PROJECT REPORT ON

EVENT MANAGEMENT AS A STRATEGIC MARKETING TOOL THE LAUNCH OF A PRODUCT

SUBMITTED IN THE PARTIAL FULFILLMENT OF THE REQUIREMENT OF MASTERS IN BUSINESS ADMINISTRATION PROGRAM (FULL TIME)

SUBMITTED BY: MONICA BHATIA 2002-2004 BATCH 22/MBA/RDIAS/2002

SUBMITTED TO: Ms. PARUL GUPTA FACULTY RDIAS

RUKMINI DEVI INSTITUTE OF ADVANCED STUDIES

ACKNOWLEDGEMENT

I am grateful to the entire faculty of Rukmini Devi Institute Of Advanced Studies under the prestigious GGSIP University who had been a constant source of guidance. I extend my profound thanks to Dr. J.K Goyal (Director, RDIAS) for his invaluable guidance and support. I must express my gratitude to my project guide, Miss Parul Gupta, Faculty RDIAS for helping me out in the working of this project and for always encouraging me to present the best of my knowledge. I gratefully acknowledge her advice to begin with a good project on EVENT MANAGEMENT AS A STRATEGIC MARKETING TOOL THE LAUNCH OF A PRODUCT

MONICA BHATIA

EXECUTIVE SUMMARY
In this era of globalization and liberalization of the economy, business practices have evolved and are in a process of modification. So the changes in the policies and procedures in the industry have prompted the changes in the field of education also to strive for excellence to meet the global standards. Giving this fact due consideration practical training schedules and projects have been inducted in the curriculum of business studies to give students an exposure to the prevailing conditions in the industry. So as a part of my MBA program I opted to do a project to build a knowledge base about The Event Management As A Strategic Marketing Tool The Launch of A Product For this purpose I have tried to gather relevant data from various Event Management Companies in Delhi, which are actively exploring the opportunities of this emerging field. The project basically revolves around all the details like objectives, process and strategies involved in the Product Launch Events held by the Companies. The project involves a study of the past trends, present scenario and the future of this particular industry. In this project I have tried to collect the relevant information through the means of questionnaire, especially designed for the project. The questions were targeted at the nitty-gritty involved in product launch events and the responses have been obtained from the management personnel of the various Event Management firms in Delhi.

TABLE OF CONTENTS

S.NO.
1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12.

Contents
Marketing In the New Era Launch Of A Product Event Management A Strategic Marketing Tool The Business Of Event Planning Product Launch Events Event Management The Industry Objectives Of The Project Research Methodology And Limitation Survey Findings And Interpretation Analysis And Conclusion Bibliography Appendix

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1-4 5-7 8-12 13-14 15-16 17-22 23 24-28
29-45 46-47 48 49-52

MARKETING IN THE NEW ERA

The opening up and globalization of the economy is compelling companies to evolve an altogether new approach to business. The marketing environment is changing rapidly worldwide and therefore the traditional ways of marketing are no more able to produce the desired results. There is currently a gap between marketing theory and practice that companies struggle to bridge. Standard marketing tools rely on fixed, inflexible formats to help firms decide how to position and promote their products. The coming times will witness a fierce battle of brands. The communication strategy will therefore need to focus more on building brands rather than on achieving short-term gains. Marketing essentially encompasses several basic beliefs, like: (a) that the assets of the company have little value on their own; (b) that a companys livelihood is based on providing customer satisfaction; (c) that customers are attracted through promises but held by satisfaction; (d) that marketing can make the promises, but it require an entire organization to create customer satisfaction; and (e) that marketing must permeate other organizational units and influence them to contribute positively toward the attainment of marketing and, subsequently, corporate objectives. One of the most visible aspects of marketing is promotion. It includes all of the activities carried out by business organizations in order to communicate with potential and existing customers. There are different means of promotion marketing communication. These are collectively referred to as the, promotional mix. The four major tools in the traditional promotional mix are advertising, sales promotion, publicity and personal selling.
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In the present scenario, these traditional promotional tools so not suffice the needs of an organization. Hence most of them employ a broadened promotional mix, which apart from above mentioned tools include sales talk, bait promotion, shop garnishment, extensive exposure, customer relations, impulsive mail, and emissary-style promotion. In a competitive market, brands need to be supported through promotion throughout their useful life. New brands need to be promoted to create awareness and a favorable predisposition in the minds of the target audience. It is therefore not surprising that with the rise in competition media billing of firms has been rising exponentially. With the proliferation of satellite channels the media availability has undergone a radical change. A large percentage of population watches TV regularly and most of them have cable connections. But, interestingly, the audience today is more fragmented and volatile as compared to that in the early 1990s. Today, noise levels have risen to the extent that advertising through mass media is ineffective unless it is innovative enough to draw the attention of the audience. Not prepared to take any chances, firms are not only spending on advertising, they are also approaching the prospects directly through mail and other communications. To avoid the risk of putting all their eggs in one basket most firms are now pursuing the policy of multiple channels and multiple media advertising.

CHALLENGES FOR MARKETERS

In the 21st century, marketers will need to contend with the five major challenges to be able to cope successfully with the emerging turbulent environment, as well as to take advantage of any existing and potential business opportunities in the environment. These are: The changing needs and expectations of consumers. Changing expectations of the role of business on society. Harsh economic conditions. Greater competitive pressures worldwide. Conducting business in newly liberalized countries, where important marketing services and facilities are either inadequate or non-existent.

COMPETITION
The liberalization of economy culminates in a great deal of competition in both commerce and industry. Essentially, this means that marketing executives have to develop new attitudes, skills and strategies if they are to enable their organization to stay afloat in the face of intense competition from both local and foreign suppliers of substitute products.

CONSUMER DEMANDS
A liberalized economy elicits greater expectations for highquality goods and services at affordable price. Unless they are satisfactorily met, such expectations can very easily culminate in consumerism, that is, a movement evoked by a desire to augment the rights and powers of buyers in relation to those of producers and sellers. Besides, consumers and other members of society expect marketers
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to conduct their operations in ways that have negligible or no potential to exacerbate the already alarming depreciation of the quality of the physical environment, and to create products that have minimum negative impacts on the fragile ecosystem upon which humanitys future is so dependent.

SOCIETYS EXPECTATIONS
Citizens of liberal societies generally harbor very high expectations of business and other institution. They, for example, expect businesses to fulfill their basic and traditional purpose of creating economic values as well as perform the philanthropic role of social responsibility. This basically implies that marketing and other executives should make a sustained effort to relate their economic goals and activities to the changing needs and expectations of the social environment in which they are a constituent part. In order to cope up with the changing scenario and to take advantage of emerging opportunities, it is vital for the mangers to incorporate new innovative ideas in the field of marketing.

LAUNCH OF A PRODUCT
In marketing a product is anything that can be offered to a market that might satisfy a want or need. However it is much more than just a physical object. It is the complete bundle of benefits or satisfactions that buyers perceive they will obtain if they purchase the product. It is the sum of all physical, psychological, symbolic, and service attributes. The new product launch phase is a critical part of the total new product development process. With the dramatic escalation in the number of new products--nearly 32,000 new consumer packaged goods were introduced in 2000 versus only 15,000 in 1990--competing for consumer attention. The quality of launch programs greatly impacts the success of product introductions. Done well, a launch helps a new product rapidly establish itself among its target users. Done poorly, a launch can negate all the time, money and human capital that went into developing the new product if it fails to achieve commercial success. Why is it that so many consumer products companies are spending years to research and develop new products but only minutes to market them? They fail to understand that the first impression of a product is of vital importance. The product launch is an integral part of the marketing activity and is a tool to maximize the return on investment. It is one of the most dynamic marketing activities and can determine a lasting impact for the brand, product or service. Once a product is developed, effectively product launch becomes the critical step to its success. The Product Launch Process must address all the steps necessary to start volume production, plan and execute marketing activities, develop

needed documentation, train sales and support personnel (internal and external), fill channels, and prepare to install and support the product. The product launch activities include the following:

A product launch plan has been prepared covering all activities to be performed by Engineering, Manufacturing, Marketing, Sales, Product Support, and Field Service. Product performance is evaluated through testing and qualification. Market receptivity is evaluated by key customer feedback, focus groups, test markets, or beta tests prior to launch. Final packaging has been redesigned and ordered. Sales channels have been identified and established. Product forecasts are updated based on market feedback and analysis. Product launch plan is based on forecast of market demand. All product documentation has been completed and finalized and the product is under configuration control. Required process documentation or outputs (e.g., work instructions, CNC programs, manning plans, etc.) are complete. Production processes are developed initially using pilot production lines and later using actual production lines. The product and the production process have been qualified or validated and all regulatory approvals and/or certifications have been obtained. The product and demand forecast data has been established in the enterprise resource planning (ERP) system and ERP is used to plan and manage the supply chain and production. Needed materials are on-order or in stock. Engineering, Purchasing, and Manufacturing personnel stand ready to address any issues that arise.
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User documentation, operating manuals and maintenance instructions have been completed. Advertising, product brochures, marketing materials, press releases, and web-site pages have been prepared and are ready to distribute at the appropriate time. Sales, service and support personnel have been trained or a phased training program is underway. A Production Readiness Review or related Stage-Gate confirms that all preparations have been completed and the product is ready to launch. The distribution pipeline is filled with the appropriate level of product. The new product is launched when service, sales and distribution channels are ready.

Benefits Of A Well Designed Product Launch Process An improved product launch process results in faster timeto-market and time-to-profit. Activities are better planned and coordinated and more tightly integrated. System data requirements are better understood, and systems may be better integrated. The result is better production ramp-up, more effective marketing, a sales force better prepared to begin selling the new product, and a service and support group better able to service and support the new product, leading to greater customer acceptance. The product launch can literally make or break a brand. What's the sense of pulling together the media, analysts, potential customers and strategic partners if the event technology and logistics mess it up? On the other hand when everything is in alignment and the launch event soars it is a wondrous thing to see how energy and excitement from people sharing a common enthusiasm at a product launch event can transform your product's prospects seemingly overnight. Hearing that collective WOW is music to the company's ears and bank account.
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Event Management - A Strategic Marketing Tool

BPL Limited, the flagship company of the BPL group, launched the up-market home theatre system in a five-star hotel in Bombay. A cross-section of celebrities was invited to attend the launch party. An outer-space ambience was created at the venue by using special dcor and lighting system. Soon after the party started, a spaceship-like object landed on the stage and a trolley rolled out. From the space trolley emerged one of the most advanced and expensive high-tech home theatre systems. Dancers in glittering space-age attire danced around to welcome the gadget. A live demonstration of the system was given to the invitees in small batches. This is just an example of how event-based marketing is catching up in the country. This science-fiction style launch was aimed at reinforcing the technological superiority of the product and also to create a positive predisposition towards the brands in the minds of prospects. Event management does not have a textbook definition and to try and define it would mean to borrow heavily from mainstream management and media concepts. Event management can be called experiential marketing. Events begin where the glamour ends. It is the most intimate form of marketing. It is a controlled activity aimed at the target audience.

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Reaching out to customers more intimately.

In an environment where scores of new products are vying for customer attention, such mega launch events impart high visibility and give a head start to the product. This highly versatile marketing tool integrates corporate sponsorships of an event with a whole range of marketing elements, such as advertising, sales promotion and public relations. Event-based marketing is gaining grounds because it allows a firm to break through the advertising clutter and target an audience through association to a particular event. The strategy is to address the customer and this is where events, promotions, seminars and conferences come into play. The purpose of event-based marketing is to create brand-awareness and also to reinforce the image associated with the brand in the minds of the target customers. It offers the flexibility of reaching specific geographic and demographic segment and has therefore attracted companies of all sizes and budgets. Companies realize that through events they can reach out to customers more closely, more intimately and it is cheaper than mainstream or conventional forms of communication, say television or print. Through events, companies can select and reach out directly to their target audience, can control their budgets and at the end of the event tangibly analyze if the event was a success or not. This is quite difficult, say, in mainstream communications, where the results are intangible and one is not sure who is seeing it and whom the communication reaches out to. Large corporate sponsors such as Coca-Cola, Nike, Coors, Kodak and Procter & Gamble are generally attracted to high profile global events, whereas smaller firms try to reach a targeted audience through sponsorship of local or regional
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events. Event marketing attracts them all because it provides a cost-effective approach to making a more hardhitting, emotional and tangible pitch to consumers. In case of larger events several firms may tie up for joint promotion or to offer sample products to the target audience. Events may also be aimed at building stronger relationship with the channel members. Whatever the objective, the most desirable marketing contribution any event can make is to add a novelty to a mundane product and thereby increase customer interest in it. According to the leading American advertising journal Advertising Age corporate spending on event sponsorship in the US has grown at an average rate of 17 percent per annum since 1980s. Sports-related events top the list by cornering about 45 percent of the total event spending, music an dart events represent a combined 35 percent billing and the rest is shared by films, fairs and festivals. Sports event rate high on the preference scale of commercial firms because of their broad-based character, high media coverage and the excitement they generate in the audience. The Olympics, being the Mecca of all sports events today, represent the crme de la crme of event marketing. Michael Lang, a prominent event marketer, calls the Olympics and its renowned five rings the worlds most effective property in terms of marketing tools. With the winds of globalization reaching India, event marketing is also catching up. Indian firms are currently spending a phenomenal amount of their promotion budget on sponsorship of various events. The objective is to convert any event, from a cricket match to musical nights, local melas, festivals and films - anything that has mass appeal, into a marketing weapon. Various events that are being

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used as marketing tools can be classified into the following broad categories: Sports events. Music and stage performances. Fairs and festivals. Trade shows and exhibitions. Films and television programs. Social welfare or cause-related activities. Special events created to launch a new product or brand.

The word event evokes visuals of a brightly lit stage with well-known cine artistes performing to popular numbers. Sure, thats an event and its handled by an event management company, but the scope does not end there. Event management can comprise handling marketing of soaps in rural areas through street plays or ground promotion activity of a new liquor brand launch. This is called below-the-line marketing, which has become an important tool for companies to build the brand image in the minds of the target audience. And as competition grows fiercer, event marketing could become a vital marketing weapon to tap the designated audience. However, it is not just live shows and events that will spur the industrys growth. Industry experts opine that it will be the use of events as a strategic marketing tool, which will also be instrumental in the growth of this industry. According to Fountainhead Promotions & Events Pvt Ltd director Brian Tellis companies are increasingly looking at below-the-line activity, to compliment advertising and publicity, which are traditionally considered as above-theline promotions.

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So if it is product launches like Tata Indigo, Yamaha Enticer or Christian Dior or roadshows by Cartoon Network, National Geographic or Parle, event management today has acquired a whole new dimension, right from conceptualizing to marketing to execution. Events today incorporate marketing, sponsorship, financial management, operations, logistics, licensing and permissions, to name a few. The idea of an event is to entertain as well get the message across. One has to visualize and then execute a particular event keeping in mind the target audience. Corporates are increasingly looking at events both for their internal as well external functions. More and more companies are realizing the potential of marketing through the medium of events. While it is true that cost per eyeball may be expensive, events ensure complete focus from the audience and brand recall, which is important in todays competitive scenario.

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THE BUSINESS OF EVENT PLANNING

As the name suggests, event management means planning, creatively organizing and finally, executing an event- which could be anything, a product or brand launch, an exhibition, a concert, a show or even a conference. This novel way of packaging entertainment has its roots firmly embedded in Advertising and Public Relations. Events are basically an extended arm of advertising. They facilitate brand building and ground association of brands directly with the consumer. Event management, in its element can be broken down into conceptualization, creativity, innovation, logistical planning, technical planning, design value and venue management. Conceptualization means envisioning the event as a brand and tailoring it to suit the needs and exclusive values of the brand. Creativity is obviously the quintessential ingredient, which sets one company apart from the rest. The success of an event management team depends upon its capacity to procreate themes that have never been thought of before. Evidently, this industry provides an opportunity for unleashing one's creative potential to a very high degree. Event management involves a deep understanding of the brand or product you are planning an event for. It allows one to think creatively, conceptualize something and actually execute it. In event management, innovation is very often described as 'Doing something old in a whole new way.' Innovation, a natural spin-off in the creative process begins at the

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operational stage. Here, the smallest glimmer of an idea rears its head and is taken further by recreating old themes, embellishing them and improvising until the idea reaches the crescendo- The Final Show! It's purely the act of shaping concepts thematically. A multitude of people in the industry are inclined to describe event management as Logistics Management, as it actually boils down to orchestrating services and supplies both the company's own and those of auxiliary industries. While planning an event, a host of technical details, which have to be looked at in great detail, make up the final spectacle. Lights, sounds, special effects lend to the ambience and give it an almost palpable personality. A visually appealing aura is necessary, even in case of corporate events such as conferences, seminars, product promotions etc., though commercial events literally 'thrive' on providing their audiences with visual delights and glittering gimmicks. Another important component is design value, where a special logo is created for the event and the dcor is customized. Sometimes, a lot of care is taken to painstakingly design all the furnishings that are required to give the event 'that' little edge. In short, design value ascribes to all the physical elements and their presentation that make up the event. At the end of the day, an event has to be executed to excellence. Efficient venue management - commissioning security personnel, managing the banquet area, hospitality and all the things that come in 'the way' add elegance and ensure a degree of adequacy.

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PRODUCT LAUNCH EVENTS

Understanding the leadership behind the product and service is as important, many believe more important than the product itself. That's where event-planning expertise comes in highlighting the product and the leadership behind it. With the entry of multinational brands, India has finally entered the era of megabrand launches. Though there had been a few instances of high-voltage launches with much fanfare in the past also, the sudden spurt in the megalaunch activities using innovative ideas is a relatively new phenomenon. Creating and celebrating an event is a sort of investment in brand building. It also has a positive rub off on other offerings of the firm. The high quality image percolates down to the lower-end products and helps them in expanding their volume. Firms now use innovative ways of dramatizing such events to create excitement and the desired impact. When British Airways introduced the club class, it actually brought a few seats to the hotel where the launch party was organized, to demonstrate the comfort of flying club class. When Rajasthan Breweries launched the countrys first canned beer through a megaevent the venue was converted to look like a Rajasthani mela. Events contribute a lot in forming an impression about the performance and the state of affairs of the organization that is convening it. The brand perceptions created out of brand launch events trigger a strong PR and word-of-mouth publicity which sustain the brands long enough to induce significant purchases.

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Also, because the event is captured in various media, over a period of time, the magic lasts longer. Undeniably, organizations should go ahead with such events with a solid plan that ensures success. Though the events are usually held for a day or two or a week, the planning process starts much earlier. Thus it takes a lot of time and effort to structure a perfect plan. Though each launch event of this kind may cost a firm anything upto Rs one million, it is normally only a fraction of the total marketing budget of the company. Megalaunches give a flying start to a brand, but how long and how much it would fly subsequently depends on the intrinsic strength of the brand and not on the launch event alone. Launching a new product can be a difficult and expensive experience. Pitching your product at your chosen market is easy enough, but knowing what sort of promotional event will get those prospective buyers out of their seats and attending is a different matter. One must know what works well at a launch, what venues will attract visitors, what entertainment will hold the attention of those visitors, what type of catering will impress the most discerning of palettes and when they are most likely to want to attend.

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EVENT MANAGEMENT THE INDUSTRY

Not a single week goes by without star-nights, celebrityoriented events, music concerts and consumer expos these days. India is also staging an entry into the era where the event management industry is emerging as a determinant force. The corporate sector is also looking for professional event managers who can organize seminars, conferences and trade exhibitions. Event management today has become a multi-crore industry with live entertainment events, both domestic and international, assuring a big audience. Television events have also become a staple diet in the fare dished out by various television channels. According to industry estimates, the industry had a total billing of Rs 1,950 crore for 2002. Of the total figure, domestic events accounted for Rs 1,150 crore, while international events raked in Rs 800 crore. It is estimated that the industry is expected to grow at a rate of 30 per cent per annum over the next five years. By 2006, the industry is expected to have billings of Rs 11,600 crore. The event management industry is expected to grow at an astounding rate of 30 per cent per annum over the next five years. It continues to grow exponentially, with increasing number of companies coming forward to sponsor events, shows and programs. At last event management has come to be recognized as an industry by companies and individuals alike. The dynamics of organizing an event are so high that people have begun investing in it. It was the liberalization of the economy and it's opening up way back in 1992, which gave the much-desired impetus to the event management industry. Today it is much more
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professional and more organized a sector than, say, a decade ago. Event management started the moment multinationals started pouring in when our markets liberalized. It is difficult to pinpoint exactly when event management broke away from mainstream course and started carving a niche for itself in the industry. A recent trend amongst multinational companies, especially the fast moving consumer goods companies entering India, is to promote their products through a tailor made event. In 1998 Coca-Cola alone sponsored 70 music related events across the country. Suffice to say that this industry is primed for a big boom in corporate sponsorship. Reasons, advertising through live events creates an instant response in the audience and hits the target immediately. In recent years, with the increase in the number of satellite channels, the awareness and interest in international and domestic artists has got enhanced, resulting in rapid growth in live entertainment and event management industry. There has been a flurry of activity, and event management agencies are mushrooming. While event management companies like Wizcraft Entertainment, GS Entertainment, J&M Events, DNA Networks, Cineyug, Fountainhead, Showbiz and Showtime have been around for some time, the entry of leading software programming houses and even media houses in to this segment is a recent trend. While event management companies like Wizcraft Entertainment, GS Entertainment, J&M Events, DNA Networks, Cineyug, Fountainhead, Showbiz and Showtime have been around for some time, the entry of leading software programming houses and even media houses in to this segment is a recent trend. Increasingly, companies from various sectors have realized the importance of targeting the right audience through
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events. Roadshows, promotions and seminars now go in tandem with the regular print and media advertisements that the companies carry out. Liquor and cigarette companies, who are banned from directly advertising their wares on television, utilize the medium of event marketing on a large scale. Likewise, FMCG companies, clothing and automobile companies also undertake event marketing to promote their products. Now, even companies from the pharmaceutical sector have realized that promoting the products through events enables them to focus on the target audience and get the desired brand mileage. The rural populace is a huge segment, which more and more companies are eyeing to fuel their growth. Event management companies say that more companies are increasingly using their services to weave their promotions with street theatre, melas (fairs), community meetings and religious occasions, which are a regular feature in rural India. Hundreds of events are done in the interiors of India yearly. This is a reflection of the seriousness with which companies are looking at rural India. For promotions in the interiors, the companies approach event managers to coordinate the entire project, right from conceptualizing, packaging to execution. Over the coming years, event management and promotion will be re-engineered from start to finish. There is no doubt that events will be driven by different principles and radically new technologies during these first years of the 21st century. It has been recognized as a profession for about five years now, and is clearly still in its nascent stage. The steadily increasing numbers of small companies is an indication of positive growth for this profession. Reality is, this industry has mammoth scope for young and ambitious entrepreneurs, probably because corporate these days

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recognize talent and are willing to give fledgling enterprises a start. However, there is a dearth of skilled, qualified and specialized event managers, while the demand for the same is growing at an increasing rate. The industry is now looking forward to trained professionals. Traditionally, people from advertising, personal relations, marketing and management have been joining event management companies and were trained on the job, whereas, professionals who have studied event management as a full-fledged discipline can prove to be productive from day one. The growing need for professionals who understand the medium and are able to execute the projects to the hilt has led to the emergence of such institutes like the National Institute of Event Management (NIEM) and Event Management Development Institute (EMDI), which impart training on various aspects of event management. Aspects such as organizational skills, technical knowledge, public relations, marketing, logistics, study of law and sciences, risk management and budgeting are covered in the curriculum by these institutes. The growth and the potential of the industry notwithstanding, industry players feel that there is need to get more structure to this sector. Issues like discrepancy in entertainment tax across the country, single-window clearance for permissions at central and state level and intellectual property rights are contentious issues which industry experts feel has to be addressed from a single platform. The event management industry has to be seen as one organized sector, where the players come together under a single roof to address the various issues facing the industry and take them to the relevant authority. For event management to attain the status as a true profession a body of knowledge must be established; an

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agreed-upon scope of skill competencies necessary for one to be considered qualified to practice must be identified; a reliable system of formal knowledge and its transmission must be created; a consistent method for measuring competency must be devised; and an equitable system of accountability must be developed. Only then will this occupation warrant an exclusive jurisdiction based on expert knowledge and experience a legitimate profession. A beginning has been made to this effect, with the formation of the Event Management Association of India (EMAI). EMAI has been set up under the aegis of the Federation of Indian Chambers of Commerce & Industry (FICCI). Thus, the future looks bright albeit with a few impediments, which the industry hopes, would be sorted as it moves from a sunrise sector to a more mature industry. The path towards touching the magical figure of Rs 11,600 crore estimated by FICCI would, therefore, be interesting.

The Future of Web-enabled Event Management and Promotion

There is a huge potential for the Internet to transform the event management industry. In terms of registration and administration, this potential has not been realized. In the fast moving 21st century, there is no space in any industry for those who cannot utilize technology to maximize the efficiency of their business while giving satisfactory added value to their customers. The event management industry is no exception to this, and within this broad definition lie all companies organizing events from huge exhibitions to small meetings. The range of demands in this industry is huge and varied. But there are some generic needs, and a universal drive to increase efficiency and customer satisfaction, while saving on money and time. A variety of advances have transformed the way
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events can make their impact and the way they are organized. The scope, frequency, and marketing of events are greater now than ever before. Now multimedia allows interactive communication between distant places, better presentations and displays, and so on. Software is available to help organize events. Though cost remains a barrier with such technologies, and so with email and the Internet now widely available, there has been a trend in recent years to try and capitalize on the power of the online world. A number of ways of doing this have emerged: Simply using e-mails as an communicating with delegates. additional way of

Advertising events online is another effective marketing method, and besides that it is a good way of informing delegates of new developments and so on. Online registration is perhaps the most useful tool mentioned so far, from the point of view of the event organizer. It allows for a wealth of information to be rapidly collected at an exceptionally low cost.

OBJECTIVE OF THE PROJECT

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Meetings, conventions, funds raisings, conferences etc. are the obligations in any business in the corporate world. Nowadays, the events by the corporates have picked up such a momentum that event management in itself has assumed the status of an exclusive area of study and profession. Of late, Event Management, as a part of the brand management function has assumed significance for the corporate as well as other quarters. Brand launches, these days are events that build the foundation stone of many a brands. The hype and PR generated out of such events last longer than that of any other form of brand communication. Companies, big and small, are pouring in huge bucks to lay their hands on this supposedly high ROI brand management tool. Today, event management is considered to be one of the lucrative industries, which demands high level of dedication and commitment. This project is involved in an analysis of the nitty-gritty involved in event management and especially, in product launches events. The main objective of the project is to highlight the role of event management in the marketing activities of the companies and the various aspects of the product launch events. The project covers details like the objectives, the benefits, the process and the strategies involved in the fabrication and execution of product launch events.

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RESEARCH METHODOLOGY
Research covers the search for and retrieval of information for a specific purpose. Research has many categories, from medical research to literary research. Information is a term with many meanings, depending on context, but is as a rule closely related to such concepts as meaning, knowledge, communication, representation, truth and mental stimulus. Market research, a type of business research has a broad scope and includes all aspects of the business environment. It asks questions about competitors, market structure, government regulations, economic trends, technological advances, and numerous other factors that make up the business environment. Various kinds of tools are used in market research like surveys and questionnaires. They are a valuable method of collecting a wide range of information from a large number of respondents. The design of a research project is clearly critical to its success or failure. The steps involved in designing the project, how they are carried out, and estimating the value of the information that the proposed design will provide are prime concerns of a research project. The various activities must be carried out in a cost-effective manner consistent with high professional standards.

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Steps in Research Design Process

Step 1: Define the Research problem Research problem definition involves specifying the information needed. Here such questions are answered like What is the problem? What are the various aspects of the problem? What information is needed? So for this project the information required was about the nitty-gritty involved in the conceptualization, fabrication and execution of the product launch events, about the various objectives sought by the companies and the extent to which such events are able to meet the communication objectives. Step 2: Select the Data Collection Approach There are three basic marketing research. data collection approaches in

Secondary Research Here the data collected is to be used for some purpose other than helping solve the problem at hand. Survey Research This involves systematic collection of information directly from respondents through telephonic interviews, mail interviews or personal interviews. Experimental research here the researcher manipulates one or more variables in such a way that its effect on one or more variables can be measured like laboratory experiments or field experiments.

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In this project the data collection approach used was the survey research. The respondents were the management personnel of the various event management companies in Delhi. Step 3: Select the Measurement Technique. There are four basic measurement techniques used in marketing research: (1) Questionnaires, (2) Attitude scales, (3) Observation, and (4) Depth interviews and projective techniques. Questionnaire is a formalized instrument for asking information directly from a respondent concerning market structure, business environment, behavior, demographic characteristics, level of knowledge, beliefs and feelings. The same instrument was used for the purpose of survey. An objective questionnaire was prepared covering all the aspects of the information that was needed. The data collected was based on the questions asked in the questionnaire and structured interview with the respondents. Step 4: Select the Sample Most marketing studies involve a sample or subgroup of the total population relevant to a problem. To serve the purpose of the project 30 Event Management firms, with there head offices in Delhi were visited during the project.

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 Step 5: Select the Method(s) of Analysis. Data are useful only after analysis. Data analysis involves converting a series of recorded observations into descriptive statements and/or inferences about relationships. The analysis is done using statistical theory, which is a branch of applied mathematics. Statistical practices include the planning, summarizing, and interpreting of uncertain observations. The data collected was reduced to tables and percentages and using simple statistical techniques interpretations were made. Some of the data were summarized without using any statistical tools.

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LIMITATIONS
The scope of the project was limited to the companies established in Delhi only. Hence the results and analysis do not involve the practices and trends of other cities. The Event Management industry is not well organized and do not adhere to any specific standards, hence most of the companies have very personalized approach. The strategies and processes of product launch events are very product-oriented and differ from product to product. The survey also suffers from the inhibitions and unwillingness on the part of companys personnel to reveal any inside information. The sample size taken is only 30 and hence will not be able to represent the entire population.

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SURVEY FINDINGS
Product Launches are events that build the foundation stone of many of the brands

30 25 20 15 10 5 0

Yes

No

Without any exception, all the respondents completely agreed with the fact that product launch events are instrumental in building the foundation stone of many of the brands.

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Do Product Launch events are held merely to create a noise and create excitement?

30 25 20 15 10 5 0 Yes No

All the respondents strongly disagreed with the statement that such events are held merely to create hype and excitement. They all believed that there is a well designed message behind every such event.

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Do Product Launch events trigger such a strong PR and word-of-mouth publicity that is able to sustain the brands long enough to induce significant purchases.

20 20 18 16 14 12 10 8 6 4 2 0 Yes No 10

The majority of the respondents, 67% app., had faith in the potential of the product launch events and agreed that they are able to generate great publicity and induce significant purchases. But 33% of the respondents did not agree to this.

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How do you rate the following objectives sought by the companies through launch events.

100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0%

3 5 0

5 4 4 13

6 3

12

16

6 8

12 0 6 9

12 6 1 2

8 3 0 3

1 4 5

To Generate Trial To Capture Customer Data To Meet Customer Face-to-Face To Raise Brand Awareness To Boost Sales

The most sought after objective of product launch events came out to be to raise brand awareness with 53% of the respondents ranking it at number 1. The next favored objective was to boost sales, 40% respondents ranked it at number 2. To generate trial was ranked 3 by 44% of the respondents. Then it was to capture customer data being ranked 4 by 40% of the respondents. To meet customer face-to-face turned out to be the least favored one, ranked 5 by 40% of the respondents.
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Which of the following features of an event actually motivate companies to hold a product launch event.

100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0%

0 6 5 6 4 15

0 4

19

7 1 0 10 0

10

23

12

6 4

12

1 1 4

3 5

Generating Immediate Response Extensive Publicity And Hype Gained Greater Focus From Opinion Makers Opportunity To Mix With Sales Channel Communicating To A Live Audience

The extensive publicity and hype gained through launch events is the major motivation for companies; ranked at number 1 by 64% of the respondents. Communicating to a live audience was ranked at number 2, followed by greater focus from opinion makers at number3. Generating immediate response was ranked at number 4 and opportunity to mix with sales channel at number 5.

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Who do Companies generally prefer to manage their events?

3%

6% 23%

68%

An In-House Marketing or Event Department A Full-Service Promotion Agency An Event-Marketing Agency An Independent Event Planner

A major part of the sample, that is 68% of the respondents, voted for an event-marketing agency being preferred by the companies to manage their events, 23% of them voted for a full-service promotion agency. Whereas, an in-house marketing or event department and an independent event planned were favored by only 6% and 3% of the respondents, respectively.

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Does it happen that events are made so excited that they overshadow the brand they were meant for?

17%

20% 63%

Sometimes

Most Of The Times

Never

Almost 63% of the respondents thought that sometimes events to overshadow the product they were meant for and 17% said that it never happens, while 20% of them said that it does happen most of the times.

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How much time is generally put up into the planning of an event?

3% 39%

0%

58%

Two Months

Six Months

One Year

More Than One Year

Out of the total population 58% respondents said that planning of an event takes around two months, 39% opted for a six month time period. Only 3% of them opted for a period of one year while none agreed to the option of putting up more than a year in the planning of an event.

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How do you determine the management fees to be charged from the company?

32% 47%

0% 21%

Percentage of Total Event Cost Hourly Rate

Flat Fee Package Price

As depicted in the above chart, 47% of the respondents charged some percentage of the total event cost as their fees, 32% opted for a package price option, 21% for flat fee and no one charges on hourly basis.

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Which of the following methods do employ to invite your target audience?

you

14

0 27

18 21

Direct Mail Electronic Media

Tele-Calling Any Other

Print Media

Out of 30 companies surveyed, 27 of them use direct mailing for inviting the target audience. Tele calling is a choice for 21 of them. Print media is being used by 18 of them and electronic media by 14 of the firms.

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What is more important?

25

22

20

15 8

10

0 Who Attends The Event How Many Attend The Event

More than 70%, that is 22 of the firms, think that the WHO factor is more important than the HOW MANY in case of the attendees of an event.

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How do you rate the criticality associated with the following decisions?
100% 90% 80% 70% 60% 50% 40% 30% 20% 10%
ms g Ve n u e

17 30 30

21

19

13

9
s

11
ts Se c u ri t y Ar ran g e me n

Ti mi n

ain m ent P rog ra

Very Critical

Not So Critical

En t e r t

All the respondents, without any exception, rated the two factors, which are the venue and the timing of the event as very critical. Entertainment programs were considered to be very critical by 43% of the respondents. As far as catering services are concerned 70% of the respondents rated them as not so critical. For security arrangements, 63% of the respondents opted for not so critical and 37% for very critical option.

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Ca te r i

n g Se

r v ic e

0%

Does Not Effect

Are Product Launch events able to generate an immediate response and meet communication objectives instantly?

18 16 14 12 10 8 6 4 2 0 Yes

17

13

0 No Sometimes

More than 50% of the respondents agreed that product launch events are able to generate an immediate response and serve as an effective tool to meet communication objectives. Some of them said that it does not happen always but only sometimes, but no one gave a complete no the statement.

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Which one out of the two is a bigger limiting factor for the success of an event?

25

21

20

15 9 10

0 Creative Thinking Budget

Only 30% of the respondents were of the opinion that the budget is a limiting factor, while 70% of them said that the success of an event is limited by the creative thinking of the organizer.

46

Rate the following methods used to calculate ROI by the companies in the order of importance.

100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0%

4 0 6 7

7 4 2

4 11 14 5 5 7

4 7

12 4 2 6 4 2 5 5

13 13 4 1 2

2 3

Registration Sales Feedback

Leads Generated Samples Deistributed

While calculating the ROI for a launch event, registration turned out to be the most favored method in the survey. The number of leads generated was ranked at number 2, followed by formal feedback from attendees at number 3. The coupons and samples distributed during the event was ranked as the fourth important method followed by the resultant sales at number 5.

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What among the following value-added services do you make available to your customers?

30 25 20 15 10 5 0

28 25

14 12

Access to Surveys And Attendee Result Mailing List Anaysis

Handling Visitors Queries

Managing Feedback

Almost all the event management firms (28 out of 30) allow their clients an access to the attendees mailing list. 25 of them agreed to provide assistance in handling visitors queries. But less than 50% of them were involved in customer surveys, result analysis and in managing the feedback obtained.

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Are you using new technologies like online registration and event management software?

25

22

20

15 8

10

0 Yes No

A majority of the event management firms, these days use online registration and other new technologies. Only 26% of the respondents do not make use of such technologies.

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ANALYSIS AND CONCLUSION

Event Management has gained considerable footage in the field of marketing and is emerging as a significant and innovative tool used by companies to strengthen their brand image. Launch of a product is no more a low profile task but involves a lot of planning, innovative methods, use of high technology, excitement, hype and strategies. And Launch Events are a part of it. Such events are not merely meant for the creation of hype rather they carry a strong message and objective behind them. Launch events are able to meet communication objectives and generate long-term results; only if they are backed by complimentary strategies and well focused marketing efforts. The most important objective behind such events is to raise brand awareness by communicating to alive audience and by gaining publicity and hype, extensively. In all such events target audiences are invited mainly through direct mail and tele calling, keeping in mind that the profile of the attendee is more important than the number of attendees. The planning process generally extends from two to six months. The venue and the timing of the event are very crucial to the success of an event.

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 Other things like entertainment programs, catering services and security arrangements are also important but still secondary in their criticality. To calculate their return on investment and to measure the success of an event, most of the companies go by the number of registrations and the sales leads generated. Creativity and budget are considered as two major pillars of event management. But when compared with each other the creativity scores over the budget factor. Thereby, leaving no doubt regarding the innovative character of this field. The role and responsibility of an event management firm extends much beyond the organization part only. It also involves managing visitors queries and assisting the client in handling feedback from the attendees. Like all other industries, even this industry is not left untouched by the Information Technology boom. As most of the firms use technologies like online registration and other related software.

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BIBLIOGRAPHY
www.npd-solutions.com/launch.html www.zeelearn.com/course/eventmmgmt/html/module6

.html
www.educationtimes.com/infocus/18novleadb.html

Marketing In The New Era by J.S. Panwar, Response Books, published in 1997. The Business Of Event Planning by Judy Allen.
Successful Marketing In The 21st Century by Henry

Kyambalesa, Infinity Books, published in 2003. Advertising Express, July, 2003

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APPENDIX
Questionnaire used for the survey. 1) Name: 2) Name of the Company: 3) Designation: 4) Address: 5) Phone: 6) Email-Id:

Q1. Do you agree with the statement -- Product launches are events that build the foundation stones of many of the brands? YES NO

Q2. Do Product launch events are held merely to create a noise and create excitement? YES NO

Q3. Do Product launch events trigger such a strong PR and word-ofmouth publicity that is able to sustain the brands long enough to induce significant purchases. YES NO

Q4. How do you rate the following objectives sought by the companies through launch events. (Please rank them from 1to 6)
To boost sales

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To raise brand awareness To meet customer face-to-face To capture customer data To generate trial

Q5. Which of the following features of an event actually motivate companies to hold a product launch event. (Please rank them from 1 to 5 in the order of importance)

Communicating to a Live Audience Opportunity to mix with Sales Channels Greater focus from Opinion makers Extensive Publicity and Hype gained Generating Immediate Response

Q6.

Who do companies generally prefer to manage their events? (Please Tick Your Choice) An in-house Marketing or Event Department A full-service Promotion Agency An Event-Marketing Agency An Independent Event Planner

Q7. Does it happen that events are made so excited that they overshadow the brand they were meant for?
Sometimes Most of the Times Never

Q8.

How much time is generally put up into the planning of an event? Two Months Six Months One Year More Than A Year

Q9. How do you determine the management fees to be charged from the company?
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Percentage of Total Event Cost Flat Fee Hourly Rate Package Price

Q10. Which of the following methods do you employ to invite your target audience?

Direct Mail Tele-Calling Print Media Electronic Media (TV and Radio) Any Other

Q11. What is more important: Who attends the event? Or How many attend the event?

Q12. How do you make sure that the purchase decision-maker attends the event?

Q13. How do you rate the criticality associated with the following decisions? Factors Venue of the event Timing of the event Entertainment Programs Very Critical Not So Critical Does Not Effect

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Catering Services Security Arrangements

Q14. Are product launch events able to generate an immediate response and meet communication objectives instantly?
Yes No Sometimes

Q15. Please rate the following methods used to calculate ROI by companies in the order of importance.

Registration Number of leads generated Sales Number of coupons or samples distributed Formal Feedback from attendees or clients (Through Questionnaires)

Q16. Which one out of the two is a bigger limiting factor for the success of an event? Is it: Your Creative Thinking Or Your Budget

Q17. What among the following value-added services do you make available to your customers?

Allowing access do the attendee mailing list Customer surveys and result analysis Handling visitors queries Managing feedback

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Q18. Are you using new technologies like online registration and event management software? YES NO

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