Welcome to the 2011 Meetings Market Trends Survey.
We received responses from nearly 700 meeting planners during the survey last October, which provides for a very valid sample size.
The results really astounded us this year. Generally, during the last two years, the outlook was very grim, as was the information in the sections of the survey in which we asked about the previous year. Budgets were cut substantially—more than 14 percent more planners last year said their budgets were cut more than 10 percent. Attendance sang the same tune—more than 16 percent more planners said it decreased more than 10 percent over the survey conducted in late 2008.
This year couldn’t be more different. As fast as the numbers plummeted, they seem to be rising at a healthy clip.
First, the unbridled optimism, with four key factors that point to a recovery in the meetings and conventions industry.
When asked what would be their biggest challenge when planning meetings in the coming year, 14 percent less responded "lower budget" this year when compared to the previous survey. This was led by corporate planners, of which 19.3 percent less this year said budget woes would be their biggest challenge.
The trend line is rising when it comes to the amount of meetings planners expect they will hold this year. Those who said the number of meetings they will hold will decrease shrank by 12.5 percent overall, and those who replied that they expect the number of meetings to increase rose 9.3 percent overall—mostly in the "increase more than 10 percent" range. Association planners—who tend to hold the largest meetings—led the pack, with 11.1 percent more expecting their number of meetings to increase more than 10 percent this year.
Those who said "decreasing attendance" would be their biggest challenge fell 9.5 percent this year, led by association planners, of which 12.6 percent less noted attendance decline as the primary dilemma.
Okay. So budgets are expected to go up along with attendance. What do the tea leaves say is climbing when it comes to meeting planners’ biggest fear? Prices. While budget still was the top concern, the problem of "increasing costs" is gaining momentum, with 16.7 percent more planners overall listing it as their biggest concern this year—led by corporate planners, with 18.5 percent more, and association planners, with 17 percent more.
The way I see it, these four factors—more budget money, more meetings, higher attendance and increasing costs—point to the proverbial rising tide. Basically, meeting planners expect more money to be changing hands next year. Good news.
And when asked what they thought the biggest threat to the meetings industry was, the response "the economy" fell 4.5 percent this year, with nearly 8 percent less association planners listing it and 7.5 percent less corporate planners listing it. It was still the biggest threat, but it seems to be on the wane.
Interestingly, virtual meetings came in a distant second, rising 7.6 percent this year with corporate planners and 10.5 percent with government planners. When asked if they actually plan virtual meetings, though, 66.9 percent of all planners said no and 33.1 percent said yes. One could interpret those numbers in a variety of ways, though, I suppose.
Turn to page 5 to see the report, and make sure to check out the digital edition to see some key video interviews and other additions.
Onward and upward!
