The Global Business Of Meetings

Economic recovery combined with rapid expansion of global operations of companies has seen an exponential rise in meetings and conferences accounting for almost 82 per cent of all business travel writes Pat Durocher, MD of HelmsBriscoe International

Where businesses go, meetings follow. The release of pent-up demand from the previous three years of terrorism, war and health concerns combined with increased confidence in the economy has led to the growth of the meetings industry - a trend that is expected to continue through 2007. With the economic recovery, corporations are expanding their global operations and new cities and destinations are emerging as options for business meetings.

Today, association and corporate meetings make up approximately 82 per cent of all business travel. While the USA, Germany and Spain are still the top destinations for association meetings, Montenegro, China and India are the fastest growing travel and tourism economies according to a report by the World Travel & Tourism Council which takes into account all components of travel and tourism. The world has become a smaller place as information on destinations is readily available, transportation costs are more affordable and 'global awareness' becomes every company's mantra. Based on this, many companies are looking to hold their meeting or conference in new and exciting destinations. While the options are seemingly unlimited, making a good decision becomes more complicated. Questions such as destination, transportation, cost, value, safety, language, service, contract issues, local practices and customs are all factors in the decision making process. These questions are all in addition to the myriad other elements that are involved in the planning and execution of a meeting.

As with everything in today's environment, things are changing at a rapid-fire pace and it's no different in the business of meetings. There appears to be no end in sight to the trend towards smaller and shorter meetings that are held more frequently, that are more business-focused, and are booked with shorter lead times (EITBM Industry Trends & Market Share Report).

Companies are also giving more consideration to their meeting purchasing policies and procedures in an effort to standardise and incorporate best practices. Location, cost and service continue to be the top three issues that companies are most concerned with. In the process of procuring meetings, business relationships with suppliers are critical and generally determine response time, flexibility, effective communication and the ability to deliver expected results. As hotels around the world experience increased occupancy levels, the question has changed from "What is the rate" to "Do you have space" and "What do I have to pay to get it".

Budget cuts and downsizing have resulted in the involvement of independent third parties in the meeting procurement process. Outsourcing, a concept which is important to India's economy, is a viable option for meeting services such as site selection, meeting registration, and on-site assistance and has become common practice in the US and around the world. For instance, HelmsBriscoe International (HBI), which is the world's largest third party conference resource company with over 675 people in 28 countries that offers site-selection services.

It is understood that booking a bedroom (individual corporate travel) is not the same as booking a meeting. For example, it is estimated that there are nearly 2,000 site-selection firms in the UK - most companies there wouldn't even think of booking a meeting without taking advantage of the services a venue-finding company offers. As the economy improves and the need for off-site meetings increase, the pressure on existing staff becomes more intense. And therefore, the ability to outsource to a professional company becomes a valued resource. Third parties provide the option for a company to get 'help' when they need it without increasing payroll or overhead costs, not to mention having access to an expert and a value proposition that a company may not employ within its own ranks.

Another valuable resource that venue-finding companies offer their clients, especially when meetings take place in another country, is a local presence and understanding of the chosen destination. In India, the HBI directors have appointed associates in Bangalore, Chennai, Mumbai, and New Delhi. Each of these associates is responsible for developing a portfolio of clients who rely on them to find the best hotel or venue for their meeting. In addition, they are also able to assist their colleagues around the world when a client wants to hold their meeting in India. This was the case of a well-known global company who was planning on a holding a series of meetings and events in India. The local associate in India was able to negotiate the contract including favorable rates as well as provide valuable input with regards to local customs and business practices. In that same vein, when an India-based client wants to hold a meeting outside of the country, the local associate can work hand-in-hand with a colleague in another country to ensure that their client receives the best rates and terms for their meeting.

As a global company, HelmsBriscoe has identified India as an important strategic destination from a local, international, as well as an inbound business perspective. Our business model typically originates in the local market by first offering our services to local clients, ideally for their international business, but also by servicing them within the country. This also helps to show hotels how HelmsBriscoe works. As our local in-market associates get plugged into our global network, we find that business increases in both directions - outbound and inbound.