Hold a New Tournament
Reason: religious holiday
Events: races, jousting, melee fighting, throwing (javelins, etc) and team fighting
Style: double-elimination
Length: several days
Awards: first, second and third place
Top Prizes: unusual artifacts
Crowd: has an influence on the judges
Betting: official - fair odds
Other Entertainment: magic shows, professional hecklers, parades and trained animals
Competitors of interest:
The cheerful fighter who is all talk.
The disgraced noble who may not be in it to win.
The hulking barbarian who has more wit than skill.
The foreign savage who has quite a few fans.
The devoted cleric who is rumored to not always fight fair.
The showy mage who has already made a few enemies.
The menacing sorceror who is highly talented.