1. Business Events Sector UK & Europe

2. Contents 1.2020 Potential: Business Events 2.European Strategy  European Business Events  Target audiences  Achieving the 2020 Potential  Opportunities  Challenges  Key Activities 3.European Market Snapshot 4.Australia’s Business Sector Statistics

3. 2020 Potential: Business Events

4. The 2020 Potential  Business events is one of the highest yielding sectors in Australia’s visitor economy and business Events spend in Australia (year ended June 2011) was AU$9.2 million, which equates to 10.9% of overall tourism spend. By 2020, this sector has the potential to contribute up to AU$16 billion annually.  International business events visitors make up 14 per cent of all international arrivals and in 2010 they spent an average AU$212 per night, compared with $136 per night for overall visitors.  Nearly three quarters of international business events visitors would not have come to Australia were it not for the event they were attending and they often extend their visit to regional parts of Australia and are likely to return to Australia for a holiday at a later date.  As a high yield sector with strong potential for growth, business events will make a significant contribution to the achievement of the Tourism Industry Potential – achieving between AU$115 billion and AU$140 billion in overnight expenditure by 2020.

5. The 2020 Potential

6. European Strategy

7. European Business Events  Tourism Australia has a full time, dedicated Business Events Manager based in the London office.  In Europe, Tourism Australia is active in the UK but also services the rest of Continental Europe through our participation in European events and workshops.  Tourism Australia’s primary goal is to attract high-yielding business- related visitors to Australia and grow arrivals, spend and dispersed nights for this segment.

8. Target Audiences Key Customers for European Business Events Our focus in 2012/13 will be on targeting:  Conference and Incentive Agencies  Corporate Event Planners  The Association Market (Association Congress)

9. International Corporate Meetings and Incentive Agencies & Corporate Event Planners  We will focus on agencies with clients who have already been to Asia as Australia is the natural next step.  In the corporate sector we will target pharmaceutical (representing 17%* of top UK agencies’ business in 2010), Information Technology and Telecoms (19%*). Both sectors lie within Australia’s areas of expertise and provide a business reason for clients to choose Australia over other destinations. * C&IT Magazine Brand Book 2011 Target Audiences

10. The 2020 Potential How Business Events in Europe will contribute to the goal  UK is a critical market for Australia to achieve the 2020 potential  To reach the 2020 potential, the UK is implementing a volume, spend and dispersal strategy and needs to more than double in value from AU$3.1bn to AU$6.6bn.  Strong growth in European business arrivals in 2010/11 and increasing business confidence in Europe provided an opportunity to grow market share and continues to do so despite the challenging European economies, though BE planners are reporting growing caution due to recent uncertainty around the Euro.  A key emphasis of all European business events initiatives is to position Australia as a competitive long-haul destination.

11. Opportunities Key European opportunities that TA will leverage  Australia is seen as a stable and prestigious destination for Business events.  Incentive trips and events to long haul destinations are back with 40% of planners in UK reporting and increase in long-haul bookings for 2012*.  Leverage of the launch of new TNLA Business Events campaign and the new TA Business Events website.  Leverage the business events sector’s capacity to deliver high yielding visitors who also have the propensity to extend &/or return as leisure visitors. * Conference and Incentive Travel Magazine, Statement of intent, Nov/Dec 2011

12. Challenges Key Challenges for European Business Events  Barriers remain:  time  distance  cost  Strong AUD against weaker Euro and GBP is contributing to making Australia more expensive than any of its competitors (AUD has gained 38% against the GBP and 41% against the Euro since May 2009).

13.  Stakeholder engagement and building relationships to leverage destination influence.  Investing in face-face meetings and workshops to educate planners and demonstrate the return on investment that an Australian incentive and event program delivers.  Providing a platform at IMEX, Europe and EIBTM for Australian sellers.  Activities with regional stakeholders incl. joint sales calls and client events.  Co-ordination of the Australia presence at the Association Congress.  Keeping Australia top of mind through continuous communication with out target audiences (newsletters, DMs etc.) Key Activities Our efforts in 2012/13 will focus on

14. Business Events Market Snapshot UK & Europe

15. UK Overview  Australia’s fourth most important international business market in terms of total spend. o UK business visitors’ annual total spend was AUD$388 million, contributing 8% of the total spend for all inbound business visitors to Australia (Total Business spend= AUD$4.6 billion).  Australia’s fourth most important international business market in terms of visitor nights. o UK business visitors spend 1.3 million nights in Australia, contributing 10% of the total inbound business visitor nights in Australia (Total Business visitor nights = 12.6 million).  Australia’s sixth most important international business market in terms of visitor numbers. o There were 67,038 UK business visitors to Australia in the year ended December 2011.  Of all UK business visitors to Australia, 66% are repeat visitors. This is slightly lower than the 69% average for all inbound business visitors to Australia.  UK business visitors stay in Australia for an average of 19 nights. This is one week more than the average for all inbound business visitors to Australia (12 nights).  31% of UK business visitor nights are spent outside Sydney/ Brisbane/ Melbourne/ Perth. This is slightly higher than the 26% average for all inbound business visitors to Australia. N.B: All above figures relate to the period year ended December 2011. Source: International Visitor Survey (IVS), Year Ending December 2011

16. Germany Overview  Australia’s ninth most important international business market in terms of total spend. o German business visitors’ annual total spend was AUD$118 million, contributing 3% of the total spend for all inbound business visitors to Australia (Total Business spend= AUD$4.6 billion).  Australia’s ninth most important international business market in terms of visitor nights. o German business visitors spend just under 330,000 nights in Australia, contributing 3% of the total inbound business visitor nights in Australia (Total Business visitor nights = 12.6 million).  Australia’s twelfth most important international business market in terms of visitor numbers. o There were 22,328 German business visitors to Australia in the year ended December 2011.  Of all German business visitors to Australia, 69% are repeat visitors. This matches the average rate (also 69%) for all inbound business visitors to Australia.  German business visitors stay in Australia for an average of 15 nights. This is slightly more than the average for all inbound business visitors to Australia (12 nights).  29% of German business visitor nights are spent outside Sydney/ Brisbane/ Melbourne/ Perth. This is slightly higher than the 26% average for all inbound business visitors to Australia. N.B: All above figures relate to the period year ended December 2011. Source: International Visitor Survey (IVS), Year Ending December 2011

17. France Overview  Australia’s twelfth most important international business market in terms of total spend. o French business visitors’ annual total spend was AUD$98 million, contributing 2% of the total spend for all inbound business visitors to Australia (Total Business spend= AUD$4.6 billion).  Australia’s thirteenth most important international business market in terms of visitor nights. o French business visitors spend over 235,000 nights in Australia, contributing 2% of the total inbound business visitor nights in Australia (Total Business visitor nights = 12.6 million).  Australia’s sixteenth most important international business market in terms of visitor numbers. o There were 12,675 French business visitors to Australia in the year ended December 2011.  Of all French business visitors to Australia, 56% are repeat visitors. This is lower than the average rate (69%) for all inbound business visitors to Australia.  French business visitors stay in Australia for an average of 19 nights. This is one week more than the average for all inbound business visitors to Australia (12 nights).  43% of French business visitor nights are spent outside Sydney/ Brisbane/ Melbourne/ Perth. This is higher than the 26% average for all inbound business visitors to Australia. Source: International Visitor Survey (IVS), Year Ending December 2011. All above figures relate to the period year ended December 2011. N.B: Above data for France should be used with caution as sample errors are larger than the weighted IVS markets

18. Italy Overview  Australia’s eighteenth most important international business market in terms of total spend. o Italian business visitors’ annual total spend was AUD$40 million, contributing 1% of the total spend for all inbound business visitors to Australia (Total Business spend= AUD$4.6 billion).  Australia’s eighteenth most important international business market in terms of visitor nights. o Italian business visitors spend 130,000 nights in Australia, contributing 1% of the total inbound business visitor nights in Australia (Total Business visitor nights = 12.6 million).  Australia’s nineteenth most important international business market in terms of visitor numbers. o There were 8,038 Italian business visitors to Australia in the year ended December 2011.  Of all Italian business visitors to Australia, 62% are repeat visitors. This is lower than the average rate (69%) for all inbound business visitors to Australia.  Italian business visitors stay in Australia for an average of 16 nights. This is higher than the average for all inbound business visitors to Australia (12 nights).  32% of Italian business visitor nights are spent outside Sydney/ Brisbane/ Melbourne/ Perth. This is higher than the 26% average for all inbound business visitors to Australia. Source: International Visitor Survey (IVS), Year Ending December 2011. All above figures relate to the period year ended December 2011. N.B: Above data for Italy should be used with caution as sample errors are larger than the weighted IVS markets

19. European Business Sector Statistics

20. Business Visitors to Australia Source: International Visitor Survey (IVS), Year Ending June 2009/ 2010 / 2011 N.B: Data for France & Italy should be used with caution as sample errors are larger than the weighted IVS markets

21. Business Visitors to Australia: First Vs Repeat Visit Source: International Visitor Survey (IVS), Year Ending June 2009/ 2010 / 2011 *N.B: Data for France & Italy should be used with caution as sample errors are larger than the weighted IVS markets

22. Business Visitors to Australia: Dispersal Source: International Visitor Survey (IVS), Year Ending June 2009/ 2010 / 2011 *N.B: Data for France & Italy should be used with caution as sample errors are larger than the weighted IVS markets

23. Convention & Conference Visitors to Australia Source: International Visitor Survey (IVS), Year Ending June 2009/ 2010 / 2011 N.B: Data for France & Italy should be used with caution as sample errors are larger than the weighted IVS markets

24. Convention & Conference Visitors to Australia: First Vs Repeat Visit Source: International Visitor Survey (IVS), Year Ending June 2009/ 2010 / 2011 *N.B: Data for France & Italy should be used with caution as sample errors are larger than the weighted IVS markets

25. Convention & Conference Visitors to Australia: Dispersal Source: International Visitor Survey (IVS), Year Ending June 2009/ 2010 / 2011 *N.B: Data for France & Italy should be used with caution as sample errors are larger than the weighted IVS markets

26. Business Arrivals Forecasts 2011 - 2015 Source: Tourism Forecasting Committee, 2012 Issue 1 * 2010 data are actual Business arrivals to Australia

27. Thank You