By Mary Tucker | Senior Communications and Content Manager | IAEE
In an era of rapid technological transformation, industry professionals are constantly seeking innovative ways to boost their exhibition’s financial performance. Who better to learn from than the experts who have cracked the code on sponsorship revenue and cost management?
Rich Vallaster, CEM, DES, Senior Director of Industry Relations and Community Engagement for Personify A2Z Events and Michelle Mobley, Manager of Exhibits and Sponsorship for the American Society of Landscape Architects will be sharing their game-changing strategies in the upcoming webinar, Cash In, Cut Costs: Winning Revenue Tactics for Your EXPO and Sponsorship Programs on 16 April. Whether you are looking to supercharge your sponsorship income or streamline your event expenses, these insights are your roadmap to event management success.
Here, Rich and Michelle give us a taste of the comprehensive view they will offer in their presentation as they explore how technological innovations, strategic cost management and creative revenue approaches are reshaping exhibition revenue strategies. From cutting-edge AI integration to practical tips for maximizing sponsorship value, they will unpack the complex challenges facing exhibitions and events professionals and provide actionable strategies that can help show organizers stay ahead of the curve.
Technology is transforming all aspects of event management, including sponsorship offerings. What technological trends are currently reshaping how show organizers approach their revenue strategies?
Rich: Technology is empowering event organizers in numerous ways. For companies that exhibit and sponsor events, enhanced data-driven insights and buyer-supplier engagement through advanced event management software, lead retrieval tools, matchmaking solutions, and mobile apps are significantly increasing the return on investment (ROI) for exhibitors and sponsors, which is essential for the growth of events.
These deeper insights also enable event organizers to make strategic decisions and adjustments in real time. Moreover, the automation of online contracting and fulfillment for booth space and sponsorships allows organizers to concentrate more on building relationships that drive revenue. In a post-pandemic world, where marketing resources and staffing have shifted, reconnecting, nurturing, and maintaining relationships with exhibiting and sponsoring companies is more crucial than ever.
Many exhibition organizers struggle with balancing cost-cutting while maintaining the quality of their event. Can you share a specific example of how you have successfully reduced expenses without compromising the attendee experience?
Michelle: Invisible snips are a key part of our overall revenue strategy. When looking for cost-saving opportunities, we ensure that adjustments do not negatively impact the attendee experience. A major factor in achieving this is recognizing that sponsorship dollars can be allocated into three equally important categories: revenue-producing, cost-reducing and attendee experience-enhancing.
Each year, we analyze the full cost of activating sponsorships before offering them for purchase, allowing us to assess true profit margins. Our goal is to keep sponsorship production costs under 25% to qualify as a high-yield sponsorship. Some sponsorships may yield lower margins – closer to 30% or less – because they are critical to enhancing the attendee experience. The key to financial sustainability is balancing these different sponsorship types to maintain a healthy overall revenue model.
A recent example of how we successfully reduced expenses without compromising experience is our approach to refreshments on the EXPO floor. Previously, we offered complimentary coffee as part of the hall opening after the first general session. However, we realized attendees were naturally entering the EXPO at that time, reducing the need for an added incentive. Instead, we replaced the high-cost coffee service – which sponsor dollars only partially covered – with a profitable afternoon popcorn break. This adjustment resulted in a 50%+ profit margin while also strategically driving foot traffic to the EXPO at a time when engagement typically dips.
Webinar attendees will gain a practical cheat sheet of actionable tips. What is one unexpected strategy from this toolkit that might surprise our readers?
Michelle: One unexpected strategy that surprises many organizations is the importance of regularly auditing sponsorship benefits – not just the pricing. It’s easy to fall into a wash, rinse, repeat cycle, especially when you have a core group of loyal, repeat sponsors. But that model breeds complacency and limits growth.
Three years ago, we took a hard look at our sponsor benefits and conducted a full audit of both the cost to activate each sponsorship and the value of the benefits we were offering. We also did a competitive scan to see how our benefits measured up. From there, we identified new benefits we could offer that would increase sponsor value without increasing our costs. These changes focused on delivering more meaningful sponsor engagement beyond just brand awareness at a four-day conference.
The result? We increased sponsorship revenue by more than $250,000 without adding new expenses.
As part of the session, we’ll share practical templates for conducting both a financial and benefits review of your sponsorship program – helping you uncover hidden opportunities to grow revenue and improve sponsor satisfaction.
How has the rise of AI and digital technologies influenced sponsorship acquisition and management in recent years?
Rich: The rise of AI has transformed sponsorship acquisition and management by making it more data-driven, targeted and efficient. AI-powered analytics help organizers identify ideal sponsors based on audience demographics, engagement patterns and behavioral insights. Event management tools enable real-time tracking of sponsorship performance, offering companies ROI metrics and more personalized activation strategies. Additionally, automation streamlines communication, contract management and reporting, reducing manual effort and improving sponsor relationships. These advancements have not only expanded sponsorship opportunities but also enhanced their effectiveness, making partnerships more valuable for both organizers and companies.
For exhibition organizers just starting to optimize their sponsorship programs, what are the first three steps you recommend they take?
Michelle: For exhibition organizers just starting to optimize their sponsorship programs, I recommend these three foundational steps:
- Start by reviewing each sponsorship opportunity individually. Look at how long it’s been offered, when the price was last adjusted, and when the last RFP was issued to fulfill it. Once you have this data, analyze it to identify where changes can be made to increase value or profitability.
- Reach out to past sponsors and ask which other trade shows they regularly exhibit. Then, research those shows to see what sponsorship opportunities are being offered and at what price point. This will give you a clear sense of whether your sponsorships are priced too high, too low, or competitively. Adjust accordingly to remain competitive in the market.
- Build direct relationships with your exhibitors and ask targeted questions about where they find value. Do you have exhibitors with large footprints but no sponsorship investment? Find out why. Ask if they’ve seen successful sponsorship models at other shows that they’d like to explore. Also, ensure you offer sponsorship options at various price points to capture different levels of investment.
Beyond the immediate financial benefits, how can a well-structured sponsorship program contribute to the long-term growth and reputation of an event?
Michelle: A well-structured sponsorship program does more than generate immediate revenue – it strengthens relationships with exhibitors, attendees and even internal stakeholders, contributing to the long-term growth and reputation of an event.
Sponsorship dollars can elevate the attendee experience, transforming a good conference into a great one. When attendees engage in unique, memorable experiences – whether it’s a hands-on activation, an unexpected moment of joy, or a meaningful networking opportunity – they build a subconscious connection to the event. These emotional touchpoints create lasting loyalty and encourage repeat attendance.
For exhibitors, sponsorships open the door to deeper relationships. I’ve found that my strongest exhibitor connections come from those who sponsor – not just because of the financial investment but because of the ongoing conversations we have while activating their sponsorships. These interactions allow me to understand their goals, tailor their brand positioning and build a partnership that extends beyond a transactional relationship.
Internally, sponsorship dollars can also strengthen relationships with colleagues. By securing funding for a program that a co-worker is passionate about, you elevate their work and bring additional visibility to initiatives that might not otherwise receive attention. Working together to align sponsorships with internal priorities fosters collaboration and reinforces the value of both sponsorships and the broader mission of the event.
