What COVID-19 has Taught the Wedding Industry
There isn’t a person in the world who hasn’t been affected by this global pandemic, and the events industry is no exception. While there are so many unfortunate circumstances and postponements that have ensued, all we can do is pick up the pieces and move forward. As a planner, I’ve definitely learned a lot (and continue to learn daily as things continue to rapidly unfold). Here’s what COVID-19 has taught the wedding industry in a matter of just a few weeks.
Event Insurance
All clients who had coverage before the Coronavirus became an imminent threat have been protected from lost retainers, cost of postponement mailings, increased venue cost for postponement date, etc. This is a huge relief! Although, not everyone has been so lucky. For those who did not obtain event insurance prior to March 10th, clients are on their own for these damages and, to say the least, it’s been a draining process not only to protect the client’s best interest but also that of the vendors, particularly in the case of lost retainers when a vendor is not available on a postponed date. According to most vendor contracts, in cases like these, the retainer is non-refundable to the client.
One of the greatest fears we are facing now is that event insurance companies have put a freeze on new policies. What this means is that postponed weddings set to reschedule on a new date are not necessarily protected, which is particularly a concern for our east coast weddings as we move into hurricane season. Unlike a pandemic, hurricanes are something we prepare for as part of our standard operations. Reagan Events requires clients with dates in hurricane season to obtain event insurance, as do most Lowcountry event planners. But currently, those who have now postponed into the Fall of 2020 and have yet to book a policy are left with lots of question marks. One answer could be Wedsure, an event insurance company that continues to offer protection in the case of a hurricane-related cancellations or damages. Now more than ever, people understand the importance of insurance regarding unforeseen circumstances such as weather and named storms.
Considering the hard lessons learned from the current pandemic, we will be keeping a close eye on the future forecast of event insurance so that we may present the best possible protection plans to our clients.
Lost Retainers
As previously mentioned, this has been an especially touchy subject. Most vendors are protected within their contract in the instance that an event is rescheduled and the new date does not align with their availability. Therefore, the retainer is forfeited by the client. In some cases, clients are not so happy with this. While in the wake of a global pandemic it feels unfair to the client, we have to keep in mind that it is also unfair to the vendor. This is uncharted territory for all parties involved. Many of us are considering updates to our contracts as this pandemic has taught us some especially difficult lessons. A phrase I have found myself saying often lately is, “I. Am. Not. A. Lawyer.”
One thing we’ve been sharing with clients who do not agree with a shared client-vendor risk when it comes to lost retainer is the amount of work many vendors put into a wedding prior to the day-of. For us, 98% of our job is done before the event even takes place. Would it be fair for us to not be compensated for a job that is 98% complete? Say you’re a florist who has invested countless hours in design, sourcing and purchasing new inventory, hiring freelancers, etc. Even if a wedding is postponed prior to placing a flower order a few weeks out from an event, I would argue that 80% of your job is already completed. Now consider having a retainer that equates to only 50% of your total while also navigating through frustrated clients arguing it is unfair. It’s a lose-lose for everyone.
To reinforce this further, imagine that you hired a painter to paint the exterior of your home. The painter works on your home for weeks and is almost finished when at the last minute, you’ve had a government-issued job transfer and no longer need your house to be painted. As a homeowner, this decision was beyond your control, the government-mandated it! But, just because you don’t need the house to be painted anymore, could you ever imagine not paying the painter for the work that’s already been done? Just because you can’t benefit from it doesn’t mean that the work put forth should not be compensated.
Once again, I am not a lawyer. I am merely trying to navigate how best to protect both my client as well as the vendor community whose relationships I have nurtured and depend on to run a successful business.
Carrie Goldberg, Weddings and Travel Director at Harper’s Bazaar, pulled together some brilliant takeaways in this article about what it’s like on the vendor side of things.
What Happens When You Postpone to 2021
If possible, we’ve advised clients to consider postponing within the same year already scheduled. This plea comes from the vendors. Pushing events into a future year may limit the vendor’s cash flow so severely that by the time of the new date, the vendor may no longer be in business. Furthermore, occupying a future date prohibits many vendors from booking new business on that date. This is a dangerous snowball effect that will lead to reduced sales and possibly contribute to the downfall of the business.
In turn, people are resorting to non-traditional weekday weddings. Any date where most of their vendor teams are available is ideal, and in some cases that doesn’t fall on your typical Saturday. As of last week, Patrick Properties Hospitality Group in Charleston only had Tuesdays in August 2020 available. Normally, this month is relatively wide open because of the hot weather!
Just because a client postpones doesn’t mean they get to plan an entirely new wedding. That’s like expecting two weddings for the price of one. Redesign fees are to be foreseen. In many cases, vendors have already purchased materials for a wedding. If a client changes their mind on any of the design, they should expect to pay for it.
Roll With the Punches
What’s next? Where do we go from here logistically? Well, let’s break things down by the most frequented questions we’ve been asked by clients.
“How do I notify guests?” Your options are between email and printed postponement mailings. We vote for a mix of the two. To accommodate guests’ urgent needs to reschedule any plans while also alleviating you from all of the questions, we advise an email notice of the postponed date that includes an invitation to stay current on evolving wedding details through the website. The website will be particularly useful in communicating any changes in hotel blocks. In most cases, reservations are automatically being cancelled by the hotels if a block is transferred to a later date, however each guest is responsible for calling to rebook their rooms. This is not something the hotel can do for the guests.
“What about seasonality?” Allow the dust to settle. Some menu items and flowers may be better suited for a spring wedding than a fall event. Be mindful not to reinvent the wheel, as this will likely result in additional fees. Stick to your original plan an only make adjustments that are affected by mother nature.
“What about production schedules?” Like many other vendors, come fall we will all be overloaded with work and operating far beyond capacity. In order to keep up, I suggest maintaining your original designs and production deadlines as though the wedding was taking place as originally planned. Yes, some text in the menu or welcome program may change, but get the design done so that when you have the final info you can just plug it in and go to print. This should not be an excuse to delay work!
“How can I adjust my payment schedule?” The client and vendors should share the load of a new date, meaning payment schedules need to be adjusted and spread out to accommodate the date change while also not killing the vendor’s (or client’s!) cash flow. Vendors were counting on the income for spring/summer. Now, nearly all cash flow will be coming in at the end of 2020. If payment schedules can be readjusted, it will help soften the blow for everyone.
“What about staffing?” Now that fall will be the busiest wedding season of all wedding seasons, Reagan Events is locking down staff before they’re overbooked. Does that mean enticing them with a deposit to go towards their final payments? Maybe so. Vendors, do what you’ve got to do to get the job done in what will be an exhausting season!
Overall, we hope that you and your loved ones are staying safe and healthy. This is a time to unite as a community, even if that means being six feet apart. Support local, and know that we’re all navigating through this together.
I would like to conclude with a motivational quote that has lifted my spirits during these uncertain times:
“Worry does not empty tomorrow of its sorrows, it empties today of its strength.”
- unknown