The Value Play in a Luxury Market

THE VALUE PROP TO COMING BACK
As our venues open back up fully, premium is poised for a comeback, as many clients, for a variety of reasons, abandoned corporate entertainment in recent years. The caution that the pandemic exposed however is the importance of a truly premium experience, which can influence our clients’ decision to return. With an elevated price point, our clients will scrutinize the experience and compare it to others more than ever as they make their decision. Similar to an airline ticket purchase, Bryant suggests we ask, “Are the seat, amenities, and perks worth the significant price difference?”

SEER’s Sorcoff explains takes it one step further, stating that physical spaces must be designed to facilitate this new world of choice, explaining that, “Deeper customization, paired with managed scarcity creates a greater sense of value and reduced-price sensitivity.” What does your current inventory look like, and how are you managing it? Are you balancing value and scarcity harmoniously? And if there isn’t scarcity, are you looking at renovation options to achieve a supply and demand equilibrium?

“The value proposition for buying into the premium tier has never been more critical and will only continue to grow in importance. Clients need to receive and feel a strong ROTP (Return on Ticket Price) for the money spent.” - Chris Bryant, CEO, Bryant Group Experience

HYPER-PERSONALIZATION
Kristin Miller, industry veteran and Director of Sports & Enterprise Development at BirdieBox understands that to differentiate premium, we must also bring an exclusive experience to them through sight, sounds, and immersive gifting moments. Clients want face-to-face and they want hyper-personalized experiences with new era of value-adds, such as an on-site gifting suite that offer freedom of choice as well as an immersive experience. Branding is a way to differentiate premium and build loyalty. Many venues have a logo specific to their premium department, which can be used in email signatures, in premium spaces, and perhaps on attire or gifts that are available only to premium clients.

 

 

Photo courtesy Jason O’Rear and Gensler