In subchapter 2.4 the initial event management ecosystem used as a starting point for data collection is presented. Here a revised event management ecosystem is
described and analysed based on the findings from the interviews. First, the focus is on the value flows between different actors in the ecosystem. Then the value
contributions of different roles to the entire ecosystem are discussed.
4.2.1 Value Flows between Roles in the Ecosystem
Using the data collected in the interviews about event management actors and the business models constructed for each of the roles a revised event management
ecosystem is built mapping the value flows between different roles. Figure 9 contains all the roles that the interviewed organisations represented and what were mentioned in the interviews as key partners or customer segment. The arrows depict the
direction of the value creation in that specific relationship between actors in those roles.
Figure 9. The event management ecosystem with value flows
The system receives revenue from four sources that can be categorised in two groups. Sponsor and funding providers form the first group that provides capital for
different actors in different roles to enable them to realise their goals. For example, event providers might need funding and sponsors to realise the event. Besides event providers, some event calendar providers also received funding according to the findings. Advertisers and consumers generate revenue when the product and service provided is already near completion and therefore they form the second group. The first group is often considered as partners and the second group as customers. These four actors are mostly on the receiving end of the value flow. However, in some cases they also produce value for other roles. For example, consumers create value to event calendar providers by increasing their value to advertisers. Funding providers, especially public organisations, use indirect funding methods such as providing venues or advisory services to event providers for free.
The driving role in the ecosystem is the event provider role, which has the main responsibility in the process of organising events. However, event providers are not able to create experiences for consumers independently. The event infrastructure provider and event related service provider roles create value by offering specialised services to event providers. Then a ticket seller partner is important for event
providers, if the event is not free. In addition to multichannel ticket distribution network, ticket sellers are also used as a marketing channel by event providers. To reach other marketing channels event providers can push their event to different event feed, event calendar, and media content providers.
Event feed provider, event calendar provider, and ticket seller roles are all event aggregators. However, ticket sellers are mostly interested in events, to where they are selling tickets. Event feed and event calendar providers are interested in collecting complete data about events in the relevant scope. They can also use the data collected by each other and ticket sellers or even from competitors. ICT providers deliver and maintain the technology that these event aggregators require. Technical supporters offer support services to ICT providers and ticket sellers. Media content providers offer their content bundled with event data that can be provided by event feed or event calendar providers. Media content providers also add value to event feed providers by providing additional channels using the same event database. Then media sales organisers sell the advertisement spaces provided by media content and event calendar providers to advertisers.
4.2.2 Roles’ Value Contribution to the Ecosystem
To further analyse the event management ecosystem, each role’s value contribution to the entire ecosystem is mapped. Figure 10 depicts the most important value propositions of each role related to the entire system.
Figure 10. The event management ecosystem with value propositions
First two gatekeepers to revenue sources can be identified. Ticket sellers offer event providers complete ticketing solutions with multiple channels to serve consumers. This means that the most important source of revenue for event providers is mostly passing through ticket sellers. The ticket seller business being very centralised and dominated by few large companies gives them significant power in the ecosystem. Media sales organisers are the gatekeepers to advertisement revenue. However, actors in media sales are dispersed with most of the service produced in-house by media companies. Specialised media sales organisers serve mainly smaller single product companies. Additionally, media sales organiser rarely focus specifically in event related media except some ticket sellers provide event specialised media sales services. This further increases the significance of ticket sellers in the ecosystem.
Large amount of specialised service and infrastructure providers decrease the barrier for event providers to organise events and consumers to attend events. Actors in these roles allow event providers to focus on their key activities in creating a unique experience for their audience. However, a large amount of partners and suppliers make relationship management one of the key activities for event providers. This is a challenge especially for large events such as the interviewed festival provider.
Event providers can be categorised into three tiers in relation to the mode of relationship management. First tier events are large events with good brands with whom many actors want to be associated. They have a lot of sponsorship offers, media companies want to collaborate, and partnership offers from different event related service providers and event infrastructure providers. They face actors pulling them to collaborate and relationship management with partner selection becomes a key activity. The second tier consists of mid-size and growing events that have to deal with both push and pull partnership management. These event providers have to push their event through the biggest media while the smaller local actors pull them to partnerships. The third tier event providers are small event providers that have push relationship management and marketing as key activities.
Event calendar providers’ value contribution to the ecosystem is in helping
consumers to find the most interesting events, because there is such a large supply of events. Offering a service that enables event discovery makes partnering with media content providers very attractive, because event related editorial content improves event discovery significantly. Media content providers have an important role in the ecosystem, because they provide independent event coverage and reviews on which consumers often rely. This, of course, give media companies power to control over which events get publicity and which do not.
The large amount of events and different event calendars set challenges for organising work and technology. Event feed providers’ value proposition is to provide one database and multiple channels of output. This enables event providers to market their events in multiple event calendars by inputting their event data only once. Therefore event feed providers increase the overall efficiency of the network.
ICT providers have a similar effect on the network by providing solutions that
increase automation of processes and improve performance resulting in cost savings. Technical support is an important service for ICT providers and ticket sellers,
because technical supporters have to interact with their customers’ customers. One of the ticket sellers emphasises the importance of the challenges with outsourced
technical support being in direct contact with their customers. The quality of the service does not always meet the standards and therefore the ticket seller has to monitor the quality continuously.
The public sector is the most diverse actor in the ecosystem. The three interviewed municipalities combined were actors in five different roles: funding provider, event calendar provider, ticket seller, event related service provider and event provider (Figure 10, p. 52). The most important roles for the public sector are funding and event provider. By acting in these roles they enable many events. Sponsors also enable events, but their goal is to associate their brand to the events they sponsor.