Liz Latham, co-founder of Club Ichi and a brilliant event marketer, recently shared an intriguing idea she plans to test to increase attendance at her free events.

Having registrants not show up has become a big problem for the meeting industry, especially for free events. Not long ago, registrants would reliably attend events they signed up for, barring unforeseen circumstances—a far cry from today’s reality. Price incentives for early registration worked, and predicting attendance rate and attrition was a science, not an art.

Those were the days!

Today, with the multiple impacts of easy online registration, FOMO rivalry, and more choices for events than ever, it’s far more likely that registrants don’t appear on the day.

For event conveners, this is at best dispiriting and at worst financially disastrous.

So anything we can do that might reduce the uncertainty and percentage of no-shows is worth considering.

Liz’s idea

Liz noticed a relatively new trend, that you may have experienced too. Some restaurants, fitness programs, hair salons, dentists, doctors, and other types of businesses have begun to charge a fee if a customer doesn’t show up for an appointment.

So Liz is considering taking credit-card information at registration time, and charging a “no-show fee” to the card if the registrant doesn’t attend.

Although this idea may be new to the meeting industry, the above links show that many appointment-based businesses routinely use this approach.

No-show fees aren’t needed for paid events, which can have cancellation policies that offer partial refunds, compensating, at least financially, for no-shows. Rather, Liz is thinking of testing no-show fees for the many free events she organizes, where attendance rates are often well below 50% of registrations.

Could no-show fees work for the meeting industry?

Pros: From a meeting organizer’s perspective, the implementation of a no-show fee may deter folks registering who only expect to attend if nothing better shows up at the time of the meeting. This minimizes waste by better aligning logistical preparations with actual attendance. Implementing no-show fees can also benefit registrants who do show up, since the promoted event size (including, optionally, a list of registrants) is more likely to be accurate.

Cons: Requiring credit card information at registration may frustrate those confident they’ll attend and adds security and logistical challenges for organizers. In addition, the organizers will need to create a refund policy for no-shows with a defined and legitimate reason (such as a death in the family, travel disruptions, etc.), and implementing this could be cumbersome.

Your thoughts?

Do you think implementing no-show fees at free events is an idea worth exploring? Have you tried or experienced no-show fees at a meeting? Please share your thoughts and experiences in the comments below!