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CONFERENCE AND BUSINESS TOURISM: SCOPE, VALUE, TRENDS, ISSUES AND OPPORTUNITIES Tony Rogers
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TERMINOLOGY Business tourism Business visits and (live) events MICE CI/CIT www.keepbritaintalking.co.uk www.businessvisitsandeventspartnership.com
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SEGMENTS AND VALUE Conferences & meetings£7.2 billion Exhibitions & trade shows£9.3 billion Incentive travel£1.2 billion Corporate hospitality£1.1 billion Outdoor events£1 billion Individual business travel£7 billion + Discretionary v. non-discretionary
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SCALE OF INVESTMENT Harrogate International Centre’s expansion - £13m NEC £25m refurbishment programme Major £500m expansion of the Scottish Exhibition & Conference Centre, Glasgow ICC London ExCel - £165m New convention centres planned for Brighton, Cardiff, Blackpool, Leeds, Newcastle/Gateshead Cautious hotel investors?
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UK VENUES Hotels 53% Conf./Training Centres 9% Academic 6% Multi Purpose Venues 12% Purpose Built 2% Unusual Venues 18% (universe of 3,500 venues)
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MARKET SHARE Source: UKEMTS 2009
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WHO IS BUYING? Source: UKEMTS 2009
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CONFERENCE SIZE Based on three year average (2006/8) * = less than 0.5% All events 1 % 8 – 20 delegates 42 21 – 50 delegates 24 51 – 100 delegates 20 101 – 200 delegates 8 201 – 500 delegates 5 501 – 1000 delegates 1 1001 – 2000 delegates * Over 2000 delegates * Average event size51 delegates Source: UKEMTS 2009
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RESIDENTIAL v. NON-RESIDENTIAL Source: UKEMTS 2009
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BILLION POUND INDUSTRY Source: UKEMTS 2009
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ORIGIN OF BUSINESS Source: UKEMTS 2009
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The British Meetings and Events Industry Survey 2009
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Mean budgeted delegate rates inc VAT Daily24 hour Associations£43£123 Corporates£54£146
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The British Meetings and Events Industry Survey 2009 Annual budget for events Last year ChangeForecast Associations£180,466 +0.5%+0.1% Corporates£209,730 -1.9% -0.1%
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The British Meetings and Events Industry Survey 2009 Top ten UK destinations 1. London 2. Birmingham 3. Manchester 4. Edinburgh 5. Leeds
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The British Meetings and Events Industry Survey 2009 Top ten UK destinations 6. Glasgow 7. Cardiff 8. NewcastleGateshead 9. Nottingham 10. Harrogate
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The British Meetings and Events Industry Survey 2009 Key factors influencing venue selection 1. Location 2. Price 3. Access 4. Quality of service 5. Quality of conference facilities
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The British Meetings and Events Industry Survey 2009 Issues of most concern for the next twelve months 1.Reduced budgets/pressure to reduce costs 2.Venues’ cancellation policy 3.Producing interesting events relevant to audience 4.Economic climate affecting organisation 5.Terms and conditions for venues and suppliers
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Issues contributing most to a successful event Corporates Associations Content relevant to work and daily life66% 65% Inspiring and original presentations52% 48% Networking with peers/colleagues48% 51% Ease of access and travel41% 49% The (quality of) venue35% 41% The British Meetings and Events Industry Survey 2009
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TRENDS & IMPLICATIONS Proliferation of e-communications generating increased need for face-to- face meetings Shorter, more intensive events Interactive meetings Need for dedicated facilities at venues – continuous investment
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TRENDS, CHALLENGES, OPPORTUNITIES Procurement ROI Legislation Terrorism, risk, health & safety Economy: –greater spread of events across UK
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CASE STUDIES NORTH WEST CONFERENCE RESEARCH UNIT ROTARY INTERNATIONAL CONVENTION 2009 – BIRMINGHAM BOURNEMOUTH…
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