Update on Association Markets and Trends Enrico Zuffi, Geneva Convention Bureau 11th ICCRM Seville, Spain 8 July 2005

1. Update on Association Markets and Trends Enrico Zuffi, Geneva Convention Bureau 11th ICCRM Seville, Spain 8 July 2005 iccaworld.com

2. Focus on: Corporate companies International Associations Special Events

3. International Meetings Market ICCA's definition of the international meetings market International meetings: Corporate Meetings Associations Meetings

4. Corporate Meetings Market: Structure Corporations Internal meetings (staff) (sales, technical, executive, incentive) External meetings (b to b) (dealers, distributors, product launches, clients) shareholders External Meetings, branding Image (public events) Promotion, concerts, shows, sponsored events (spors, culture), Eurofoot,Marathon, Tour de France, World Cup, etc.. Image Promotion

5. Corporate Meetings Market Characteristics • Company is initiator and decision maker • Organized by different departments within the company, Com/MKT Dept or PR agency • Repeat business (use of same venue) • Short term planning • Smaller than association meetings (except for public events) • Higher budget / success oriented • Ups and downs - economy

6. Corporate Meetings Market - Statistics • Majority of planners use following type of • venues: • City hotel • Convention centres • Company Head Quarter • Other: • Country / Resort hotels • Special venues • Boat • Historic Places

7. Corporate Meetings market - Trends • External agencies used: • Most planners use a travel agent in their own country. • The rest uses: • A DMC in other country • or a PCO • or an Incentive house/Communication Company

8. Corporate Meetings market - Statistics Size of corporate meetings: Majority attracts < 100 participants and 100 - 500 participants Although the trend is: again to larger meetings

9. Future trends Corporate Meetings: More conference hotels will be used (larger facilities all over the world) Shorter meetings in Europe, invite less people Several events merge into one Less 'fun', more 'experience‘ High technical quality requested

10. The International Association Meetings Market Size: unknown Estimation UIA: > 14,000 series of International Congresses worldwide ICCA Data 80%: > 11.200 series of International Congresses

11. The International Association Meetings Market • International Non-profit organizations / Associations • International Governmental Organizations • (IGO) • Non-Governmental (INGO) • Trade Associations • Insurance – Medical • Finance • Transport

12. International Association Meetings Market – Characteristics • Almost every interest has an association (Harp, Policeman) • Rotating • • By invitation from local counterpart • • Long lead time (the bigger the event) • • Average duration: 4 - 5 days • • Often less budget compared to corporate events • • Slow decision making process • Regular • Less influenced by economic factors

13. International Association Meetings Market - Statistics Type of venues considered for international meetings Conference centre 44% Congress centre with in-house hotel 36% University 11% Other 9%

14. International Association Meetings Market - Statistics Top months for international meetings are: September June May October July August Trend: March, April and November, Meetings last shorter, average in 2004 4.2 days; lowest average in 10 years What about the national events?

15. Future trends • Associations: • More associations use core PCO or Association Management Company in Europe • Some large European conferences start to rotate only between a few cities • Higher negotiating power ! • More smaller meetings • Political awareness of sector's value is increasing • New European countries are in high demand

16. Medical 2. Scientific Trade 4. Religious, Social Service Club Meetings 5. Political & Sports Market Sectors

17. 1 Medical Sciences 28% 2 Science 12% 3 Technology 9% 4 Industry 7% 5 Social Sciences 5% 6 Agriculture 4% Commerce 4% Education 4% 9 Economics 4% 10 Management 3% Area of subject matter in 2004

18. Generaly well organised Specifications available You need a good / well known professor / doctor If possible active and a board member Sponsoring is very important (satellite symposias) Interferance (Exhibition and Conference) Social programme and Scientific structure very important Plenary (Keynote speakers) Parallel Session / Poster Session Medical Associations (clinical)

19. Organised by University or research institutes High emphasis on content Many break-out sessions Decision maker needs your confidence General mega meetings - very specialised small meetings Tend to go to destinations with good local counterpart (Universities) Social events low priority Summer month, often low season…in some city destinations Low budget Visa problems, if international Scientific Associations

20. Social aspects important Often in conjunction with a small exhibition Low budget (participants pay participation fee themselves) Many times in conjunction with holidays Cheaper type of accommodation / rates More flexible concerning the dates Can be extremely large (Herbalife, Lyons) “Religious, Social Service Club Meetings”(Rotary, Lyons)

21. Very complicated Can even be quite negative (Seattle, Genova, Prague) Political events are usualy paid by the government… Increasing in Europe Sports events : Interesting for the hotels and the image of the destination if in low season Satellite conferences (Olympic Games, Euro Cup) Very interesting as usually for longer periods Political, Sports Events

22. Initiated by local chapter or member More emphasis on social aspects Higher budget Often in conjunction with a small trade show Participation fees paid by the company Tend to go to destinations with higher touristic appeal Accessibility can play a major role Prefer to stay in conference hotels Dates less flexible Most interesting : IT, Computer, Finance, Insurance, Technology Trade Associations

23. Research strategies for beginners / advanced you need.... Patience, Patience, Patience To be focused and organised Knowledge and experience & Luck! Less is more!!

24. How to search • How to act

25. International Market Research • Where to start? • Inside your company! • But do you really: • Know your product • Know your city • Know your competitors and did you compare their assets with yours

26. Your surroundings • Access • City • University • R&D • Economy • Image • Political support • Accommodation • Partners • “Define your ideal event or marketing strategy”

27. What are you selling? • Space • Knowledge/Services • Adventure • Roomnights • F&B and Catering

28. and..... How to start There is a world of knowledge at your disposal, but: it is easy to get lost, keep your focus everybody can search, only a few can find.. check the authenticity of the information be as 'simple' as possible

29. An association approach Start: an association conference in the ICCA database Read and Check all the information ICCA gives you… Get on their Web Page - how are they organized? Can you find the right person - e.g. conference manager Check all the requirements. Can you host the event?

30. Get in touch and ask....and listen! You seldom will have a second chance! Questions to ask: What is the first open date Could my country/destination be a possible candidate (if not: ask why!) When will the decision be made Try to qualify the lead: is this the ideal conference? Do we have a chance to win? How important is the local counterpart

31. Try to identify the local counterpart through the Association's website or through your national association. Is he active? What role can you play? Be very careful when contacting him Is he interested? If yes, let him know you can help him. They have their own network within the organization, let them use it! Do not rush, work systematically, as very often you have time.

32. New concept for him…! Has never organized a congress ! How much time, how much money? No commitments Don’t suggest partnership, but build towards it How to act ? Try to get a team together (conference centre) Tell “him” that “he” has to win Local counterpart says ok !

33. If your client or the association asks you to help them with the bid Check all the basic information Needs or specs, Financial risk, Dates Venue Hotels available Social programme / creativity PCO Local and national invitations/Support Scientific outlook

34. How to win that bid with your host • Be constant, helpful, set up a strategy • Find out who are your competitors • Find out who makes the real decision • What are the most important criteria • Team up with local suppliers • Leave room for negotiations • A site inspection can result in a moral • commitment

35. Personal relationship Pass your client over smoothly… Be always available in case of … problems Be there when the event takes place ! Hurra we have it ! How to pass an event to the Operations Department or PCO

36. Good Luck! Thank you!