Robert Kraus, CEPS, CNS, MMP, has over 20 years of event planning expertise and recognition as the Association of Meeting Professionals Planner of the Year. He creates events that are as memorable as they are extraordinary. He is the founder of SmallConferences.com, a company that stands out for its client-first approach in event planning, which is an industry that is rampant with venue kickbacks and hidden agreements.
For Robert, transparency and advocacy come first. His team focuses on helping nonprofits, associations, and businesses design events that are impactful and affordable. He thrives on finding unexpected venues, negotiating unbeatable rates, and making every gathering an experience worth remembering. For Robert, a “small” conference doesn’t mean small dreams; it means more focus, more detail, and more care. In this interview, he shares his views on the event industry’s trust challenges, the art of venue sourcing, and why he believes every client deserves VIP treatment.
Robert, your decision to refuse venue kickbacks is rare in the events industry. What experiences or turning points led you to draw such a firm line, and how has that choice shaped your reputation among clients and partners?
Robert Kraus: I find kickbacks an issue because they are simply added to the cost, along with commissions. By getting the net pricing, without commissions or kickbacks, I know my clients will get the best value for their money. Many of my customers are nonprofits, so every penny I save for them means they have more funds available for their mission.
Recently, I got an email ad offering me an 85% commission to sell various services or travel packages to my clients! That tells you, the real value of that is far, far below what I would charge to get such a kickback.
To be honest, promotions such as this have the opposite effect. Instead of encouraging me to recommend them, the result is that it makes me ANGRY. I represent many nonprofits… hit hard these days with fewer grants, cuts in funding, decreases in donations & cancelled sponsorships for their events. And guess who ultimately pays these kick-backs & commissions? My clients. Why would I do that to them?
In an industry where hidden costs and incentives can quietly erode trust, how do you communicate the value of your client-first approach to organizations that may be used to the traditional way of doing business?
Robert Kraus: I am upfront that we do not accept commissions & kick-backs. This is also explained in any contracts I negotiate on behalf of clients, so they know they are receiving the best prices possible. Furthermore, we do not have secret “Preferred Partner” agreements with any of the venues we work with.
That’s the true “dirty little secret” even many non-commissioned planners don’t share with their clients. These relationships are almost never disclosed on contracts, nor up front by the organizations these planners work with.
Often, as we disclosed in a recent report, these side agreements can add 5-10% to the costs. It’s also not just venues that do this. Transportation companies, a few airlines, and tour companies all offer this type of arrangement to planners. It’s supposed to make it “more convenient” by making it easier for a planner to add on certain services, but really, the only thing it does is make everything more expensive for the ultimate customer: my client.
One “red flag” is when a planner or meeting planning group mentions how they have special “hotel partners,” as they tend to call it. They are telling you up front you’ll be paying 20-30% or more than the prices I can get you!
Additionally, these planners often limit the first round of venues they present to their clients to those from their “partners.” They will only do the additional legwork if a client is not satisfied with the initial proposals. They also have zero incentive to get you the best price. After all, the more it costs, the more they make on commissions! So, the truth is they work for the venues, not their clients!
Finally, many of these planners also use AI controlled apps. These apps severely limit the options & venues available, since they have to pay a hefty fee to be listed. One very popular app has less than 1000 venues listed nationwide. That’s less than 10% of the total Marriott & Hilton properties alone, & less than 1% of all hotels in the US! Plus, that “fee” isn’t free, it gets added onto the price the client pays.
This is why I do not use any a/i apps when doing venue searches. I work directly with the hotel management companies & owners… personal relationships that I’ve established over 20+ years… to make sure my clients always get the best venues at the best prices!
The concept of a “new trust economy” is gaining traction across industries. From your perspective, how does this shift impact how nonprofits and small teams choose event partners, and what role does transparency play in winning their confidence?
Robert Kraus: In my new offer, I have a 100% satisfaction guarantee. I do not take any upfront payments from a new client. If you’re not happy with the options I get you, if you do not feel I am saving you money, then you simply don’t pay. I know that trust is built through observable actions, consistency, transparency, & developing a personalized experience. Nothing I do is “cookie-cutter” or “one size fits all,” which can be a problem with the larger planner organizations. I always strive to provide a first-class experience.
In addition, I offer a free evaluation of a new client’s last event, so I can explain exactly how much I could have saved them if they had used us. I will provide a full report plus recommendations for their next event. Even if they do not use me, they’ll end up learning something & saving money!
Venue relationships are a key part of event planning. Without relying on kickback arrangements, what strategies or negotiation techniques do you use to still secure the most favorable terms for your clients?
Robert Kraus: First, I have established special, exclusive nonprofit discount programs with many of the ownership & management companies I work with. I also make it a point to sell my clients’ mission when I look for venues; I want these venues to become supporters of our clients. In some cases, they have ended up becoming major sponsors, offering free receptions, gift cards that they can use at a charity auction, or other benefits & concessions.
As I mentioned previously, I have established personal connections with the ownership & management companies over the last 20 years. They know how I work & what I need to make my clients happy. I try to make negotiations a win-win.
Specific strategies I employ include focusing on independent venues that have flexibility when it comes to pricing. I look for newer venues or recently re-opened venues seeking to establish relationships with organizations that might offer an opportunity for repeat business. I research market rates ahead of time so I know where to start negotiating (usually at 20% below the lowest online rate). I also fight hard for concessions… things that add real value vs. just looking at the price.
SmallConferences.com promises to save organizations time, money, and stress. How does rejecting venue commissions allow you to better deliver on that promise—especially for mission-driven nonprofits working with tight budgets?
Robert Kraus: My focus is on saving my clients’ time. Instead of drowning in details, clients get to focus on their missions, like fundraising, networking, or education. Meanwhile, I will take care of the event planning process: venue sourcing, menu planning, A/V & tech logistics, dealing with outside contractors, registration & even the event website.
In terms of money, past clients have saved 20-38% on venue costs by negotiating net rates with no middleman markups or commissions; as much as 50%+ on A/V utilizing outside vendors to get the best deal; & 10-25% or more by customizing food & beverage menus without sacrificing quality.
I reduce stress by taking on contract negotiations, getting flexible terms that reduce liability, finding creative ways to stay at or below budget, & handling the on-site execution: setup, troubleshooting, & managing last-minute changes.
No surprises. No scrambling. Just a smooth, well-run event.
Looking ahead, how do you see the ethics and business models of the event industry evolving, and what advice would you give to planners or vendors who want to build trust without sacrificing profitability?
Robert Kraus: I often get invited to high-level meetings that connect planners & the management of venues to solve some of the issues we’ve experienced in the industry lately. Such as the continuing staffing issues in the hospitality industry, now exacerbated by the immigration crackdown. In a recent newsletter, I talked about some of the steps I take, along with my clients, & steps venues can take to mitigate some of this.
I have also previously talked about the political climate change & how that has affected events, including cancellation of venues or government funding cuts or visa entry issues. I address what actions my clients can take to lessen the risks from this, including checking force majeure clauses in venue contracts, rethinking the location of your event, both the city & the place, & looking at where your funding is coming from.
Additional note: Robert Kraus was just recognized by Insider Weekly as the Most Influential Nonprofit Event Planner, highlighting his transformative impact on the nonprofit event planning industry and his dedication to delivering cost-effective solutions for mission-driven organizations.
With over 20 years of industry experience and multiple professional certifications, including Certified Event Planning Specialist (CEPS), Contract & Negotiation Specialist (CNS), and Medical Meeting Professional (MMP), Kraus has built a reputation for securing exceptional value for nonprofit clients while reducing the burden of event management on overworked teams.
Conclusion
Robert Kraus is a strategist, an advocate, and a guide for clients who want more than just a well-decorated ballroom. SmallConferences.com has created a space where clients feel confident, knowing their needs, not vendor relationships, are the priority. His eye for unique venues and ability to negotiate better-than-published rates prove that creativity and practicality can work hand in hand. For Robert, each project is a story waiting to be told. This is why he delivers meaningful experiences year after year. And this is why Robert Kraus and Small Conferences remain an unmatched choice for individuals looking for a personal and polished event.
