The great event illusion

They sit perfectly in the marketing comfort zone because they can showcase their ability to deliver a high-profile, highly visible activity that demonstrates months of hard work (often to the exclusion of anything else). Sales appear enthusiastic to attend – let’s face it, it beats sitting at home or in the office smashing the phones.

Yet are these grandiose gatherings truly the goldmines of opportunity they claim to be, or are they simply an expensive charade?  A few weeks post activity and far beyond, we hear many businesses question the effectiveness and value they bring beyond an immediate flash of interest from a few and yet continue to plan to do the same thing all over again.

1. The illusion of networking nirvana

Tradeshows, networking dinners, hospitality events, partner gatherings—each promises unparalleled networking opportunities and the chance to forge meaningful business relationships. The reality? Often, these events become overcrowded, chaotic spaces where genuine connections are rare. If approaches aren't handled sensitively, attendees, inundated with sales pitches and promotional gimmicks, are more likely to avoid eye contact than engage in meaningful conversations.

2. The budget black hole

Events are notorious for their resource and budget demands. The financial outlay for a single tradeshow booth, complete with branded merchandise and a slick presentation can swallow a huge chunk of the annual marketing budget. Factor in travel, accommodation, and time away from the office and the costs skyrocket. All this for what? A handful of business cards, rows of scan data in Excel spreadsheets, a vague promise of future interest which is inadequately followed up?

3. The ROI mirage

Marketers often tout events as critical for brand amplification and demand creation, but measuring their ROI is like chasing a mirage. Sure, you might gather a stack of leads, but how many of these translate into actual sales? The truth is, that many leads gathered at events are cold or lukewarm at best. The follow-up process is often too lengthy and fruitless for sales folk to endure and if marketing doesn't pick it up properly prospects will barely recall the brief interaction they had amidst the event's hustle and bustle 6 months down the line.

4. The badge scan obsession

A common sight at these events is the stand host is more interested in scanning badges than engaging in meaningful conversations. This frantic badge-scanning frenzy often results in quantity over quality, where the goal is to rack up as many scans as possible. While inflating lead numbers, it does little to foster genuine interest or build relationships. The focus shifts from understanding the prospect’s needs to merely collecting data, reducing potential clients to being another statistic in a crowded CRM system.

5. The networking nightmare

Adding to the challenge is many salespeople are poor networkers at these events. Despite their role, a surprising number struggle to break out of their comfort zones, often clustering together rather than mingling with new prospects. This reluctance to engage can result in missed opportunities, as the event becomes more of a social gathering for the sales team than a productive networking occasion. The ability to forge new connections and build rapport is crucial, yet many salespeople fall short, diminishing the potential returns of these costly events.

6. The digital age dilemma

In an era where digital marketing offers precise targeting, real-time analytics, and cost-effective lead generation, the traditional event model seems archaic. Building relationships and trust are key to successful sales.  If it's leads rather than pure brand amplification that's the aim, using events to extend relationships being incubated in the online world is a better approach than a scatter-gun physical presence.

The role of events

Don’t get me wrong – there's much kudos to be had out of events so there’s a good argument for not rocking the boat.  My bugbear is businesses often allocate more than 50% of their annual budget to attending events when they've had historically poor outcomes and just keep on doing it.

​Learning lessons and making changes in these budget and resource-challenged times around these flashy and expensive activities is required to avoid the pitfalls many witness yet fail to address.

If you were wondering where the evidence is, here's where our research took us and how events stack up on a cost-per-lead (CPL) basis.​