Getting value from MICE

The recent economic downturn has not just dampened consumer sentiment across the globe, it has also lowered company spend and affected tourism worldwide. Whilst some organisations in many countries have stopped MICE trips for their employees completely, others have put them on hold for better times and opportunities. So just what exactly do organisations get out of sending their best and brightest for learning and networking opportunities on the road? And what is the ROI for organisations participating in those same events from a marketing perspective? As HRM’s talks with key stakeholders show, there’s still plenty of value in all sides of the MICE industry in Asia.

The participant’s view

It’s always good to be able to get out of the office, and trips to trade events, exhibitions or conferences have been shown to be valued rewards for high-performing staff. But organisations can get much more than this from a correctly chosen MICE event. Whether it is a small trade show, an internal meeting at an out-of-office location or a full-blown industry-wide affair, the networking and business building opportunities of that perfect event can far outweigh the costs of sending staff along.

Organisations need conferences and congresses to swap opinions on the state of things in the market, and find new opportunities to expand and understand other markets. They also help organisations looking to expand into new territories. One cannot just buy a ticket, go to a new country and start exploring local conditions and market opportunities. The main thing is for people to have an opportunity to meet and to network. In order to best take advantage of that unique environment, delegates need to make as many contacts and arrange as many meetings as possible.

“I feel that any meeting of minds will be beneficial to individual participants and in turn the businesses they are engaged in,” Eva Hui, Group Director of Communication, Empire Hotels and Resorts, Hong Kong, tells HRM. “In any meeting event, participants are mostly gathered to learn, to interact, to exchange ideas and to connect with one another.”

She also says the value of the “in-person” factor cannot be underestimated. “Although in today’s technologically-advanced age, numerous business dialogues and meetings can be conducted via email, the internet or video conferencing, a firm handshake with the sincerity and radiance of a person’s smile can only be felt in a face-to-face meeting.”

Therefore, it is important for employees to meet their potential clients, network and have a discussion beyond the event. This will be a worthy return of the company’s efforts and investment.

Value for exhibitors

Events have always been a great platform to network, learn and exchange. And Asia’s best marketing professionals certainly know this. Across all industries and sectors, they are relying more and more on such platforms to engage and disseminate their brand promises and create goodwill for themselves and their products.

There are distinct advantages to getting involved with relevant exhibitions and events; although obviously such marketing techniques do come with a price tag. Indraneel Ganguli, head of marketing, Asia, Pacific, Middle East and Australasia, Mahindra Satyam, says it all depends on the number and “quality” of prospects an event can gather. “Among the advantages, events lend a readymade knowledge source on industry trends, futures, forecasts and outlook,” he says. “Information about latest service offerings and the people behind them are also brought to the fore. It gives a great opportunity to network with peers and communities.”

However, he adds, the costs of participation and engagements are spiralling higher. “Despite solid intent, brand marketers often shy away and resort to other ways to reach their audience.” Still, for Mahindra Satyam, there remains significant value where it can target relevant industries and leaders. “All in all, it is worth the money if the event is relevant to the industry and the business,” he says. “Moreover, qualified and confirmed attendance lists are often valuable prospect bases for marketers to pursue, which hitherto would be difficult to build and validate.”

Of course, nothing can be improved if it cannot be measured. Ganguli says the return on investment for any one event should consider the strong sense of attraction or dissent in the minds of the participants. “Constant feedback would also help,” he said. “For those who seek to attach their revenue fortunes with events, they need to be not only aligned with the build up to any instance, but be aware of what the results were to avoid post purchase dissonance.”

The venues survive

Contrary to common presumption, amidst all these financial crunches and hiccups, Singapore’s MICE industry did not fail to meet business expectations during last year’s recession. Indeed, venues say the sector is moving forward with strength and enthusiasm, and several new events booking for the year ahead. “We are confident that tourism figures and business will continue to surge as the economy continues on an upswing into 2010,” Pieter Idenburg, CEO, Suntec Singapore, says. He feels that the positive outlook, coupled with business confidence returning will create a multiple effect which will set the pace for a better year – particularly when it comes to meetings and events. “Being in the hospitality sector is no exception. It is imperative to note that meetings are an integral part of doing business and a necessity to keep trade and commerce going; as such business meetings and events are important tools for business exchange and business generation,” he says.