1ST PULSE SURVEYON TRENDS & OUTLOOK IN THE EUROPEAN MICE MARKET

Sponsored by and

1ST PULSE SURVEYON TRENDS & OUTLOOK IN THE EUROPEAN MICE MARKET

Contents

1.The market in 2016

2. Key trends

3. Priorities for 2017

4. Outlook

Seminar

Event

Conference

Meeting

What are we talking about?

2023

28

19.923.3

28.4

19.5

23.6

28.5

(IN € BN)

2015 2016 2017

+0.3%

+1.4%+1.3%

+1.3%-0.5%

-2%

A major, stable market

A fairly positive dynamic

17%

3%

4%

58%

76%

81%

25%

21%

15%

down stable up

Type of event expenses

Event …

42%

10%

Agency fees

23%

25%

Transport

Other expenses

36

%

33

%

31

%

A CCOMMOD A TION FOOD A ND BEV ERA GE ROOM HIRE

A balanced breakdown in expensesfor the event venue

Objectives rather than events

92% 87% 86%74%

65%56%

78%62%

53%

Business development

Awareness & image

Day-to-day management

Co

mp

anie

s th

at o

rgan

ised

at

leas

t o

ne

even

t d

uri

ng

th

e ye

ar

68% of events are attended by fewer than 30 participants

< 10 personnes

De 10 à 30 people

De 31 à 100 people

De 101 à 500

people> 500 personnes

37%

2%

31%

23%

7%

Several events, especially virtual!

Average of 200 events organised every year (min 100 - max 400)

91% of organisations are equipped to hold virtual events

19% of events are virtual

25% 15% 18%

Contents

1. The market in 2016

2.Key trends

3. Priorities for 2017

4. Outlook

MICE: primarily an in-house affair

82% of events are organised in-house

73% are held in the home country

Top of mind for event venues

52% 23% 12% 7% 6%

Meeting room or company-owned site Hotel Conference

centre

Castle or unique venue

Other

Outsourcing: a growth opportunity

10%

21%

11%

16% 16% 17%21%

23%25%

Day-to-day management

Sh

are

of

ou

tso

urc

ed

even

ts

Business development

Awareness & Image

Pragmatism & professionalism for convincing

Decision by top management

Save time

Greater familiarisation with the venue

Large number of participants

Professionalism

Reasons for outsourcing management of an event

Price in 6th place with 45%

65%

59%

58%

54%

56%

Large ecosystem of providers

60% 59%

34%

25%22% 22% 20% 19%

16%

TMC Event agencyor company

Hotel groupevents

department

PCO Venue finder Digitalplatforms

Hostingagency

DMC AMC

Low maturity in terms of implementation and monitoring

53% of organisations have a

documented MICE policy

22%

25%12%

41%

Randommeasurement

Systematicmeasurement

Nomeasurement

DNK

Organisations and management solutions

44%

25%

31%

39%

43%

41%

36%

39%

34%

30%

No tool

Reporting

Payment

Planning / Execution

Recording

Venue find. / purch.

RFP

Use of internal or external solutions

MICE department for managing the event

Organised independently

MICE departmentfor purchasing andmanaging events

Approach driven by quality criteria

Easy access

Means of transport

Participants' satisfaction with a previous event

Safety

92%

75%

68%

65%

Criteria for choosing the venue (other than price)

• Value of the content (93%)• Professionalism of the event providers (88%)• Density of the timetable (82%)• Networking (74%)• Improvement of team building (69%)

… of organisations measure satisfaction

82% 85% 64%

Essential measurement of satisfaction

...based on quality indicators

Contents

1. The market in 2016

2. Key trends

3.Priorities for 2017

4. Outlook

Priorities for 2017

1

2 3

Improve participants' satisfaction

Gain an overview of expenditure

Incorporate digital technologies

Participants' satisfaction as well as their working conditions and safety

Improve participants' satisfaction

Provide participants with the best professional conditions

Ensure safety

70% 74% 37%90% 88% 76%

50% 63% 31%

Keep a tight rein on expenditure

Internal tracking of expenses

19% paid trough expense notes

79%

31% 31% 26%13%

Internal finance Management

tool vendor

Payment card

vendor

Agents Other

13% 16% 29%

15%

9%

54%

22%

View by type of expenditure

Overview of expenditure

Incorporate data into the accounting system

Assign expenses according to the company's

analytical references

The most important budget items

Measure the contribution of the MICE policy and ROI

41% do not measure the ROI

45% of organisations wish to increase the event's contribution to the added value generated by the

company

45% 31% 59%

8%

41%

19%

32%

Measurement of theexpense vs. budget

Measurement of the impacton revenue

Measurement of the result of each event

No ROI

81% of organisations hold virtual events

Share of virtual events 65% of organisations provide their

employees with training on digital tools

Mobile platforms are not yet an end-to-end management tool

but a supporting aid for running events

42% 74% 81%

69%

49%

42%

33%

INTERNAL MEETING

TRAINING

SEMINARS / EXECUTIVE COMMITTEE MEETINGS

CUSTOMER CONFERENCES

Contents

1. The market in 2016

2. Key trends

3. Priorities for 2017

4.Outlook

Increasing complexity of the value chain

New decision-support tools: assess events in terms of relevance and ROI

Objectives

Contribution of events to the company's development (business profits and participants' satisfaction and safety)

Examples of drivers

1. Integrate the economic benefits of interactions

2. Propose the most appropriate combinations

3. Make the right budgetary decisions

More expertise

New skills: control the event mix for greater personalisation

Know the customer environment and anticipate the events that will be affected

by technology and/or the macro-economic environment

Objectives

1. Control the effectiveness of the different forms of interaction by type of event

2. Provide benchmarking tools and best practices

Examples of drivers

Towards an integrated management approach

New positioning strategies: address the need to streamline costs

Reinvent or upgrade business models to reflect physical forms of interaction as

well as customers' purchasing practices

Objectives

1. Propose end-to-end solutions2. Propose hybrid pricing models (cross

between TMC and event agency models)

Examples of drivers

Methodology

25% SMEs

25% mid-cap companies

25% large organisations

25% associations

Over 600 telephone interviews

200 200 200

Representing over €180 million in MICE expenditure

Two waves –Dec 2015 and July 2016*

5% meeting planners

28% executive or departmental assistants

47% executives /directors / managers

20% other

Contacts

This intelligence report is the culmination of the collaborative effort between Concomitance, B3tsi and TendanceNomad.

For any enquiries relating to this intelligence report, you can contact us at the following address: baromice@concomitance.com

Concomitance is an independent management and strategic consulting firm. Our areas of expertise are focused on two levers that create value on the customer experience: marketing and sales. Since its inception early 2002, Concomitance has excelled through its ability to translate its customers' strategic challenges into effective action plans that are immediately understood and ready for deployment by all stakeholders.

This capability is an integral part of Concomitance's DNA. We can leverage the previous corporate experience of our consultants to create and share recommendations with our customers in alignment with the maturity of their organisation.