NYC corporate entertainment pricing

I wrote a couple of years ago of an incident whereby a prospective client turned down my services in favor of a 2-hour corporate entertainment activity in NYC for 100 people, which cost $250 total. As described in that post, when you do the math that works out to a princely sum of $2.50 per person – which, at the time, was slightly higher than the cost of a one-way New York City subway MetroCard. There are a lot of reasons why someone might turn me down, however this example was so extreme, so unfathomable, that I was sure it could never be topped.

Well, guess what – it’s happened again.

I received an inquiry earlier this month from a major global tech firm – they were hosting what they call a “town hall” meeting of all 150 employees in their office, where they planned to share what’s happening within the firm, discuss strategic goals, talk about how successful business was, etc. However, in order to demonstrate to the group how much they valued and appreciated their hard work, they also wanted to incorporate a fun 2-hour reward/social component afterwards as well, and felt that bringing in a company specializing in trivia events for corporate groups in New York City would be a perfect fit.

We had a great conversation, and they were really excited by what TrivWorks has to offer – however, they were unsure of exactly how much they had to spend. Eager to establish a long-term relationship with this client just like I have with many other prestigious global brands, I told them that I would accommodate to their budget in order to produce the greatest experience possible, and forwarded a detailed event proposal – with my professional fees intentionally left blank for the time being.

When I followed up a few days later, however, I was told that due to budget issues, they were going in another direction. This surprised me, as they specifically wanted a customized trivia contest at this event, and there aren’t a whole lot of companies that specialize in NYC office entertainment and team building trivia. What’s more, I specifically told them I’d work within their budget – my proposal didn’t even have any dollars attached to it!

When I brought this to their attention, however, I was hit with an even bigger surprise: upon further analysis, they determined they had just $400 to spend on entertainment for this event– and that they’d found a vendor who was “just starting out” who was willing to do it at that price.

And so, once again, let’s whip out the old calculator:

$400 divided by 150 people = $2.67 per person.

Let’s summarize, shall we? One of the world’s most prestigious tech companies is doing SO WELL, and loves their employees SO MUCH, they are willing to spend UP TO $2.67 per person to show them a great time (that’s 2 hours’ worth of great time, BTW – or $1.34 per hour). What’s more, they are going all out by putting this event into the hands of an untested vendor who’s “just starting out,” has zero experience, and charges $2.67 per person for their services.

As mentioned in my earlier post, what can you do for 2 hours in NYC (or anywhere) for $2.67? Unfortunately, one of the ideas listed there is no longer valid: a one-way subway ride in the Big Apple will now cost you $2.75.

Here’s the point I wish to make: with most things, you get what you pay for. If your goal is truly to show your staff how much you love them and value their hard work, then you should do so in a way which conveys that. However, if you want to do so without spending any money, what can you realistically expect to receive in return? Surely not a quality product/experience, and DEFINITELY not the boost in morale, productivity or bottom line which you no doubt wish to see as a result.

How much do you love your staff? I sincerely hope more than a subway swipe!