3rd Year MBA (Integrated), KSSBM

EVENT MANAGEMENT

Module – I
Introduction to Event Management

1.1 Introduction

We all love to celebrate and need little reason to celebrate – whether it be winning the World Cup
or the Common Wealth Games or birthdays, Graduation party, weddings etc. in the family. Celebrations
are an integral part of our life and often a symbol of happiness. However, modern lifestyles, busy work
schedules, smaller families and participation of women in the workforce, have resulted in less manpower
and time to plan, organise and execute such events. Hence many people prefer to use the services of an
expert (who has the know-how and takes care of the minutest details) to plan and execute such events.
Nowadays organisations and institutions also hire the services of such experts to organise a variety of
events. This is referred to as ‘outsourcing’. Experts who undertake this work are known as event planners
or event managers. They provide consultancy and undertake all tasks right from the planning stage till the
final execution of the event. Involvement of such experts has made celebrations and occasions easier,
enjoyable and stress-free for the client.
Events have been defined by the Marketing Guru Philip Kotler as ‘occurrences designed to
communicate particular messages to target audiences’.

1.2 Significance/Importance of Events

Events are celebrations that provide an opportunity to meet and share happy moments with family
members, relatives, colleagues and friends.
A family event is envisaged as an opportunity to meet old friends and relatives and develop new
relationships with unknown people.
Besides this, events are an integral part of professional life, may it be corporate houses, nonprofit
organisations or Government sector.
Corporate sector organises event to present its services or products in an acceptable manner to
its ultimate customer(s) as well as to enhance its own image. Such events are seen as an outcome of public
relations strategy with inputs from advertising, sales promotion and multi-level marketing.
The Government sector uses events as a platform to enhance its own image. Since events of
different kinds need to be organised all round the year, this has given rise to the Event Management
industry which revolves around all sections of the society.

1.3 Types of Events

Events can be described as a public assembly for the purpose of celebration, education, marketing or
reunion. They can be classified on the basis of their size, type and context, as listed below:

1. Events can be grouped under the following heads based on the context:

i. Family events are those where family members, relatives, friends join together to celebrate an
occasion e.g., birthday, marriage, wedding anniversary, house-warming or religious functions.

ii. Community events are those where members of a particular community get together to
celebrate occasions like Christmas, Holi, Diwali , Independence Day.

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 iii. Professional/Business events are those where professionals from one particular area get
together to celebrate an occasion, e.g., Engineers Association celebrating the World Engineers,
Indian Trade Industry hosting a round table meeting on a topical issue, Architects’ Association
hosting meeting of Green Building Council, Residents’ Welfare Association organising award
giving function to honour residential associations adopting green practices.

iv. Public events are occasions where public meetings are organized e.g., an pre-election meeting
of a political party to select volunteers, marches like Common Wealth Games Torch being
taken to different parts of the country, rallies against corruption, crimes against women, for
social justice.

v. Campaigns are occasions/public meetings such as Election campaigns, Polio vaccination

Days, HIV/AIDS awareness programme, awareness for Energy saving.

vi. Fairs and Exhibitions are events organised to enhance exposure. They bring together
likeminded people/those with similar interests for better synergy and for a specific purpose,
like, India International Trade Fair, Book Fairs, Handloom exhibition, Dastkar/Food Bazar.

2. We can divide events in two categories, based on the extent of formality involved -

i Personal and informal events like a birthday party, marriage, kitty party etc.

ii. Formal and official events like a Product launch, Road Shows,Conferences, Seminars,
National or International Programmes, etc.

3. Another classification of events could be based on the nature of event –

i. Social/life-cycle events like birthday party, graduation day, bachelor’s party, engagement,
wedding anniversary, retirement day.

ii. Education and career events like education fair, job fair, workshop/seminar, debate, contest,
competition.

iii. Sports events like Olympics, World Cup, Marathon, Wimbledon, etc.

iv. Entertainment events like music concerts, fairs, festivals, fashion/jewellery shows, award
functions, celebrity nights, beauty pageant, stage shows etc.

v. Political events like political procession, demonstration, rally, political functions etc.

vi Corporate events like MICE (Meetings, Incentives, Conferences, Exhibitions), product

launches, road shows, buyer-seller meet etc.

vii. Religious events like religious festivals/fairs, religious procession, Katha, Pravachan, Diwali
fair, Dussehra fair etc.

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 viii. Fund raising/Cause related events : events organised for raising funds like auction or
cause- related events.

Fund raising may be an integral part of all the events irrespective of the category since funds are
essential to celebrate any event. In case of family events, expenses are incurred by the individual family,
whereas in institutions, it is the responsibility of the institution to provide funds. Alternatively fund
raising is done by an in-house organising team or else the task is outsourced to an event management
company.

1.4 A Comprehensive New Definition of Event

An event is a live multimedia package with a pre-conceived concept, customised or modified to

achieve the clients’ objectives of reaching out. It helps in influencing the target audience by providing a
complete sensual experience for a two-way interaction.
It is a package organised to provide live interaction between the target audience and the client to
achieve the desired impact. It is evident from the model shown in following Fig. that in a family event,
live interaction process facilitates communication between the family members and the guests.
This process strengthens the mutually beneficial transactions within them. Therefore, family
events are seen as experiential celebrations whereas corporate events are experiential marketing wherein
focus is to involve guests and invitees in the program.

1.5 Event Management

Event management denotes the production of an event. A number of people with different skills
and roles are involved in its execution. There is considerable interaction among people and their

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responsibilities. It encompasses all activities involved in planning, organising, staffing, leading, executing
and evaluating.
For instance, while celebrating a Student’s Festival in a college, all operations such as venue
selection (in the college premises or in an auditorium) and stage design (based on the theme such as
‘Quintessence’), arranging the infrastructural facilities (like sound system, tent, furniture etc.), liaison
with artist/performers (cultural programme for the show) and networking with other activities such as
advertising (to all invitees and sponsors), public relations (informing via mass media), ticket sales (to the
target audience) etc. fall under the purview of event management. Event managers need to ensure that all
the critical client concept and audience fit during execution. The manager’s job is to physically reproduce
this fitness in the event.

1.6 Event Designing

It is the application of project management to the creation and development of festivals, events
and conferences. The activities for marketing and managing events require certain steps to be followed,
also called five C’s of event planning and designing.

Five ‘Cs’ of Successful Event Planning and Designing :

1. Conceptualisation involves proper churning of the original ideas. The purpose of the event is clearly
defined and further related to theme and venue.
For example, for a school going child’s Birthday party the theme could be ‘Red Riding Hood’
wherein all children are expected to dress up as per the theme i.e., either they could dress up like Red
Riding Hood or select an important feature of her dress or the colour. By making a party theme-based,
all the guests participate and find the party interesting. They show enthusiasm in the activities
organised for the party.

2. Costing includes estimating the cost of production and margins on the event. It is necessary to know
the funds available, the estimated expenses (budget) and the profit margins as the event manager will
have to not only pay for the goods bought (like for a birthday party, cake, food, return gifts, venue
decoration etc.) but also for the services hired for organising the event (like, the cook, cleaner, people
to help in serving, assisting in conducting the party as in making children play games, etc.).

3. Canvassing for clients and seeking sponsors, customers/audience and networking. It is important to
inform the target audience/guests about the event so that they will spare time from their busy schedule
to participate in the event.
For instance, for a birthday party, perhaps invitation before a week is sufficient but a national
conference may have to be announced months in advance and for international conferences one or two
years in advance. Besides, it is essential to contact the sponsors much before that i.e., may be two or
more years in advance.

4. Customisation is based on the customer’s needs and marketing objectives. Each time the same event
is celebrated, it may have a different objective.
For example, first birthday is celebrated to invite the parents and children for fun ‘n frolic,
however the second birthday of the same child may be celebrated by organising a highly interactive
party, so probably fewer adults and more children may be invited. Hence the nature of both the parties
will differ.

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5. Carrying-out the event or execution of the event as planned. An ordinary event may be celebrated in
the most special manner and so will have greater impact. If invitees participate in the event they enjoy
the celebration. So conduct of the event (by making everyone very special) is a very important aspect.
1.7 Five ‘W’ Framework

The assumption of “five ‘W’ framework (each one is like honest serving men whose names are
WHY, WHAT, WHO, WHE, & WHERE ). An effort to find answers to the following queries will make
the event successful as it will help to bridge the gap between planning and execution.

1. ‘Why’

‘Why' means, why you want to organize the event i.e. event objective.
What do you want to get from the event? For eg: do you want to organize the event to enhance
your company's brand image, to increase company's sales, to promote your client's products/services or to
promote a social cause etc.
Defining event objectives at the very start of event planning is very important as it gives you the
direction in which you should proceed to accomplish your objectives. Organizing an event without clear
objectives is a huge waste of both time and resources.

2. ‘What’

What' means what you are going to do in the event i.e. what will be the:
 Event Name
What will be the name of the event? For eg: 'Auto Expo 2020".

 Food and Beverage Menu

It contains the list of food items and beverages you will serve during the event to guests
and target audience. Always consult a caterer while deciding your food and beverage menu as he
knows the best which wine is served with a particular course (i.e. meal).
Keep the consideration like Event theme, Preferences (Veg./Non-Veg.) and Religion of
target audience and guests in mind while deciding the menu. For instance, if majority of your
target audience are vegetarian, then it is not a good idea to serve non-veg in the event.

 Event Profile
What the event is all about? For eg: This event is an International exhibition on new
models of Cars and its accessories

 Event Theme
Theme means subject. An event can be based on a particular theme like : hollywood,
bollywood, cartoon, black, red, white etc. Theme based events are generally parties or wedding.
Like we can have party based on flowers theme. Such type of parties are known as theme parties.
In a theme party, everything from dress code, decoration, games, music, gifts, favors to food and
beverages are based on a particular theme.

 Obligations
These are the compulsions on the guests like dress code or the knowledge of salsa dance.

 Type of Entry
Decide how will be the entry. Entry will be by ticket, pass or through invitation only.
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  Favors
These are the gifts given to guests. We can give gifts to guests when they enter a party,
when they win a game or when they leave the party.

 Entry fees
What will be the entry fees? If you are going to charge entry fees, then be prepared to pay
entertainment tax. Your entry fees should be according to your target audience's status. If you
overcharge you won’t get any audience.

 Event Highlights
These are those activities which you do to catch your target audience and media's attention.
Like inauguration of your Gym by ‘The Great Khali’.

 Promotional Campaign
How you are going to promote your event, organizers, sponsors, partners and clients pre-
event, at-event and post-event.

 Program Menu
It is the list of various activities that will occur as a part of the event. Sample Programe
Menu of a Conference.

 Event Budget
To determine your event budget find out what will be the cost for producing and marketing
the event. To determine production cost, create a list of logistics used in the event and then sum up
there hiring/usage cost. You can determine marketing cost on the basis of historical data like past
advertising expenditure for same or similar events. If you are a first timer, then take help from an
ad agency. On the basis of production and marketing cost, determine your operating cost (i.e. cost
to run the business). On the basis of operating cost decide your own fees and the staff salary.
If you are organizing event for a client, then the client will bear the production and
marketing cost of the event. If you are organizing your own event then you will bear the
production and marketing cost. As an event manager, you must be able to recover your production,
marketing and operating costs plus you must be able to make considerable profit also. Developing
event budget and managing cash flow pre-event, at-event and post event is quite difficult and
requires help from an experienced professional. Better leave this job to an Accountant if you are
organizing
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3. When
When you are going to organize the event (i.e. date and time)? Keep following things in mind
while selecting date and time for the event:
1) Select date and time according to target audience convenience and availability. For e.g.:
don't organize events during work days, examination days or festival times. The best time to
organize events is during weekends like Saturday or Sunday.
2) Make sure that your event's date and time, don't clash with other event's date and time
specially bigger event's date and time.
3) Keep climatic conditions into mind while selecting date and time for your event. It can be
disastrous to organize event outdoor on a day when the weather is stormy or heavy rain is
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 expected. Here you can take help of your own experience if you are familiar with the climatic
conditions of the region where you intend to organize the event or you can take the help of the
meteorological department for the weather forecast. Find out how the weather will be on the day
of your event.

4. Where
Where you are going to organize the event (i.e. venue)? Some considerations like Target
audience/guest size, target audience status, target audience convenience, climatic condition, venue
history, venue services, venue fees/charges.

5. Who
Who will be your organizers, sponsors, partners, clients, guests and target audience? How
many target audience you are expecting to visit the event and why? You must have very good
reason to this 'Why' as you will have to convince your prospective organizers and sponsors that
why particular number of people will attend the event.

 Guests Profile
Who will be your chief guest and other guests? Your guest list must include organizers,
sponsors, partners, clients and specially media people. Use your imagination to create good titles
to woo your guests. Like 'Guest of honor', star guest etc. Never give special treatment to one
particular guest or guests' group.

 Service Providers
Who will be your service providers? Any professional providing any type of service in lieu
of money is a service provider. For e.g.: DJ, anchor, florist, videographer, photographer, make up
artist, performers, decorator, models, technicians, usher etc.

1.8 Marketing needs addressed by Events

(i) Brand Building – Events help in brand building by-

 Creating awareness about the launch of new brands/Products.
 Presentation of brand description to highlight the added features of product/service
 Helping in rejuvenating brands during the different stages of the product life cycle.
 Helping in communicating the repositioning of brands /products
 Associating the brand personality of clients with the personality of target market.
 Creating and maintaining brand identity
 Image Building

(ii) Focusing the target market – events help in focusing the target market by-
 Helping in avoidance of clutter
 Enabling interactive mode of communication

(iii) Marketing Research – events help in conducting market research by-

 Helping in creation and sustenance of a panel of consumers.
 Enabling market database assimilation maintenance and updating.
 Providing instant feedback and opportunity for an authentic and instant market research.

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(iv) Implementation of Marketing Plan – events help in implementing marketing plan by-
 Enabling: - Authentic test marketing
- focused sales and communication to a captive audience.
 Increasing customer traffic in stores.
 Enabling sales promotion
 Helping in relationship building and PR activities.
 Enthusing and motivating the sales team.
 Providing an avenue to affirm presence
 Generate immediate sales.
 Generating instant publicity.
 Recruit new distributors and sales representatives.

(v) Relationship building – Events help relationship building by-

 Giving relationship management a proactive feel
 Creating a forum for bringing together key corporate influencers decision makers and
businessmen.
 Creating a forum for career match making.

(vi) Creating Opportunities for better deals with different media

 A single sponsor may find it difficult to network with the different media. The volume generated
by one sponsoring firm may not be lucrative enough for the particular media to offer substantial
room for negotiation whereas professional event organizers are in touch with the media
components daily. This enables negotiations by event organizers to be more fruitful than when a
individual company negotiates with the media.
 Negotiation could be in terms of rates (per cc for print media and commercial time on the
electronic media) offered free in relation with the sponsorship amount. While on television and
radio, free commercial times are bartered by the event organizer, in the print media, advertising
space can be bartered, this may not be possible for individual clients.

(vii) Events and the Economy

 Over and above the marketing angle, the economic benefit to the region hosting the event is also a
positive aspect. Countries like India should be not only investing information technology but also
other communication infrastructure to be ready in this millennium to host similar mega events.
The 1982 Asian games held in New Delhi gave an impetus to the Indian economy with the setting
up of an Asian Games Village for the participants with all modern facilities essentially in
transportation and infrastructure. The buses, which were introduced during the games to transport
athletes are in fact still in operation and are playing between various cities such as Mumbai and
Pune.

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