Event Hire and Rental statistics and opportunities

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(Source Reuters) News reports in the USA have pointed to a savage downturn in the $175 billion corporate meetings market.

 Driven by companies slashing their conference, event and major meetings budget. Such budgets incur not only event equipment rental and event hire costs, but also travel, accommodation/venue costs.

Surveys indicate that over 60% of all companies intend to reduce their spending on meetings next year. Industry professionals such as Kevin Maguire, President of National Business Travel says ” I have been in this business for over 40 years and I have neer seen anything like this before”
The issue at hand is not that there is a downturn, that just has to be accepted, but rather what to do about it.

The hire and rental sectors most impacted would be event hire, event rental, av hire and av rental, with some flow over in to the party hire or party rental markets. There are some potential solutions.

Event Solution versus Event Product provider.

If you are a provider of products to the events, ie you react to orders from marketing departments or venue organisers, you may be in a difficult position. Because you are effectively removed from the Corporate decision makers who make decisions on whether to hold events or not. Often the first thing you know about it is in your sales figures as the orders dont come in.

However if you offer event planning as a service to support the hire or rental of your products then you will be better placed. The reason why you will be better placed, is that your engagement with the Corporate decision makers will enable you to understand what their company is doing and more importantly why.

Why is important to know? Whilst some companies will be adamant that the cuts will be made, others will be less rigid. The corporate person you normally deal with will generally be keen to see events re-instated, as often it is an important part of their role. If you can help them by assisting them to sell the business value of holding events then not only will it aid you in potential sales it will most definitely aid you in gaining a long term relationship.

Selling the Business Value of Events

So if one of your market segments is the corporate event marketing then ask yourself the question can you sell the business value to them of maintaining or even increasing their event budgets?

If you can not, then do you know management consultants, meeting facilitators etc who also target the same market. Remember many of these consultants are also impacted by the downturn. They are often key participants, organisers etc of such corporate events. Such consultants are specialised in selling business value.

Meeting with them can assist you in understanding the key issues and focus. Consider the information you gain from the meeting, is there an opportunity for you to partner with them. Ie is there a mutual value for both of you to be gained from such a relationship?

Finally a downturn is an opportunity for some a threat to others, it depends upon your attitude.

HireEzy is committed to helping our clients turn the downturn in to a business opportunity.

About Us

HireEzy is the complete business management solution for hire and rental companies. Not only does it include digital marketing, web integration it also includes social media marketing tool integration. For more information email us sales@makinglifeezy.com.au

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