Events Marketing

Week 2 – The Marketing Environment

Today’s session
• Introduce the concept of environmental analysis
• Demonstrate the application of the concept to the
events industry
• Discuss the challenges and opportunities in defining
the environment for events marketing
Marketing Environment

What is your understanding of the term

‘environment’?
What types of marketing environments can you
identify?
Marketing Environment

Internal vs External environment

External environment:
– Micro
– Macro
 Event Marketing Landscape

Event Micro environment

Macro environment

Internal
Environment
Major forces in the Macro
Environment

Socio–
Cultural/Demogr Technological
aphic
Environmental/
Economic Natural

Political Legal
Company

(Adapted from Kotler & Armstrong 2013:96)

Political/Legal Factors
Overall government strategic
direction / political climate &
government power

Specific governmental policies

and regulations affecting
businesses particularly in
relation to licensing for events
– e.g. music festivals, or the
bidding processes for mega-
events, e.g. Commonwealth or
Olympic Games
Political Factors

1. Purchasing policies for the public sector

2. Fiscal policies and taxation regulations
3. Constraints posed by international
regulations (most notably the EU)
4. Incentives, grants, supporting job
creation
Political Factors

Which political factors in the UK today are

relevant for the events industry?
How can these be utilized to benefit the event
organisers and organisations?
Economic factors
State of the local/national/international economy
and economic cycles; impacts on general mind-set
related to spending on events as leisurely activities

Practical impacts on the amount of personal

disposable income and propensity of people to save

Wealth concentration
Socio-cultural factors
Demographics
– Age/ethnicity
– Income distribution
amongst population
– Immigration/Emigration
(e.g. EU vs non-EU)
Culture
– Shared beliefs, behaviours,
customs, backgrounds,
attitudes and beliefs
Ethics
– Beliefs about what is right
and wrong
Commercialisaton
Technological factors
What is the technological footprint within
society today?
Which general changes in technology are
affecting the society?
In what ways is technology affecting events
marketing?
Legal factors

Legislation (created by governments)

Legal disputes & issues – interpretation of the

law (through courts)

Industry regulation created by associations and

trade bodies
Environmental factors

Use and conservation of natural resources

Pollution and waste management (3Rs)

https://youtu.be/oi2m2V5L46k

Activist groups
Greening
 Actors in the Micro Environment

Marketing Competitors
Intermediaries

Suppliers Publics

The Company Customers

/Event Marketing

(Kotler & Armstrong 2013:93)

 Internal Marketing Environment
Internal environment:
– Staff (relationships, formal vs. informal structure)
• Volunteers – particularly important with events

– Corporate culture (“the way we do things”)

• Systems and processes

– Resources (financial, technical, expertise, etc.)

Influencing the environment
Which aspects of the environment are under the
influence of an event organiser/marketer?
– Macro?
– Micro?
– Internal?

Can they be managed? Why/why not?

Implications for events managers

What is the difference between PESTLE and SWOT

analyses?
What are the practicalities of conducting the two?
When would you do them? How? What is their
relevance to marketers?
Integrating internal and external
environment analyses
• SWOT analysis
– Strengths
– Weaknesses
– Opportunities
– Threats

• What is the role of SWOT analysis?

PESTLE - SWOT
Political Strengths

Social
Weaknesses
Economic

Technical
Opportunities
Legal

Threats
Environmental
Integrating internal and external
environment analyses
STRENGTHS
• Strong attendee base
• Positive image in the community
• Expertise of staff delivering arts
sessions
OPPORTUNITIES
• Local council is committed to
supporting youth participation in the
arts
• Large pool of existing and prospective
creative talent in the community
Example: SWOT analysis for an annual community arts festival
WEAKNESSES
• Lack of continuity in the organising
team
• Outdated technology (comms
systems)
• Lack of knowledge in marketing
• Limited funds available
THREATS
• Limited grants available from local
government – competing with other
types of activities offered by other
providers
• Local schools running similar youth
arts programmes
Enhanced SWOT analysis
Translate into tasks for the List of STRENGTHS List of WEAKNESSES
project plan

List of OPPORTUNITIES How do we use these How do we overcome the

strengths to take weaknesses that prevent
advantage of this us taking advantage of
opportunities these opportunities

List of THREATS How do we use our How do we overcome the

strengths to reduce the weaknesses that will make
likelihood and impact these threats a reality?
these threats?
What about Porter’s 5 Forces?

Threat of new
entrants

Rivalry
Bargaining power amongst Bargaining power
of suppliers existing of buyers
competitors

http://www.telegraph.co.u
k/culture/music/music-
festivals/11560934/Have- Threat of
we-finally-hit-peak- substitutes
festival.html
Summary
1. The marketing landscape has several horizons
- Internal vs External environment
- Micro vs Macro environment
2. Using SWOT, PESTLE and Five Forces analysis can help
to keep up to date on these environments
3. Managing your responses to your environment
is an on-going process