Brands and marketers are increasing investment in events and experiences to reach customers and get “more bang for their bucks”, according to international experience expert Kristina McCoobery.
The chief executive officer of international experience agency INVNT, said the market was experiencing significant growth globally as businesses leant-in to branded events to overcome audience fragmentation and changing consumer behaviours.
INVNT, which works with clients such as Amex, Geely, Netflix, Pepsi and Xero, is forecasting a 40 per cent compound annual growth rate across the Asia Pacific region alone, which will contribute to a global business pool “north of $US150m ($230m)”.
The trend has been evident in the increase of brand experiences around marquee events such as the Australian Open and Australian Grand Prix, however, it also extends to brands hosting their own events and moments throughout the year.
“Audiences are getting even tougher to reach and content is everywhere, it’s not as precious anymore,” said Ms McCoobery during a recent trip to Sydney.
“The need for brand loyalists is so strong now and getting people’s attention is so much harder. Finding a way to cut through the clutter is crucial and it’s up to us to make those moments as special and memorable as possible.
“Our sector is getting a lot more attention now because you have everyone capturing the moment and amplifying it (on social media), which is incredible”
However, while the growth in experiences can be linked to the increased popularity of social media and influencers, the influx of activations and experiences means that brands and agencies must continue to push the boundaries of creativity and innovation within each event.
INVNT APAC managing director Laura Roberts said, “We’ve moved beyond just posting a pic on Instagram and saying I did my job. The audience expects more meaningful engagement.”
Ms Roberts points to an experience the agency staged for its client Aussie Broadband at last year’s SXSW Sydney, which saw the brand create an environment resembling country Victoria in which they hosted a sausage sizzle.
“Tt was one of the most popular activations at SXSW as everyone came to get a sausage and then people just hung out there because they were comfortable and they enjoyed it,” Ms Roberts said.
“It was on-brand and it told a story in a surprising way.
“We were in the tech and innovation hub, but we didn’t have one piece of technology on the stand. It was visually cool and complimented by subtle messaging and it became a space where people wanted to hang out, which drove engagement.”
Despite the growth in the local market, the budgets remain smaller than bigger markets such as the US or UK.
“We don’t have the budgets that the US have, which means we have to be really clever with how we push our designs and execution.
“We also have to be smart about how we can get things done from a tech perspective and what we can build ourselves to get the job done,” Ms Roberts said.
INVNT has headquartered its innovation team in the region, split across Sydney and Singapore, for this reason.
“One of my favourite things about the APAC region and Australia in particular, is that the market here is not afraid to take risks.
“They’re much more hungry for them as a culture and as a creative community,” Ms McCoobery said.
“Our US team will lean into the creative and innovation teams from here and some of our really out-of-the-box thinking and first time creative moments have come out of this region, and then they’ll show up in the US a year later.”
However, the challenge for the sector remains demonstrating the return-on-investment from branded events and experiences, which are often focused on engagement metrics and ensuring the brand or product is top of mind for consumers.
“Our space is one of the hardest ones to show in ROI,” Ms McCoobery said. “But, with all of the data we’re now seeing, we’re getting much closer to really understanding that value. The data we can collect on the attendees showing up, who they are, what they want and how we can go forward, it’s very exciting for our space. Also, because the audience is so active now, the clients will see the engagement, in
person and on social, and that’s part of it.
“The pandemic really had an impact, all our clients now say it must be in-person, face-to-face and the incredible energy that comes from what we do in the experiential space is irreplaceable. The appetite for in-person live events and live activations, combined with the massive innovation in the sector is really paying off. We are seeing a massive uptick, even though there’s economic uncertainty.
“Clients are investing, customers are showing up for immersive experiences and the clients are getting more bang for their bucks,” she said.
