There are many reasons for holding corporate hospitality events, including building relationships with staff and customers. However, every time you hold such an event the main focus should be your return on investment. The event needs to be worth your while financially in the long run.
When holding an entertainment event it is important to make sure the costs are worth it. The type of event and its scale are determined by the industry you are working in, as each will have its own demands. Some industries expect a higher level of sophistication, such as the media industry, which is experienced in entertainments.
Long-Term Expectations
You need to think about your long-term expectations and needs and which is the most important focus: profit increases or a boost in market share. It is also vital to consider the client you are working for and how much they are worth to you financially. There is no point investing a huge amount into a client who only returns a small fraction of the cost. However, sometimes a large expense and short-term loss might be worth it to build the relationship.
A simple formula used by some experts is to require a 5x profit on the expense of the event. So if you spend £2,000 on the event, you need to see £10,000 back above the regular spend from that client.
Ideas for Corporate Events
It is also vital to consider the type of event you are holding. Watch out for team building events as sometimes these can be disliked by workers. Team building corporate events can sometimes be bizarre, humiliating or stressful. Sport is one of the best types of event for team building and client entertainment.
Most people like a day out at a sporting event, whether it is to see a tennis match, horse race or Formula 1 race. Taking clients to a race track for an impressive F1 Hospitality event could help to solidify client business relationships, especially if you use an events company such as https://edgeglobalevents.com/f1-hospitality/ to help you with the event.
Another thing to remember is that the event should be well-planned without any corners cut. Trying to put on a corporate event cheaply can often backfire, as the event reflects how the participants will perceive the company.