Issue link: https://digital.copcomm.com/i/10149
ets will be the slowest of the five indicators to rebound.” Offering more details, the MPI report goes on to say: “Spending per meeting is expected to decline 0.5% across the community of FutureWatch 2010 respondents, but 3.5% in the U.S., suggesting that U.S. meetings will continue to feel the effects of a difficult economy.” MPI’s association members expect a 0.6% decline onsite attendance, bigger demand for educational content and more emphasis on sustainable meetings. Corporate members are looking for an 11.7% increase in meeting attendance, greater focus on accountability and value, and fewer frills. Bigger marketing plans are on the drawing board for 2010, especially by suppliers. When it comes to choosing meeting destinations, MPI members are planning less international and trans-oceanic travel. U.S. planners expect 80% of their meetings to take place within the United States in 2010, compared to 61% in 2009. Planners indicated three priorities that guide their destination choices: the overall cost, the availability of ven- ues that meet space requirements and area hotel rates. If organizations must now do more to justify their investment in meetings, the ASAE’s Hart is certain of their continuing value. “There is no question that our organizations believe that face-to-face meetings are here to stay, that people will not get away from that,” she says. “While we are very much in-tune with the social net- working age — and all of us have become electronic junkies, if you will — there is still a value proposition in talking through a challenge, in talking through an experi- ence . . . and bringing in information from other people’s experiences that can help inform how you do business,” Hart continues. “Our organizations are very focused on doing business for the constituent base that they serve. In those personal interactions, they glean information that they can’t [get] just by sitting in front of a computer and reading data.” At DMAI, Fenton, too, is eager to get the message out that meetings still matter. “If you remember all of the issues that went on with the banking industry and some others, there was a lot of highlight on meetings that were, from the public perspective, somewhat lavish,” Fenton says.” It almost gave meetings, period, a little bit of a stigma. We’re trying to give our members the tools to talk about the value of face-to-face meetings.” The Destination & Travel Foundation, a partnership between the U.S. Travel Association and Destination Marketing Association International, produced another recent study that for the first time measured the ROI from business travel for corporations. Conducted by the research firm Oxford Economics and released in September 2009, the study found that every dollar spend on business travel yields an average of $12.50 in increased revenue and $3.80 in additional profits. Business execu- tives and business travelers surveyed estimated that 28% of their current business would be lost if not for in-person meetings. Since the start of the New Year, Hart has received 26 reports from ASAE members of some positive indicators. “The thing that gives me hope, and keeps all of us opti- mistic, is that we’re hearing from recent meetings that their overall attendance is going up again,” Hart says. “Now, what we don’t know is, is that up from flat? Is flat the new up? But they are reporting that attendance is going up. . . . We know from our partners [in the hotel industry] that the booking of business is going up. Two thousand and ten may continue to be a tough year for the hotel industry, but what we’re hearing from our contacts is that people are starting to book business very vigilantly again. We believe that that’s a good sign.” The RCMA’s Goodring, who says he is encouraged by the increase in attendance by planners and their spouses at the RMCA conference, gives this overall assessment: “I see a glimmer of hope that there will be an upswing in the meetings market later in 2010 and into 2011. In terms of the religious market, it will continue to grow as faith- based meetings are becoming more and more important, because within this increasingly complex society people feel a real need to have fellowship with others with whom they share a common faith, bond and purpose.” Goodring’s greatest cause for concern? “As an upswing in business becomes a reality, there may be a switch from a buyer’s market to a seller’s market, which could have an adverse effect on the vast number of religious events worldwide,” he says. In the field of leisure travel, TPOC’s Haymore also sees evidence of a comeback in the making. “Just based on my own travel agency, I see people beginning to show interest in vacation travel for 2010 and beyond,” she says. “So, I’m assuming that means that people who were without jobs for a while now have them, or people who were just afraid to spend the money are feeling more comfortable about doing so now.” Fenton says destination marketers are seeing some signs that things are looking up, but most aren’t expecting significant growth until next year. “We are starting to hear destinations saying that they are seeing a little more activity,” Fenton says. “They are seeing future bookings starting to move a little bit. In some cases, they’ve said that the year that we’re in right now is sort of stable. They don’t necessarily see it taking another downturn. They see 2011 and ’12 as years in which there will be growth. At NABHOOD, Ingraham says hotel occupancy rates are beginning to increase and consumers are starting to become more confident, but hotel development is moving slowly. “You see some acquisition,” Ingraham says. “But you don’t see a whole lot of new builds going up, simply because of the inability to get financing.” For the ASTA’s Chris Russo, there’s hope every time he hears the phone ring at his travel agency. “We’re definite- ly seeing an increase in call volume,” he says. “We’re hop- ing that’s a trend that will continue throughout the year. . . . I think that for the most part the industry is cautiously optimistic. We’re keeping our fingers crossed.” Black Meetings & Tourism March/April 2010: www.blackmeetingsandtourism.com