No matter whether you are opening your event planning services or hiring event planners to organize an event for you, in both cases, what matters is the cost factors.
There are a lot of contingencies upon which the cost factor rely, such as operating expenses, salaries, and profits. Further, the geographic location, the nature of the event or project you are planning, and the target audience also influence the cost factor.
The budget of the target audience plays a huge role and pre-dominates the cost structure. Again the event planners services must be competitive enough to attract and hold the target market.
There are many event planning services in Italy that charge a considerable fair amount of money as per the market rates. So if you are hosting an event in Italy, you are lucky enough!
Different ways in which the event planners structure their fees
- Fees based on Flat project Rate: Many clients would be interested in knowing the total cost of the project, including all fees. An event planner needs to ensure its client what would be the flat fee and the services covered under that amount. In such cases, the event planner would be required to manage all costs like logistic, catering, venue, lodging expenses, etc. Hence the event planner should not only consider these factors but also anticipate changes in circumstances which could affect the cost factor. Flat project fees are generally used for packaged events such as the ones found in a sports marketing event.
- Fees based on Percentage of expenses: In most cases, the event planners charge 15 to 20% as the fees out of the total cost of the event. But this could vary depending upon the complexity of the project and the time duration taken to plan and execute the event. This kind of billing brings complexity for the event planners, and hence, the client should be concerned to pay more if the project requires extra efforts and consumes more time.
- Fees based on Hourly Rates: Many clients prefer an hourly rate for services. Hence they would want the event planner to quote in advance the hourly rate of charges and the total number of hours required to execute the program. This type of pay structure is ideal as it enables flexibility on both the parties to adjust to the changes if it comes up.
The reason behind the popularity of this kind of budget is because it helps the client in knowing exactly how much it will cost to hire any services on an hourly basis. And hence calculate the reasonable budget accordingly and have a proper idea regarding any unexpected expenses that could arise. The planner must set careful parameters around expectations so that it is clear in advance as to what services will be provided.
Hence the above three types are an example of how the event planners structure their fees structure.
Now further in this blog, let us understand why it is vital to hire event planning services rather than doing it yourself.
Why hire event planning services?
- Cost: Although event planning services do not come for free. But still, if you are planning big events, the cost of hiring event planners would be much lower as compared to doing it by yourself. There are many reasons behind this, such as the professionals have good contact of suppliers and vendors who will provide them nominal discounts and special pricing that normal people cannot avail. Further, the professionals have an idea regarding the areas where cost-cutting could be done and also the areas where cost-cutting is a bad option.
- Knowledge and experience: The professional event planners have a clear idea and experience in handling the most complicated projects; hence, they have built a sound knowledge of the logistics of planning an event. Further, the event planners have ideas regarding the areas where there are the highest risks of going wrong and know what to do to prevent it from going wrong.
- Stress Level: Hiring a professional event planner will ease you from the unnecessary stress that would come across your way, and you can relax and enjoy with your guest. Further, the client only has to be concerned about the budget while the event planner will take care of aspects like venue, logistics, catering, and decor based on the client’s approval.
- Time: Amidst a big event to be planned, a lot of things needed to be arranged, confirmed, and checked, which is not possible for a non-specialist to accomplish. A common person would have to struggle in between personal, professional, and normal life on undertaking the task while a professional event planner is an expert in handling all these aspects.
Hiring event planners may appear costly to us as they do not do it for free. But when we analyze a lot of factors mentioned above, then the cost and burden of opting for an event planner seem to be quite less. Event planners help us enjoy the moments while making our event a hit. No matter whether it is birthdays, weddings, business or sports event, the event planners across the world help their clients enjoy without breaking the banks.