Wendy Porter, a Minneapolis, MN-based meeting planner for insurance companies and other corporate clients, recalls walking through a convention center during a site visit. Working as the chief strategist for Wendy Porter Events, LLC, she was playing catch-up after being brought into the planning process mid-stream — and it showed when facility officials hosting the tour asked if the event required Wi-Fi.

Porter, like many of us, considers the Internet to be a commodity at this point. Attendees expect access inside a meeting venue, just as they would have in their office. The trouble was the meeting’s contract didn’t include details about Wi-Fi. When factoring in the different rooms and sessions in which a strong connection was necessary, the bill came out to $30,000, which had not already been allocated into the budget.

Such anecdotes are all too common within the events industry. The price of doing business has dramatically risen. Dreams that costs would return to pre-pandemic levels after COVID subsided were just that.

Even before tariffs became a factor in struggling to maintain enough supplies for demand, event planners were already being forced to face difficult budget decisions. As the first year of the second Trump administration comes to a close, financial and insurance companies are among the groups grappling with how to proceed with their business events in 2026 and beyond.

In general, budgets are not shrinking but they are remaining flat, says Elyse Dawson, senior events manager of HB Wealth, a financial management firm in Atlanta, GA.

“It’s really upon event planners to be savvy and to find the ways to not necessarily cut corners, but to take a better look at what we’ve been doing overall,” says Dawson. “We have to be intentional.”

The team at Wendy Porter Events likes to assess everything they will need for an event and ask questions of venues ahead of time to avoid unexpected fees.

Lay of the Land

Across the board, F&B prices have skyrocketed due to supply chain issues caused by a variety of factors, including trade disputes, labor shortages and the spread of diseases like the avian flu.

To be fair, if restaurants and other venues don’t compensate for their increased spending, they risk going out of business.

That said, paying a 50% markup on beef and 25% increase on chicken (to say nothing about the price of eggs), is tough for planners like Bonni Scepkowski, president and chief strategy officer of Stellar Meetings & Events, to swallow.

Higher prices of must-haves for events, like lodging, F&B and AV, are inviting renewed scrutiny throughout the hospitality world. The problem is not isolated to the United States. Attendees seeking housing for COP30, a U.N. climate conference in Belém, Brazil, found prices ranging from $250 per night (limited supply) to thousands of dollars, according to “The Washington Post.”

Scepkowski, who says Wi-Fi should be treated as “air” at this point — meaning it should be free — gets riled up at perceived gouging over basic event necessities like the Internet, resort fees and rental charges.

“The ‘soft dollar things’ are the biggest problem right now,” she says. “That’s the stuff that is just a pure profit center.”

All in on Experiences

Planners for financial and insurance companies, such as Renee Radabaugh, president and CEO of Paragon Events, are striving to maintain the excellent experience their attendees expect while staying within budget parameters.

“Our clients are not looking for events anymore. They’re looking for experiences. It’s not about spending less, it’s about spending smarter,” says Radabaugh, whose event firm is based in Delray Beach, FL.

There are several key elements to evaluate when booking events within challenging parameters, including:

• Number of attendees
• Location
• Travel and transportation costs
• How one event fits in with the entire year’s calendar of gatherings

Dawson says planners need to make a road map for events before the fiscal year starts. Planning ahead allows for greater flexibility and creativity.

For instance, a company can maximize gatherings’ effectiveness by flying the entire team in at one point during the year rather than spread meetings out, which adds to annual travel and lodging costs, Dawson notes.

Planners also need to prioritize some events and experiences over others. Next year offers some once-in-a-generation opportunities in the Atlanta area, including hosting 2026 FIFA World Cup matches.

Dawson, who specializes in client events and employee engagement, is seeking to capitalize on the moment with activations and VIP moments. But in order to do so, she may add virtual components to another conference to cut down on travel or make sacrifices on carpeting, pipe-and-drape and elaborate signage that might have been acceptable expenses in different circumstances.

Some events may co-locate or piggyback off another meeting using the same venue for supplies to help absorb costs, predicts Dawson.

Radabaugh says high-end, signature events like incentives and president’s club meetings will be given the preference over sales kickoff or training meetings that some would-be attendees would just as soon skip and stay home. Meanwhile, fewer top performers may be invited to incentives so companies can increase spending on the experiences that build company loyalty and encourage continued excellence, says Radabaugh.

“I have been seeing incentives growing and more budget given to them,” reports Radabaugh. “Incentives are absolutely here to stay.”

Ways to Save

There are some logistical ways to cut down on costs without cancelling a meeting or sacrificing quality.

Smart selection can save the bottom line. Many groups are planning smaller, regional events or hosting company-wide gatherings near their headquarters, cutting down on the number of attendees who need to fly in and require a hotel room.

Second- and third-tier destinations typically offer more affordable rates than large cities and the chance to be the proverbial big fish in a small pond. As an example, members of the Federal Reserve take over Jackson Hole, WY each summer for the organization’s Economic Policy Symposium.

On the flip side, destinations with hub airports provide convenience and security for travel. Attendees have myriad options, and consequently, lower airline rates when flying into destinations like Phoenix, Denver, Dallas and Atlanta, top destinations that also feature notable suburbs (Scottsdale, Boulder, Frisco, Dunwoody/Sandy Springs, etc.) that are popular for corporate events.

At some point, though, only certain destinations will make sense. Dawson says very large events will tend to always gravitate to Las Vegas or Orlando because of those cities’ established ecosystem to host massive gatherings.

Interestingly, the budget crush is hitting destination marketers, as well as planners, according to a survey by Development Counsellors International (DCI), a public affairs firm that polled PR executives. While hospitality organizations like hotels are spending more — 63% upped expenditures by 5-20% in the last 24 months — 51% reported budget constraints as their biggest concerns.

Sterling Hawkins autographed his book following his keynote speech about taking on challenges against all odds at EMPOWER 2025. Photo courtesy of Paragon Events

Robyn Domber, senior vice president of research at DCI, explains marketing budgets are only just now returning to pre-pandemic levels but there are additional costs. Using influencers to promote a new property or event has gone from a nice-to-have to an essential. Social media stars with the most reach recognize their value and negotiate with confidence, adds Domber.

To capture an audience, venues are paying for top-flight experiences and amenities. The PR effort doesn’t end with the visit, notes Domber.

“PR and marketing is not just a one-and-done situation,” she says. “So, it’s not that they can just make the investment and then never have to revisit their tactics and approach. It’s very important to kind of keep a pulse on consumers and their competitors and the media.”

“So, even with larger budgets, PR teams are definitely feeling a little squeezed,” she adds.

Planners can push back on pricing, suggests Scepkowski. She includes in her RFPs that she won’t pay for Wi-Fi, event rentals and resort fees.

Independent hotels tend to be more accommodating of the requests than large chains, she notes. “They want your business; they’ll work for it,” Scepkowski says.

To help strike a deal, Scepkowski says she will offer to pay a slightly higher room rate in exchange for dropping resort fees or other discounts.

Radabaugh adds planners should consider hotel alternatives to find the best deals. A four-star resort may fit your needs and be lighter on the bottom line than the most luxurious properties.

Contingency Planning

Arguably the biggest challenge for planners in today’s geopolitical and economic climate is preparing for the unknown, says Dawson. “You have to build contingency planning into your overall budget,” she says.

Factors can include restricted funding cuts, travel restrictions and the general decrease in international visitation to the U.S. Sensing the challenges, one of Porter’s clients has dropped its number of events from five to one large national sales meeting. She’s also seeing companies reduce the number of shows at which they will exhibit and network, and bring fewer staff to the events in which they have a presence.

The trickle down effect is decreased attendance at events. When estimated numbers drop, as is happening dramatically in some health and science meetings, companies can overspend on food and event setup, which can send a visual signal to attendees that the event is struggling.

Failing to live up to contractual obligations on room nights has severe financial consequences. Radabaugh notes that attrition rates — the cost for unfilled room nights that a hotel saved for the events — can be as high as 11 to 24%. One method to limit the penalty is to return to the negotiating table and pledge multiple future events at the same venue in exchange for leniency during this challenging period.

Wide industry turnover has added other challenges, Porter said. Previously, planners developed relationships with hotel and venue staff that built a rapport that smoothed business transactions.

“That doesn’t exist anymore,” she says. “You’ve got new people now who are just holding firm to the corporate policy.”

Return on Investment

Regardless of current circumstances, Porter encourages financial and insurance companies to stay the course on live events. She says cutting now will only increase the economic burden later.

“We have solid research now that says that events are the number one channel for both ROI and trust,” says Porter. “People are having to make really hard decisions.”

Dawson says planners like herself need to make the case to the C-Suite, which controls the purse strings. “I think positioning will be key, knowing all of the things that we want to accomplish this year,” she says. “There might be some areas that are important or that could be a priority in the future, so it would be helpful to dip into that pot now.”

Despite rising costs, planners can continue to keep events meaningful and memorable. By rethinking formats, cutting unnecessary expenses and focusing on smarter spending, planners can find new ways to deliver high-impact experiences without breaking the budget. It’s all about getting creative and doing more with less—and still making it count. I&FMM