Guidelines For Successful Event Bidding
Guidelines For Successful Event Bidding
Guidelines For Successful Event Bidding
January 2014
Paul Dunphy
[email protected]
Executive Summary
Event bidding is a complex process of communication between two key players, the
event owner and the event bidder, that comprises of five stages (1) bid feasibility, (2) bid
development, (3) bid submission, (4) bid presentation, (5) and site selection.
In order to win an event bid the event bidder must try and achieve a state of ‘best fit’. In
order to reach a state of best fit, the event bidder must aim to exceed the event owner’s
specified and unspecified bid criteria relative to competing bids. This specified and
unspecified bid criteria is represented as the five rings in the targeted model (figure 1).
Event bidding is not an exact science whereby success can be guaranteed by following a
set formula. The event bidder must treat each new bid as being unique. However, there
are a number of factors common to all successful event bids that the event bidder is
encouraged to employ.
These include:
• Meeting both the specified and unspecified criteria
• Continuously adding value to the bid and the event
• Providing evidence of government support
• Demonstrating the ability to deliver the event through infrastructure, community
support and previous event management experience and expertise
• Previous experience at event bidding
• Developing strong partnerships and bid leadership
• Conducting research and providing quality information
• Having figureheads to front the bid
• Making an emotional connection with the decision makers
• Providing evidence of community passion for the event
• Developing strong relationships and lobbying the decision makers.
1
Table Of Contents
1. Introduction .......................................................................................................... 5
3.4 Providing The Evidence Of Your Ability To Deliver The Event ............................................................. 22
2
3.5.4 Research ............................................................................................................................................ 25
4. Conclusion .......................................................................................................... 28
Appendix A: Hosting Requirements & Bid Criteria ......... Error! Bookmark not defined.
3
List Of Figures
4
1. Introduction
Over the past two decades in New Zealand there has been an increase in the number of
individuals and organisations bidding for events. This increase in activity has resulted in
a small number of people who have developed an in-depth knowledge of the event
bidding process and what it takes to win a bid. Until now this knowledge has is not been
readily accessible to individuals or organisations wishing to find out more about event
bidding and how to ensure success. This guidebook attempts to bring this information
together from those experienced in the event bidding process.
The data for this guidebook was collected from a number of sources: (1) world-wide
academic literature on event bidding; (2) non academic publications such as newspaper
articles, interviews, presentations, reports, information booklets, etc; (3) and interviews
with New Zealand event bidders and event owners.
This guidebook is for those individuals and organisations (Regional and National
Sporting Organisations, Event Managers, Sport Trusts, Territorial Local Authorities) new
to event bidding and are considering getting involved.
This guidebook provides insight into (1) the main stages of the event bidding process, (2)
the theory of event bidding (3) what is required to win an event bid (4) the common
success factors for winning an event bid.
Event bidding is a process of communication between the two main players; the event
owner and the event bidder*. The event owner is the entity, such as an international or
national sporting organisation, which owns the rights to an event and is seeking a host to
organise and run it successfully. The event bidder is an entity or organisation that is
seeking to secure the rights to host an event. In most bids there is more than one event
bidder resulting in a competitive bidding process.
It is important to acknowledge that the event owner has a number of different strategic
objectives for their event that they hope to fulfil such as raising awareness, improving
infrastructure, increasing participation, increasing revenue, etc through the hosting of a
5
successful event. The event owner establishes a set of criteria that they think is required
to run a successful event and therefore achieving their desired strategic objectives.
In the majority of cases, the desired outcome of event bidding is to win (in some cases
bids are submitted purely to gain experience) and winning is secured through achieving a
state of ‘best fit’ between the event owner’s criteria (both specified and unspecified) and
the event bidder’s offerings relative to other competing bids. When best fit is achieved
then in theory winning will follow. Best fit can be described as:
“The desired state of the bid process where the event owner’s conscious and
unconscious needs and wants are best met by an event bid relative to other
competing bids.”
In order to reach a state of best fit in a highly competitive bidding situation the event
bidder must aim to exceed the specified and unspecified bid criteria relative to other
event bids. This specified and unspecified bid criteria is represented as the five rings
within the targeted model (Figure 1).
* While in most cases there is more than one organisation bidding for an event, for simplicity event bidders
have been represented in the singular.
6
Antecedent Conditions:
• City Strategies/Policies/Event Bidding Strategy
• Political & Management Environment
• Event Resources: infrastructure, funding,
PRE-BID ENVIRONMENT capability
• Bidding Resources
•
Feasibility Study
• Meet with host organisation
• Review bid against event selection criteria
• Ask questions about criteria
Request for
• Review bid criteria
Proposals
• Discuss with event owners
• Decide to proceed
• Basic SWOT analysis
STAGE 1: BID FEASIBILITY
X-Factor
Supporting
Factors
Developing the Bid
• Compile Bid Team Secondary
• Information gathering Criteria
• Discussions with event owners
• Relationship building/lobbying Enhanced
• Develop SWOT analysis Primary
• Reviewing against criteria Criteria
• Identifying key decision-makers
& figureheads
• Reviewing protocols, procedures & Primary
Criteria
critical dates
• Seeking letters of support
Common Success Factors:
• Develop bid collateral (document, DVD,
Meeting the Criteria, Government Support,
Presentation etc) against owners’ criteria
Infrastructure, Community support, Event & Bid
Experience, Partnerships, Leadership, Research,
Quality Information, Figureheads, Emotional
Connection, Community Passion, Relationships
Site Selection
• Offered rights to host the event
STAGE 5: SITE SELECTION • Contract negotiations
• Signing of contract
7
2. The Five Stages of Event Bidding
There are five stages (Figure 1) to the event bidding process that include (1) Bid
Feasibility, (2) Bid Development, (3) Bid Submission, (4) Bid Presentation, (5) Site
Selection. However, at times these stages are not clear-cut as there can often be
overlap between stages during bidding activity. For example is some situations the
event owners may not require a formal presentation of the bid.
The bid feasibility stage commences when the event bidder receives requests for
proposals (RFPs) from an event owner who is seeking an organisation to run their event.
One of the first things that the event bidder should do is request for copies of the bid
criteria if this is not included in the RFP. At a quick glance this will give the event bidder
an initial understanding of what is required to host the event and whether they have the
resources to submit a comprehensive and competitive bid.
The amount of effort and resource put into the feasibility study will be dependent on the
size of the event. The higher the economic risk associated with hosting the event, the
more comprehensive the feasibility study that should be undertaken. The majority of
events bid for in New Zealand require a feasibility study which ask some basic questions
as set out in Figure 2.
8
Event Bid Feasibility Questionnaire
Strategic Alignment
Does this event fit with our strategic objectives?
What are the economic, social, cultural and environmental benefits?
Resource Requirements
What will it cost to host the event?
Do we have the required resources to host a successful event?
What will it cost to submit a competitive bid? and do we have the appropriate
resources?
Can we meet the required criteria? (In terms of funding, hosting dates, volunteers,
technical requirements, expertise etc).
Buy-in
Do we have community buy-in for the bid?
Do we have political support?
What figureheads would lead the bid?
Who are the other stakeholders who would support the bid?
What agency will lead the bid?
Who will own and finance the event if won?
SWOT Analysis
What are our strengths?
What are our weaknesses? and how can these be mitigated?
What opportunities exist?
What are the threats?
What are our points of difference?
What is our X-factor?
Competitors
Who are our main competitors?
What are our chances of winning the bid?
What are the strengths, weaknesses, opportunities, and threats confronting our
competitors?
9
If the event bidder feels satisfied that it is feasible to submit a bid they then move onto
the bid development stage.
Preparing a bid requires a wide variety of skills from people including by not limited to:
10
When bidding for international events it is recommended that you promote the
destination of New Zealand first (figure 3). Its natural beauty and growing reputation as a
world class destination are a strong foundation to build a bid upon. New Zealand’s
reputation will be one of the greatest strengths that your bid will have and it would be
unwise not to leverage off this opportunity. The next step is to promote the region and
city that will host your event. This will assist the decision makers in understanding the
social, economic, cultural and environmental context in which the event will be hosted.
Conclude with the venue and all the technical requirements requested in the RFP.
New Zealand
Venue
11
• Financial requirements (event budget, travel arrangements for officials, hotel
accommodation, per diems, insurance, etc)
• Technical requirements (event & training venues, venue layout, medical facilities,
tournament offices, meeting rooms, security plan, catering, etc)
• Marketing, sponsorship & advertising (spectators, ticketing, funding &
sponsorship, etc)
• Media and television requirements
• Supporting letters
• Pre and Post event travel and activities
• Any additional data required as per the event owner’s RFP
The audio visual is a very visual medium that should reinforce the messages in the bid
document and include attractive scenic images of the destination and venues. More
12
recent technological advancements has seen bids presented not in paper format but in a
electronic format such as ipads and other portable device. This makes for a more
dynamic bid presentation that is more compelling than a static paper bid.
The appropriate length of time for the audio visual is recommended to be two to three
minutes.
The degree of content of the bid presentation will be dictated by the amount of time
allocated to present but also reinforce the messages in the bid document. The bid
presentation is possibly your last opportunity to influence the decision makers so having
a professional and well-honed presentation is essential.
The primary criteria are the foundation upon which the bid is built and therefore the event
bidder must be clear of what the stated primary criteria are. In most instances, the event
owner will have a list of primary criteria that the event bidder must fulfil for a bid to be
considered. In some situations the primary criteria will be used by the event owner to
screen out bids that will not meet the basic hosting requirements. However, meeting all
the primary criteria does not ensure that the event will be won but is an essential step to
achieving bidding success.
The primary criteria are essential for the successful hosting of an event and will vary
between sporting codes and events. Not surprising, the primary criteria required to host
13
an international rugby tournament will be quite different from that of a national swimming
event.
14
criteria. Supporting factors enhance an event and are fundamental to the success or
failure of an event bid.
The supporting factors are what set apart one bid from another. In a competitive bidding
environment where bids are perceived to be on an even-par in relation to the primary and
secondary factors, the right to host the event is likely to be the result of a competitive
advantage in relation to one or more of the supporting factors.
While supporting factors enhance an event they don’t necessarily need to relate in
anyway to the successful operation of the event. Supporting factors tend to make a
strong connection with the event owner’s emotions. An example of this is New Zealand’s
natural beauty where it is often used an emotional draw card in many New Zealand bids.
New Zealand has become such a popular destination that people are now looking for an
excuse to come here. While New Zealand’s natural beauty may have no bearing on the
successful operation of an event it most definitely enhances an event bid.
Other examples, of supporting factors can be activities on offer outside the event such
places of interest, places to visit, shopping facilities, and entertainment opportunities.
The quality of these activities can have a strong bearing on the event owner’s decision-
making process. These activities add value to the participants overall experience of the
event and as a result enhance the bid.
2.2.5 X-Factor
The final ring within the targeted model is the X-factor; the ‘bull’s-eye’ of event bidding,
and it is the X-factor that all bids should be aiming to achieve. The X-factor can be
defined as the one overwhelming factor that all bids should aspire to, that exceeds the
event owner’s expectations in terms of fit and wins the bid.
The X-factor can be found within either the primary, secondary criteria or as either a
supporting factor or common success factor. For example, government support could be
a requirement of the primary criteria but how this government support is presented and
perceived can have a great bearing on the bid outcome. In the case of New Zealand’s
bid to host the 2011 Rugby World Cup, the Prime Minister Helen Clark made the effort,
under great time constraints, to represent New Zealand’s bid. Her presence was very
influential in the favourable outcome. The way this high level political support was
15
presented (in person) could be an example of an X-factor. Had the Prime Ministers of
the other bidding nations been present then Helen Clark’s presence would have been
less impactful and unlikely have been an X-factor.
The X-factor is about exceeding the event owner’s expectations in one area that
overwhelmingly puts the bid out in front. Event owners are looking for a point of
difference that sets a bid apart from the rest. One way the X-factor could exceed the
event owner’s expectations is by connecting with the event owner’s emotions.
Therefore, whether the X-factor comes from primary or secondary criteria or is a
supporting factor it must make a strong emotional connection with the event owner. The
purpose of the X-factor is to influence the objective selection process through the use of
emotions. An example of this can be found at the highest levels of international sport.
The 2008 Beijing Olympic Games were selected not just on their ability to meet criteria
but also on emotional factors such as the will of the International Olympic Committee to
host the Games in the biggest country of the world, one fifth of mankind.
While event bidders should aspire to achieving the X-factor that clearly gives their bid the
competitive advantage or point of difference over rivals, not all winning bids may have an
X-factor. While many bids may meet event owner’s expectations, few exceed them.
Event bidders that seek the X-factor, are pushing the boundaries of event bidding and
upping the ante in terms of bid competitiveness. In order to stay competitive event
bidders must continuously be looking for ways in which to add value and achieve the X-
factor.
16
2.4 Stage 4: Bid Presentation
In most cases after the collateral has been sent, the bidders make a live presentation to
the event owners. Presenting the bid is a crucial stage in the event bidding process. It is
the event bidder’s last opportunity to influence the outcome of the bid. Therefore the
event bidders utilise the relationships that they have developed and nurtured leading up
to and during the bid. They will continue to lobby those who have the ability to influence
and make the final decision. This can be done through informal conversations or through
hosting decision-makers. Information gathering is still occurring through this stage in
order to secure a competitive advantage over rival bidders.
Stage 4 culminates with the event bidder presenting their bid face-to-face to the event
owner. With professional presentation skills, the event bidder addresses all the essential
criteria that the event owners have requested. To add strength to the bid the event
bidder must present a number of supporting factors that add value to the event.
17
3. Common Success Factors For Winning Event Bids
Event bidding is not an exact science as a combination of many factors contribute to the
final outcome. However research has identified a number of common success factors
that show up regularly in winning bids.
Adding value should be a conscious process undertaken throughout all stages of the
event bidding process in order to maintain a competitive advantage over rival bidders. It
18
is through adding value that one is more likely to achieve the desired outcome of event
bidding – best fit.
There are several reasons visible government support is critical to the success of a bid in
New Zealand. Many events are hosted on public land requiring appropriate approval and
consents. Gaining support from the local authority to fast track the consent process is
highly desirable. Councils in New Zealand are rapidly increasing their appreciation of the
role that events play, not only to their city’s economic and social well-being, but also how
they are perceived both locally and internationally. As a result, governments are putting
more financial and human resources into securing and hosting events and the level and
accessibility to these resources is an influencing factor in the bidding process.
19
Figure 5 Government Letter of Support
20
3.3.1 Government Support: Political Leadership
The support of a political leader is an important component of the bid as political leaders
are seen to represent the principles of government and the guarantee to deliver. If a bid
is important enough it is advantageous for the political leader to become more involved in
the bid rather than just providing passive support.
The political leader’s personality traits can have a big outcome on the result of a bid. In
the case of the bid for the 2005 ITU Triathlon World Cup the Mayor of New Plymouth
was passionate and fully supportive of the bid. He gathered a wide variety of staff and
community stakeholders into one room where the event owners could have their
questions answered immediately. The ability to have a political leader who can lead a
bid team and have the influence to implement change is invaluable.
Often the best way that a city can add value to a bid and to the quality of the event is by
having event-friendly policies where consents and approvals can be easily obtained. To
the event owner and the event organiser, a fast track, no-fuss consenting process can be
measured in terms of dollars and time. A city that has customer-friendly consenting
processes can quickly gain a competitive advantage over those cities that don’t and this
ability to make customer-friendly decisions can often be an important factor in the event
owner’s decision-making process. As an example, Wellington City has a reputation as a
vibrant city and prides itself on its event-friendly policies and not surprising is very
successful at attracting events.
21
3.3.3 Government Support: Funding & Resources
In addition to political leadership and event-friendly policies, governments often offer
financial support. This can be provided in a number of formats: (1) as a direct cash
contribution; (2) as a tax exemption; (3) through underwriting the financial risk of hosting
an event; (4) providing physical components such as costly infrastructure or as resources
such as human expertise (that would otherwise have had to come from the event
organiser’s budget). Funding and resource support is as an important aspect of
government support.
Governments, especially at the local government level, can play an important role in
providing in-kind support to an event. Councils in New Zealand often have the human
resources that can provide event management assistance, marketing expertise and
support. In addition, councils have a number of well-established communication
channels (street banners, community notice boards, event calendars, websites) that link
into their local communities. Event owners place a high value on such publicity
opportunities.
It is important in your bid to provide evidence of your ability to deliver as this helps to
instil the event owner with confidence that the outcomes of their event will be achieved.
Ability to Deliver the Event consists of three common success factors. The first factor
includes essential event related infrastructure such as venues, transportation networks,
accommodation, funding. The second factor includes the support of the host community,
while the third factor is having event management experience.
22
3.4.1 Event Related Infrastructure
Infrastructure generally is comprised of the tangible bricks and mortar essential to the
hosting of the event. Examples of infrastructure can include - accommodation, sporting
& medical facilities, transport (access to rental cars, taxis, public transportation), and
transportation networks – road, rail, airports, ports etc.
Meeting the minimal infrastructure requirements is a part of the screening process that
event owners demand to ensure standards of quality are reached. Infrastructure is
therefore often included in the primary criteria set by the event owner. If event bidders
cannot meet the infrastructure requirements set by the event owners it is very unlikely
that they will be able to progress much further in the event bidding process.
23
3.5.1 Previous Bidding Experience
Previous bidding experience is an important factor in bidding success. The more
opportunity a bid team has at bidding for events the greater the chance of success.
Experience provides greater insights into the bidding process and what is required to
win.
3.5.2 Partnerships
Strong partnerships are an important factor in bid success. Partnerships can assist with
compiling the bid, providing additional resources, providing bid advice and expertise,
presenting the bid and assistance with hosting the event. Some event bidders will have
multiple partnerships while working on a bid. It is not uncommon to have airlines, local
and central government agencies, regional and national tourism organisations, national
sporting associations, etc supporting the bid.
In the case of New Zealand Cricket’s successful bid for the 2015 Cricket World Cup,
partnerships played an important role in the bid process. New Zealand Cricket
established a partnership with the New Zealand Rugby Union where the rugby union
provided advice from their recent experience bidding for the 2011 Rugby World Cup.
Though not a formal member of the bid team, establishing a partnership with an external
organisation like the New Zealand Rugby Union would likely have saved New Zealand
Cricket time and costs because they would have been less likely to make mistakes
through inexperience. The value to the New Zealand Rugby Union is that they gained
further experience in the event bidding process but also gained insight into the operating
and management systems of New Zealand Cricket.
24
leadership is required in developing partnerships and managing the associated
relationships and to pull the group together and make it work.
Leadership is not only valued in setting the direction of the bid team but it also plays an
important role in adding to the bidding team’s credibility. In the case of the 2011 Rugby
World Cup bid, Jock Hobbs (Chairman of the New Zealand Rugby Union) was well
regarded in international rugby circles and had the ability to influence key decision
makers.
3.5.4 Research
Another common success factor is the need to undertake basic research when bidding
for an event. Conducting research is essential as it helps to really understand the nature
of the bid process and where the power base is and what will win the bid. Research also
assists with understanding the technical requirements of the bid, i.e. contractual
obligations, infrastructure, TV, media, sponsorship. You need to know a variety of factors
before you can commence the bid; who your main competitors are and what their
strengths and weaknesses are, who the key decision-makers will be, the critical bid
dates, understanding the protocols of the sport etc.
Research can be as basic as asking a number of simple questions of the event owners in
order to understand the essential criteria of the bid or in a more subtle way, speaking to
those knowledgeable in the sport or activity who understand protocol and power bases.
25
Research does not have to be formal but rather it is more likely to be an informal process
that continues throughout the bid process.
3.5.6 Figureheads
Figureheads, such as political leaders or celebrities, are becoming frequently used as
messengers to communicate and support bids. Figureheads therefore often have a
strong linkage with political support by adding credibility to an organisation’s bid and
have the ability to influence the event owner’s decision.
26
3.5.7 Emotional Connection
When bidding for events one must not assume that decision-makers are experts, or that
they only use rational criteria for selection. International research provides examples of
how emotional factors have come to influence what should be a rational decision making
process. In some bid situations the attractiveness of the event location, to the decision-
makers and their wives, have clearly determined the final bid outcome! While event
bidding is meant to be a structured and rational process emotions play a large part in the
final outcome.
Lobbying, in some situations, is not allowed or frowned upon and event bidders must
therefore understand the varying protocols of each individual bid, where they need to
look at what is acceptable and what isn’t acceptable in terms of bid protocols.
27
4. Conclusion
In order to reach a state of best fit in a highly competitive bidding situation, the event
bidder must aim to exceed the specified and unspecified bid criteria relative to
competitive event bids. This specified and unspecified bid criteria is represented as the
five rings within the targeted model (Figure 1).
In the event bidding process there exist a number of common success factors that help
to win an event bid. These include:
• Meeting both the specified and unspecified criteria
• Continuously adding value to the bid and the event
• Providing evidence of government support
• Demonstrating the ability to deliver the event through infrastructure, community
support and previous event management experience and expertise
• Previous experience at event bidding
• Developing strong partnerships and bid leadership
• Conducting research and providing quality information
• Having figureheads to front the bid
• Making an emotional connection with the decision makers
• Providing evidence of community passion for the event
• Developing strong relationships and lobbying the decision makers.
In conclusion event bidding is not an exact science whereby success can be guaranteed
by following a set formula. It is a complex and confusing process where each new bid
should be treated as being unique. While there are many variables that influence the bid
outcome, the bidding process can be presented as five stages within which there are a
number of factors common to all successful event bids. This guidebook has
endeavoured to simplify the bidding process and provide insights on how to ensure
success.
28
29