Float Pricing: Fill Your Venue All Year
Design a pricing system that provides different prices for your services at different times. Based on prime costs, consider a base price for your services. This price is determined by consulting various departments in the company and calculating all the expenses. You know how much fixed expense you have every day and how much cost will be imposed on you if your venue is not occupied for a day. When meeting some business owners, you give them some gifts. Consider the costs of these gifts in your expenses. Commission on sales is also a part of your expenses.
During the week, month, and year, there are some important occasions for people, and some days are just ordinary days during which your venue doesn't have many customers. By making changes in the prices, you can fill your venue all year. By float pricing, you give an open hand to the marketing group for maneuver. During certain days, you can offer a price which is only enough to cover your expenses, and instead, you can make more money during popular occasions by offering higher prices.
While pricing, take the nature of an event into account as well. Educational and cultural affairs improve your venue's reputation and bring many people who are your potential customers. Therefore, attract these events by offering them a better price and avoid leaving your venue unoccupied. Offer a better price to people who will work with you after a while; you show them that you appreciate the customer's return.
Your company and venue members are a group that you need to consider as your marketers. The price you consider for them must be lower than the one offered to others. In many reputable clothing stores, employees sometimes get discounts up to 70-80%, and in restaurants, employees must be allowed to eat the most expensive foods. Otherwise, they can't be good advertisers. The subsidy is a part of your marketing expenses and will be returned to you.