By Jerry Bazata, the “Money Answer Man”
In early 2013, even though consumers and businesses may be feeling relief at not falling off the “Fiscal Cliff, we are all still teetering on the edge. This is why DJ business owners need to take a very close look at their expenses, and how to keep their income sustainable.
Gazing into my fiscal crystal ball, here are my predictions and recommendations for the 2013 wedding market:
Predictions
Brides and Event Planners are going to spend extra time evaluating and validating your proposals. They will aggressively stick to their budget and focus more on value than price. They will quickly sense desperation to win the business through price chopping.
To illustrate this last point, recently three different brides told me that they removed a DJ from their consideration because he dropped his price three time during a 15-minute conversation.
Having an extravagant website and conducting excellent social marketing won’t get you bookings unless you can demonstrate your talent, and that you truly care about a potential client’s event.
Making a connection in-person, or by Skype or phone, and having positive reviews in locations such as “The Knot” or “Wedding Wire,” are the way to go.
Brides are technology-driven but developing a level of trust and comfort can only come from actual conversations. As one bride stated “I hired you Jerry because I was dealing with someone who was genuine and sincere about my wedding. You were well spoken on the phone and you emails were professional.”
I do not see any major relief in energy prices as oil and gas will remain within 10% variance of current prices at the pump. Food prices will rise between 2%-5% which will have an impact on the per-plate charge for dinners at banquet facilities.
The LGBT community is a new revenue stream for the Mobile DJs in those states that have enacted same-sex marriage laws in 2013.
Recommendations
Get back to the basics of business development. Work and grow your vendor network. Brides are placing more trust in B2B referrals than in the previous years. 80% of the weddings I have booked this year came as direct referrals from my preferred vendor relationships.
If you are offering any ancillary products or services that are not consistently generating additional income for you, or worse yet, draining revenue, drop them.
Maintain your core pricing on DJ services; however, use upsells such as uplighting and ancillary services such as photo booths as negotiating items if offering a discount is what it takes to get a booking.
Get to know what your major competitors are offering and what they are charging. Pinpoint the definitive ways in which you offer a greater value. Know your USP (Unique Selling Proposition). Find ways to garner more positive reviews of your services, and consistently provide superior customer service.
I hope these predictions and recommendations add to your business’s success in 2013!
