The growing number of corporate-sponsored "house parties" are in step with both the "experiential marketing" movement and the "authentic marketing" strategy recommended by James Gilmore and Joseph Pine II. In their book "Authenticity" the business consultants tell companies to quit using ads to "talk" about their products and to "start creating places—permanent or temporary, physical or virtual—where people can experience" the products. (See Authentic Marketing Strategy.)
Both the experiential and authentic strategies encourage companies to diversify their branding and advertising budgets to include innovative public relations functions and special events such as the nationwide home gatherings staged by the firm House Party.
House Party stages nationwide home events in which companies can interact with consumers, introduce products and monitor the reactions in a party atmosphere. As many as 1,000 "parties" are conducted simultaneously, sometimes in connection with a television show.
The company has staged parties for such diverse clients as Campbell Soup, Hershey, Kraft, Time Warner and Ford. NBC Universal used parties to promote several television shows.
Ford contracted for 1,000 parties, hosted by Ford customers, to counteract negative perceptions of its vehicles. House Party recruited hosts through its website and received more than 4,000 applications.
Kitty Kolding, House Party’s chief executive, said "we find people who have strong brand affiliations and give them reasons to do something they do anyway, speak positively about the brand."
Hosts are not paid but are given gift packs. They serve as "evangelists" for the product or company.
People attending the parties are encouraged to discuss the products and, in Ford’s case, were given opportunities to see and/or drive Ford vehicles. They watched a Ford-sponsored TV show.
House Party says its clients pay $100,000 to $250,000 for the parties.