One of the key administrative tasks for an event planner is determining the cost of renting a venue. While the cost varies depending on factors such as size, location, and amenities, determining an appropriate budget is fairly straightforward.
Here are some useful questions to keep in mind:
- How do I determine if the cost of hiring a venue fits my budget?
- What amenities are non-negotiable?
- What sort of deals or price cuts should I request?
Read on to learn how pricing packages, amenities, and venue type can all impact your location selection.
What are some typical venue pricing models?
Be aware that different venues charge for their services in different ways. To help, we’ve created an introductory guide to the twelve most common ways that venues charge.
Rental fee
A rental fee is a fixed price, which may be payable per day, half-day, or hour. The rental fee is usually just for the space and doesn’t include extras like food and beverages. Check that any items you see in the room, such as furniture or equipment, are included in the price.
Ask if the venue will allow catering from outside suppliers; some offer catering or have a list of preferred suppliers. Note that catering will typically incur additional fees.
Uncatered venue
Look for an uncatered venue if you want to supply your own food and drinks. You’ll pay a fixed price to rent the space, but you can bring in your own equipment and catering. These venues are “blank canvases,” so they come without décor or equipment. You’ll be responsible for bringing everything in and may also pay a premium for renting the venue with no strings attached. However, it can work out as a cheaper option if you’re savvy.
Package per person
Rather than charging a separate fee for the space, some venues will bundle it up with the catering cost. If you’re having a party or dinner, you can pay a price per person to cover the event space, food, serving staff, and a set amount of alcohol (usually an allotted number of drink tokens).
Negotiate for the inclusion of extras, such as a dance floor. You might get a more competitive deal for dining events by going to a restaurant, as they have fixed costs.
Conference packaging
While conference packaging remains more popular in the UK and Europe, some US venues now offer conference packaging as well. These are often available as both half and full-day packages. You pay a set price per attendee, which includes the event space with furniture, refreshment breaks (usually three throughout the day), lunch, basic AV equipment, and extras such as notepads and pens.
However, note that on average, most US venues still prefer to charge their patrons line item by line item.
Minimum price point
Venues that charge a minimum price point or “minimum spend” don’t usually charge rental fees. Instead, they stipulate that a minimum figure must be spent on food and drink. Determine if this is a good option by looking at the cost of what’s on the menu. For example, if drinks cost twice as much as at other venues, it may not be a good deal overall. If prices are comparable, and you know you’ll reach the minimum spend threshold, why pay extra for space rental?
This deal is attractive if guests expect to purchase their own drinks, effectively giving you a free venue. The only risk is that if guests don’t spend enough to meet the threshold, you’ll be required to make up the difference.
Minimum number of guests
Some venues, such as bars and clubs, may be open to the idea of an arrangement whereby you guarantee the minimum number of attendees rather than the amount they’ll spend on drinks. As the loss/gain for the venue is less tangible, you’ll have to negotiate the penalty should you fail to provide the promised footfall.
Do venue rental costs vary by geography?
Venue pricing varies widely depending on location. For example, in densely populated coastal cities with high costs of living, such as San Francisco and New York, you should expect to pay more. If, however, you’re hunting for a venue in a more rural part of the US, you may be able to cut costs. That said, you will likely also have fewer options.
12 Types of venues
There’s a wide selection of venues to rent for events these days. Familiarize yourself with all the options so you don’t miss any hidden gems that might be available.
Hotels
Typical Rental Price Range: upward of $1,000 per day for a ballroom, $70 to $160 per hour for a conference room
Typical Pricing Strategy: Rental fee
Most hotels have at least one or two event spaces. Larger hotels will have ballrooms, while other spaces, such as restaurants, bars, and event halls might also be available for rent.
Dedicated conference centers
Typical Rental Price Range: $30 to $60 per day
Typical Pricing Strategy: Conference packaging
Dedicated event venues offer a range of spaces, from small boardrooms to large auditoriums. Some will include catering in the price, while others won’t.
Business and co-working centers
Typical Rental Price Range: $230 to $3,000, depending on capacity
Typical Pricing Strategy: Minimum price point if a more social space, rental fee if not
These usually have meeting rooms available for members to use, sometimes at no extra cost. They may also have social areas suitable for events such as networking.
Halls and community spaces
Typical Rental Price Range: $40 to $150 per hour
Typical Pricing Strategy: Rental fee
Local authorities will have several spaces available for private rental, sometimes subsidized. Religious organizations also often offer options for renting a hall at a lower cost.
Sports bars
Typical Rental Price Range: $100-150 per hour
Typical Pricing Strategy: Uncatered venue
Golf clubs, sports clubs, and community centers all look to make extra income from their premises.
Restaurants
Typical Rental Price Range: $100 to $500 per hour
Typical Pricing Strategy: Either minimum price point or package per person
If your event is large enough, rent the entire restaurant. Alternatively, many restaurants offer private dining rooms or partitioned areas to book exclusively.
Bars, pubs, and clubs
Typical Rental Price Range: $100-150 per hour
Typical Pricing Strategy: Minimum price point
Many bars allow you to rent them privately, and you can rent rooms in bars. Clubs only open to the public at night can be a low-cost solution for daytime events, but inspect the room before any money changes hands. Scuff marks and outdated furnishings that go unnoticed at night might be all too apparent.
Academic
Typical Rental Price Range: $60 to $260 per hour
Typical Pricing Strategy: Rental fee
Universities, colleges, and schools can be affordable venues. If you require accommodation, university campuses are a great option if your event is outside term time.
Stadiums and arenas
Typical Rental Price Range: $1,200+ per day
Typical Pricing Strategy: Rental fee
With the capacity to hold thousands, these venues are ideal for large events. They also have facilities for smaller gatherings. Ease of access and onsite parking are bonuses.
Fields and pavilions
Typical Rental Price Range: $75 to $100 per hour
Typical Pricing Strategy: Rental fee
Landowners and agricultural societies often make sites available for events such as festivals and fairs. Rent out a tent or find a site with an existing semi-permanent structure or barn.
Parks and public spaces
Typical Rental Price Range: $0 to $500 per day
Typical Pricing Strategy: Uncatered venue
You can rent locally- or government-owned parks and outdoor spaces, and submit an application to hold events such as street parties free of charge.
Ready to organize your event?
With so many venues available, the scope can seem daunting. However, with the aid of Eventbrite resources, you’ll be kicking off your event in no time. Once you’ve chosen your venue, discover how to set up your event with help from Eventbrite.
