
- Crowdfunding platforms: Websites like Kickstarter allow individuals to donate money towards projects they believe in with no expectation beyond recognition from project creators. This can be a quick way to generate significant amounts of funding, but it often comes with strings attached, including strict deadlines, product delivery promises, and potentially hefty fees.
- Bank loans: Traditional bank loans are still an option for financing new businesses, although this route tends to be more complex and involves more paperwork, credit checks, collateral requirements, and longer wait times.
Starting an event management business can be a challenging but rewarding venture. By building an app and offering a range of options for businesses to participate in sporting events, you can provide a cost-effective and customized solution that sets you apart in a competitive market. Keep in mind the important considerations when starting your business, and remember to seek funding from a range of sources, including angel investors, crowdfunding platforms, and bank loans. With the right approach, you can launch a successful event management business that makes a lasting impact in your industry.
Here are some do’s and don’ts in event management business:
Do’s:
- Plan and prepare in advance: Make sure to have a clear plan and timeline for the event, and prepare for any possible scenarios.
- Set realistic goals and objectives: Determine the purpose and goals of the event and make sure they are achievable.
- Communicate effectively: Maintain open communication with clients, vendors, and other stakeholders to ensure everyone is on the same page.
- Have a backup plan: Be prepared for unexpected events or emergencies by having a backup plan in place.
- Stay organized: Keep track of all details and make sure everything runs smoothly on the day of the event.
Don’ts:
- Don’t overbook or overcommit: Make sure you have the necessary resources and manpower to handle the event.
- Don’t ignore details: Pay attention to the small details as they can have a big impact on the success of the event.
- Don’t skimp on quality: Don’t compromise on quality to save money. It could negatively impact the event and your reputation.
- Don’t forget to follow up: After the event, follow up with clients and vendors to gather feedback and make improvements for future events.
- Don’t ignore safety: Make sure to consider the safety of attendees, staff, and vendors, and have a plan in place for emergency situations.
Conclusion
Event management is a fast growing industry that involves planning and execution of events like conferences, festivals, weddings and corporate functions. Careful coordination among multiple stakeholders is required to ensure a successful outcome for all parties involved. The scope of event management covers many areas including budgeting, marketing, logistics and operations.
The nature of event management relies heavily on creativity as well as organizational skills to plan an effective event that meets the needs of its participants. Event planners must be able to think outside the box when it comes to developing unique ideas for their events and ensuring that they are feasible within a set budget or time frame. In addition they need strong communication skills to work with various vendors or partners who can be essential components to executing a successful event plan.
Finally, event managers must have excellent problem-solving skills so that they can quickly resolve any unexpected issues that arise during the execution of an event. They should also have knowledge of legal regulations regarding safety measures, permits, etc., which will vary depending on where the event is being held. All these qualities are essential for successfully managing a variety of events from start to finish.
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