Plan With Profitability First

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One thing I hear from entrepreneurs is that events aren't profitable.  That they put in a lot of work with little reward.  That they spend a lot of money only to be left in the hole.  That they're left bringing money to the table.

Has this been your experience?

Sometimes in these conversations, I dig a little deeper with some clarifying questions.  I have to get to the root of the profitability issue?

  1. How far in advance did you launch?
  2. How far in advance did you plan?
  3. Did you include your expenses?
  4. Did you include a profitability percentage?
  5. Did you have a budget in the beginning?
  6. Were you realistic about that budget as it relates to your audience?

So many questions but it helps entrepreneurs to see where they could have made better decisions and had a profitable event instead.  It makes them go below the surface of "I didn't make any money."

Although it's not a popular belief that events can be profitable, let's change that narrative to help you launch a more profitable live event.  Let's talk about three things that can blow your event's profitability.

Your Venue

Your venue will consume a big portion of your budget.  A matter of fact, there's space for it to take up to 25% of your budget.  If it's more than that, you could find yourself in profitability issues.  It's not worth it to go overboard on your venue if your audience won't pay the higher priced ticket to accommodate that decision.

As long as your venue aligns with your event type, that's all that matters.

What do I mean by that?

Well, if you were planning a retreat, it wouldn't be in a hotel in the heart of a city right?  You'd probably choose an Airbnb on the beach or an inn in a wooded area.  Just a place that's serene and encourages relaxation.

Your venue just needs to make sense for your event type.

Don't be afraid to look for deals or non-mainstream type venues for your event.  Have you thought about a meeting space in a library, a local art studio, etc.  Non-mainstream locations is where you'll truly be able to maximize your profitability because they're more cost effective.

Also, think about hosting your event during non-peak hours and seasons.  For some venues, that may not matter, but if you've got your eyes on a popular venue, having your event during the week and colder months or non-event season, could really impact the price... for the better.

These little decisions seem small but they really impact the bottom line.

Meals/Hotel

If you're reading this, most likely you're thinking about hosting a live event.  You're probably also wondering if you should plan an all-inclusive live event.  All-inclusive events can be great for the attendee but are they good for the organizer?

If this is your first live event, say no to the urge to plan an all-inclusive event.

If you're not careful, these are the biggest budget blowers and profitability thieves.

The profitability of your all-inclusive event is solely dependent upon a sold-out event!  If you're planning for 12 people but only 8 purchase tickets, then the money that you already put out for their rooms and meals is gone and the commitments you've made for 12 people is already set in stone.  You are now officially financially responsible for those individuals who did not purchase.

Now, with that said, there are ways around that issue but it's best to save the all-inclusive live event planning for your 2nd of 3rd event after you've established a committed and dedicated audience.

Vision Drifting

What in the world is vision drifting?  When it snows, if there's wind, it blows the snow to different locations.  If there's high winds, there's large deposits of mounds of snowdrifts.  Sometimes, this can make it difficult to measure the true amoung of snowfall.

Vision drifts or vision drifting is the same thing.  It's when you take your vision in different directions making it difficult to imagine what being at your event will be like.

You don't want that.  As potential attendees are reading the details about your event, you want them to be able to put the pieces together in their mind's eye.  This is what helps them buy.  They are able to see the cohesiveness you've created (with the content, location, educators, etc.) and they want to be a part of it.  There's a reason why I teach that your vision is the first step in planning your live event.  It's essential to nail that down first before you you continue with the other planning elements.  If not, it can be detrimental to your event's profitability.

Once grounded, allow your vision to be in the driver's seat.  Stop making decisions that are outside of your vision.  Your vision is there to guide your decisions.  Always refer to it before making decisions.

Essentially, you have to plan your profit.  A profitable live event begins with you and it isn't totally dependent upon a sold out event.  Keeping these three key areas in mind as you plan will help with your decisions and event's profitability,

If you're ready to start planning a live event and you're not really sure where or how to get started.  Download my Live Event Roadmap to get started with planning.

Grab the roadmap!

Planning your first live event can be so nerve-wracking with SO much to consider. When you download my FREE “Plan Your Profitable Live Event Roadmap,” you’ll learn everything you need to know to feel completely confident in executing your event.

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Live Event Roadmap

Planning your first live event can be so nerve-wracking with SO much to consider. When you download my FREE “Plan Your Profitable Live Event Roadmap,” you’ll learn everything you need to know to feel completely confident in executing your event.