European MICE Market to Pick Up in 2010 According to Ultramar Event Management Economic Trends Analysis

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Ultramar Event Management, a company with over 50 years of experience in providing MICE services, has just conducted a qualitative survey among its main European clients (travel agencies specializing in business tourism, direct clients, event agencies) in France, Germany and Great Britain, among other countries, with the aim of developing a business forecast for 2010.



Currently, the overriding sentiment in the European meetings and event industry is one of moderate optimism, since the majority of the interviewees stated that 2010 would be better than 2009. Spain is still the most popular destination among operators, but countries like Great Britain are sending out a warning that it is time to reinvent the industry. Morocco has recently appeared on the stage as a competitor of Spain.



As regards the sustainable or green event concept, the market acknowledges its growing importance, although for clients the overall cost is still the priority factor. The main conclusions of the Ultramar Event Management report, in which business forecasts, the importance of Spain as a business tourism destination and that of the sustainable event concept for European operators and clients, are show below:



France:

1. In France, the general trend is moderately positive: “There is greater movement in the market than in the first six months of 2009, although there is a growing tendency to confirm at the last moment.” “Next year will be better than 2009, but the situation won’t pick up properly until 2011.”

2. As a business tourism destination, Spain still obtains a score of 7 out of 10, the country consolidating its position as an outstanding MICE destination. “The hotel industry’s renovation and creativity have made a large contribution to the fact that Spain is a benchmark for MICE destinations in the French market. Portugal, Morocco, Czech Republic, Croatia, Slovenia, Malta and Tunis are currently Spain’s direct competitors.

3. For this market, the sustainable event concept is an important factor “of which all decision-makers are aware when planning events.” Nevertheless, “it still isn’t regarded as a decisive factor” by agencies specializing in event and congress planning.



Germany:

1. It is anticipated that 2010 will be clearly better than 2009, with an increase in the demand for incentive trips and events abroad.

2. For this market, Spain is still a priority destination, with an average score of 9 out of 10, although other Southern European destinations and European cities such as Prague, Paris and London are growing in popularity. Likewise, countries like Thailand are offering seven-day incentive trips for €1,300 per person, which, for example, is much cheaper than three days in Barcelona.

3. As regards sustainable events, German operators have very differing points of view: for some, “it’s an important factor, which clients have heard about, although this very rarely leads to a clear demand for green events; for others, it is not at all interesting, clients preferring to have “a maximum level of technology with the aim of staging a personalized and different event.” Lastly, there are some that believe that this trend will change in 2012, but for the moment the priority is the price tag.



Great Britain:

1. Forecasts indicate that 2010 will be slightly better than 2009. “There are signs of recuperation, especially in the incentive trip segment. The number of RFPs has increased for 2010.” Other operators indicate that 2010 will be very similar to 2009, with a continued tendency to organize events nationally.

2. With regard to preferences, opinions are very varied. With a score of 5.5 out of 10, Spain is losing weight in the UK market. “Spain should reinvent itself for this market… for many clients, Spain is Barcelona.” “We can’t offer new destinations because of the lack of flight connections…” Despite everything, the UK MICE market still regards Spain as a key destination, although there is stiff competition from Italy, France, Portugal and Morocco. The city of Marrakech stands out because it is “reasonably near,” and exotic, and because of the service and the luxuriousness of its hotels.

3. Green events are becoming more important, and there are now specialized operators. However, cost is still the key factor for the majority of the interviewees.



Ultramar Event Management is a company that specializes in providing national and international corporate clients, associations, institutions and agencies with MICE services. With more than 50 years of experience in the industry, the company has 30 offices located in Spain’s chief tourist and city destinations, and 80 employees. In 2008, it attended to the needs of 450,000 business tourists, and managed over 1,000 events, including the 3GSM World Congress Barcelona and EIBTM, among others.

Published
03/12/2009