Tides Of Change: Trends Disrupting The Meetings Industry

Tides Of Change
The Trends Disrupting The Meetings Industry

1) Identify four new consumer behaviors shaped by recession.
3

2) Discuss trends disrupting the meetings industry.
4

We devote our intelligences to
anticipating what
average opinion expects the average
opinion to be.
John Maynard Keynes, 1936

Absence Of Good Economic Models
Rely on
Opinions
Guesstimates
Crowds

More Regulation, A Weaker
Consumer
higher rates of unemployment, years before housing prices get back to old highs, a weaker dollar, more government debt, more taxes, a little deflation, then a lot more inflation and an end to U.S. global economic downturn…
~ Don Reynolds, Economist, 21st Century Forecasting
Welcome To The
New Normal

4 New Consumer/Attendee Types
Great Recession Shaped
New behaviors
Adoption of
New Normal
Decitica Research

Research showed new lens on how consumers internalized their recession experience

Steadfast Frugalists
20% of population
6 in 10 women
Fewer Gen X & Gen Y
Already considered tightwads
Most difficult to market to

Involuntary Penny Pinchers
29% of population
6 in 10 women
Primarily Gen X
Forced frugality
Challenging group to attract

Pragmatic Spenders
29% of population
6 in 10 men
Over represented by people in 60s
1/3 HHI > $75K
Best group to market to

Apathetic Materialists
22% of population
Slightly more women than men
Gen Y
Indifferent
Attractive target for youth market

So What?
What Does This Mean To You?
Pragmatic Spenders

1 in 5 U.S. Meeting Professionals
doubt economy in recovery

CEIR Index For Exhibits Down
For nine straight quarters

Struggling Economic Growth
55 %
Consumer Optimism
Economy Improves
Next Year

Struggling Economic Growth
9.6 %
Unemployment*

*Not Included
8.9 Million Part-Time
6.2 Million Jobless 27 wks or >
2.4 Million not in labor force
1.1 Million discouraged workforce
1.3 Million did not search for job

Americans Saving More
6% Income
Spending Less

Fragile Economy

18 more months
Economic Turmoil
Double Dip Recession
4th Quarter 2011 USA
1st & 2nd Quarter 2011
Europe & Asia
Roger Martin-Fagg , Global Event Summit, London, 9/2010

41
Million Minutes
Spent on Facebook
More than Google
August 2010

10 New Normals
The impact of the new normal on meeting and event professionals
Tides Of Change
Impact of New Normal On Meetings Industry

Four Major Waves
Tides Of Change On Meetings Industry

Four Major Waves
1. Buyer & Seller Changes

Four Major Waves
2. Biz Model Disruptors

Four Major Waves
3. Programming Pressures

Four Major Waves
4. Attendee Expectations

Wave #1
Buyer & Seller Changes

1. Buyers Market
On an inflation-adjusted basis ... it’s going to probably take eight to ten years to get hotel room rates back to where they were in 2007.
Mark Lomanno, President
Smith Travel Research

Price Integrity
Rate Transparency
Less Brand loyalty
1. Buyers Market
Trust!

Trust is
differentiator
2. Move from Transactions to
Relationships

2a. Relationship Sales: Hotel 2.0
Online footprint
Social mediainteractions
There B4 the Sale
Geo-location

2b. Relationship Sales: Social CRM
Process to monitor, engage & manage conversations &relationships with existing & prospective customers & influencers across the Internet, social networks & digital channels. ~ Mark Walsh

3. Reg List Lures

4. Buyers Still Stung by
Extravagant Label
Optimism up. Budgets not.
Incentive Research Foundation Pulse Survey Report, 8/2010

5. More For Less New Frugality
New Competitive Set
Buy up, not down
Packages

6. Group Biz Commoditized
RFP Overload
Grids
Selling brass & glass
More small biz

7. Billboard Effect
Expedia/Cvent

8. Push To Pull

Small Group Discussion
What struck most about buyers & seller changes?
42

Wave #2
Business Model Disruptors

9. Creative Destruction
Innovation
New ways to create value
Drive out old

10. Rise Of Free
Increased pressure to create value

11. Self-Organized Communities

12. 2011 Hotel & Airfare Rates Rise

13. No Longer Serves Us

14. Shorter Lead Times

15. Procurement Depts Taking
Over Incentive Travel
Incentive Research Foundation Pulse Survey Report, 8/2010

SMM
16. Smarter Buyers

17. C-Suite more involved in
decisions about
conferences & travel

18. Increased Demand ROI & ROO

19. Successful Shows
Continue To Grow
At expense of weaker shows

19a. Successful Shows See Growth
Reputation for best
Ed, Networking
Quality, Buyers
Innovation
Focus on programming

20. Exhibit Revenue Mix Changes
Traditional 85% booth, 15% sponsorship
Less booth, more sponsorship

21. Current Exhibit Biz Model
Not likely sustainable. ~ Doug Ducate
CEIR President & CEO

Which biz disruptors are impacting you?
58

Wave #3
Programming Pressures

21. Increased Pressure
Programming
Networking
New Products

22. Speakers With Substance In
Motivational out unless
Programming packed with relevance

23. Extending The Reach
Technology infrastructure
Helping your customers reach their customers beyond four walls of venue

24. Untraditional Room Setups

25. Your Conference Seen As
Connections
Conduit For

26. Three Audience Types
To Plan For
Novices: 1-5 yrs
Mature: 6-10 yrs
Experienced: 11 yrs >

27. Education Vs. Information
Is your programming
Information Dumps
Interactive Learning

28. Active Learning
67
when the learner
is involved in more
than just listening
to alecture.

How will new programming pressures impact you?
68

Wave #4
Attendee Expectations

29. Online Content & Communities
Threat or Opportunity

30. Monologues To DialoguesTo Polylogues

31. Participatory Culture

32. More Adult White Space

33. Problem Centric
Not Content Centric

34. One Size Fits All Out
Mass Customization

35. Attendee
Expectation
Free Wi-Fi

36. On-Demand &
Mobile Access

37. Green Continues
To Drive Decisions

38. Attracting
Younger Audiences

1) Identify four new consumer behaviors shaped by recession.
80

Pragmatic Spenders

2) Discuss trends disrupting the meetings industry.
82

Four Major Waves
4. Attendee Expectations

To expect a normal recovery cycle, whether it is corporate profits or lending or consumer spending or capital investment, or pick the category—increased meeting attendance, or association growth, or… is just notreasonable.~ Don Reynolds, Economist 21st Century Forecasting

Planning Meetings & Events…
Not A Piece Of Cake
85

Adult Ed & Meetings
86

Thank You

midlander1231
the|G|™
~Ilse
Don Solo
Daniel Henríquez
Leonard John Matthews
London Permaculture
cindy47452
mariotto52
topher76
SamikRC
kenyee
Xotoko
Ian Sane
cláudiagabrielamarquesvieira
Paloetic
Bob.Fornal
mrflip
Jimw
Ornellaswouldgo
khalidalmasoud
brentbat
Steven C Wilson
☼ Helder
!!sahrizvi!!
Stefan
Luxmart
fotomele
Thank You
Photo Credits
Stay Cool!

89
jhurt@velvetchainsaw.com velvetchainsaw.com @JeffHurt

http://jeffhurtblog.com	199
http://www.bizbash.com	16

Tides Of Change: Trends Disrupting The Meetings Industry

by Jeff Hurt on Sep 13, 2010

Accessibility

Tags

Upload Details

Usage Rights

2 Embeds 215

Statistics

Tides Of Change: Trends Disrupting The Meetings Industry — Presentation Transcript