EXCLUSIVE! Agency inSIGHTS Week | Event Agency Survey Results Revealed

Event and incentive agencies have evolved massively over the past year, with 85% adapting to offer new services to clients during the pandemic according to our exclusive survey.

We surveyed 44 event agencies, both small and large, from our inVOYAGE community around the world, about how their businesses have evolved, changing skillsets and other key trends.

The survey was followed up by in depth interviews with leaders and CEOs from 14 agencies including Vok Dams, Smyle, CWT M&E, Creative Travel Group, Top Banana and MICExperts, to create a series of in-depth features focused on the evolution of event agencies, which we will be publishing every day this week as part of our first-ever inSIGHTS week.

First up, we share the top-line insights from our agency survey here, which we’ll explore in more depth throughout the week.

With live events on pause, more than three-quarters (77%) of agencies have adapted to offer virtual event services, with 62% now offering hybrid events.

Other key services agencies have adapted to offer include video production & content creation (41%), non-travel and individual incentive rewards (35%), digital marketing services (23%) and strategic consultancy (21%). Just 15% of respondents said they had not launched any new services during the pandemic.

Changing skillsets

With the huge acceleration towards digital, many agencies have found themselves in need of new skillsets. While they have trained and upskilled existing staff as much as possible, 40% said they have had to recruit new skillsets into their businesses to meet clients’ changing needs, and 46% believe the skills required within their agency will change significantly over the next two years.

Following a tough year, which has seen many agencies forced to restructure with some making redundancies and most using the various furlough schemes available to them, the outlook from a recruitment perspective is positive.

Only 8% expect to decrease staff in 2021-2022, with 46% expecting headcount to remain the same, and 46% expecting an increase in headcount. However this could prove to be a challenge with many of the agencies we interviewed concerned about a potential lack of talent post-pandemic due to event professionals leaving the industry.

After more than a year of remote working, agencies expect to move to a more flexible working model once restrictions ease. Only a fifth of respondents will expect employees back in the office five days a week, with 80% happy for employees to work at home between two to four days a week. 

As live events gradually return, the majority (77%) of agencies anticipate lead times on event briefs getting shorter over the next 12 months, while 79% of agencies expect CSR / sustainable practices to be more important in client events over the coming 12-24 months.

Challenges & opportunities

Cashflow is major issue for event agencies right now, with almost half (47%) citing it as their biggest challenge. Other key challenges for agencies include staffing/talent (29%), new business (24%), the digital revolution (18%), business retention (13%) and increased competition from full-service agencies (8%).

There are also opportunities, with agencies saying that virtual fatigue has resulted in many clients eager to get back to live events as soon as it is safe to do so, potentially leading to a boom over the next few years. But virtual and hybrid are expected to remain, because clients have seen that these formats work, can me more efficient and have less of an environmental impact.

“Live has proven how powerful it is to win hearts and minds and deliver behavioural change, and clients are keen to get back to live engagement. From the networking opportunities to the immediate feedback you get from peers, clients, partners, influencers, and press. That is irreplaceable,” says Smyle Founder & Group Executive Director Rick Stainton. “Clients have also realised they can achieve enhanced amplification of effective messaging through a wider audience virtually, and therefore a combination of the two is the best of both worlds.”

In addition to new opportunities around hybrid solutions, agencies are predicting a greater focus on ROI, a return to incentives and bigger focus on employee engagement and motivation, and a more global approach.

The majority of agencies (87%) expect the increased flexible and remote working practices of their clients' teams will lead to a need for more events aimed at maintaining and developing corporate culture.

inVOYAGE CEO and co-founder, Richard Joslin comments: “It’s hugely positive to see the results of this survey with the industry facing down tough times with great agility, resilience and purpose. At inVOYAGE we are very privileged to be able to draw on the thought leadership of top industry minds and creative brands to help us cut through the grey and to shine a light on the where we can go as a sector to improve and best serve corporate clients.

“On a personal level I am particularly pleased to see a renewed appreciation for the power of live experiences in addition to an overwhelming majority of agency leaders predicting an increased importance being placed on CSR and sustainable practices in incentives and events as we look forward. Our sincere thanks to all who contributed to this latest round of research, which is built by our community and for our industry. I really hope that it can serve its purpose of providing some insights to the benefit of you and your business.”

Stay tuned over the next few days for more insights from global event agency leaders…

Tomorrow, we will delve more into how agencies have and are evolving and the challenges and opportunities they face, while on Wednesday, we will explore new flexible working practices and how agency workplaces will transform post-pandemic.

Later in the week, we will be looking at the impact of Covid on venue sourcing models and shine the spotlight on diversity and inclusion.