In the annual forecast for the event industry, conducted by parent company Penton Media, Special Events magazine readers in the party and event rental industry predict a better year ahead in 2013.
The majority of respondents (57 percent) expect to handle more special events in 2013, relative to 2012. One in five expect event volume to remain stable in 2013 (23 percent).
The majority of respondents (60 percent) expect an increase in revenue derived from both business/corporate and social/private events. Very few expect revenue decreases (business/corporate, 2 percent; social/private, 4 percent). On average, respondents expect business/ corporate event revenue to increase 18 percent, and social/private event revenue to increase 19 percent.
STRATEGIES FOR SUCCESS
The most common steps taken in an effort to adapt to the 2013 rental marketplace include adding new inventory (89 percent), pursuing new clients (81 percent) and/or increasing marketing efforts (72 percent). Just under half report adding new services (47 percent). Approximately a third report adding staff (38 percent) and/or streamlining operations (36 percent).
The biggest challenges facing rental operations in 2013 are an uncertain economy (64 percent) and increasing costs in the face of pressure to hold down prices (64 percent), followed by increased competition (45 percent) and shorter lead times (45 percent). A third struggle with constantly offering new inventory (34 percent) and/or insurance costs (32 percent).