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Advertising in the Recession

 

 

Corporate Hospitality is Accountable

Corporate Hospitality is Accountable

I heard an interesting piece on a BBC Radio show this lunchtime where the presenter had two guests from the corporate hospitality business speaking about their industry in these tough times. I shared the presenter’s reaction to the state that their businesses might be in because of the obligatory cuts that business and organisations are making to their marketing budgets which include corporate hospitality.

 

Of course, I listened and could not help but think that they were going to be facing dire straits because corporate hospitality is just a ‘big jolly’ with no real benefits apart to the company apart from getting a better seat at Wimbledon or the Olympics if you are a client and a day off work if you are the hosting business. And the expense of inviting a client to an event, whether sporting or arts, is very costly. The speakers were talking about some of the top-end events costing several thousand pounds per seat. 

But the guests talked about the fact that their clients were still bringing their customers to the same events, but instead of having champagne all night at the Royal Albert Hall, their clients had just offered wine and beer all night. Still, I thought, nobody is really  persuaded by these events to make them buy products or services, are they? The guests, obviously, said that this was not the case and that their clients still valued the benefits of corporate hospitality. 

The one of the guests said something which I found remarkable becuase I had just not thought about it and I had let my own dogma get in the way of clear thinking. The guest said, “Well, of course, you can account for every penny you spend on a client at a corporate hospitality event which you cannot do with other advertising. You can track its effectiveness on whether they buy your product or service.”  

What was I thinking? He is absolutely right about the accountability that a marketing manager benefits from bringing a client to an event. He was not entirely up to speed about digital marketing. Through the web, you can track people’s behaviour, interests and habits which many forms of advertising fail to do. And now that we are in a recession, accountability in marketing and advertising is vital. 

So, while marketing budgets are being slashed by the management, marketers will be able to fight well if they understnad which aspects of their planned marketing investments can be easily measured for their effectivness and return on invesment.

Before lunch today, I thought it was only digital advertising and marketing that could offer that level of detail. Now I am a little wiser.

Does anyone have tickets to Wimbledon?