Business Tourism R532 Week 9 PDF

BUSINESS TOURISM R532 Week 9 Overview Business Tourism MICE Incentive Travel DMOs in Business Tourism Virtual Events in COVID-19 Required Reading: Chapter 6 MICE Meetings, Incentives, Conferences, Exhibitions (& Trade Shows) – MICE Business Event Tourism (BET) CVBs Convent...

BUSINESS TOURISM R532 Week 9 Overview Business Tourism MICE Incentive Travel DMOs in Business Tourism Virtual Events in COVID-19 Required Reading: Chapter 6 MICE Meetings, Incentives, Conferences, Exhibitions (& Trade Shows) – MICE Business Event Tourism (BET) CVBs Convention & Visitor Bureaus – usually a part of the DMO German Convention Bureaus MICE Two Main Buyers 1. Corporate Events Annual general meetings, sales meetings, staff training retreats, product launches, incentive trips 2. Associations Others 3. Public Sector (government) 4. SMERF (Social, Military, Religious and Fraternal)  Characteristics of major segments Corporate Association Government SMERF Decision process is Destination decision can be Considerable variety in Price sensitive re accomm relatively straightforward prolonged terms of length of event & venue, but more and budgets available recession proof than corporate Corporate buyer difficult to Organised by committee – High security measures are Organisation run by identify (Secretary, PA’s, usually volunteers from indispensible – volunteers – so event Marketing Executives, Association membership demonstrations and organisers are hard to Training Directors etc) disruptions identify Attendance is usually Attendance is usually Attendance is usually Attendance is usually compulsory voluntary compulsory voluntary Short lead times Lead times can be very Lead times variable Lead times variable long High per delegate budget Lower budget per delegate. Budgets are usually Frequently held over Some members will be scrutinised – public money weekends and in off-peak price sensitive and paying periods their own costs Venues: hotels, training Venues: Conference Venues: variable – but Venues: often second tier centres, in-house, unusual centres, civic & academic often in-house cities with simple venues venues accommodation and facilities Delegates’ partners are Delegates partners Delegates partners are Delegates partners rarely invited except on frequently attend very rarely invited frequently attend incentives Adapted from Pike (2017). Meetings Meetings market is: Generally more resilient than the leisure market Often good off-peak business for the destination Often high end tourism products used Business/First Class airfares; 5 star resorts Electronic conferencing has proved not be such a threat as initially thought. https://www.youtube.com/watch?v=5Wk0buCuNmg Incentive Travel Motivational tool by corporations to get staff to achieve sales targets Commonly rewards involve large groups rather than individual travel Other benefits: Networking opportunities between staff & management Social interaction between those working independently (sales reps etc) – creates a sense of belonging Fosters loyalty to the company and retains top performers Incentive Travel Incentive travel is attractive to DMO as: 1. Usually very large groups (e.g., 5,000, 10,000) 2. Typically short breaks that tend to generate higher than average yield Specialist Incentive Planners and Incentive Travel Agents Itineraries are custom-made to suit the needs of the group and tend to be creative in terms of venues and activities Suits mature destinations with well-developed infrastructure, good accessibility and a sufficient mix of attractions Destination also needs to be well known to staff Conferences Events where the primary activities are: Attending educational sessions Participating in meetings Participating in discussions Socialising No exhibition competent in this type of business travel typically. Exhibitions Events where products and services are displayed Attendees come to visit the trade floor 2 major types: Business to business Public exhibitions – open to general public e.g. public art galleries DMOs in Business Tourism Convention Bureaus Destination Promotional Appeal Cooperative Alliances https://www.gcb.de/ https://businessevents.australia.com/en Convention Bureaus Not all DMO’s operate a Convention Bureau But meetings bring together many diverse businesses (hotels, convention centres, transport operators, attractions, caterers, conference planners and entertainers). This is complex and necessitates coordination at a destination level CVBs have membership programs and rely on subscriptions Professional bodies BRISBANE BUSINESS EVENT SERVICES German Convention Bureau (GCB) Members Munich Convention Bureau Activities of CVB Sales calls, direct mail, telemarketing, lobbying buyers Conducting site inspections PR activities to position the destination as a world class meetings destination Preparation and presentation of bid documents General destination promotional activities Production of marketing collateral to support the bid process Assisting development of promotional strategies to increase delegate attendance Coordinating marketing research Bidding process CVB leads the process for members to bid for business Social and entertainment Accommodation Event space Steps in the bidding process: Identify meeting with potential destination Obtain bid criteria Seek clarifications on processes Involve meeting planner for budget input Conduct site inspections Lodge bid with destination promotional activities Destination’s Promotional Appeal Matching available resources with target travellers (supply & demand match) CVBs must monitor the meeting planners and know how they perceive the destination So what makes an attractive convention destination? Why Brisbane? Incentives & Events Munich Munich as a conference destination Destination’s Promotional Appeal Critical factor – convention planners ability to sell the destination to potential delegates Significant factor - promotional appeal a for convention planners Corporate Alliances Repeating conference destinations are unusual for associations and corporate sector Therefore form alliances: With other destinations Share resources Create a greater presence in the market Destination planners Responding RFP’s (Request for Proposals) Local support – encouraging local orgs to bid for conferences DEVELOPING & DELIVERING A SUSTAINABLE EVENT STUDENT ACTIVITY: Why is there a need to develop a responsible and sustainable meeting or event?  The Trade Show industry is the second most wasteful after the construction industry Money spent at an independent local business generates 3.5 times more wealth for a host destination than buying from a non-local enterprise Events are a process How do you Develop a Sustainable Event? By using simple steps and guiding principles that will help you to make your event more sustainable. By having a checklist and reference point which will allow you to track and monitor your progress over time. By building confidence in your team in their understanding of how they contribute to the sustainability of the event moving forward. Once you have the systems and protocols in place to deliver more sustainable outcomes you can seek more formal recognition of your achievements (the ISO 20121 standard) You may use a Program to benchmark your performance and to track your achievements over time. Key Steps A good starting point is to take the time to document everything you have already in place for your event. This will help you to understand which actions can be focussed on to reduce the event’s footprint. The Rise of Virtual Events in COVID-19 Event Category Characteristics Examples Face-to-Face Participants in physical location Hybrid Incorporation of interactive Virtual presenter at face- virtual elements at to-face conference combination of physical and virtual locations Virtual Visual communication WebEX, Zooms, Teams without physical elements Virtual Reality Participants in virtual VR Chat, DreamOS, environment Second Life Salesforce’s World Tour Sydney Reimagined - March 2020 (Virtual Event) HTC’s Virtual VIVE Ecosystem Conference (V²EC 2020) - March 2020 (Virtual Reality Event) The Relevance of Virtual Events Post COVID-19 STUDENT ACTIVITY: What impacts do virtual events have on destinations and destination marketing?  27 Week 10 (15 Dec) Destination Performance Management & Future Challenges (LIVE) Required Reading:  Chapter 15