Talk to a corporate meeting planner anywhere in the world and they’ll
tell you the same story: ‘We’re busy, we’re challenged, but we’re also
loving it.’
From Europe to the Americas and the Asia Pacific, meeting planners
are busier than ever before. For many the programmes they have created
in 2022 were generally taking place closer to home, hotel prices are a
challenge, and sustainability is at the forefront of everybody’s plans.
As business swings back, meeting planners are also grappling with
staffing issues – a lack of manpower and a great loss of experienced
practitioners.
But what is also blatantly clear is that planners are up for any
challenges that are being thrown their way and their clients want to get
on an aircraft once more.
What is interesting is few planners M&C Asia spoke to mentioned
the talk of a global recession and how that could potentially impact
business.
A desire for the unique
Zaritha van Wyngaardt, owner of The Obvious Choice, a full-service
event, travel and incentives agency in South Africa, describes
“different” as the new desire among her groups.
“Experiential is the key word,” she remarks. “My clients don’t want
the same old destinations. They want different – places that have not
been explored to death. They might be interested in a more mainstream
destination, like Italy, but not the commercial places like Rome or
Venice. They would rather explore smaller towns and regions.”
Van Wyngaardt says in 2022 some of her clients have wanted to travel
closer to home but there are others who have done the exact opposite.
“They are not scared to travel far and long for a relatively short time –
to Singapore for a four-night programme, for example.”
Experiential is the key word. My clients don’t want the same old destinations. They want different – places that have not been explored to death.
Zaritha van Wyngaardt, owner, The Obvious Choice, South Africa
She puts this down to “revenge travel” – because people had not been
able to travel for so long during the pandemic that they are doing it
now simply because they can.
Europe-based Marisa Lutter, director of MICE & PR at WI
Communications, says during the pandemic clients were holding their
events locally. That shifted in 2022 and is likely to shift further in
2023.
But in the United States travellers are remaining far less
adventurous, explains chief elevation officer of Elevated Meetings
Solutions, Timothy Glanzer. The tide, according to the Las Vegas-based
planner, is turning though.
“My client profile is beginning to open back up to taking their
events outside of the US and getting back to a global presence in their
event rotation,” he says. “They still will hold their events in the US
but the attraction to hold events globally is building back up to
pre-pandemic levels.”
Glanzer says whether that equates to more international business in
2023 will come down to cost rather than anything else. “Also factored
into the decision is the uniqueness of the location and how easy it is
to travel to the destination,” he adds.
Like their European and South African counterparts, Australian and
New Zealand groups appear to be more adventurous in their meetings and
incentive travel programmes, with Australia-based head of Totem and
Connections Group Marketing, Tanya Wick, saying her corporate clients
are looking for new experiences or destination they have not been to
before.
“Most of our clients are looking to travel away from their home
cities and those that previously travelled internationally are back
travelling abroad again,” she says. “We still do a lot of domestic
travel, but clients go to new destinations within Australia, away from
their hometowns.”
[My clients] still will hold their events in the US but the attraction to hold events globally is building back up to pre-pandemic levels.
Timothy Glanzer, chief elevation officer, Elevated Meetings Solutions, US
Similarly, Auckland-based 212f general manager of events, Adam
Leslie, says he is experiencing unprecedented levels of enquiry, with a
large number of programmes bound for offshore destinations.
He says clients who had traditionally done overseas programmes
pre-Covid and who ran domestic programmes during the past two years were
now all wanting to travel internationally again in 2023.
However, getting to destinations like Europe and the US is one of the
challenges when Air New Zealand is only at around 60% of capacity
compared to what it was. “A lot of our clients were very loyal to Air
New Zealand but they’re now having to look at other airlines,” Lesley
says.
“We’re telling our clients that it’s more important now than ever to
really be thinking ahead – a year ahead. The further you look ahead the
better,” he adds.
Safety still takes precedence
On the other hand, uniqueness appears to be less of a driver for MICE programmes in the Asia Pacific.
Singapore-based director of luxury travel and MICE at DNG MICE,
Daniel Lim, says his clients during 2022 have wanted to run programmes
closer to home and have been less interested in new destinations than
those that were deemed safe.
After two plus years [clients] are happy just to be able to travel and all feel that it is safer closer to home because of the way Covid has been handled in Asia.
Daniel Lim, DNG MICE, Singapore
“After two plus years they are happy just to be able to travel and
all feel that it is safer closer to home because of the way Covid has
been handled in Asia,” he says. In 2022 Lim had taken clients to
Vietnam, Cambodia, Japan, South Korea, Australia and Thailand.
For 2023 he doesn’t see a great change in destination selection,
predicting Thailand, Vietnam, South Korea and Japan will be the top four
countries for his groups.
Malaysian-based group CEO of brand experience agency, Aavi Worldwide,
Francis Cheong, says his clients are also currently travelling closer
to home with Bangkok, Yogyakarta, Chiang Mai, and Phuket popular, while
domestic activity also remains strong.
Aavi Worldwide and the company’s incentive arm, Apxara Travel &
Events, is back to around 80% of the volume of business pre-Covid and he
does have concerns of recessionary talk and how that could impact
business.
“There is a huge question mark on business in 2023,” Cheong says.
“There is so much coverage on the global recession, the weakening
ringgit, and the up-and-coming [Malaysian] election late this year. For
now, it’s a wait and see situation, but there is hope. We survived Covid
so hopefully we’ll survive what’s to come in 2023.”
The present spikes in terms of high costs will settle down. We assume the MICE business will grow with more countries deploying the safety norms and opening up.
Ajaay Kapur, vice president and head of procurement at a large Indian corporation
Ajaay Kapur, vice president and head of procurement at a large Indian
corporation, says key considerations for groups under his management
during 2022 have been budgets and safety of travellers, only planning to
visit countries where it is deemed safe (in terms of pandemic
management), and ensuring Covid precautions are adhered to.
But Kapur is very optimistic on a strong 2023 in line with an
anticipated growth in business. “The present spikes in terms of high
costs will settle down,” he says. “We assume the MICE business will grow
with more countries deploying the safety norms and opening up.”
The big shift: sustainability
One of the biggest focuses now globally is clearly that of sustainability and travel.
Almost every planner M&C Asia spoke to for this report placed
sustainability as a key component of future meeting and incentive travel
programmes.
The Obvious Choice’s Zaritha van Wyngaardt says her clients are
definitely more aware of sustainability, with a greater emphasis on
groups reducing their carbon footprint, minimising waste and focusing
more on traveler wellbeing – both mental and physical.
Similarly, DNG MICE’s Daniel Lim says programme participants “want to
be responsible citizens” and that is impacting their travel and
destination choices.
Elevated Meeting Solutions’ Timothy Glanzer in the US is seeing a
spotlight on sustainability and wellness “exploding”, adding that it is
the new major talking point since Covid has retreated.
212f’s Adam Leslie says his clients were also showing an increasing
level of desire to be “good sustainable travellers”, as was 212f, which
prompted the company in October to launch KoruGreen, a commitment to
make all of its travel incentives, conferences and events net zero.
Europe’s Marisa Lutter says post-COVID her clients are increasingly
asking for sustainable elements woven into their programmes. This varies
from groups participating in local food donations to staying in
sustainably-focused venues that use solar power and have their own food
sources.
Don’t forget the sleeping giant
Collectively, higher airfares and accommodation, a lack of
availability in many destinations, and operators struggling with low
staff numbers are being felt the world over.
Most planners M&C spoke to were confident that the majority of
these would be less of a problem in 2023 as airlines add more flights,
new hotels open, and recruitment drives begin to yield more favourable
results.
On price, South Africa’s Zaritha van Wyngaardt adds that her clients
have accepted that for the time being at least “it is what it is” and if
clients have made the decision to travel “they factor these matters
into their budget”.
With China poised to soon reopen to international travellers, the
majority of planners indicate their groups would consider returning to
China when that happens.
“Once China fully opens and pricing is cost-effective that region
will once again be on our list of destinations to produce meetings and
events,” says Glanzer.
Whenever that may be, one thing is already certain: 2023 is going to
be a huge year for the meetings and incentive travel sector globally
that could very well get the sector back to levels not last experienced
since 2019.