Budget Tips: Cost- Cutting Takeaways
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1 Budget Tips: Cost- Cutting Takeaways Bonnie Wallsh, CMP, CMM Presented by
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4 CIC Credit Today s Webinar is worth the following credit toward the CMP application through CIC: Strategic Event Planning Process, 1 hour. Download the presentation found on the Meetings Webinar Club Page at Here you can also click on the link for CMP instructions to obtain CMP credit. Print this form and include it with your CMP application or recertification form. Presented by
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9 Today s Speakers Bonnie Wallsh, MA, CMP, CMM Presented by
10 Budget Tips: Cost Cutting Takeaways Thursday, July 27,
11 PRESENTER Bonnie Wallsh, MA, CMP, CMM, Chief Strategist Bonnie Wallsh Associates, LLC Consultant, Educator, Facilitator, Trainer 6328 Red Maple Drive Charlotte, North Carolina Mobile:
12 BECOME SAVVY in PREPARING YOUR BUDGET State of the Industry Economy Gasoline Food Costs Buyer vs. Seller Market Government per diem (gsa.gov) Taxes Gratuities Greening of Meetings Corporate Social Responsibility (CSR) 12
13 BECOME SAVVY in PREPARING YOUR BUDGET Resort fees Unexpected hotel charges Internet charges Air lift, especially to 2 nd and 3 rd tier cities Additional charges on airplanes Postage Exchange rates 13
14 CREATING YOUR BUDGET PLANNER Your meeting budget is an estimate of anticipated income and expenses for your meeting and provides financial control and accountability. It s important to document how and why you arrived at all figures. You can keep track of your calculations used to arrive at each budgeted item through Excel spreadsheets. 14
15 SAMPLE BUDGET - EXPENSES Audio Visual Equipment Coat Check Computer Resource Room Computer Training Workshops Creative Fees Cyber Café Décor Electrical Rigging Exhibits 15
16 SAMPLE BUDGET - EXPENSES Fitness Center Food & Beverage Banquet Entertainment/F&B/Speaker/Decor Receptions Housekeeping Gifts Gratuities Hospitality Room 16
17 SAMPLE BUDGET - EXPENSES Meeting Room Rental Nametags badges, holders, ribbons, materials, printing, lanyards Office Supplies and equipment Parking Postage and delivery Press registration discounts Printing 17
18 SAMPLE BUDGET - EXPENSES Security Shipping Signage Speakers Honoraria and Travel, Lodging Special Events Telephone Tote bags Transportation Wireless internet access 18
19 SAMPLE BUDGET - INCOME Registration Fees - Early - Regular - On-Site - Daily Companion Registration Fees - Early - Regular - On-Site Food and Beverage Breakfasts, Lunches, Banquet Additional Fees such as Computer Workshops 19
20 SAMPLE BUDGET - INCOME Miscellaneous Income Administrative Fees Registration Refunds Banquet Journal Conference Recordings Royalties Cyber Café Sponsorships Exhibitor Fees Raffles Tote Bag Inserts 20
21 CREATING YOUR BUDGET PLANNER Registration Fee = (Total Fixed Costs divided by # of Attendees) + Variable Costs Fixed Cost : Meeting Room Rental Audio Visual Marketing Signage Insurance Variable Cost includes: F&B On-site Registration Materials and Handouts 21
22 7 COMMON MISTAKES 1. Allow contingencies for the unexpected 2. Include tax and service charges 3. Include labor costs 4. Communicate clear policies to speakers/staff 5. Review master account daily 6. Rely on history for your meal guarantees 7. Know the value of your business 22
23 $$$ $AVING TIP$ 1. KNOW YOUR GROUP Goals and Objectives Meeting Sponsors Attendees Partnering Sponsors Exhibitors Budget Profile of Attendees Geographic Location of Attendees History, History, History Know the Value of Your Business 23
24 ACCOUNTING 2. Review your master account bill daily 3. Limit authorized signatures 4. Offer discount for early registration at association meetings 24
25 AGENDA 5. Streamline agenda to minimize meals and additional hotel nights 6. Offer videoconferencing as an option for those who can t attend physically 7. Supplement education programs with webinars 25
26 ENTERTAINMENT 8. Contact local schools for entertainment in exchange for donation 9. Contact entertainers who are in-town for other shows or functions 26
27 EVENT TECHNOLOGY 10. Work with 1 audio/visual company as preferred supplier for volume discounts; if facility charges 15-20%, use it as negotiating leverage to reduce their prices 11. Assign meetings to rooms, wherever possible, with same audio/visual and setup arrangements 12. Share AV with other groups, if the previous meeting s set-up works 27
28 EVENT TECHNOLOGY 13. Bring your own flip charts and markers, blank overhead transparencies, extension cords 14. Rent equipment such as fax machine or copier if you anticipate heavy usage 15. Buy AV equipment, if it makes economic sense; it could be donated to local school or charity following meeting 28
29 FOOD & BEVERAGE 16. Work with the chef in developing your menus 17. Piggy-back off other group s events 18. Theme events using ethnic foods that are less costly 19. Serve light lunches such as salads rather than heavy entrees 20. Cut down on portions 29
30 FOOD & BEVERAGE 21. Reduce number of courses at dinner 22. Use food stations spread throughout the room 23. Serve continental breakfast instead of full American breakfast 24. Take advantage of dead wine 30
31 FOOD & BEVERAGE 25. Negotiate complimentary receptions 26. Shorten time of receptions 27. Eliminate soft drinks and bottled water 28. Use opened bottles of liquor and wine for hospitality or VIP suite 29. Use butler service instead of buffet tables 31
32 FOOD & BEVERAGE 30. People drink less at cash bars 31. Use history to determine guarantees 32. Theme events- check on in-house availability 33. Order by consumption not per person 32
33 Marketing 35. Take advantage of using Convention & Visitors Bureaus (CVBs) and Tourist Offices 36. Use social media effectively 37. Partner with sponsors and exhibitors to increase attendance; offer incentive for them to reach out to untapped audience 38. Begin marketing on-site for future meetings and events, offering reduced rates and providing attendees 30 days for payment 33
34 MEETING SPACE 39. Seek out unusual venues 40. Negotiate that assigned meeting room space is NOT connected to sleeping room slippage 34
35 NEGOTIATIONS 41. Rates/Dates/Space pick 2 of Use Value season/holidays/days of week or Hot dates 43. Watch for special deals Sudden meeting cancellations 44. Negotiate attrition clauses 45. Negotiate discounts for repeat business 35
36 NEGOTIATIONS 46. Be aware of hotel booking patterns Sun Wed, Wed Sat 47. Check local taxes during your site selection process; as tax revenue for visitors declines, room taxes increases 48. Select cities where participants can conveniently walk to the conference center from adjoining hotel 49. Consider airport hotels with complimentary shuttles 36
37 NEGOTIATIONS EVERYTHING IS NEGOTIABLE 37
38 PRINTING 50. Use local printing outlet in meeting city to reduce shipping charges ALWAYS request a proof before printing. 51. Do layout and design on your own software 52. More s, less printing eliminate handouts (or use designated printers) which benefits environment and saves $$$ 53. Negotiate for FREE printing at facility s Business Center 38
39 SHIPPING/POSTAGE 54. What service does FEDEX sell? Prepare a time line with deadlines to take advantage of least expensive shipping rates. 55. Check post office regulations before creating mailings. 56. Barter with shipping companies to send your shipments at no charge. 39
40 SIGNAGE 57. Create permanent generic reusable signs with updated information on velcro 58. Order red arrows with velcro background for directional signs 59. Prepare room signs listing all meetings in that room throughout the meeting 60. Use hotel sign boards 40
41 SLEEPING ROOMS 61.Comp rooms - Don t settle for 1/ Get cumulative, not nightly count Pick-up Mon. 39 Tues. 39 Wed. 39 Nightly 0 comp rooms; Cumulative 2 comp rooms Using CUMULATIVE instead of NIGHTLY saves you $$$ 63. Negotiate upgrades to concierge level for VIPs and key executives 64. Request free amenities for VIPs 41
42 SLEEPING ROOMS 65. Negotiate for free Internet and free local telephone calls. 66. Get reduced rates for staff/speakers 67. Negotiate No additional fees may be added to guests sleeping rooms invoice without prior notice 68. Negotiate for refrigerator, when requested at time of making reservation, at no additional charge 69. Negotiate no penalty for early check-out 42
43 SPEAKERS 70. Use local speakers 71. Book multiple bookings rates for same event 72. Discuss discounted fee for sale of product 73. Get free speakers instead of fee speakers 74. Arrange air transportation for speaker or specify least expensive air fare 75. Review speaker audio/visual requests upon on-site registration 43
44 SPONSORSHIP 76. Sponsorship of meal functions Serve dessert near sponsor s booth if trade show follows lunch Design menu to reflect sponsor s brand ALMOST everything can be sponsored 44
45 STAFFING 77. Develop company travel policy prior to meeting 78. Students and interns can work for expenses and mentoring 45
46 Transportation 79. Take advantage of local transportationmonorail/ bus/ train 80. Negotiate FREE ground transportation for your staff in exchange for promoting shuttle service to attendees (like Super Shuttle) 81. Negotiate free parking 46
47 Transportation 82. Check for inexpensive fares at these sites Book flights after midnight on Tuesday, early Wednesday morning for least expensive flights Booking Buddy CheapTickets Fare Compare Alerts Hotwire KAYAK SideStep 47
48 MISCELLANEOUS 83. Check travel costs during site selection 84. Recycle badges 85. Select hotels that offer frequent flyer points that can be used for speakers, staff, or attendees 86. Take advantage of airline frequent flyer points Develop good working relationships with your suppliers; you ll usually get more than you are contracted for 48
49 What are 3 things that you have learned from this session? What will you do differently when you prepare your next meeting or event? 49
50 RESOURCES Meetings Periodicals Association Meetings Convene HSMAI Marketing Review Meetings Focus Regional editions One Plus (formerly The Meeting Professional) 50
51 RESOURCES Discussion Groups You must subscribe to the lists in order to participate. There are strict rules that you are not allowed to promote your product or services directly and you are not allowed to badmouth any person or supplier Check list of cancelled space Recommended Newsletters Request receipt of Herman Trend Alert (free) Travel News from WAV Request copies from (free) 51
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