Events101A - how much does it cost

The first questions asked of an event planner – how much do you charge? how much will it cost? The response: “we can not answer that question as there are a multiple of variables”. Well, can you give us a ball park figure? Again, the answer “not until we know what you require.”

Any service that includes creative design, production and intellectual property is difficult to quote without information. Rates for event producers are the quintessence of pricing. Why? Most people have no true comprehension of the hours of work involved in creating a great event. In today’s do it yourself world, with the wonderful resources available on the web, people can do it themselves, given enough time.

So, why hire a professional. And, again, how much does it cost?

First, how do you put a value on the inspiration and creativity a great event producer or planner brings to you. Event planners take on most of the headaches and legwork for events, the bonus is the creativity and expertise they bring with the logistics.
An experienced event producer will usually charge a flat fee. This fee is determined by the scope of the event. Usually the fee is based upon an hourly rate of $125 to $250. For budgeting purposes the committee should use 18 to 30 percent of budget. However, smaller events may need a higher percentage in the budget, simply because an event for 40 people often needs equally as much work as an event for 400.

An experienced event producer will have suppliers, venues, and administrative support at their fingertips. An experienced event producer will often get a better rate from all suppliers, for many reasons – loyalty, relationship, and repeat business. Often the better rate comes from the supplier knowing they are dealing with an expert, which makes their life easier. Most event producers will save the client their management fees because of pre-existing supplier relationships.

As an example, I received a phone call from a distraught committee organizing a golf tournament. The committee had not read the golf course contract. Four weeks before their event they realized they were well on their way to losing over $30,000.00. The golf course add ons had not been factored in. I made two phone calls, secured a new golf course, suggested the committee walk away from the $1000 deposit, move their tournament to an even better course, and saved the event $9000.00 in golf course fees with the phone calls.

The committee asked for my help in managing the event. They asked for “day of” management help. As a note, anyone who thinks ‘day of’ management means just showing up the day of is in for a lot of trouble. In our world, day of management means 30 to 40 hours learning about the event, so we can show up the day of, run the event for you, allowing you to be the host of the event.

I digress – we saved the committee $9000.00 with a phone call. Our charge for "day of management" including three staff and 6 trained volunteers, for this particular event? $7500.00. Yes, do the math – the tournament received our expertise and 150 person hours for free, based on what we saved them with a phone call. And, Yes, it was a charity. And, yes, we are still producing their event five years later.

Most event producers go above and beyond to save their clients money; to get the best value for the budget, and to create a rewarding experience for all. Most event producers put in hundreds of unbilled hours – for the love of the event.

Yes, it is always worth it to hire a professional – an experienced, well known, highly recommended professional. As with any other purchase, do your due diligence. Get references, speak to suppliers, volunteers, attendees. Invest in your event success. Meet the producer – is it a good personality fit – that will be extremely important.

So – back to How Much Does it Cost?

Before any event producer can give you a quote, come armed with the following questions and information:

1. What is the event, and what is the result you are seeking
2. Do you want the event producer to play a leading role in creating the event, or do you need an administrative assistant with event experience
3. Is this to be a one time event or an annual event
4. Do you have a date
5. Do you have a venue
6. Is there a committee involved
7. Do you have resources that you can use – in house designer, web manager, content manager, printing, audio visual, graphic designer
8. How many people will attend
9. Food and beverage involved
10. Sports or activities involved
11. Gifts for guests
12. Will volunteers be used in the event

Know yourself and your company – are you a fast food, back yard get together group or are you five star hotels and fine linens group? Do you use professional services in other aspects of your business and are you pleased with those services?

And the big question – what is your budget? (yes, this will have its very own blog) however, google event budget planner. At least you will have a list of possible expenses. This alone will be enlightening.

Do some research prior to asking the question of how much it costs to hire an event producer. if you don’t have the time to do this, then you need an experienced event producer.