III. Industry Analysis
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The Events industry depends on the willingness of households and businesses to spend money on extravagant gatherings. In general, businesses seek event space for holiday dinners, fundraisers, and client appreciation events. Since companies with strong earnings over the course of the previous year have more money to allocate toward special events, demand for industry services from this market is primarily driven by corporate profit levels and overall business sentiment.
Likewise, households are at venues for weddings, anniversaries, birthdays, and other milestone celebrations. Consequently, per capita disposable income and consumer confidence levels are the key drivers of demand from the household market.
Over the past five years, increasing per capita disposable income and consumer confidence have boosted demand for event venues from both household markets. In particular, rising per capita disposable income and an increase in the number of households earning above $100,000 have bolstered demand from individual clients.
Furthermore, the industry has seen a post-pandemic boom now that it is safe for people to plan and attend large gatherings. This boom should continue throughout the next few years.
According to Allied Market Research, the global Events industry was valued at $1.1 trillion in 2019 and is expected to grow at a CAGR of 6.4% from now until 2032. This strong projected growth shows that this is a great time to open a banquet hall in a prime, underserved market.
