C6 Intelligence Thought Leadership

Improve Your Event Return on Investment

Written by Chris Caruana | Nov 20, 2024 11:10:06 PM

This paper encourages SaaS firms to recalibrate their thinking around event planning and how they calculate value.

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1/  Introduction

If your profession is fighting financial crime it is likely you have attended an industry event, or at least a banking or fintech event with anti-financial crime on the agenda.  Such events have historically provided a platform (and copious amounts of airplane chicken) for open dialogue - how can we collectively improve, share best practices, and explore the best methods to prevent and detect illicit activity.  These events have also become big business, with private equity buyouts of hosting organizations gaining momentum recently.

I’ve been attending these events, around the world, for most of my career.  First, I attended as a practitioner, hungry for knowledge and networking.  Then I began attending as a solution provider with the same hunger.

Over the years I’ve experienced a marketed shift in the value of these events.  As buy and sell-side executives converge they must constantly assess the value of such engagements.  I propose a critical examination of conventional approaches to events and whether they yield a commensurate return on investment (“ROI”) for participants.  

 

2/  Diminishing Returns of Large Scale Events

Let’s examine four real-life event examples from four different hosts.  Full disclosure, I speak at such events.

Exhibit 1

 

The allure of grand conferences lies in their promise of vast networking opportunities and exposure. Yet, these events often fall short in delivering tangible returns on investment (“ROI”). The substantial costs associated with attendance—travel, accommodations, registration fees, and exhibit expenses—can be staggering. Moreover, the sheer scale of some events dilutes the quality of interactions. Amidst thousands of attendees, establishing meaningful connections with senior decision-makers becomes a formidable challenge. The environment often favors superficial engagements rather than facilitating in-depth discussions that could lead to substantive business opportunities.  It’s imperative that firms do their prep work to confirm meetings, interactions prior to arrival, lest they get lost in the shuffle.

Immediate Key Performance Indicators (“KPIs”) like leads generated or impressions are frequently touted as measures of success.  Such brand awareness KPIs are important to measure and, if that’s your objective, a solid measuring stick.  If your objectives extend beyond brand awareness you should be probing how often do these translate into substantive business relationships?  Given the long sales cycles inherent in enterprise software deals, firms often neglect to conduct adequate (if at all) ROI reviews.  There’s more on this topic in Section 4.

Furthermore, those seeking collective improvements, best practices and practical approaches, and an exploration of new methods to prevent and detect illicit activity are met with a similar story to one they heard last year.  A review of the agendas in the events noted in Exhibit 1 notes an overwhelming overlap.  On one hand, it represents a confirmation of the topics we need (want?) to discuss.  On the other hand, are we having candid conversations about these topics?

For those on a calendar fiscal year, you are in the midst of budget planning.  Use this opportunity to calibrate your event spending.

 

3/  Strategic Advantages of Intimate, Targeted Gatherings

Smaller, focused gatherings offer a compelling alternative and valuable ROI.  They can be as simple as a dinner or lunch.  By concentrating spend on intimate gatherings, firms can achieve quality AND quantity for their business development and go-to-market targets:

  1. Cost Savings: The reduced financial outlay (typically ranging from $2k to $15k) associated with smaller events allows firms to allocate their budget more judiciously. Funds saved from exorbitant sponsorship fees can be redirected towards initiatives that offer higher ROI.
  2. Captive Audiences: With fewer attendees, each participant receives undivided attention and focus. This environment fosters deeper engagement and more productive conversations with the laptops closed and phones in our pockets.
  3. Tailored: Content can be customized to address the specific needs and interests of the audience, enhancing relevance and impact.  Such personalization is impossible at large events.  And the groups can be curated to meet the needs of practitioners and providers alike.
  4. Professional Atmosphere: A curated setting elevates the discourse, taking Chatham House to the next level.  Participants can speak their minds more freely, constructively disagree openly, and foster respective dialogue driving towards outcome-oriented discussions in a professional manner.  
  5. Access & Relationships: Focusing on senior stakeholders with authority and agency accelerates interactions.  They are more likely to attend smaller events during non-working hours where they can engage without the distractions of a large conference. Intimate settings facilitate candid dialogues, fostering trust and long-term partnerships.

The challenge to most firms is the lack of network to facilitate the interactions with anti-financial crime and compliance professionals.  Leveraging partners with extensive networks that have already built the relationships and trust should be part of your strategy to successfully execute these intimate gatherings.  I’ve been part of, explored, and facilitated these throughout my career and found them immeasurably helpful.

 

4/  Robust ROI Analysis

A rigorous and comprehensive return on investment (“ROI”) analysis is imperative for firms to truly assess the effectiveness of their event strategy.  This involves moving beyond superficial KPIs and examining the quality and ‘closed-won’ rates of leads, the progression of sales cycles initiated at events, and the overall contribution to revenue growth.

Firms should undertake a systematic review of their event productivity.  The lookback period should be tethered to your GTM strategy.  As such, this may require conducting reviews at different intervals given regional coverage and client segment targets.  At a minimum, they should be no sooner than 9 months after the event and no later than 24 months (diminishing returns, see ‘YAM’).  The data will not lie and such an analysis will reveal truths about your substantial investments in large-scale conferences and proportional returns.  They eliminate recency bias and must form part of your yearly GTM planning.

 

5/  Conclusion

We are at a crossroads and I encourage my clients to re-examine their event strategy around this thesis.  Continuing to invest heavily in large-scale events without substantial returns is unsustainable.  And an ROI analysis completed a week after the event is worthless.  

By embracing smaller, targeted engagements—either self-hosted or with networked, strategic partners—firms enhance their event ROI, build stronger relationships with key stakeholders, and align their organizational resources more effectively to near, medium, and long term opportunities.

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