One of the biggest determining factors in whether or not you’ll see a notable ROI from any given trade show is your ability to create a reasonable budget. Of course, that isn’t a single step. Budgeting is a multi-step process, and one of those steps is identifying the fixed and variable costs in any given show.
Having a clear understanding of the former will help you shape and mold the latter so you don’t go over budget and so total expenditures leave you room to make a profit.
Trade Show Budgeting Requires Analysis of Fixed and Flexible Costs
First, a little more on fixed and flexible costs in regards to trade show events. Your fixed costs will be the ones you can’t change or negotiate. These include things like the price of your booth space or the cost of shipping and transportation of equipment and supplies (one could argue that negotiations are a possibility with shipping/freight but a base line is still fixed).
Flexible costs, on the other hand, are the things you have more control of. Your booth design, graphics and logos are a fine example, as are your giveaways or the costs for materials used for presentations or demonstrations.
The following are budgeting tips to help you balance both your fixed and flexible costs.
Choose the right show. Perhaps one of the best advice we can give is to choose the right show for your budget. While trade show booth space rentals are a fixed, cost, these prices vary from show to show. Don’t over-extend yourself going to the biggest, most expensive show. Instead, look for smaller, more affordable shows that will allow you to shine in a smaller setting and can put you in closer proximity to your target market.
Buy or rent? How many trade show events do you attend each year? Depending on your answer to that, you may determine that purchasing booth equipment means greater cost flexibility from show to show, which eliminates some of those flexible costs altogether once you earn your initial investment back.
Get your ducks in a row. The more organized you are, the easier it will be for booth design firms, construction companies, transportation and freight companies to provide thorough, accurate, line-by-line quotes so you can accurately compare prices and labor costs between each bid that comes back. Cloud based tradeshow planning is a definite advantage in this department.
Want to learn more about cloud based tradeshow planning applications that can streamline your budgeting, cost analysis and reporting processes? Contact the innovative team at Eventr.io.