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CHAPTER-1
INTRODUCTION
CHAPTER- 1
INTRODUCTION
1.1 Tourism Industry
MICE industry is one of the fastest growing segments within the tourism industry
generating millions in revenues for cities and countries across the globe. Since
tourism ranks amongst the biggest economic sectors worldwide, enterprises in the
travel industry carry an important place for business related travel. The prospects
for the MICE industry are looking very bright as the changing trends are clearly
indicating that this sector is making a steady comeback as the world economy has
started picking up. With the economy improving, there is once again a renewed
demand for exhibitions, meetings and events to showcase latest products or for
brainstorming sessions or simply for attracting clients. Countries are promoting
themselves as MICE venues to attract event organizers. The aim of the dissertation
is highlight the Economic benefits of MICE and to look at the future prospects of
this industry in India.
Meetings incentives are the integral parts of the hospitality industry because
meetings represent a very big business when that is done apart from usual working
environment. They require sleeping rooms for those who travel long distances and
food and beverage services for those attending them. In addition, the significant
time and expenses incurred by attendees require that the meeting be professionally
planned and managed to maximize their effectiveness. Business travel is bifurcated
into two broad categories, one being the individual business travel and the other
business tourism. Out of 80 respondents 25% believe that India has attracted them
because of destinations offering various sites for conducting meetings and
conferences. The new era of tourist believes in work with pleasure, so if the tourist
has come to attend a meeting in a destination then surely after completing his task
he would try and explore the other attractions that are available in that destination.
MICE tourism is a niche segment in tourism market, which has abundant potential
and is gaining significance worldwide due to the growth of business tourism. It has
target market of business clients traveling for various types of meetings. It
acquired the acronym MICE which stands for:
M- Meetings (all types of professional meetings arrangements)
I- Incentives (organizing of Incentive tour/ travel for corporates)
C- Conference /Convention (organizing of wide level type of meetings as
conferences and all arrangements)
E- Exhibitions/events (organizing of national, global level of exhibitions on
various exhibitions grounds)
MICE is also referred to as „Meetings or Events Industry‟. This segment is
accumulation of meetings, conferences, exhibitions, business activity, hotels,
airlines, cruise lines, various transportation, travel associations, professional
conference organizers, entertainment industries, tourism boards and professionals.
The travel sellers specializing in MICE are usually affiliated with large corporate
agencies because it requires advance planning and organization. There are
Conventions and Visitor Bureau (CVB), India Convention promotion Bureau
(ICPB), Destination Marketing Organization (DMO), Network of Indian MICE
Agents (NIMA), MICE India and Luxury Travel Congress (MILT) ,etc. which are
working for the promotion of MICE in India.
Historical Background of MICE
Meetings in ancient times were discussions of communal interests. Cities acted as
focal points. Rome, for example, hadits Roman Forum and In Latin, conferentia
means “to bring together” while auditorius means “a place to listen.”
In 1902, the first formal incentive travel programme was setup by the National
Cash Register (NCR), a U.S. company. By the 1960s, long-distance incentive trips
overseas came in to view. Nowadays, incentives evolved into events, commonly
held overseas, specially designed to attract people to achieve a specific goal.
Sometimes, training activities would also be included. Because of the expense
involved, incentive activity is tied to economic cycles. Companies who generate a
lot of revenue during good time scan organize longer trips at more expensive resort
hotels with higher-priced meals.
Countries and cities emphasize heavy investment in infrastructure development to
support industry development. National and local convention bureaus were set up
to actively promote their countries and cities as travel destinations. There are also
improved industry representation and co-ordination with the set-up of
organizations such as the Professional Conference Management Association,
Meeting Professionals International and more.
Tourism Industry has emerged as a vital sector in the process of economic
development and most importantly after liberalisation that tourism industry has
undergone tremendous transformation in all aspects of its growth. There has been a
perceptible change of outlook in the concept, scope, nature and dimension of
tourism. The concept of MICE (Meetings, Incentives, Conferencing and
Exhibitions) tourism is the result of globalisation and economic reforms in our
country. People have been gathering in the form of meetings since the beginning of
time. Archaeologists have found primitive ruins that were used for specific
gathering places by ancient tribes to discuss many topics including: hunting plans,
war-time activities, crop harvesting, or the planning of community celebrations.
Let us understand these terms as Meeting - general term indicating the coming
together of a number of people in one place, to confer or carry out a particular
activity. Frequency can be on an ad hoc basis or according to a set pattern, as for
instance annual general meetings, committee meetings, etc. Incentive - meeting
event as part of a programme which is offered to its participants to reward a
previous performance.
Conference - participatory meeting designed for discussion, fact-finding, problem
solving and consultation. As compared with a congress, a conference is normally
smaller in scale and more select in character - features which tend to facilitate the
exchange of information. Though not inherently limited in time, conferences are
usually of limited duration with specific objectives. Exhibition - Events at which
products and services are displayed.
Tourism is the world‟s largest industry, responsible for more than one in ten jobs
globally. In many developing and transition economies, tourism has emerged as
the dominant tool for economic growth. There will be ten billion international
travellers by 2020, according to the World Tourism Organisation. Business travel
accounts for approximately 14% of all international travel. Some countries rely
heavily on the MICE segment - 40% of Singapore‟s tourism revenue is from
MICE. Malaysia is specifically targeting the MICE market, running schemes such
as the „Meet and Experience campaign‟.
Mice planning and management industry has an extremely positive future. In
addition to the usual corporate meetings, trade show, conferences, the event
planning has also gotten involved in the advertising and branding efforts of their
clientele. There is a desire to move away from the conventional, so as to bring a
new definition to business with pleasure which brings in lot of opportunities as
well as demand for the tourism industry.
The establishment of professional associations also gives a useful, objective
insight into the origination of the industry. The following are some of the most
significant associations in the meetings industry, with the year of their foundation
given on the right side:
International Association of Exhibitions and Events (IAEE) 1928
Professional Convention Management Association (PCMA) 1957
Association International des Palais de Congres (AIPC) 1958
International Congress and Convention Association (ICCA) 1963
European Federation of Conference Towns (EFCT) 1964
International Association of Professional Congress Organizers (IAPCO) 1968
British Association of Conference Destinations (BACD) 1969
Meeting Professionals International (MPI) 1972
Meetings & Events Australia (MEA) 1975
Association of British Professional Conference Organizers (ABPCO) 1981
Meeting Industry Association (MIA) 1990
Source: FICCI – MRSS Whitepaper on MICE Tourism
As from 1960, there followed a continuous growth of investments into the
infrastructure with the purpose to support conferences, conventions, meetings and
events. These investments amount to dozens and hundredths of millions of pounds.
Some of them, in Great Britain: the Sheffield Arena (capacity 12.000, 45 million
pounds), the National Arena, Birmingham (capacity 13.000, 51 million
pounds), the Wales Millennium Centre, Cardiff (capacity 19.000, 104 million
pounds).
Investments were made also in North America, Australia and Africa (especially in
South Africa).
Sava Center in Belgrade, the largest convention and business centre in the region,
was built in 1977 with a capacity to host up to 4000 delegates.
Such investments continue also today, some of them are large, with both economic
and social significance, offering their town and country the opportunity to position
itself on the map of international events.
1.3 MICE Tourism
MICE (Meeting, Incentive, Convention and Exhibition) sector consists of related
diverse meetings, incentives, conventions and exhibitions activities including
conferences, congresses and trade shows. This sector has been regarded as one of
the most dynamic and important sector of the tourism industry that focuses on
business activities rather than leisure.
Table 1.1
Detailed Structure of Mice
Event Type Description Example
Meetings
Gatherings Open only to
employees or representatives
of specific organizations. They
are typically small in scale
often note more than 10 Person
A meeting that a car
manufacturer may hold off site
to discuss its plan for launching
a significant new product
Incentives
Events Typically held to
reward employees for excellent
performance
An all expense Monte Carlo
that a leading global company
may offer to its 100 highest
producing sales people
Conventions
Get together that are focused
on sharing expertise or
exchange ideas.
The 26th
Congress of the
International Associations of
individual psychology held in
Paris in July 2014
Exhibitions
A show of product or service
for a specific industry. B2B
exhibitions are usually
CeBIT the Computer industry
show in Hannover, Germany, is
an example of B2B exhibitions
professionals the chance to
gather information and do
some networking. B2C
exhibitions are open to all and
give companies a chance to
showcase their products
The Consumer electronics
show is an example of B2C
exhibitions
Source: FICCI – MRSS Whitepaper on MICE Tourism
It has been cited that within tourism, meetings and conventions are one of the
fastest growing segments (Weber & Ladkin, 2003). Among several reasons given,
the main reason is being the economic benefits for the destination and community
as well as improving the destination image (Opperman 1996). As the presence of
conventions center, it makes delegates spend more economically, stay longer and
not solely spending on hotel and restaurant but on leisure activities such as retail,
events, and visits to local attractions such as museums and theaters (Clark, 2004).
However, some researchers commented that an economic study by itself may only
provide a limited overview of the economic benefits of a convention for the area
and should be examined within the context of noneconomic factors such as social,
environmental, cultural and destination image impacts (Morgan & Condliffe,
2006). The MICE industry now spans the globe with increasing competition from
established and emerging markets, which has given greater need to address and
consolidate several strategic issues to remain competitive (Weber & Ladkin,
2003). Factors highlighted were marketing, infrastructure, human resource
management, and service quality issues (International Congress and Convention
Association, 2016).
1.4 Purpose of Study
The aim of this study is to understand the current market dynamics of the MICE in
India in terms various segment specific values (meeting, incentive, conference &
exhibitions) and to evaluate the role of ICPB in promoting MICE tourism thereby
suggesting the structure keeping in mind the world best practices followed. The
current study has been carried out using extensive secondary research along with
interviewing more than 700 stakeholders spread across 12 MICE destinations to
arrive the study objective.
Based on extensive secondary research coupled with information collected through
face to face interviews across more than 700 odd respondents spread across 12
MICE destination in India, the highlights of the study are stated below:
- There is immense opportunity to grow but lagging due to inadequate marketing
and communication by stakeholders of MICE India, which needs to be realigned.
- India has sound infrastructure in terms of hosting MICE events but there is a
need for proper co-ordination and cohesiveness across different stakeholders for
seamless implementation. The good news is the fact that India is identifying and
adding cities wherein MICE can be a top draw to boost tourism and pep up
economy of the particular location. These cities already have a good infrastructure
as far as hosting conferences are concerned and/ or in the process of development.
What needs to be done is to improve upon the connectivity, up skill people,
empower local level organizations and grow the ecosystem in a focused way. As
per latest statistics available from ICCA, the following cities of India has
contributed immensely in improving rankings for India .
 New Delhi – grew by CAGR of 13.9% for a 5 year period
 Mumbai – grew by CAGR of 3.7% for a 5 year period
 Bangalore – grew by CAGR of 14.5% for a 4 year period
 Hyderabad – grew by CAGR of 8 % for a 3 year period
 Chennai - grew by CAGR of 9.3% for a 5 year period
 Goa – grew by CAGR of 4.7% for a 5 year period
- The estimated Global market size for MICE is in excess of USD 808 Bn in 2017
which is going to touch down to 1200 bn in 5 years from now. The estimated
market size of MICE in India is Rs37576 crores in which nearly 60% comes from
MIC i.e. meeting, incentive and conference. It is also important to mention that
65% are B2B events. The estimated market size from Event is in the tune of Rs
4800 crores from space rental but it has multiplier impact to economy in terms of
accommodation, traveling, communication and advertisement, remuneration to
skilled work force etc.
- It is recommended that the concept of sustainable and exclusive MICE tourism to
be adopted and practiced. This is essential to understand the different situational
analysis through case studies from around the world to make it a resounding
success. Introduction of concept of customized travel experiences, luxury spa
sessions, rare animal sanctuaries, religious pilgrimage tours are what the foreign
travelers believe in. There is enough opportunity in India to promote medical,
wellness and spiritual tourism in the state. MICE destinations should be
encouraged as tourism for the purpose of Meetings, Incentives, Conferences and
Exhibitions are no longer limited to big cities. Major markets of inbound tourism
should be targeted for this exercise.
- The need of the hour is to promote India as one the most important MICE
destination by way of revamping existing ICPB structure. The role should be more
for promotion of India as MICE destination to international community and bid for
the international conference with the help of experience and expert PCO / Expert
of that particular field. After having a thorough review of the structure and
function of the different Convention Promotion Bureaus (CPB) in the world it has
been emerged that most of the CPB are Government Controlled / Autonomous
bodies which are professionally run by full time individuals & their roles and
responsibilities are mainly to position City as prime MICE destination & work in
tandem with PCO/ Expert/ Event Management companies. Respective
Governments normally allot sufficient funds for marketing and communication so
that they can bring more international events in the city. Therefore, in India there is
a need to inject sufficient fund at both Head office level as well as Destination
office. The amount may be worked out after preparing an action plan to promote
India MICE to different level.
1.5 Significance of the Study
 Identify conference opportunities
 Secure a local host to lead the bid and financially underwrite the bid
 Liaise with government and industry leaders to obtain support
 Develop bid strategies, prepare bid documents and presentations
 Prepare business cases, competitor analysis, preliminary budgets and
risk analysis
 Coordinate site inspections for key de
As far as the constrains faced in Indian MICE industry is concerned, Lack of well-
defined policies, structure of the promotion bureau, lack of Government support in
pre/ post event area are the major bones of contention. On the other hand,
constraints faced by ICPB in promoting India MICE Brand are due Funding
Issues, lack of Manpower, Absence of Marketing and lack of bidding experience
seem to dominate. Specific Guidelines need to be drafted specifically for MICE
and to be included in National Tourism Policy.
The existing financial and non-financials schemes need to relook and should be as
per the industry practices. Current MDA scheme applicable only for the active
members needs to re-look in terms of both target beneficiaries as well as the
amount to be given.
Like other countries, there is a strong need to inject financial and Non-Financial
assistance scheme so that different host associations would be interested more. The
details have been discussed in the main report.
There is requisite to hire professionally skilled person to the proposed new ICPB
format in India. Also on deputation, officials in different target overseas countries
need to be assigned with specific target to generate MICE business with the help of
local consultant.
A visitor should go back with enriched in knowledge and a sense of a great
experience after traveling to India. New tourist destinations may be identified and
further developed for offering innovative tourism products or experiences. MICE
Tourism can be used as appropriate tool to make India an attractive location so that
the foreign travelers may keep coming back to India repeatedly.
1.6 Objectives of the Study
1. To study the present scenario of MICE industry in India
2. To study the MICE an emerging Hospitality Segment
3. To analyze the potentiality of MICE Tourism in India
1.7 Research Methodology
The data if taken from secondary sources by way of extensive literature review of
books, journals and other also concerned websites it was carried out to gather
background information about the general nature of the research problem.
Secondary data has been collected from companies and trading websites, Journals,
Books and Tourism related websites.
1.8 Limitations of the Study
1. The study is restricted to India.
2. The time period for the project was limited and access of information is also
limited to Books, Internet and Journals.
3. The Reserved does not identify relationship.
References
 Anon, 1993, “The Impact of Association Meetings”, Association
Management
 Cesario, F., Var, T. C. & Mauser, G., 1995, “Convention Tourism
Modelling”, Tourism Management.
 Davidson, R., 1994, “Business Travel”, London: Pitman Publishing.
 Dwyer, L., and Forsyth, 1997, “Impacts and Benefits of MICE Tourism: A
framework for analysis”, Tourism Economics.
 Fenich, G. G., 1997, “Conventions, Centres and Meetings: An analysis of
the Past Decade”, Visitors in Leisure and Business. 16(4), Winter.
 Gade, J. and Ankathi, R. Tourism Management Philosophies, Principles
and Practices. Hyderabad, India: Zenon Academic Publishing, 2016, pp
402.
 Goldblatt, J. J., 1997. “Special Events: Best Practices in Modern Event
Management”, 2nd Ed. New York: Van Nostrand Reinhold.
 Jack D. Ninemeier, Joe Perdue, 2005, “Discovering Hospitality and
Tourism”, Pearson Education Inc.
 Lynn Van Der Wagen, Brenda R. Carlos, 2005, “Event Management”,
Pearson Education, Inc.
 Newindianexpress.com. „MICE Sector on a rise in India‟, Oct, 2017.
[Online]. Available http://www.newindianexpress.com/cities/hyderabad/2
017/ oct/ 25/ mice-sector-on-a-rise-in-india-1683125 [Accessed: 23-7-2020]
 Walker J. R. and Walker, J. T. Tourism Concept and Practices. Noida,
India: Dorling Kindersley Pvt, Ltd, 2011, pp 294,295.
 Walker, J. R. Exploring the Hospitality Industry. Harlow, England: Pearson
Education Ltd, 2012, pp.300.
CHAPTER- 2
REVIEW OF LITERATURE
CHAPTER- 2
REVIEW OF LITERATURE
The importance of MICE is well reflected from researches taking place throughout
the world. Due to its multiplier effect it has great significance in economic
development of any nation. But for this, a huge infrastructural development is
needed. MICE tourism has high expectations for the host place, it must possess the
modernized exhibition venues, convenient traffic, accommodation of different
grade, beautiful urban environment etc. (Xinli Xie & Qunchao Lu, 2006). This is
supported by state studies of various centres.
Singapore had 3,245 MICE events, up 7.8% and won 79 new because of good
infrastructure is in place, efficient transportation networks, the latest information
technologies and world class hotels. It says its superb conference and exhibition
facilities as well as the premier shopping; dining and sight-seeing attractions
provide the perfect complement to the conference experience (Singapore Tourism
Board, 1999). Colliers International, (2008) puts Dubai„s share in Middle East
region MICE tourism at 30% of overall tourism visitor mass.
IMEX research (2006) in its research identifies Germany as a MICE venue is
rated on 10 factors. These are well organized, efficient and punctual, quality of
public services, multi-cultural and tolerant society, reputation as a business-
oriented destination, experience, reliability of transport, major airports,
international outlook, professionalism of destination marketers and PCO„s &
technical know-how. This clearly shows the importance of MICE services &
facilities.
BCVB (2005) identifies Bulgaria has USP of MICE tourism is due to Accessibility
(280 flights weekly), Accommodation (1500 rooms), Packages, & Entertainment
(150 restaurants & clubs) Infrastructure.
Business Tourism Partnership (U.K)(2003), highlight that in U.K the
investments in a destination„s infrastructure designed primarily for the MICE /
Business tourist (hotels, transport and communications facilities, restaurants,
attractions and amenities, even conference auditoria) provide benefits which can
also be enjoyed by the leisure tourist and the indigenous population.
Asia pacific MICE magazine (2008) in an interview with Frederic Bardin is Vice
President of Arabian Adventures and Congress Solutions Dubai says that
unprecedented expansion of Dubai„s tourism and MICE infrastructure has
prompted further development of Arabian Adventures. Now there objective is to
make Dubai as world„s leading MICE destinations. It is perfectly positioned to
capture business from Europe, the US and Asia. We have over 105 airlines now
flying to Dubai every week so it„s very difficult to beat. Hong Kong, which is
considered a hub, for example, has around 50-60 airlines flying in every week. We
can get 40,000 to 45,000 people in to Dubai within three days for mega events.
Kaisheng Zeng, Xiaohui Luo (2008), studies finds that Beijing Olympic Games
has given a tremendous boost MICE reason the improvement in transportation and
made travel more economically feasible. The increasing number of low cost
airlines around the world also provides an alternative for travellers. Further they
adds that the experiences and the ―legacy‖ of the Games, such as the large
population of trained workers during the Games and the facilities used by the
Games, will benefit China„s MICE tourism industry, which will, in turn, stimulate
China„s inbound tourism
GIBTM (2009) identifies the top twelve most important influencing factors when
placing an MICE event in the Gulf/ Middle East. Which are Cost , Quality of
accommodation, Quality of meeting facilities, Quality of service, Overall appeal of
the destination ,Travel time to destination, Time of year, Security/safety,
Availability of hotel rooms/venues, Visa procurement, International air routes &
Weather.
Government of India’s National Action Plan (1992) proposed that convention
and conference tourism had great significance and therefore to encourage
convention tourism, it was desirable to set up fully integrated convention
complexes so that, more and more international conferences and conventions could
be attracted to India.
National Tourism Policy, Government of India (2002), mentions that India,
despite its size, significance and attributes with world cities such as New Delhi and
Mumbai, receives a minuscule proportion of global meetings, incentives,
conventions, exhibition (MICE) market with only 97 international conventions
bringing approximately 25,000 people in 2001, therefore, it is imperative for
India„s tourism development but also for development of international and
domestic trade and commerce, that India construct a world class international
convention center in Mumbai.
WTTC (2003), ―The MICE segment will be the important driver for corporate
travel in India, enhancing traffic to key cities Mumbai and Delhi, while increasing
traffic to emerging nodal towns like Pune, Hyderabad and Bangalore.‖ In line
with this, in the year 2005 Budget Speech the Finance minister of India has shown
intention of setting up of world-class convention centre at New Delhi, Jaipur, Agra
and Mumbai on the basis of Public private partnership (PPP) format.
MICE in ASIA Magazine (2008, Jun) India enter into MICE tourism in 1991
with the start of economic reforms. As the economy starts flourishing, the country
has started upgrading its MICE facilities. Hyderabad International Convention
Centre (Hyderabad), Epicentre (Gurgaon), India International Expo Centre
(Greater Noida) is few states of art world class facilities to name few.
Department of tourism (2003) in ―20 year Perspective Tourism Master Plan for
Chandigarh‖ has suggested few strategic projects develop Chandigarh which
include to transform the Chandigarh into convention city to attract the MICE
segment. ICPB (2007) in its newsletter has mention Chandigarh as an important
MICE destination. Punjab tourism (2011) has already invited bids for the
construction of convention venue at Mohali near Chandigarh with a capacity of
3000 persons. From the above review it emerges that Chandigarh can play a
significant role in MICE tourism as this is one of the fastest growing fields.
Walker J. R. and Walker, J. T. (2011), The MICE segment is a very profitable
industry, statistics point to the fact that the average MICE tourist spends double the
amount of the other tourist expenditures. People have gathered to attend meetings,
conventions and expositions (exhibition) since the ancient times, mainly for social,
sporting, political or religious purposes. As cities became regional centers, the size
and frequency of such activities increased and various groups and associations set
up regular expositions .
Walker, J. R. (2012), The incentive meeting of MICE continues to experience
rapid growth as meeting planners and travel agents organize corporate incentive
travel programs to reward employees for reaching specific targets. Incentive, trips
generally vary from three to six days in length and can range from moderate trip to
an extremely lavish vacation for the employee and his/her partner. The most
popular destination for incentive trips is Europe, followed closely by the
Caribbean, Hawaii, Florida and California and now many other destinations are
booming as well. Goa, Kerala, Agra, Rajasthan, Andaman and Nicobar Islands,
etc. are the popular incentive tourism destinations in India.
MICE tourism in India is continuously growing and increasing its meetings,
incentive, conference & exhibition facilities. There has been 15 to 20% of annual
growth in the inbound MICE segment with an estimate of Rs. 8500 crores
annually. The ranking of India is 31st in global meeting market as published by
ICCA (International Congress and Convention Association).
The Union Government has set an ambitious target for MICE INDIA to achieve
2% of the global MICE market share by 2025, from an insignificant current share
of 0.5%. Delhi, Chennai, Bangalore and Hyderabad are also among the major
cities that had hosted major events. According to panelists, a conference traveler,
on an average, spends $ 1511 a day during four-day stay compared to $600 spent
by an inbound leisure traveler staying for the same duration. As per industry
estimates the global MICE market supports 4, 00,000 conferences and exhibitions
worldwide, making it an annual US $280 – 300 billion market.
Gade, J. and Ankathi, R. (2016), India has a good combination of the
infrastructure like accommodation, business-conference facilities and destination
attractions. Some cities have a good support facility to hold successful conferences
and exhibitions like Bombay Exhibition Centre, New Delhi-Vigyan Bhawan, and
Bangalore International Exhibition Centre, Kochi International Exhibition Centre
and many business hotels and resorts with all the required business facilities. The
Indian railways and airlines are providing a good platform to visit the rich
destinations of India for incentive travel. The diverse culture and geography of
India is adding to the incentive travel business in India making it one of the
emerging incentive destinations.
India is also been targeted by other countries for its contribution in their country‟s
market share. As stated by Indiainfoline, India is estimated to generate 6.5 Million
outbound luxury and MICE tourists annually by 2020, reinforcing the country‟s
influence as a key source market for MICE and luxury travel, according to figures
published ahead of the 5th Annual MICE India and Luxury Travel (MILT)
Congress .
Jussi Ramet and Anne Tolvanen (2010) reported that tourism is one of the most
dynamic industries globally, and within this, the eco- tourism is considered to be
growing most rapidly. The impacts of tourism are multifarious. From an ecological
standpoint, tourism poses a threat to sensitive environments. Hence, sustainable
tourism is a highly disputed issue, involving differing values and complex power
relations within and between stakeholders. So it is necessary to identify the
principles of sustainability that will be achieved through community control and
those implemented by the government.
References
 Gade, J. and Ankathi, R. Tourism Management Philosophies, Principles
and Practices. Hyderabad, India: Zenon Academic Publishing, 2016, pp
402.
 Walker J. R. and Walker, J. T. Tourism Concept and Practices. Noida,
India: Dorling Kindersley Pvt, Ltd, 2011, pp 294,295.
 Walker, J. R. Exploring the Hospitality Industry. Harlow, England: Pearson
Education Ltd, 2012, pp.300.
 Newindianexpress.com. „MICE Sector on a rise in India‟, Oct, 2017.
[Online]. Available http://www.newindianexpress.com/cities/hyderabad/2
017/oct/25/mice-sector-on-a-rise-in-india-1683125 [Accessed: 23-6-2020]
 Indiainfoline.com,„India to Generate 6.5 Million Outbound Luxury and
MICE Tourists Annually by 2020‟, 2017. [Online]. Avaliable:
https://www.indiainfoline.com/article/news-businesswire-finance/india-to-
generate-6-5-million-outboundluxury-and-mice-tourists-annually-by-
2020117062400157 [Accessed: 23-6-2020]
 Jussi Ramet, Anne Tolvanen, Kinnunen, Anne torn, Markku Orell and
Pirkko Siikamaki, (2010), “Sustainable Tourism”, In Anil Varma, (Ed),
emerging trends in Tourism, The Icfai University press, Hyderabad, p.149.
CHAPTER-3
AN OVERVIEW OF MICE TOURISM
IN INDIA
CHAPTER-3
AN OVERVIEW OF MICE TOURISM IN INDIA
3.1 MICE Tourism at Present
a) Evolution of the concept in India
MICE Tourism has been existing in India since time immemorial. The kings and
the emperors used to host lavish gatherings at their palaces for a long time. This
accentuated in the British era and further shaped up in the post-independence era,
with the advent of the 5 star accommodation units across the country. Hosting of
large scale sporting events like the Asian Games in 1951 and 1982 and the
Commonwealth Games in 2010 further showcased India‟s ability to successfully
host events like this. With the formation of ICPB in 1988, further momentum was
received for this segment of the industry. With the MICE industry entering a
maturing phase and the focus shifting from Europe to Asia Pacific region, India is
on the cusp of a major breakthrough, an advantage to become a leader in MICE
tourism in the Asia – Pacific region.
b) India’s relative positioning over last few years
As per ICCA rankings, India has improved its position substantially in the recent
times, when it hosted 175 meetings in 2017 compared to 143 for the previous year,
thus leaping and improving its position by seven positions. A vivid analysis of 5
year data indicated that India has infact reclaimed its position, which it maintained
in the year 2013, albeit with a hosting of lesser no. of meetings.
c) Overview of Infrastructural amenity
Infrastructural amenity in India is at par with the most of the developed countries
and in some metro cities it is excellent to say the least. A snapshot is presented in
the Table below for Kind reference.
Table 3.1
Overview of Infrastructural Amenities
MICE Venue Infrastructural
Amenity
Evaluation
Venue
5 Star Hotel
India has 357+ Hotels in the 5 star category and
a few more upcoming in the different cities.
Majority of them Stand out in terms of service
provided, which are of truly international
standards. A few of the hotels are also
unclassified but continue to be excellent venues
for MICE
4 Star Hotel
India has 278+ Hotels in the 4 star category and
a few more upcoming in the different cities. A
few of the hotels are also unclassified or have
not renewed their classification but continue to
be excellent venues for MICE
Convention 69 Convention centre are located in India
Source: FICCI – MRSS Whitepaper on MICE Tourism
d) Opportunities for MICE tourism in India
The Opportunities which play advantage for MICE Tourism in India can be
summed up in the following points as depicted in the figure below:-
Strengths of India MICE Brand
 An array of exquisite destinations
 Old world tradition mixed with cosmopolitan sophistication
 Exotic accommodation & conference infrastructure
 Elaborate internal Surface transport and communication network
 Better connectivity with the world
 Treaties with the developed countries to develop its tourism sector
 Evolving and maturing business scenario
 Educated and skilled manpower
 Avalability of relatively cheap labour
 Make in India, Start Up India, Tax reforms to spruce up investment scenario
 Government focus on ease of business and promotion of tourism
 MICE Tourism worldwide trends showing India as preferred destination
e) Major Destinations
FICCI – MRSS had published a whitepaper in 2016 titled “India Inbound MICE
Tourism, trends and opportunities 2016” and subsequently a report title “MICE
Tourism – Powerhouse of New Era” which had identified a few destinations as
depicted in the diagram below. What is encouraging to see is the fact that a few
more destinations had already made its name into the key destinations that could
develop as future brand ambassadors for MICE Tourism in India and could place
India formidably in the map of MICE Tourism.
f) Segmentation of States in India based on MICE Tourism potential
MRSS team of experts conducted a thorough analysis of the initiatives undertaken
by different states and has segmented them into the following categories based on
their USP in MICE context, initiatives undertaken and focus to improve upon
MICE tourism in the State.
g) ICPB and it’s role in evolution of MICE in India
The India Convention Promotion Bureau (ICPB) has been set up under the
patronage of the Ministry of Tourism to promote India as a convention destination.
The ICPB is a non-profit organization with membership comprising of
representatives of national airlines, hotels, travel agents, tour operators,
Professional Conference Organizers, State Governments, etc. Ever since its
inception, ICPB has been bringing together the who‟s who of the travel trade and
under the aegis of Ministry of Tourism, Government of India has been playing its‟
subtle role in the Convention business in India. A critical evaluation of ICPB in the
current context indicates the following strengths and weaknesses for the
organization.
Strengths and Weaknesses of ICPB
Strength Weakness
Experienced professionals in the
industry
Lack of focused marketing
initiatives
Wide gamut of participating
Organization
Lack of dedicated full time
leadership team
Lack of business intelligence / information
Lack of revenue generation scope resulting financial constraint
Steep membership fees.
Source: FICCI – MRSS Whitepaper on MICE Tourism
The concept of ICPB in the wee years of MICE as a trade was indeed a visionary
step but what India has seen over the years is only an organic growth in the trade.
The organization has also not evolved and adapted as per the changing demands of
the trade. As it was observed in case of other boards and convention bureaus
adaptation and transformation is the key of the hour, which needs to be
implemented to gain positive traction in this business.
3.2 MICE Destinations in India
The MICE industry in India, though well equipped to take on its' immediate
neighbours and in certain cases the Global warhorses, has to trudge a long path
before it comes up as a “Top of the mind” destination amongst global MICE
organizers. As per ICCA, India occupies 35th position in the world, with a total of
116 Global conferences organized in the year 2014 -15. In this category the global
leaders include USA (831 meetings), Germany (659 meetings), Spain (578
meetings), United Kingdom (543 meetings) and France (533 meetings). In terms of
immediate neighbours, only China (332) leads at the world stage, Other
competitors like Taipei (145), Singapore (142), Malaysia (133) and Thailand (118)
are within the striking range.
India‟s travel and hospitality sector has witnessed an upward trend in the past
couple of years. It is expected to generate well over 2 million outbound MICE and
luxury tourists per year by 2020, and can emerge as an important market for MICE
travel. MICE tourism has enabled India to develop better infrastructure, improved
rail, road and air transport and making it unique as well as excellent destination.
The local market segment has been dominated by domestic players like OYO and
MMT but they are also moving across borders to attract new clients for them.
The MICE Industry is required to bring new ideas and clients to our country which
can increase sale and revenues. The specialized industry meets unique need of
companies and the service industry is essential to bring trade, transportation, travel
and finance together. Social media promote MICE business to increase awareness
and to improve customer service.
India is developing fast and becoming the most preferred destination due to its
unique warm hospitality, rich historical and cultural heritage, exotic business
hotels, advanced technology and providing best infrastructure. India has been
holding trade shows, exhibitions and events. Some major MICE destinations of the
country are:
Delhi
The capital city of India is one of the preferred MICE destinations in India. It
offers a unique blend of culturally rich old Delhi and the very cosmopolitan New
Delhi. From historical monuments to huge shopping malls/markets, the city is a
traveller‟s delight. Some of the city‟s charms include historical sites like the Red
Fort, Jama Masjid, Purana Qila, etc. It has famous temples such as the
Akshardham Temple, the Lotus Temple, and the ISKON Temple.
Delhi is overwhelming with the number of things it can offer, be it the food,
history, or the cosmopolitan appeal. That is why this city is the first to come to the
top MICE destinations in India. The city is well connected from all over the world,
making it easy to travel. Similarly, the well-established and extensive Metro
connectivity makes it easy to travel within the city.
Delhi has several top-notch ballrooms and convention centres suitable to organize
a world-class MICE event. Some of the top MICE venues in Delhi are Ashoka
Hotel (capacity 2000), Taj Palace (capacity 1000), Park Royal (capacity 900),
Habitat World (capacity 500), etc. Likewise, the city has many hotels, inns, etc. to
take care of delegate accommodation.
The capital city Delhi remains a favourite MICE destination due to world class
infrastructure, ancient monuments and availability of excellent shopping centres.
Some popular business meeting venues include the Habitat World Convention
Centre, Vigyan Bhawan and the convention hall at The Ashok.
Bengaluru
The capital city of Karnataka and undoubtedly the “Silicon Valley”, Bengaluru is
among the fastest-growing metropolis of the country. As a result, its inclusion in
this list is quite natural. Being a major IT hub, Bengaluru is home to multi-
national companies. So infrastructure-wise it has the best amenities in place. From
some beautiful tourist spots to hordes of eateries and restaurants, it has everything
to keep your delegates entertained. Hence, Bengaluru makes in our list of top
MICE destinations in India.
Kempegowda International Airport has connectivity from all around the world.
Whereas to travel inside the city metro is the best option. Also, Bengaluru is
blessed with an all-year-round pleasant climate. Cubbon Park, Banglore palace,
Lal Bagh, the national park, and commercial street are some of the favourite tourist
spots.
JW Marriott Hotel, The Ritz-Carlton Spa, Four Seasons Hotel Bengaluru, Shangri-
La Hotel, The Leela Palace, The Taj are some of the few 5-star properties in the
city with amazing banquet facilities for corporate events. Similarly, Bangalore
International Exhibition Centre, Manpho, NIMHANS, Pai Vista etc are among the
renowned convention centres in Bengaluru.
Mumbai
The commercial capital of the country, “Mumbai” is considered one of the best
places for international delegates to visit. The charming city has many tales to tell.
Whether it is the glamour of Bollywood or the beauty of its beaches or the lip-
smacking street food it offers, Mumbai attracts people with varied interests in the
city. It has some of the best shopping markets. India‟s iconic monument, “The
Gateway of India”, Marine Drive, Colaba Causeway, Juhu Beach, Siddhivinayak
temple, Haji Ali Dargah etc are some of the places of interests.
Being one of the busiest cities in the world, the Chhatrapati Shivaji Maharaj
International Airport is well-connected to all major cities around the globe.
Similarly, there are many hotels near the airport which are great to organize
corporate events. While The Lalit (capacity 3000) JW Marriott (capacity 1500),
The Taj Mahal Palace and The Leela Mumbai offer premium banqueting facilities
for corporate events, Bombay Exhibition Centre and Nesco Centre Hall are
versatile and multi-functional.
Being the financial capital of the country Mumbai attracts national as well as
international meetings and conferences. It is a city with availability of best human
resource and infrastructure. The city is constantly coming out with new
experiences, and enhancing already existing ones, keeping in mind the evolving
needs of the MICE tourist.
Chennai
Chennai, capital of Tamil Nadu state, is on the Coromandel Coast of the Bay of
Bengal. Considered as the “Gateway to South India,” Chennai is a major cultural
and administrative centre. Blessed with a long coastline, it has many beautiful
beaches. Also, the city has several ancient Dravidian style temples, cathedrals, and
monuments influenced by British architecture.
In the last two decades, software development and electronics manufacturing
contribute to the bulk of the city‟s economy. As a result, many tech parks which
serve as offices to several global companies are found across the city.
Travelwise, Chennai international airport is well connected. The new (CCC)
Chennai convention centre and Chennai Trade Centre offers world-class amenities
to organize huge trade shows and exhibitions. It can host up to 2000 delegates.
There are various other hotels like The Hilton (capacity 550), ITC Grand Chola
(capacity 100), The Leela Palace (capacity 1500), Hyatt Regency (capacity 1000)
etc are some of the luxurious venues for MICE meetings.
Tamil Nadu government has come up with the Chennai Convention Centre (CCC)
to promote the world-class business tourism. The CCC has an air-conditioned
banquet space can hold 2000 delegates at a time and hence becomes suitable for
mega-scale events.
Hyderabad
Hyderabad is one of the fastest-growing city owing to its lucrative trade policies.
It is called the information technology hub of India. The city has beautiful weather
conditions and attractive infrastructure. Some of the city‟s charms include Char
Minar, Golconda Fort, and Ramoji film city etc. It has famous temples as well like
Chilkur Balaji temple and Birla mandir. And while you are in Hyderabad, do not
miss to taste the famous Dum Biryani and shop for exquisite pearls.
To reach Hyderabad, Rajiv Gandhi International Airport is the best way. The well-
connected metro is another way to travel around the city. The International
convention centre (capacity 6000), Hyderabad International Convention Centre,
Novotel Hyderabad Convention Centre, HITEX Exhibition Centre, Hyderabad
Marriott Hotel and Convention Center (Capacity 2000) are some of the top MICE
venues in the city.
The pearl city Hyderabad is an information and technology hub of India. Studded
with numerous heritage monuments, the heritage city Hyderabad has come up with
a sophisticated business venue, Hyderabad International Convention Centre –
HICC. The lavish HICC is able to meet the requirements of a convention of 5000,
a seminar for 500 or a meeting of 50.
Kolkata
Capital of West Bengal and India‟s third-largest city, Kolkata is an amalgam of the
old and new. Known as a commercial and educational hub, Kolkata is considered
as India‟s artistic and cultural capital. Being a pioneer in arts, theatre, and drama
Kolkata attracts a lot of tourism. Through a long association with the British, the
city has many marvellous Victorian architectures and colonial buildings. Victoria
Memorial, Fort William Kolkata, Howrah Bridge, and St. Paul‟s cathedral etc are
definitely worth a visit. Similarly, the dining scene at Kolkatta is very happening
too. And if you are a fish-eater, you will absolutely love the restaurants in Kolkata.
Being an important metro city, reaching Kolkata is not an issue as it has a great
flight, rail and road connectivity. Biswa Bangla Convention Centre is one of the
largest convention centres in South Asia. Other premium venues for an excellent
experience in meetings and conferences include The Westin (capacity 1500), ITC
Royal Bengal (capacity 3500), Aauris, Novotel, Swissotel Kolkata, Hyatt Regency
etc. In fact, the city has several good banquets and halls.
Kochi
The coastal city of Cochin or Kochi is Kerala‟s commercial capital. The vibrant
yet serene city offers everything from historic gems to exotic beaches. Today, this
port city is a growing hub of information technology, health services, shipbuilding,
and tourism and is among the fastest-growing second-tier metros in the country. It
is a culinary delight for seafood lovers and can make your journey even lucrative.
Some of the must-visit places are Mattancherry Palace, Fort Kochi, Willingdon
islands, etc.
Cochin International airport is best to reach here from all around the world. To
travel around the city, metro and taxi are the best options. Bhaskareeyam
convention centre (capacity 500) and Le-Meridian (capacity 500) are among the
top venues to host MICE events.
Agra
A favourite tourist destination, Agra is also an amazing destination for MICE
events. Apart from the world-famous and mighty Taj Mahal, Fatehpur Sikri, Agra
Fort, Mehtab Bagh, and the tomb of Akbar are among the other beautiful sites in
the city.
To reach Agra, Pandit Deen Dayal Upadhyay Airport is the best and fastest route.
Taxi, rental cars and buses are the best ways to travel inside the city.
The Jaypee Palace Hotel convention centre can hold up to 1500 delegates at once.
Other banquets halls ideal for conferences and meetings are The Oberoi
Amarvillas (capacity 100), ITC Mughal (capacity 250), Trident Agra (capacity
1300). As a matter of fact, the city has many banquet halls that provide a pleasant
meeting environment.
Goa
Being one of the most visited places in India, Goa is known for its balmy beaches,
scrumptious cuisine and Portuguese heritage. As a result, the tourism and
hospitality industry is well developed. There are many beaches that one can
explore, from the busy ones to the isolated ones. While the popular Sunburn
festival happens in the last week of December every year, the other carnivals
usually happen between January and April. If you have a keen interest in adventure
and water sports, this place will not disappoint you.
Dabolim airport offers good connectivity from all around the world. Vivanta by
Taj (capacity 300), The Crown Goa (capacity 200), Le Meridian etc has multiple
indoor and outdoor banqueting facilities suitable to hold a conference or a meeting.
Jaipur
The pink city of India, “Jaipur”, is known for its abundant palaces and forts. Some
of the major tourist attractions in the city include the Jantar Mantar (the royal
observatory), the honeycomb styled Hawa Mahal and the grand Amber Fort. The
city markets are full of crafty and colourful things unique to the Rajputana culture.
JAI Or Jaipur Airport is the best way to reach here from other places. Metro is the
fastest way to explore the beauty of the pink city. The Jaipur Convention Center
can host up to 8900 delegates and provides a luxurious experience. Similarly, the
luxury hotels and palaces like ITC Rajputana (capacity 550), The Lalit Jaipur
(capacity 200) offer the best hospitality experience. With so much to explore and
do, Jaipur is definitely one of the sought after MICE destinations in India.
Noida
Noida is a planned city in India‟s northern state of Uttar Pradesh. A gem in the
outskirts of Delhi, the city is growing at a fast pace in terms of everything. The
Buddha International circuit holds Indian Grand Prix, and for paradise lovers, the
Botanical garden is a must-see.
Noida is emerging as a preferred IT-ITeS destination of India. As a result,
infrastructure wise it is a good option to host MICE events. The International
Trade and Expo centre is one of the best convention centres in the country and has
a seating capacity of 5000 people. Apart from that that there are many, premium
banquet halls with capacities ranging between 100- 1000 for organizing events.
Though selecting the event destination is the first major step in MICE planning, it
is just a small part of the entire planning process. Hosting a corporate event
requires meticulous arrangements. Therefore, professional help will be
advantageous. BigFDay is an ace corporate event planning company. We are based
in Chennai and have tremendous experience with planning successful corporate
events. Allow us to assist you in hosting an unforgettable corporate event.
The good news is the fact that India is identifying and adding cities wherein MICE
can be a top draw to boost tourism and pep up economy of the particular location.
These cities already have a good infrastructure as far as hosting conferences are
concerned and/ or in the process of development. What needs to be done is to
improve upon the connectivity, up skill people, empower local level organizations
and grow the ecosystem in a focused way.
As per latest statistics available from ICCA, the following cities of India has
contributed immensely in improving rankings for India
 New Delhi – grew by CAGR of 13.9% for a 5 year period
 Mumbai – grew by CAGR of 3.7% for a 5 year period
 Bangalore – grew by CAGR of 14.5% for a 4 year period
 Hyderabad – grew by CAGR of 8 % for a 3 year period
 Chennai - grew by CAGR of 9.3% for a 5 year period
 Goa – grew by CAGR of 4.7% for a 5 year period
3.3 MICE Tourism as an Opportunity in India
 Better connectivity with world because of its physiographic location
provides India to become a MICE hub.
 India has signed several treaties with the developed countries to cooperate
and develop its tourism sector that is boon to MICE Tourism.
 Expansion of leading hotel chains in India has created a new space for
development of MICE in India.
 Development of transport and communication for better connectivity is pet
project of present government which would further provide a fillip to MICE
Tourism Industry.
 Rapid development of software and services industry gives MICE a new
space to develop online from remotest corners of India.
 India is one of the fastest growing economies of the world and is able to
attract huge investments that are assistance in creating new services in
MICE Tourism.
 Good human resource as youthful population is a major player in
development of MICE as tireless young innovative minds are engaged in
MICE.
 Cheap labor is another factor that makes development of MICE in India a
beneficial possibility.
3.4 Challenges for MICE Tourism in India
MICE segment does no doubt taste some success in the Indian market. But still a
lot of developments are yet to happen. One of the major steps to tap the MICE is
the introduction of e-tourist visa for MICE. At the moment MICE industry in India
is fragmented, with less specialisation than some other MICE destinations. India‟s
MICE industry is still in its growth stage and we are witnessing the emergence of
new destinations within the country. The MICE sector in India is making a steady
comeback as transport and Infrastructure development gains momentum. The
connectivity to Tier II and III cities is another important development which needs
to be looked at.
Tham added, “Hotels are already facing intense competition and the MICE sector
is expected to see significant growth. As new meetings formats and technology
will continue to develop, hotels need to assimilate these changes and adapt to latest
trends. Hotels seeking to increase their share in the MICE market must create more
flexible services and adapt a new attitude to change to offer the best experience to
their guests. There is also a need to bridge the last mile connectivity and give a
boost to infrastructural development to see rapid growth in the MICE segment.
Training of manpower and retaining highly skilled manpower is another area that
needs to undergo boost, especially for a highly specialized business like MICE.”
Another major challenge for the entire industry is skill development and talent
retention. MICE is a very specialised and niche business and requires a lot of
highly skilled manpower, which at the moment is difficult to procure in India.
Speaking about the challenges Arora stated, “Hospitality is a highly dynamic
industry and employee turnover is one of the biggest challenges that the industry
faces today. Novotel Hyderabad Convention Centre and Hyderabad International
Convention Centre attract a large number of MICE guests and business travellers.
For us, one of the major challenges is getting the skilled employees and retaining
them with the company. Both international & national visitors travelling for MICE
events have a specific set of requirements as they come for different nature of
events. To serve these guests up to their satisfaction level, making their stay and
meetings at the property a memorable and flawless experience, demands a
proactive understanding and a greater skill set at employee front. Hence to bring
such talent in the company and train them as per AccorHotels‟ service standard is
imperative. With growing opportunities in the industry it becomes a challenge to
find good resource and retain them.”
Speaking about the overall MICE infrastructure challenges in the country Om
Prakash, Director, In ORBIT Tours stated, “Despite continuous efforts, our
infrastructure has not improved that can be compared even with neighbouring
countries like Dubai, Thailand, Malaysia, Singapore and China. Beyond our metro
cities, the facilities are not to the mark.”
Specialised MICE tour operators are extremely optimistic about the growth in this
sector in 2016. Most of the tour operators have witnessed that MICE tourism
originating from Indian corporate was encouraging in fiscal year 2015 for
domestic destinations. Speaking about the challenges in this segment, MICE expert
Om Prakash, Director, In ORBIT Tours states, “MICE targets are certainly on the
increase and Indian travel industry is marching ahead to increase its share. The set
back in India‟ s world rank can be also due to the aggressive promotion by some
other countries and the increase in their numbers. To recover, India needs
aggressive marketing. India also needs to be more competitive destination. Indian
land operation cost is higher than our neighbouring countries, maybe due to higher
taxation. Hence, Tourism Ministry needs to be pro-active to provide incentives to
MICE Inbound to enable to compete with our neighbouring countries.” Another
challenge which the tour operators foresee is the fact that Indian restaurants are
easily available in all European cities, USA, India, India and even in China.
Whereas specific countries food are not easily available when their groups travel
for various sight-seeing across India. “The average expenditure by a delegate is
US$ 278. A conference delegate spends 2.5-3 per cent more than an average
traveller,” said Marsharmani. Talking about steps to promote MICE tourism, he
added, “There is need for better infrastructure facilities and we shall recognise the
potential of the cities based on their economic value. ICPB suggests that 20 per
cent of the global budget should be dedicated to MICE and there shall be ease in
the visa process for conference delegates.” Ministry of Tourism had identified the
potential of MICE Tourism long back and with an aim to develop this product had
established the India Convention Promotion Bureau (ICPB) under its' aegis along
with well known industry experts. This is aimed in promoting India as a
destination for MICE Tourism. The Bureau participates in travel conferences and
also organizes road shows both at domestic as well as international locations to
formalize the concept. The draft national tourism policy 2015 lays a lot of
emphasis on the MICE Tourism as a product per say. The policy emphasizes upon
maximizing synergies between leisure and MICE Tourism to enable pre/ post
leisure for MICE visitors with an aim to extend their stay, motivate them to visit
other locations and earn more foreign exchange from them. What is encouraging is
the fact that the New Tourism policy identifies MICE as an important product to
boost the tourism revenue along with Heritage and Culture, Spirituality, Yoga,
Ayurveda, Medical Tourism, Agri tourism, Beaches, River, Cruises, Adventure,
Wildlife, Cuisine, Shopping. MICE Promotion Bureau with industry representation
have been set up at National as well as the Destination level
 Creation of corpus fund for bidding for large conventions. Equal
contributions to come from Government and participating industry.
National and State Bureaus to work hand in hand and bid for the
conventions
 Providing single window clearance for organising Meetings & Conventions.
 MICE has be at the centre stage and is considered an integral part of the
“Smart City Programme propounded by the current Central Government
 Developing Mega Convention Cities in each of the 5 regions of India to
cater to small and the medium convention market
 Inventory of MICE facilities and Convention Centre to be made online.
Right now, the data is not in a user friendly format and would require
updating.
 International Convention Organizers to be invited for familiarization trips in
order to acquaint them with the facilities and amenities available in India
 Rationalization and simplification of the Conference Visa regime, the
introduction of E Tourist Visa is a welcome step in that direction.
 Promotion of the MICE Segment through specialized Trade Fairs and
focussed Road shows.
 Competition with developed and neighboring countries like China, Thailand
and Singapore
 Lack of world-class infrastructure
 Emerging MICE destinations of Europe and America
 Recent terrorist activities in the major cities of India
 Negative perception about safety and protection of tourists
 Religious intolerance in some cases
 Providing communication connectivity in remote and rugged terrains that
are major tourist hubs
 Man-power planning
 A National Policy on MICE Tourism
 Lack of marketing at MICE destinations
 A gap in Indian Hospitality Management
 Up gradation of transport highways, services, railways, and air-ports
 Lack of trained man-power to manage big events.
3.5 Optimizing Resources for Development MICE in India
Technology and social media are effective tools in the MICE segment. Use of
technology to enhance the conference experience has been adopted at NHCC. Aim
of government as well as corporates has been to deliver more inspiring, more
engaging, and more result driven meeting experiences to meet the customers‟
demand. Meeting experiences are being transformed with engaging technology,
flexible work-spaces to inspire collaboration, and with creative solutions.
Standardisation of services across event managers, professional conference
organisers, exhibition organisers is crucial to the development of the MICE sector,
and in order to achieve this, setting up of training and certification courses is
essential. Colleges and institutions should be encouraged to include curriculum of
MICE in courses. Resorts and hotels coming to as MICE Destination should be
given incentives or tax subsidies. Regulations to encourage domestic MICE
tourism should be focussed.
India is all set to go the global way and Meetings, incentives, conferences and
exhibitions (MICE) is fast becoming a core part of its tourism strategies. When it
comes to the Indian market as a MICE destination, incentives is still the largest
component of MICE. But nonetheless, India is looking to grab the lions share in
the global MICE tourism segment. Earlier the main challenge for MICE to flourish
in the country was lack of connectivity and infrastructure. MICE was not even
marketed in the way it should be.
With the new Government understanding the business of MICE, is all set to
promote it on a global scale. The Government is now supporting private players
under PPP mode for setting up large and small Convention Centres with exhibition
facilities at various metros and other cities. These Centres will not only fetch a
large amount of foreign exchange but also give boost to other economic activities.
Today India has a lot of MICE infrastructure, some still underutilised. According
to statistics, around 90 per cent of the MICE businesses globally are small in
nature with a maximum of 200-250 pax. Today, India is very well equipped to
cater to this segment, yet we have not been able to completely tap the potential of
this segment.
“MICE is a significant segment within the tourism and hospitality sector and the
government hopes e-visas for business travel will boost the segment further.
Electronic visa would make it attractive for business travellers as they tend to have
lesser time to plan trips than leisure tourists. We feel e-visa for conferences and
meetings could go a long way,” said Suman Billa, joint secretary in the tourism
ministry.
Speaking about the potential Julia Tham, General Manager, Mercure Lavasa and
Lavasa International Convention Centre said, “It is important to remember that the
MICE industry is one of the fastest growing segments within the tourism industry
in India. The prospects for the MICE industry are bright as the economy has
started picking up. As the economy improves, the demand for exhibitions,
meetings and events is going to increase leading to exponential growth. Plugging
challenges like finding and retaining skilled manpower, improving domestic
connectivity and setting up of a centralised agency to monitor the growth and
development of the MICE segment together will help India harness its full MICE
potential.”
Governmental focus
Government of India has taken one of the major steps to revamp Pragati Maidan
Complex. This is one of India‟s most premium venues for large exhibitions. The
existing Pragati Maidan Complex that so far used to organise National and
International Exhibitions and facilitate holding of various other events, is set to get
all new face with its upcoming redevelopment into a World class state-of-the-art
Integrated Exhibition-cum-Convention Centre (IECC).
LC Goyal, CMD, India Trade Promotion Organisation (ITPO) recently announced
the launch of this sophisticated Project to be implemented by the latter at a cost of
approx. Rs 2,500 Crore. Once redeveloped, IECC will be a landmark spot in Delhi
and a symbol of Hon‟ble Prime Minister‟s vision of „New India‟, they informed.
Conceived by NBCC in association with ARCOP Associates and Aedas Pte of
Singapore, the IECC shall be developed with latest architectural design along with
basement parking facility of 4800 vehicles and comprehensive traffic decongestion
interventions. The Convention Centre will be 32.4 mtr. tall landmark building on
par with the best in the world. This structure will be on an elevated podium with
unique slopping facade incorporating rich architectural heritage of Delhi. The
Centre will have a capacity of 7000 pax in single format (Plenary Hall with fixed
sitting of 3000 pax and Multi-Function Hall of 4000 pax) and amphitheatre with
3000pax. There will be altogether 30 Meeting Rooms of different sizes and
capacity and the complete structure of the Centre will be built with a mix of red
stone and Dholpur white stone and GFRC. The implementation of the whole
project shall also have the provision for monetisation of land for a 500-Key Hotel.
Exhibition segment of the Integrated Centre shall comprise 7 new modern
Exhibition Halls along with pre-function area with exhibition space of one lakh sq.
mtr. Each Exhibition Hall will have integrated F&B facility. There will also be
exhibition open area (15 acres) with 4 open amphitheatres, (two of 900 pax each
and two of 600 pax each) with two colourful fountain areas. The complex will also
have covered walkways/canopies & skywalk connectivity with Pragati Maidan
Metro Station.
Both the Stakeholders revealed the detailed timeline of the project saying that the
vendors for both IECC project and Traffic Interventions would be in place by the
end of June, 2017 and the construction work would start by July, 2017. The
Convention Centre, they informed, would be completed by November- December,
2018 and the entire project by July- August, 2019.
Speaking about the new initiatives Chander Mansharamani, Vice Chairman, India
Convention Promotion Bureau added, “There are number of steps that have been
taken by MoT in the form of greater participation in MICE related shows in the
world. We at ICPB have drawn a plan to market India as a preferred convention
destination. The other good news is the new additional infrastructure coming up in
various part of the country. To further tap this market, it requires very aggressive
marketing and promotional activities. We are sure with the new approach; we will
be able to achieve the target.”
Infrastructural Insights
The traditional players in the MICE business are all now looking to upgrade their
infrastructure at par global standards. The most used convention centres in India
Pragati Maidan in New Delhi and Bombay Exhibition & Convention Centre in
Mumbai are set to go for makeover. One of the key reasons for this sudden
development is the rise of the new players. Today Hyderabad International
Convention Centre is regarded as one of the venues which is at par with global
convention centres. AccorHotels is also launching an international convention
centre in Jaipur. Also a mega convention facility is all set to come up in
Knowledge Park II in Greater Noida soon.
The lack of world-class convention centre coupled with other infrastructural
challenges has been a major hurdle for the growth of this segment. Ironically, the
Govt. of India itself is facing challenges to organise a mega global summit as was
seen during Indo –Africa Meet which was organised in a stadium rather than a
convention space. This prompted the government to expedite the process of
developing convention centres across the nation.
Gorav Arora, Director of Sales & Marketing, Novotel Hyderabad Convention
Centre & HICC said, “2016 was a successful year for Hyderabad, as we at
Hyderabad International Convention Centre hosted several large conferences
bringing more than three lakh international and national visitors to the city. The
contributing segments included IT, medical tourism, agriculture, financial services
and aero sciences. Both Hyderabad International Convention Centre & Novotel
Hyderabad Convention Centre have been integral to the growth of MICE, helping
catapult Hyderabad to the top four Indian MICE cities based on number of events
we have hosted at our venue. We expect 2017 to be much stronger with higher
number of conferences. Apart from the segments which performed well in 2016,
various international associations and conference boards will also contribute to this
year‟s progression.”
Positive news for the MICE industry is the new venture by Reliance Industries.
The group is all set to launch a state-of-the-art convention centre in Mumbai which
is set to be the country‟s largest Convention Centre – The Dhirubhai Ambani
International Convention and Exhibition Centre. Reliance has invested US$680
million in this project. The project is located in the heart of business capital of
India – Mumbai – Bandra Kurla Complex, popularly called as the BKC. The
project revolves around four buildings including a Convention Center, an
Exhibition hall, and a Theatre in a 75,000-square-meter plot in the centre of
Mumbai. The Convention and Exhibition Centre will be a mixed development
project that will include retail space, service apartments and hospitality facilities.
Another convention centre which is yet to tap the chunk of the MICE segment is
The Lavasa International Convention Centre (LICC) situated right on the banks of
Warasgaon Lake. LICC is spread over 1.5 acres of land, offering 34,500 sq ft. of
flexible floor space. The meetings space includes six additional break-out rooms, a
Board room, a Business Centre, a Media centre, and a VIP room. LICC is one of a
kind property which embodies a huge pillar-less area for events & exhibitions and
has vibrant interiors to break the monotony of long conference sittings.
Tham said, “MICE segment in India is still at a nascent stage and will take some
time to develop to its full potential. There is been a dramatic change in the
hospitality industry over the years as the portfolio of the clientele has diversified
over the years from only leisure to business and leisure travellers. Hotels today
offer a diverse portfolio of services, MICE being one of them. Therefore, the focus
of hotels is to promote all the services they offer equally. Every hotel is trying to
diversify their service offerings and therefore typically does not promote itself
only as a MICE destination or only as a leisure destination. Today, destinations
that were considered to be leisure destinations are fast becoming MICE hubs as
they provide a perfect balance of work and play.”
He further added, “Lavasa also falls in a similar category. Lavasa city is a leisure
as well as MICE destination and we are promoting it to two sets of travellers in
two different ways considering their needs and expectations. Lavasa International
Conventional Centre is promotes as an ideal MICE & Wedding destination and as
a great weekend gateway for FIT travelers as well. Rate strategies have been
implemented keeping in mind the strength and weakness of Lavasa being as a
destination.”
International Research body DPI Research states “India is poised to be the world‟s
fastest-growing outbound MICE tourism market, generating over US$ 45 Billion
by 2025 in revenue and will generate more than 2 Million outbound MICE tourists
by 2020.” The „World Travel and Tourism Council‟ (WTTC) reports Indian
spends outside the country while traveling abroad has doubled in the past 10 years,
from $7.5 billion in 2005 to nearly $16 billion in 2015. The United Nations World
Tourism Organization (UNWTO) estimates that India shall account for 50 million
outbound tourists by 2020, growing at an annual growth rate of 10 – 12% over the
last seven years and further expected to grow at a Compound Annual Growth Rate
(CAGR) of around 7.23% during 2016 – 21. UNWTO further estimates Indian
spend power as being at least four times that of the Chinese and Indiaese. The
average Indian spends USD 1,200 per visit as compared the Americans, who spend
USD 700 and the British, who blow up USD 500!
The growth figures augers a favorable response from the National Tourist Offices,
who are vying for a piece of the Indian action. The Indian mission of the United
States, a destination previously perceived as a major VFR market has now
undertaken as per Export USA, activities to stimulate the MICE market and
counter perceptions of the US being a difficult destination due to concerns about
visas, costs, and distance.
The Indian MICE market will grow exponentially and, if numbers do indicate, it is
poised to be the fastest growing MICE markets in the world! If destinations are
serious about adding numbers and attain their statistical „Nirvana‟, it will hold in
good stead to focus on MICE movements! Indian traditional businesses prefer
short-haul destinations such as Thailand, Singapore, Malaysia, Indonesia (mainly
Bali), Sri Lanka and Dubai. What will endure as a MICE Destination catering to
the needs of the Indian MICE market, here are a few attributes:
Planning a board meeting at Gambling Meccas of Las Vegas and Macao to
organizing a fun-filled dealer rendezvous on the Ibiza water-front no longer raises
eyebrows. Well, even our well-oiled Swamis has discovered new occasions and
added to their followers by holding their Satsang‟s and Yoga discourses in middle
of the high seas, aboard some of the finest luxury cruise-liners.
Easy and cheap visas:
Bulk of the Indian MICE market is highly cost-driven. The rule is simple, the
higher the cost of visas, the lower the destination preference. Preference for Visa
on Arrival / E-Visas / Group Visas. Long visa approval time over 7 days will help
you stay uncompetitive. Indians love free visas! There was one wedding group
from Kolkata, which took over 20 helpers to lift luggage of guests! The higher the
number of documents for the visas, the less popular the destination gets. Credit to
the US Consulates in India, they sometimes offer Group Visa interviews for
Indians. Indians would be probably the only consumer anywhere in the world,
wherein, if not for the cumbersome visa procedures, can actually plan and execute
an event in Europe on a week‟s notice!
Direct flights and connectivity:
With air connectivity, currently on steroids mode, in spite of Jet Airways losing its
wings, the logistical support to destinations for multi-city boarding of delegates
have also helped in the rapid rise of meetings and events held overseas! Three –
Four hours of flight-time are ideal, but not a compulsion! If you are looking at
bigger group movements from India, the higher the connected cities are with the
destination, more chances of one bagging the event. Multiple Airline embarkation
points are nice, but never underestimate the power of an Indian wedding group,
where at one instance, a planner had to charter three aircraft to ferry marriage
guests from Kolkata to Port Louis in Mauritius, paying three times the average
fare!
Indian food:
What is about Indians and their food preference? Well, it is what it is..Indian food
is mandatory for big groups, though some will surely try the local fare. Get your
list of Indian restaurants out, speak with the Convention Hotel on getting Indian
food. Educate them about the preference for Indian food, Jain Food, Indian
Vegetarian food (not Asian Vegetarian). Also, explore opportunities for Indian
Chefs to fly down to help cater for the group. At most Indian mega weddings,
having an Indian Maharaj being flown down is almost certain! The One big Gala
Dinner can be a raucous affair, running late into the night (on a heady mix of
noise, music, and unlimited alcohol), especially if you are catering to a dealer
meet! One Cruise-liner found it the hard way when they had to refund the fare to
other guests, who were clearly discomforted by the behaviour of some of the
members of this elite group recently! Availability of Hard liquor is important while
Wine and Cheese are for those from a nearby planet! Your catering manager will
have his hand‟s full, but that‟s the way it is! Do not see this change in a hurry! and
of course, Dinner starts any time after 8.00 pm and at most times go on till dawn.
There is a growing market for an upmarket, luxurious, boutique small meetings.
Even in this case, it should be noted to include a vegetarian and Jain menu. The
Indian luxury market is predominantly vegetarian, with over 80% of the top 500
Richest people in the country, belonging to communities that can relish, endure
and nurture Vegetarianism! Remember, meeting a South African DMC, who had
started working with the Indian market, remarking that for the very first time, he
came across a term called „Non-Vegetarian‟. If catering to a South Indian group,
don‟t forget to offer Curd Rice, you‟ll win them over for life! Well, just some food
for thought!
Hotels and event infrastructure:
Paramount! Indian companies rarely chose anything less than a four-star hotel‟
Preference is given to hotels with good ratings, service standards and above all,
flexibility. Big groups – get ready for requests for triple sharing, late-check outs (it
can vary from 30 minutes to 12 hours!) and last-minute cancellations/additions,
etc. In Room-dining and baggage services are expected! The request is simple –
Best in the „value-for-money‟ deals. India is probably, the world biggest last-
minute market and one‟s ability to adapt would only enhance your ability to win
over! Indians cherish helpful assistance over the stiff-upper-lip extreme
professionalism.
Unique MICE offerings:
The market for unique meeting spaces, though on the upswing is still small! Jungle
Safari camps, Meetings in Antarctica with the Penguins, Breakfast with the
Orangutans, Weddings on the turquoise waters and other bewitching settings, etc.,
all offer tremendous niche opportunities and a growing market! A Travel Agent
recently was even planning the logistics for a program in Turkey for Indian
corporate to organize a team building activity on the Bosporus strait in Istanbul on
a Yacht race from the Asian to the European Side of the country!
With only about 2% of the population having traveled abroad or even own a
passport, the potential is immense and only poised to grow. The Outbound MICE
Market from India is no mood to slow down! The onus to tap a market, wherein
the rewards to the economies are immense by hosting an Indian MICE traveler
clearly lies with discerning destinations and convention-bureaus! and of
course..more MICE to catch!
The outcome of analysis and interpretation of the study are that majority of the
respondents said that the overall growth of MICE tourism in India is 21-40%.
Majority of the respondents thinks that the present MICE market in India is highly
potential and they promote their MICE business through advertisement in media.
IT companies are the market segment of MICE business in India. It has been
observed that majority of the respondents have less than 8 employees in their
companies as most of them, were travel agencies. Companies face difficulties like
the communication gap between the organizers and the host while organizing an
event. Around 30-40% of foreign tourists are coming for MICE purpose annually
in India. The sources of booking for MICE tourism are through travel agency, tour
operator and corporate companies. MICE tourism companies in India focus on
both India and International tourists. It has been found that for organizing events,
MICE companies collaborate with other organizations like KSTDC (Karnataka
State Tourism development Corporation), hotels, event management companies
and tour operators.
There are a few issues in relation to MICE tourism in India which can be perceived
as possible bottlenecks to the industry as a whole:-
 Prevalence of high tax structure in India – this is a major contributor for
India's destinations to lose out on a global scale while bidding for events.
 Convention Visa - This has been addressed somewhat in the New Tourism
Policy. The introduction of e Tourist Visa has kicked off a new regime
 Availability of Trained Manpower – Needs superior Industry – Academia
connect
 Carrying capacity of a MICE destination – Carefully carried out feasibility
study may solve the process.
 Compliance to International Standards – The Physical and peripheral
infrastructure needs to comply with the world standards. This can be done
by imparting training drawing cues from the leaders.
Based on the observation and findings the following are some suggestions and
recommendations for enhancing MICE tourism development in India.
 India should open MICE research institute like India to promote MICE tourism
in India
 Indian government authorities need to motivate local entrepreneurs to develop
regions in different forms through exhibitions, fairs and festivals, competitions etc.
 Department of Tourism should give extensive promotion to India as it will
increase the tourist inflows which will contribute to maximum FEE- foreign
exchange earnings to economy
 More awareness should be created by the MICE companies for MICE tourism by
means of printed publicity, advertisement in media, presentation and seminars
 Modernization of facilities and equipment should be used to cope with the
changing trends
 Promotional plans should be created by State Tourism development Corporation
for MICE tourism.
Promote concept of sustainable tourism Maintain co-ordination and align with the
Central Agency Create a market intelligence system to track competition Create
experiences, not just tourist spots Sell MICE tourism exclusively To make the
dream of the honourable Prime Minister true, it is recommended that the concept
of sustainable tourism be adopted and practised. This will involve all stakeholders
right from the community to active participants in the value chain and enable them
to proactively serve and interact with the inbound tourists so that they feel more at
home in India. This will enable them to return to India on a regular basis. MICE
Promotion Bureau with industry representation have been set up at National as
well as the Destination level. They need to work in close co-ordination and take
time bound actions. There needs to be an intelligence system to track the product
offerings by the competition states and pass on this information to the states so that
they can amend/ modify/ value add their offerings in order to stay competitive
amongst MICE tourists. A visitor should go back enriched in knowledge and with
a sense of a great experience. To make this happen steps can be taken to make the
tour replete with tour guides, activities for the children, culinary tours, interactivity
for the tourist with the culture of the place etc. New tourist destinations may be
identified and further developed for offering innovative tourism products or
experiences. Customized travel experiences, luxury spa sessions, rare animal
sanctuaries, religious pilgrimage tours are what the foreign travellers believe in.
There is enough opportunity in India to promote medical, wellness and spiritual
tourism in the state. MICE destinations should be encouraged as tourism for the
purpose of Meetings, Incentives, Conferences and Exhibitions are no longer
limited to big cities.
India has witnessed a rapid growth in MICE industry, especially after economic
liberalization. World-class convention centers and hotels have been developed to
host the international meetings, conferences etc. This is an ideal way to not just
show-case our infrastructure but also promote other types of tourism in India. India
has witnessed a rapid growth in MICE industry, especially after economic
liberalization. World-class convention centers and hotels have been developed to
host the international meetings, conferences etc. This is an ideal way to not just
show-case our infrastructure but also promote other types of tourism in India.
Based on interview, discussion, analysis, it has found that MICE industry has high
potential and opportunity to develop MICE tourism place in New Delhi and
Banglore city, India. Although India has short history about MICE industry
compare to Europe and America, a great number of international convention,
meetings, megasport events were held in New Delhi and Banglore cities. In order
to strengthen competitiveness MICE industry, India MICE alliance, New Delhi
MICE alliance and Banglore convention bureau are made for cooperation with
members in MICE markets. However, based on interview, stakeholders in public
and private sectors are not strongly connected each other. COEX does not have
any regular meeting or channel to share information with other convention centers,
public MICE organizations. In addition, even though COEX convention center is
located in the center of New Delhi city with vast shopping malls, hotels restaurants
offers complex MICE place, they have limitation to hold big scale of exhibition in
COEX because they do not have enough spaces and need financial support from
local government. KINTEX is the biggest convention center in India and located
Gurugram city which is far from New Delhi city. Even though, KINTEX can hold
huge exhibition, travelers prefer to have MICE events in New Delhi. The reason is
that New Delhi city offer advanced MICE infrastructure, combination of tradition
and modern tourism places, city airport terminal, shopping malls, various public
transportation options, various accommodation types and Banglore international
airport is closely located. In order to develop MICE events in New Delhi, budget
from Indian government should provide for COEX convention center to extend
space of exhibition. Compare to New Delhi city, Banglore has different
construction of stakeholders in MICE market. The biggest Songdo convention
center in Banglore was belong to Banglore Tourism Organization. Therefore, it
makes a great effect to develop MICE tourism because Banglore tourism
organization is developing new tourism products for attracting international
tourists, business travelers for incentive trip. Attractive tourism place will makes
business travelers to choose as incentive and meeting places. In addition, Banglore
city is the first smart city based on ICT in India which is high potential to be the
best MICE city because ICT is issued all over the world for the better life with
digital world. There is robot guide in convention center, IoT technology is adapted
some areas in Banglore which will offer travelers to search information anywhere.
Therefore, it is clearly shown that Banglore city has high potential and opportunity
to develop as a MICE city. 53 This research is focused on how MICE tourism can
be developed in New Delhi and Banglore city for developing destination and
increase benefit at national and international level though tourism. And the reasons
mentioned why MICE tourism is important and what are the necessary for further
development. MICE tourism is a future industry and bring a great benefit in aspect
of economy, marketing city, develop city infrastructure. There were some
limitation for conducting research. Firstly, there were lack of second data about
Indian MICE tourism. Even though, MICE is booming in India, research papers
about MICE industry were lack. Secondly, conducting interview with some
stakeholders from public organizations, they were busy with their work. In this
reason, interview face to face could not conducted with many stakeholders in
MICE market. Lastly, it is recommend to any future researcher to explore and
research about MICE tourism development based on ICT technology and how new
digital tourism market meets business travelers satisfaction and develop MICE
tourism newly further in Banglore, New Delhi city and other potential areas. This
topic will be useful to develop MICE tourism in different side of perspective.
Through discussing and analyzing the situations of MICE tourism in India with
case studies from Kyushu, it could be shown that MICE tourism has high
potentials in destination development in India in general, and Kyushu is particular
but India has lack of comparative advantages in some factors compared to other
competitor countries. Although India has been facing the decrease in market share,
it is still trying to keep the market position which was shown by the statistic that it
was ranked as No.1 city in number of hosting meetings in Asia Pacific & Middle
east region and 7th in world ranking. Interestingly, when the data was compared
per city, New Delhi was 6th in Asia Pacific ranking and 22nd in world ranking.
But, it was able to figure out that India has the most diversified cities from large
cities to small cities while other countries are still centralized only in metropolitan
areas. For instance, according to data published by ICCA in 2014, there are 15
Indian cities listed in the ranking of number of meetings per city in Asia Pacific &
Middle east region while other competitors such as China has 12 cities, South
Korea has 6 cities and Australia has 8 cities.
At the same time, India has lack of comparative advantages comparing with
neighboring countries. According to the research about critical success factors of
MICE and Event Management, there are six factors which were proved to be the
most significant success factors for MICE and Event management: clear
objectives, location of venue, financial resources, code of conduct, marketing and
promotion and sponsorship of event. However, through this research about MICE
industry in India, it could figure out that the cities in India that are trying to
enhance MICE tourism are still lack of clear objectives and marketing and
promotion comparing other neighboring countries in Asia Pacific region. Overall,
through this research about MICE tourism development in India with case studies
from Kyushu, it was able to recognize how and why India has been emphasizing
the importance of MICE tourism as one of its national tourism policies and its
application to regional development as well. India is expecting to use the
multiplier effects of MICE tourism to enhance the tourism industry in general
especially by hosting ICC Cricket World Cup 2021.
MICE tourism is the foremost important aspects of business tourism and has been
gaining importance from past few years. Bangalore being the city for all seasons in
south India has great potential of MICE tourism as it is also an IT hub. Corporate
travelers opt for MICE tours to promote their business which are mostly
combinations of business activity and sight-seeing for relaxation. This type of
tours helps in expanding of business and networking. 8% 34% 27% 31% Growth
of MICE Tourism in Bangalore 1-20% 21-40% 41-60% Above 60% UAS - JMC
29 Vol 04, Issue 02 To conclude it can be said that MICE tourism is largely
associated with business travel and is rapidly expanding. New Delhi, Kolkata,
Mumbai, Chennai, Hyderabad and Bangalore are the major business activity hub
in the country. Mostly foreign tourists are coming for MICE purpose yearly which
contributes to maximum FEE- Foreign Exchange Earnings to economy. Hence a
lot of promotional and developmental activities to be concentrated for MICE
tourism in Bangalore by concerned authorities. MICE travelers expect a high level
of comfort, hassle free movements and value for money experience. MICE
planners do not go by brochures but their own experience and feedback from other
people in the industry. Bangalore being an IT hub can prosper in the field of MICE
by giving attention to the areas like accommodation, transportation, events,
business facilities etc.
References
 George G. Fenich (2012) Meetings, Expositions, Events and Conventions;
Pearson Prentice Hall
 World Tourism Organization (UNWTO)(2012);MICE Industry - An Asia-
Pacific Perspective; UNWTO
 Pais, Jesim (2006), “Tourism Employment: An Analysis of Foreign
Tourism in India,” Working Paper.
 Sirajuddin Chougle (Nov. 2014); Domestic Tourism-An engine to Propel
Growth of Tourism Sector; EPRAInternational Journal of Economics &
Business Review, Vol2 Issue-11.
CHAPTER- 4
SUGGESTIONS AND CONCLUSION
CHAPTER- 4
SUGGESTIONS AND CONCLUSION
Suggestions
Based on the study the following are some suggestions for enhancing MICE
tourism development in India.
 India should open MICE research establishment like Japan to advance
MICE the travel industry in India
 Indian government specialists need to rouse nearby business people to
create locales in various structures through displays, fairs and celebrations,
rivalries and so on.
 Department of Tourism should give broad advancement to Bangalore as it
will expand the traveler inflows which will add to most extreme FEE-
unfamiliar trade income to economy
 More mindfulness ought to be made by the MICE organizations for MICE
the travel industry by methods for printed exposure, promotion in media,
introduction and workshops
 Modernization of offices and gear ought to be utilized to adapt to the
changing patterns
 Promotional plans ought to be made by Tourism Industry for MICE the
travel industry
Conclusion
India has witnessed a rapid growth in MICE industry, especially after economic
liberalization. World-class convention centers and hotels have been developed to
host the international meetings, conferences etc. This is an ideal way to not just
show-case our infrastructure but also promote other types of tourism in India.
Given the increasing popularity of MICE industry in India, it is imperative that its
role and contribution in economy be assessed and quantified. The MICE tourism
in overall tourism in overall economy with respect to GDP and employment. The
MICE industry contributes 0.12 per cent to GDP and 0.14 per cent to employment
as its direct share. On including the indirect share (obtained using tourism output
and employment multiplier), MICE industry contributes 0.22 per cent to GDP and
0.33 per cent to employment.
India‟s contribution to the MICE market has been growing considerably in the past
few years. However, old bottlenecks, in the form of inadequate infrastructure,
support facilities and massive promotions continue to impede the growth in this
sunshine sector. There is a need to add a incredible factor to the services which the
hotel industry can provide. Companies don‟t mind spending money for an
exceptional experience, as it must act as a motivator for their employees to
perform better. But at the same time most MICE groups have clearly defined
budgets that have to be kept in mind. In the long run, the Indian market is very
dynamic and will remain so, thus contradicting past trends and generating business
from unexpected market segments.
BIBLIOGRAPHY
 Gade, J. and Ankathi, R. Tourism Management Philosophies, Principles and
Practices. Hyderabad, India: Zenon Academic Publishing, 2016, pp 402.
 Walker J. R. and Walker, J. T. Tourism Concept and Practices. Noida,
India: Dorling Kindersley Pvt, Ltd, 2011, pp 294,295.
 Walker, J. R. Exploring the Hospitality Industry. Harlow, England: Pearson
Education Ltd, 2012, pp.300.
 Newindianexpress.com. „MICE Sector on a rise in India‟, Oct, 2017.
[Online]. Available http://www.newindianexpress.com/cities/hyderabad/2
017/oct/25/mice-sector-on-a-rise-in-india-1683125
 indiainfoline.com,„India to Generate 6.5 Million Outbound Luxury and
MICE Tourists Annually by 2020‟, 2017. [Online]. Avaliable:
https://www.indiainfoline.com/article/news-businesswire-finance/india-to-
generate-6-5-million-outboundluxury-and-mice-tourists-annually-by-2020-
117062400157 .
 Global Travel (2017). MICE Orlando. Retrieved from September 9, 2018
from https://www.globaltravelerusa.com/mice-orlando/
 COEX (n.d). A Global Leader of The MICE Industry. Retrieved October
29, 2018 from https://www.coexcenter.com/overview/
 Global MICE Insight (2015). Economic and Strategic Value of MICE
Industry in Australia and Future Strategies. Retrieved October 28, 2018
from https://www.miceinsight.com/archives/1476
 International Meeting Review (2018). Seoul Convention Bureau. Retrieved
October 2, 2018 from http://www.internationalmeetingsreview.com/
asia/seoulconvention-bureau
 Anon, 1993, “The Impact of Association Meetings”, Association
Management, 45 (7), pg 85-88.
 Bordonaba, M, 19 98, “New Conference Facilities for the Next
Millennium”, Conference & Exhibitions Fact Finder, pg 34 -35.
 Cesario, F., Var, T. C. & Mauser, G., 1995, “Convention Tourism
Modelling”, Tourism Management, 6 (3), pg 194 - 204.
 Davidson, R., 1994, “Business Travel”, London: Pitman Publishing.
 Dwyer, L., and Forsyth, 1997, “Impacts and Benefits of MICE Tourism: A
framework for analysis”, Tourism Economics, 3(1), pg 21-38.
 Fenich, G. G., 1997, “Conventions, Centres and Meetings: An analysis of
the Past Decade”, Visitors in Leisure and Business. 16(4), Winter, pg 4-13.
 Goldblatt, J. J., 1997. “Special Events: Best Practices in Modern Event
Management”, 2nd Ed. New York: Van Nostrand Reinhold.
 Grado, S.C., Strauss, C.H. and Lord, B.E., 1998, “Economic Impacts of
Conferences and Conventions”, Journal of Convention & Exhibition
Management, 1 (1), pg 19 - 34.
 Hiller, H. H., 1995, “Conventions as Mega-Events: A New model for
Convention Host City Relationships”, Tourism Management. 16(5), pg 375-
379.
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Pratyaksh final report

  • 2. CHAPTER- 1 INTRODUCTION 1.1 Tourism Industry MICE industry is one of the fastest growing segments within the tourism industry generating millions in revenues for cities and countries across the globe. Since tourism ranks amongst the biggest economic sectors worldwide, enterprises in the travel industry carry an important place for business related travel. The prospects for the MICE industry are looking very bright as the changing trends are clearly indicating that this sector is making a steady comeback as the world economy has started picking up. With the economy improving, there is once again a renewed demand for exhibitions, meetings and events to showcase latest products or for brainstorming sessions or simply for attracting clients. Countries are promoting themselves as MICE venues to attract event organizers. The aim of the dissertation is highlight the Economic benefits of MICE and to look at the future prospects of this industry in India. Meetings incentives are the integral parts of the hospitality industry because meetings represent a very big business when that is done apart from usual working environment. They require sleeping rooms for those who travel long distances and food and beverage services for those attending them. In addition, the significant time and expenses incurred by attendees require that the meeting be professionally planned and managed to maximize their effectiveness. Business travel is bifurcated into two broad categories, one being the individual business travel and the other
  • 3. business tourism. Out of 80 respondents 25% believe that India has attracted them because of destinations offering various sites for conducting meetings and conferences. The new era of tourist believes in work with pleasure, so if the tourist has come to attend a meeting in a destination then surely after completing his task he would try and explore the other attractions that are available in that destination. MICE tourism is a niche segment in tourism market, which has abundant potential and is gaining significance worldwide due to the growth of business tourism. It has target market of business clients traveling for various types of meetings. It acquired the acronym MICE which stands for: M- Meetings (all types of professional meetings arrangements) I- Incentives (organizing of Incentive tour/ travel for corporates) C- Conference /Convention (organizing of wide level type of meetings as conferences and all arrangements) E- Exhibitions/events (organizing of national, global level of exhibitions on various exhibitions grounds) MICE is also referred to as „Meetings or Events Industry‟. This segment is accumulation of meetings, conferences, exhibitions, business activity, hotels, airlines, cruise lines, various transportation, travel associations, professional conference organizers, entertainment industries, tourism boards and professionals. The travel sellers specializing in MICE are usually affiliated with large corporate agencies because it requires advance planning and organization. There are Conventions and Visitor Bureau (CVB), India Convention promotion Bureau
  • 4. (ICPB), Destination Marketing Organization (DMO), Network of Indian MICE Agents (NIMA), MICE India and Luxury Travel Congress (MILT) ,etc. which are working for the promotion of MICE in India. Historical Background of MICE Meetings in ancient times were discussions of communal interests. Cities acted as focal points. Rome, for example, hadits Roman Forum and In Latin, conferentia means “to bring together” while auditorius means “a place to listen.” In 1902, the first formal incentive travel programme was setup by the National Cash Register (NCR), a U.S. company. By the 1960s, long-distance incentive trips overseas came in to view. Nowadays, incentives evolved into events, commonly held overseas, specially designed to attract people to achieve a specific goal. Sometimes, training activities would also be included. Because of the expense involved, incentive activity is tied to economic cycles. Companies who generate a lot of revenue during good time scan organize longer trips at more expensive resort hotels with higher-priced meals. Countries and cities emphasize heavy investment in infrastructure development to support industry development. National and local convention bureaus were set up to actively promote their countries and cities as travel destinations. There are also improved industry representation and co-ordination with the set-up of organizations such as the Professional Conference Management Association, Meeting Professionals International and more.
  • 5. Tourism Industry has emerged as a vital sector in the process of economic development and most importantly after liberalisation that tourism industry has undergone tremendous transformation in all aspects of its growth. There has been a perceptible change of outlook in the concept, scope, nature and dimension of tourism. The concept of MICE (Meetings, Incentives, Conferencing and Exhibitions) tourism is the result of globalisation and economic reforms in our country. People have been gathering in the form of meetings since the beginning of time. Archaeologists have found primitive ruins that were used for specific gathering places by ancient tribes to discuss many topics including: hunting plans, war-time activities, crop harvesting, or the planning of community celebrations. Let us understand these terms as Meeting - general term indicating the coming together of a number of people in one place, to confer or carry out a particular activity. Frequency can be on an ad hoc basis or according to a set pattern, as for instance annual general meetings, committee meetings, etc. Incentive - meeting event as part of a programme which is offered to its participants to reward a previous performance. Conference - participatory meeting designed for discussion, fact-finding, problem solving and consultation. As compared with a congress, a conference is normally smaller in scale and more select in character - features which tend to facilitate the exchange of information. Though not inherently limited in time, conferences are usually of limited duration with specific objectives. Exhibition - Events at which products and services are displayed.
  • 6. Tourism is the world‟s largest industry, responsible for more than one in ten jobs globally. In many developing and transition economies, tourism has emerged as the dominant tool for economic growth. There will be ten billion international travellers by 2020, according to the World Tourism Organisation. Business travel accounts for approximately 14% of all international travel. Some countries rely heavily on the MICE segment - 40% of Singapore‟s tourism revenue is from MICE. Malaysia is specifically targeting the MICE market, running schemes such as the „Meet and Experience campaign‟. Mice planning and management industry has an extremely positive future. In addition to the usual corporate meetings, trade show, conferences, the event planning has also gotten involved in the advertising and branding efforts of their clientele. There is a desire to move away from the conventional, so as to bring a new definition to business with pleasure which brings in lot of opportunities as well as demand for the tourism industry. The establishment of professional associations also gives a useful, objective insight into the origination of the industry. The following are some of the most significant associations in the meetings industry, with the year of their foundation given on the right side: International Association of Exhibitions and Events (IAEE) 1928 Professional Convention Management Association (PCMA) 1957 Association International des Palais de Congres (AIPC) 1958 International Congress and Convention Association (ICCA) 1963 European Federation of Conference Towns (EFCT) 1964
  • 7. International Association of Professional Congress Organizers (IAPCO) 1968 British Association of Conference Destinations (BACD) 1969 Meeting Professionals International (MPI) 1972 Meetings & Events Australia (MEA) 1975 Association of British Professional Conference Organizers (ABPCO) 1981 Meeting Industry Association (MIA) 1990 Source: FICCI – MRSS Whitepaper on MICE Tourism As from 1960, there followed a continuous growth of investments into the infrastructure with the purpose to support conferences, conventions, meetings and events. These investments amount to dozens and hundredths of millions of pounds. Some of them, in Great Britain: the Sheffield Arena (capacity 12.000, 45 million pounds), the National Arena, Birmingham (capacity 13.000, 51 million pounds), the Wales Millennium Centre, Cardiff (capacity 19.000, 104 million pounds). Investments were made also in North America, Australia and Africa (especially in South Africa). Sava Center in Belgrade, the largest convention and business centre in the region, was built in 1977 with a capacity to host up to 4000 delegates. Such investments continue also today, some of them are large, with both economic and social significance, offering their town and country the opportunity to position itself on the map of international events.
  • 8. 1.3 MICE Tourism MICE (Meeting, Incentive, Convention and Exhibition) sector consists of related diverse meetings, incentives, conventions and exhibitions activities including conferences, congresses and trade shows. This sector has been regarded as one of the most dynamic and important sector of the tourism industry that focuses on business activities rather than leisure. Table 1.1 Detailed Structure of Mice Event Type Description Example Meetings Gatherings Open only to employees or representatives of specific organizations. They are typically small in scale often note more than 10 Person A meeting that a car manufacturer may hold off site to discuss its plan for launching a significant new product Incentives Events Typically held to reward employees for excellent performance An all expense Monte Carlo that a leading global company may offer to its 100 highest producing sales people Conventions Get together that are focused on sharing expertise or exchange ideas. The 26th Congress of the International Associations of individual psychology held in Paris in July 2014 Exhibitions A show of product or service for a specific industry. B2B exhibitions are usually CeBIT the Computer industry show in Hannover, Germany, is an example of B2B exhibitions
  • 9. professionals the chance to gather information and do some networking. B2C exhibitions are open to all and give companies a chance to showcase their products The Consumer electronics show is an example of B2C exhibitions Source: FICCI – MRSS Whitepaper on MICE Tourism It has been cited that within tourism, meetings and conventions are one of the fastest growing segments (Weber & Ladkin, 2003). Among several reasons given, the main reason is being the economic benefits for the destination and community as well as improving the destination image (Opperman 1996). As the presence of conventions center, it makes delegates spend more economically, stay longer and not solely spending on hotel and restaurant but on leisure activities such as retail, events, and visits to local attractions such as museums and theaters (Clark, 2004). However, some researchers commented that an economic study by itself may only provide a limited overview of the economic benefits of a convention for the area and should be examined within the context of noneconomic factors such as social, environmental, cultural and destination image impacts (Morgan & Condliffe, 2006). The MICE industry now spans the globe with increasing competition from established and emerging markets, which has given greater need to address and consolidate several strategic issues to remain competitive (Weber & Ladkin, 2003). Factors highlighted were marketing, infrastructure, human resource management, and service quality issues (International Congress and Convention Association, 2016).
  • 10. 1.4 Purpose of Study The aim of this study is to understand the current market dynamics of the MICE in India in terms various segment specific values (meeting, incentive, conference & exhibitions) and to evaluate the role of ICPB in promoting MICE tourism thereby suggesting the structure keeping in mind the world best practices followed. The current study has been carried out using extensive secondary research along with interviewing more than 700 stakeholders spread across 12 MICE destinations to arrive the study objective. Based on extensive secondary research coupled with information collected through face to face interviews across more than 700 odd respondents spread across 12 MICE destination in India, the highlights of the study are stated below: - There is immense opportunity to grow but lagging due to inadequate marketing and communication by stakeholders of MICE India, which needs to be realigned. - India has sound infrastructure in terms of hosting MICE events but there is a need for proper co-ordination and cohesiveness across different stakeholders for seamless implementation. The good news is the fact that India is identifying and adding cities wherein MICE can be a top draw to boost tourism and pep up economy of the particular location. These cities already have a good infrastructure as far as hosting conferences are concerned and/ or in the process of development. What needs to be done is to improve upon the connectivity, up skill people, empower local level organizations and grow the ecosystem in a focused way. As
  • 11. per latest statistics available from ICCA, the following cities of India has contributed immensely in improving rankings for India .  New Delhi – grew by CAGR of 13.9% for a 5 year period  Mumbai – grew by CAGR of 3.7% for a 5 year period  Bangalore – grew by CAGR of 14.5% for a 4 year period  Hyderabad – grew by CAGR of 8 % for a 3 year period  Chennai - grew by CAGR of 9.3% for a 5 year period  Goa – grew by CAGR of 4.7% for a 5 year period - The estimated Global market size for MICE is in excess of USD 808 Bn in 2017 which is going to touch down to 1200 bn in 5 years from now. The estimated market size of MICE in India is Rs37576 crores in which nearly 60% comes from MIC i.e. meeting, incentive and conference. It is also important to mention that 65% are B2B events. The estimated market size from Event is in the tune of Rs 4800 crores from space rental but it has multiplier impact to economy in terms of accommodation, traveling, communication and advertisement, remuneration to skilled work force etc. - It is recommended that the concept of sustainable and exclusive MICE tourism to be adopted and practiced. This is essential to understand the different situational analysis through case studies from around the world to make it a resounding success. Introduction of concept of customized travel experiences, luxury spa sessions, rare animal sanctuaries, religious pilgrimage tours are what the foreign travelers believe in. There is enough opportunity in India to promote medical,
  • 12. wellness and spiritual tourism in the state. MICE destinations should be encouraged as tourism for the purpose of Meetings, Incentives, Conferences and Exhibitions are no longer limited to big cities. Major markets of inbound tourism should be targeted for this exercise. - The need of the hour is to promote India as one the most important MICE destination by way of revamping existing ICPB structure. The role should be more for promotion of India as MICE destination to international community and bid for the international conference with the help of experience and expert PCO / Expert of that particular field. After having a thorough review of the structure and function of the different Convention Promotion Bureaus (CPB) in the world it has been emerged that most of the CPB are Government Controlled / Autonomous bodies which are professionally run by full time individuals & their roles and responsibilities are mainly to position City as prime MICE destination & work in tandem with PCO/ Expert/ Event Management companies. Respective Governments normally allot sufficient funds for marketing and communication so that they can bring more international events in the city. Therefore, in India there is a need to inject sufficient fund at both Head office level as well as Destination office. The amount may be worked out after preparing an action plan to promote India MICE to different level. 1.5 Significance of the Study  Identify conference opportunities  Secure a local host to lead the bid and financially underwrite the bid
  • 13.  Liaise with government and industry leaders to obtain support  Develop bid strategies, prepare bid documents and presentations  Prepare business cases, competitor analysis, preliminary budgets and risk analysis  Coordinate site inspections for key de As far as the constrains faced in Indian MICE industry is concerned, Lack of well- defined policies, structure of the promotion bureau, lack of Government support in pre/ post event area are the major bones of contention. On the other hand, constraints faced by ICPB in promoting India MICE Brand are due Funding Issues, lack of Manpower, Absence of Marketing and lack of bidding experience seem to dominate. Specific Guidelines need to be drafted specifically for MICE and to be included in National Tourism Policy. The existing financial and non-financials schemes need to relook and should be as per the industry practices. Current MDA scheme applicable only for the active members needs to re-look in terms of both target beneficiaries as well as the amount to be given. Like other countries, there is a strong need to inject financial and Non-Financial assistance scheme so that different host associations would be interested more. The details have been discussed in the main report. There is requisite to hire professionally skilled person to the proposed new ICPB format in India. Also on deputation, officials in different target overseas countries
  • 14. need to be assigned with specific target to generate MICE business with the help of local consultant. A visitor should go back with enriched in knowledge and a sense of a great experience after traveling to India. New tourist destinations may be identified and further developed for offering innovative tourism products or experiences. MICE Tourism can be used as appropriate tool to make India an attractive location so that the foreign travelers may keep coming back to India repeatedly. 1.6 Objectives of the Study 1. To study the present scenario of MICE industry in India 2. To study the MICE an emerging Hospitality Segment 3. To analyze the potentiality of MICE Tourism in India 1.7 Research Methodology The data if taken from secondary sources by way of extensive literature review of books, journals and other also concerned websites it was carried out to gather background information about the general nature of the research problem. Secondary data has been collected from companies and trading websites, Journals, Books and Tourism related websites. 1.8 Limitations of the Study 1. The study is restricted to India. 2. The time period for the project was limited and access of information is also limited to Books, Internet and Journals. 3. The Reserved does not identify relationship.
  • 15. References  Anon, 1993, “The Impact of Association Meetings”, Association Management  Cesario, F., Var, T. C. & Mauser, G., 1995, “Convention Tourism Modelling”, Tourism Management.  Davidson, R., 1994, “Business Travel”, London: Pitman Publishing.  Dwyer, L., and Forsyth, 1997, “Impacts and Benefits of MICE Tourism: A framework for analysis”, Tourism Economics.  Fenich, G. G., 1997, “Conventions, Centres and Meetings: An analysis of the Past Decade”, Visitors in Leisure and Business. 16(4), Winter.  Gade, J. and Ankathi, R. Tourism Management Philosophies, Principles and Practices. Hyderabad, India: Zenon Academic Publishing, 2016, pp 402.  Goldblatt, J. J., 1997. “Special Events: Best Practices in Modern Event Management”, 2nd Ed. New York: Van Nostrand Reinhold.  Jack D. Ninemeier, Joe Perdue, 2005, “Discovering Hospitality and Tourism”, Pearson Education Inc.  Lynn Van Der Wagen, Brenda R. Carlos, 2005, “Event Management”, Pearson Education, Inc.  Newindianexpress.com. „MICE Sector on a rise in India‟, Oct, 2017. [Online]. Available http://www.newindianexpress.com/cities/hyderabad/2 017/ oct/ 25/ mice-sector-on-a-rise-in-india-1683125 [Accessed: 23-7-2020]  Walker J. R. and Walker, J. T. Tourism Concept and Practices. Noida, India: Dorling Kindersley Pvt, Ltd, 2011, pp 294,295.  Walker, J. R. Exploring the Hospitality Industry. Harlow, England: Pearson Education Ltd, 2012, pp.300.
  • 16. CHAPTER- 2 REVIEW OF LITERATURE
  • 17. CHAPTER- 2 REVIEW OF LITERATURE The importance of MICE is well reflected from researches taking place throughout the world. Due to its multiplier effect it has great significance in economic development of any nation. But for this, a huge infrastructural development is needed. MICE tourism has high expectations for the host place, it must possess the modernized exhibition venues, convenient traffic, accommodation of different grade, beautiful urban environment etc. (Xinli Xie & Qunchao Lu, 2006). This is supported by state studies of various centres. Singapore had 3,245 MICE events, up 7.8% and won 79 new because of good infrastructure is in place, efficient transportation networks, the latest information technologies and world class hotels. It says its superb conference and exhibition facilities as well as the premier shopping; dining and sight-seeing attractions provide the perfect complement to the conference experience (Singapore Tourism Board, 1999). Colliers International, (2008) puts Dubai„s share in Middle East region MICE tourism at 30% of overall tourism visitor mass. IMEX research (2006) in its research identifies Germany as a MICE venue is rated on 10 factors. These are well organized, efficient and punctual, quality of public services, multi-cultural and tolerant society, reputation as a business- oriented destination, experience, reliability of transport, major airports, international outlook, professionalism of destination marketers and PCO„s &
  • 18. technical know-how. This clearly shows the importance of MICE services & facilities. BCVB (2005) identifies Bulgaria has USP of MICE tourism is due to Accessibility (280 flights weekly), Accommodation (1500 rooms), Packages, & Entertainment (150 restaurants & clubs) Infrastructure. Business Tourism Partnership (U.K)(2003), highlight that in U.K the investments in a destination„s infrastructure designed primarily for the MICE / Business tourist (hotels, transport and communications facilities, restaurants, attractions and amenities, even conference auditoria) provide benefits which can also be enjoyed by the leisure tourist and the indigenous population. Asia pacific MICE magazine (2008) in an interview with Frederic Bardin is Vice President of Arabian Adventures and Congress Solutions Dubai says that unprecedented expansion of Dubai„s tourism and MICE infrastructure has prompted further development of Arabian Adventures. Now there objective is to make Dubai as world„s leading MICE destinations. It is perfectly positioned to capture business from Europe, the US and Asia. We have over 105 airlines now flying to Dubai every week so it„s very difficult to beat. Hong Kong, which is considered a hub, for example, has around 50-60 airlines flying in every week. We can get 40,000 to 45,000 people in to Dubai within three days for mega events. Kaisheng Zeng, Xiaohui Luo (2008), studies finds that Beijing Olympic Games has given a tremendous boost MICE reason the improvement in transportation and made travel more economically feasible. The increasing number of low cost
  • 19. airlines around the world also provides an alternative for travellers. Further they adds that the experiences and the ―legacy‖ of the Games, such as the large population of trained workers during the Games and the facilities used by the Games, will benefit China„s MICE tourism industry, which will, in turn, stimulate China„s inbound tourism GIBTM (2009) identifies the top twelve most important influencing factors when placing an MICE event in the Gulf/ Middle East. Which are Cost , Quality of accommodation, Quality of meeting facilities, Quality of service, Overall appeal of the destination ,Travel time to destination, Time of year, Security/safety, Availability of hotel rooms/venues, Visa procurement, International air routes & Weather. Government of India’s National Action Plan (1992) proposed that convention and conference tourism had great significance and therefore to encourage convention tourism, it was desirable to set up fully integrated convention complexes so that, more and more international conferences and conventions could be attracted to India. National Tourism Policy, Government of India (2002), mentions that India, despite its size, significance and attributes with world cities such as New Delhi and Mumbai, receives a minuscule proportion of global meetings, incentives, conventions, exhibition (MICE) market with only 97 international conventions bringing approximately 25,000 people in 2001, therefore, it is imperative for India„s tourism development but also for development of international and
  • 20. domestic trade and commerce, that India construct a world class international convention center in Mumbai. WTTC (2003), ―The MICE segment will be the important driver for corporate travel in India, enhancing traffic to key cities Mumbai and Delhi, while increasing traffic to emerging nodal towns like Pune, Hyderabad and Bangalore.‖ In line with this, in the year 2005 Budget Speech the Finance minister of India has shown intention of setting up of world-class convention centre at New Delhi, Jaipur, Agra and Mumbai on the basis of Public private partnership (PPP) format. MICE in ASIA Magazine (2008, Jun) India enter into MICE tourism in 1991 with the start of economic reforms. As the economy starts flourishing, the country has started upgrading its MICE facilities. Hyderabad International Convention Centre (Hyderabad), Epicentre (Gurgaon), India International Expo Centre (Greater Noida) is few states of art world class facilities to name few. Department of tourism (2003) in ―20 year Perspective Tourism Master Plan for Chandigarh‖ has suggested few strategic projects develop Chandigarh which include to transform the Chandigarh into convention city to attract the MICE segment. ICPB (2007) in its newsletter has mention Chandigarh as an important MICE destination. Punjab tourism (2011) has already invited bids for the construction of convention venue at Mohali near Chandigarh with a capacity of 3000 persons. From the above review it emerges that Chandigarh can play a significant role in MICE tourism as this is one of the fastest growing fields.
  • 21. Walker J. R. and Walker, J. T. (2011), The MICE segment is a very profitable industry, statistics point to the fact that the average MICE tourist spends double the amount of the other tourist expenditures. People have gathered to attend meetings, conventions and expositions (exhibition) since the ancient times, mainly for social, sporting, political or religious purposes. As cities became regional centers, the size and frequency of such activities increased and various groups and associations set up regular expositions . Walker, J. R. (2012), The incentive meeting of MICE continues to experience rapid growth as meeting planners and travel agents organize corporate incentive travel programs to reward employees for reaching specific targets. Incentive, trips generally vary from three to six days in length and can range from moderate trip to an extremely lavish vacation for the employee and his/her partner. The most popular destination for incentive trips is Europe, followed closely by the Caribbean, Hawaii, Florida and California and now many other destinations are booming as well. Goa, Kerala, Agra, Rajasthan, Andaman and Nicobar Islands, etc. are the popular incentive tourism destinations in India. MICE tourism in India is continuously growing and increasing its meetings, incentive, conference & exhibition facilities. There has been 15 to 20% of annual growth in the inbound MICE segment with an estimate of Rs. 8500 crores annually. The ranking of India is 31st in global meeting market as published by ICCA (International Congress and Convention Association). The Union Government has set an ambitious target for MICE INDIA to achieve 2% of the global MICE market share by 2025, from an insignificant current share
  • 22. of 0.5%. Delhi, Chennai, Bangalore and Hyderabad are also among the major cities that had hosted major events. According to panelists, a conference traveler, on an average, spends $ 1511 a day during four-day stay compared to $600 spent by an inbound leisure traveler staying for the same duration. As per industry estimates the global MICE market supports 4, 00,000 conferences and exhibitions worldwide, making it an annual US $280 – 300 billion market. Gade, J. and Ankathi, R. (2016), India has a good combination of the infrastructure like accommodation, business-conference facilities and destination attractions. Some cities have a good support facility to hold successful conferences and exhibitions like Bombay Exhibition Centre, New Delhi-Vigyan Bhawan, and Bangalore International Exhibition Centre, Kochi International Exhibition Centre and many business hotels and resorts with all the required business facilities. The Indian railways and airlines are providing a good platform to visit the rich destinations of India for incentive travel. The diverse culture and geography of India is adding to the incentive travel business in India making it one of the emerging incentive destinations. India is also been targeted by other countries for its contribution in their country‟s market share. As stated by Indiainfoline, India is estimated to generate 6.5 Million outbound luxury and MICE tourists annually by 2020, reinforcing the country‟s influence as a key source market for MICE and luxury travel, according to figures published ahead of the 5th Annual MICE India and Luxury Travel (MILT) Congress .
  • 23. Jussi Ramet and Anne Tolvanen (2010) reported that tourism is one of the most dynamic industries globally, and within this, the eco- tourism is considered to be growing most rapidly. The impacts of tourism are multifarious. From an ecological standpoint, tourism poses a threat to sensitive environments. Hence, sustainable tourism is a highly disputed issue, involving differing values and complex power relations within and between stakeholders. So it is necessary to identify the principles of sustainability that will be achieved through community control and those implemented by the government.
  • 24. References  Gade, J. and Ankathi, R. Tourism Management Philosophies, Principles and Practices. Hyderabad, India: Zenon Academic Publishing, 2016, pp 402.  Walker J. R. and Walker, J. T. Tourism Concept and Practices. Noida, India: Dorling Kindersley Pvt, Ltd, 2011, pp 294,295.  Walker, J. R. Exploring the Hospitality Industry. Harlow, England: Pearson Education Ltd, 2012, pp.300.  Newindianexpress.com. „MICE Sector on a rise in India‟, Oct, 2017. [Online]. Available http://www.newindianexpress.com/cities/hyderabad/2 017/oct/25/mice-sector-on-a-rise-in-india-1683125 [Accessed: 23-6-2020]  Indiainfoline.com,„India to Generate 6.5 Million Outbound Luxury and MICE Tourists Annually by 2020‟, 2017. [Online]. Avaliable: https://www.indiainfoline.com/article/news-businesswire-finance/india-to- generate-6-5-million-outboundluxury-and-mice-tourists-annually-by- 2020117062400157 [Accessed: 23-6-2020]  Jussi Ramet, Anne Tolvanen, Kinnunen, Anne torn, Markku Orell and Pirkko Siikamaki, (2010), “Sustainable Tourism”, In Anil Varma, (Ed), emerging trends in Tourism, The Icfai University press, Hyderabad, p.149.
  • 25. CHAPTER-3 AN OVERVIEW OF MICE TOURISM IN INDIA
  • 26. CHAPTER-3 AN OVERVIEW OF MICE TOURISM IN INDIA 3.1 MICE Tourism at Present a) Evolution of the concept in India MICE Tourism has been existing in India since time immemorial. The kings and the emperors used to host lavish gatherings at their palaces for a long time. This accentuated in the British era and further shaped up in the post-independence era, with the advent of the 5 star accommodation units across the country. Hosting of large scale sporting events like the Asian Games in 1951 and 1982 and the Commonwealth Games in 2010 further showcased India‟s ability to successfully host events like this. With the formation of ICPB in 1988, further momentum was received for this segment of the industry. With the MICE industry entering a maturing phase and the focus shifting from Europe to Asia Pacific region, India is on the cusp of a major breakthrough, an advantage to become a leader in MICE tourism in the Asia – Pacific region. b) India’s relative positioning over last few years As per ICCA rankings, India has improved its position substantially in the recent times, when it hosted 175 meetings in 2017 compared to 143 for the previous year, thus leaping and improving its position by seven positions. A vivid analysis of 5 year data indicated that India has infact reclaimed its position, which it maintained in the year 2013, albeit with a hosting of lesser no. of meetings.
  • 27. c) Overview of Infrastructural amenity Infrastructural amenity in India is at par with the most of the developed countries and in some metro cities it is excellent to say the least. A snapshot is presented in the Table below for Kind reference. Table 3.1 Overview of Infrastructural Amenities MICE Venue Infrastructural Amenity Evaluation Venue 5 Star Hotel India has 357+ Hotels in the 5 star category and a few more upcoming in the different cities. Majority of them Stand out in terms of service provided, which are of truly international standards. A few of the hotels are also unclassified but continue to be excellent venues for MICE 4 Star Hotel India has 278+ Hotels in the 4 star category and a few more upcoming in the different cities. A few of the hotels are also unclassified or have not renewed their classification but continue to be excellent venues for MICE Convention 69 Convention centre are located in India Source: FICCI – MRSS Whitepaper on MICE Tourism
  • 28. d) Opportunities for MICE tourism in India The Opportunities which play advantage for MICE Tourism in India can be summed up in the following points as depicted in the figure below:- Strengths of India MICE Brand  An array of exquisite destinations  Old world tradition mixed with cosmopolitan sophistication  Exotic accommodation & conference infrastructure  Elaborate internal Surface transport and communication network  Better connectivity with the world  Treaties with the developed countries to develop its tourism sector  Evolving and maturing business scenario  Educated and skilled manpower  Avalability of relatively cheap labour  Make in India, Start Up India, Tax reforms to spruce up investment scenario  Government focus on ease of business and promotion of tourism  MICE Tourism worldwide trends showing India as preferred destination e) Major Destinations FICCI – MRSS had published a whitepaper in 2016 titled “India Inbound MICE Tourism, trends and opportunities 2016” and subsequently a report title “MICE Tourism – Powerhouse of New Era” which had identified a few destinations as depicted in the diagram below. What is encouraging to see is the fact that a few
  • 29. more destinations had already made its name into the key destinations that could develop as future brand ambassadors for MICE Tourism in India and could place India formidably in the map of MICE Tourism. f) Segmentation of States in India based on MICE Tourism potential MRSS team of experts conducted a thorough analysis of the initiatives undertaken by different states and has segmented them into the following categories based on their USP in MICE context, initiatives undertaken and focus to improve upon MICE tourism in the State.
  • 30. g) ICPB and it’s role in evolution of MICE in India The India Convention Promotion Bureau (ICPB) has been set up under the patronage of the Ministry of Tourism to promote India as a convention destination. The ICPB is a non-profit organization with membership comprising of representatives of national airlines, hotels, travel agents, tour operators, Professional Conference Organizers, State Governments, etc. Ever since its inception, ICPB has been bringing together the who‟s who of the travel trade and under the aegis of Ministry of Tourism, Government of India has been playing its‟ subtle role in the Convention business in India. A critical evaluation of ICPB in the current context indicates the following strengths and weaknesses for the organization. Strengths and Weaknesses of ICPB Strength Weakness Experienced professionals in the industry Lack of focused marketing initiatives Wide gamut of participating Organization Lack of dedicated full time leadership team Lack of business intelligence / information Lack of revenue generation scope resulting financial constraint Steep membership fees. Source: FICCI – MRSS Whitepaper on MICE Tourism The concept of ICPB in the wee years of MICE as a trade was indeed a visionary step but what India has seen over the years is only an organic growth in the trade. The organization has also not evolved and adapted as per the changing demands of
  • 31. the trade. As it was observed in case of other boards and convention bureaus adaptation and transformation is the key of the hour, which needs to be implemented to gain positive traction in this business. 3.2 MICE Destinations in India The MICE industry in India, though well equipped to take on its' immediate neighbours and in certain cases the Global warhorses, has to trudge a long path before it comes up as a “Top of the mind” destination amongst global MICE organizers. As per ICCA, India occupies 35th position in the world, with a total of 116 Global conferences organized in the year 2014 -15. In this category the global leaders include USA (831 meetings), Germany (659 meetings), Spain (578 meetings), United Kingdom (543 meetings) and France (533 meetings). In terms of immediate neighbours, only China (332) leads at the world stage, Other competitors like Taipei (145), Singapore (142), Malaysia (133) and Thailand (118) are within the striking range. India‟s travel and hospitality sector has witnessed an upward trend in the past couple of years. It is expected to generate well over 2 million outbound MICE and luxury tourists per year by 2020, and can emerge as an important market for MICE travel. MICE tourism has enabled India to develop better infrastructure, improved rail, road and air transport and making it unique as well as excellent destination. The local market segment has been dominated by domestic players like OYO and MMT but they are also moving across borders to attract new clients for them.
  • 32. The MICE Industry is required to bring new ideas and clients to our country which can increase sale and revenues. The specialized industry meets unique need of companies and the service industry is essential to bring trade, transportation, travel and finance together. Social media promote MICE business to increase awareness and to improve customer service. India is developing fast and becoming the most preferred destination due to its unique warm hospitality, rich historical and cultural heritage, exotic business hotels, advanced technology and providing best infrastructure. India has been holding trade shows, exhibitions and events. Some major MICE destinations of the country are: Delhi The capital city of India is one of the preferred MICE destinations in India. It offers a unique blend of culturally rich old Delhi and the very cosmopolitan New Delhi. From historical monuments to huge shopping malls/markets, the city is a traveller‟s delight. Some of the city‟s charms include historical sites like the Red Fort, Jama Masjid, Purana Qila, etc. It has famous temples such as the Akshardham Temple, the Lotus Temple, and the ISKON Temple. Delhi is overwhelming with the number of things it can offer, be it the food, history, or the cosmopolitan appeal. That is why this city is the first to come to the top MICE destinations in India. The city is well connected from all over the world, making it easy to travel. Similarly, the well-established and extensive Metro connectivity makes it easy to travel within the city.
  • 33. Delhi has several top-notch ballrooms and convention centres suitable to organize a world-class MICE event. Some of the top MICE venues in Delhi are Ashoka Hotel (capacity 2000), Taj Palace (capacity 1000), Park Royal (capacity 900), Habitat World (capacity 500), etc. Likewise, the city has many hotels, inns, etc. to take care of delegate accommodation. The capital city Delhi remains a favourite MICE destination due to world class infrastructure, ancient monuments and availability of excellent shopping centres. Some popular business meeting venues include the Habitat World Convention Centre, Vigyan Bhawan and the convention hall at The Ashok. Bengaluru The capital city of Karnataka and undoubtedly the “Silicon Valley”, Bengaluru is among the fastest-growing metropolis of the country. As a result, its inclusion in this list is quite natural. Being a major IT hub, Bengaluru is home to multi- national companies. So infrastructure-wise it has the best amenities in place. From some beautiful tourist spots to hordes of eateries and restaurants, it has everything to keep your delegates entertained. Hence, Bengaluru makes in our list of top MICE destinations in India. Kempegowda International Airport has connectivity from all around the world. Whereas to travel inside the city metro is the best option. Also, Bengaluru is blessed with an all-year-round pleasant climate. Cubbon Park, Banglore palace, Lal Bagh, the national park, and commercial street are some of the favourite tourist spots.
  • 34. JW Marriott Hotel, The Ritz-Carlton Spa, Four Seasons Hotel Bengaluru, Shangri- La Hotel, The Leela Palace, The Taj are some of the few 5-star properties in the city with amazing banquet facilities for corporate events. Similarly, Bangalore International Exhibition Centre, Manpho, NIMHANS, Pai Vista etc are among the renowned convention centres in Bengaluru. Mumbai The commercial capital of the country, “Mumbai” is considered one of the best places for international delegates to visit. The charming city has many tales to tell. Whether it is the glamour of Bollywood or the beauty of its beaches or the lip- smacking street food it offers, Mumbai attracts people with varied interests in the city. It has some of the best shopping markets. India‟s iconic monument, “The Gateway of India”, Marine Drive, Colaba Causeway, Juhu Beach, Siddhivinayak temple, Haji Ali Dargah etc are some of the places of interests. Being one of the busiest cities in the world, the Chhatrapati Shivaji Maharaj International Airport is well-connected to all major cities around the globe. Similarly, there are many hotels near the airport which are great to organize corporate events. While The Lalit (capacity 3000) JW Marriott (capacity 1500), The Taj Mahal Palace and The Leela Mumbai offer premium banqueting facilities for corporate events, Bombay Exhibition Centre and Nesco Centre Hall are versatile and multi-functional. Being the financial capital of the country Mumbai attracts national as well as international meetings and conferences. It is a city with availability of best human
  • 35. resource and infrastructure. The city is constantly coming out with new experiences, and enhancing already existing ones, keeping in mind the evolving needs of the MICE tourist. Chennai Chennai, capital of Tamil Nadu state, is on the Coromandel Coast of the Bay of Bengal. Considered as the “Gateway to South India,” Chennai is a major cultural and administrative centre. Blessed with a long coastline, it has many beautiful beaches. Also, the city has several ancient Dravidian style temples, cathedrals, and monuments influenced by British architecture. In the last two decades, software development and electronics manufacturing contribute to the bulk of the city‟s economy. As a result, many tech parks which serve as offices to several global companies are found across the city. Travelwise, Chennai international airport is well connected. The new (CCC) Chennai convention centre and Chennai Trade Centre offers world-class amenities to organize huge trade shows and exhibitions. It can host up to 2000 delegates. There are various other hotels like The Hilton (capacity 550), ITC Grand Chola (capacity 100), The Leela Palace (capacity 1500), Hyatt Regency (capacity 1000) etc are some of the luxurious venues for MICE meetings. Tamil Nadu government has come up with the Chennai Convention Centre (CCC) to promote the world-class business tourism. The CCC has an air-conditioned
  • 36. banquet space can hold 2000 delegates at a time and hence becomes suitable for mega-scale events. Hyderabad Hyderabad is one of the fastest-growing city owing to its lucrative trade policies. It is called the information technology hub of India. The city has beautiful weather conditions and attractive infrastructure. Some of the city‟s charms include Char Minar, Golconda Fort, and Ramoji film city etc. It has famous temples as well like Chilkur Balaji temple and Birla mandir. And while you are in Hyderabad, do not miss to taste the famous Dum Biryani and shop for exquisite pearls. To reach Hyderabad, Rajiv Gandhi International Airport is the best way. The well- connected metro is another way to travel around the city. The International convention centre (capacity 6000), Hyderabad International Convention Centre, Novotel Hyderabad Convention Centre, HITEX Exhibition Centre, Hyderabad Marriott Hotel and Convention Center (Capacity 2000) are some of the top MICE venues in the city. The pearl city Hyderabad is an information and technology hub of India. Studded with numerous heritage monuments, the heritage city Hyderabad has come up with a sophisticated business venue, Hyderabad International Convention Centre – HICC. The lavish HICC is able to meet the requirements of a convention of 5000, a seminar for 500 or a meeting of 50.
  • 37. Kolkata Capital of West Bengal and India‟s third-largest city, Kolkata is an amalgam of the old and new. Known as a commercial and educational hub, Kolkata is considered as India‟s artistic and cultural capital. Being a pioneer in arts, theatre, and drama Kolkata attracts a lot of tourism. Through a long association with the British, the city has many marvellous Victorian architectures and colonial buildings. Victoria Memorial, Fort William Kolkata, Howrah Bridge, and St. Paul‟s cathedral etc are definitely worth a visit. Similarly, the dining scene at Kolkatta is very happening too. And if you are a fish-eater, you will absolutely love the restaurants in Kolkata. Being an important metro city, reaching Kolkata is not an issue as it has a great flight, rail and road connectivity. Biswa Bangla Convention Centre is one of the largest convention centres in South Asia. Other premium venues for an excellent experience in meetings and conferences include The Westin (capacity 1500), ITC Royal Bengal (capacity 3500), Aauris, Novotel, Swissotel Kolkata, Hyatt Regency etc. In fact, the city has several good banquets and halls. Kochi The coastal city of Cochin or Kochi is Kerala‟s commercial capital. The vibrant yet serene city offers everything from historic gems to exotic beaches. Today, this port city is a growing hub of information technology, health services, shipbuilding, and tourism and is among the fastest-growing second-tier metros in the country. It is a culinary delight for seafood lovers and can make your journey even lucrative.
  • 38. Some of the must-visit places are Mattancherry Palace, Fort Kochi, Willingdon islands, etc. Cochin International airport is best to reach here from all around the world. To travel around the city, metro and taxi are the best options. Bhaskareeyam convention centre (capacity 500) and Le-Meridian (capacity 500) are among the top venues to host MICE events. Agra A favourite tourist destination, Agra is also an amazing destination for MICE events. Apart from the world-famous and mighty Taj Mahal, Fatehpur Sikri, Agra Fort, Mehtab Bagh, and the tomb of Akbar are among the other beautiful sites in the city. To reach Agra, Pandit Deen Dayal Upadhyay Airport is the best and fastest route. Taxi, rental cars and buses are the best ways to travel inside the city. The Jaypee Palace Hotel convention centre can hold up to 1500 delegates at once. Other banquets halls ideal for conferences and meetings are The Oberoi Amarvillas (capacity 100), ITC Mughal (capacity 250), Trident Agra (capacity 1300). As a matter of fact, the city has many banquet halls that provide a pleasant meeting environment. Goa Being one of the most visited places in India, Goa is known for its balmy beaches, scrumptious cuisine and Portuguese heritage. As a result, the tourism and
  • 39. hospitality industry is well developed. There are many beaches that one can explore, from the busy ones to the isolated ones. While the popular Sunburn festival happens in the last week of December every year, the other carnivals usually happen between January and April. If you have a keen interest in adventure and water sports, this place will not disappoint you. Dabolim airport offers good connectivity from all around the world. Vivanta by Taj (capacity 300), The Crown Goa (capacity 200), Le Meridian etc has multiple indoor and outdoor banqueting facilities suitable to hold a conference or a meeting. Jaipur The pink city of India, “Jaipur”, is known for its abundant palaces and forts. Some of the major tourist attractions in the city include the Jantar Mantar (the royal observatory), the honeycomb styled Hawa Mahal and the grand Amber Fort. The city markets are full of crafty and colourful things unique to the Rajputana culture. JAI Or Jaipur Airport is the best way to reach here from other places. Metro is the fastest way to explore the beauty of the pink city. The Jaipur Convention Center can host up to 8900 delegates and provides a luxurious experience. Similarly, the luxury hotels and palaces like ITC Rajputana (capacity 550), The Lalit Jaipur (capacity 200) offer the best hospitality experience. With so much to explore and do, Jaipur is definitely one of the sought after MICE destinations in India.
  • 40. Noida Noida is a planned city in India‟s northern state of Uttar Pradesh. A gem in the outskirts of Delhi, the city is growing at a fast pace in terms of everything. The Buddha International circuit holds Indian Grand Prix, and for paradise lovers, the Botanical garden is a must-see. Noida is emerging as a preferred IT-ITeS destination of India. As a result, infrastructure wise it is a good option to host MICE events. The International Trade and Expo centre is one of the best convention centres in the country and has a seating capacity of 5000 people. Apart from that that there are many, premium banquet halls with capacities ranging between 100- 1000 for organizing events. Though selecting the event destination is the first major step in MICE planning, it is just a small part of the entire planning process. Hosting a corporate event requires meticulous arrangements. Therefore, professional help will be advantageous. BigFDay is an ace corporate event planning company. We are based in Chennai and have tremendous experience with planning successful corporate events. Allow us to assist you in hosting an unforgettable corporate event. The good news is the fact that India is identifying and adding cities wherein MICE can be a top draw to boost tourism and pep up economy of the particular location. These cities already have a good infrastructure as far as hosting conferences are concerned and/ or in the process of development. What needs to be done is to improve upon the connectivity, up skill people, empower local level organizations and grow the ecosystem in a focused way.
  • 41. As per latest statistics available from ICCA, the following cities of India has contributed immensely in improving rankings for India  New Delhi – grew by CAGR of 13.9% for a 5 year period  Mumbai – grew by CAGR of 3.7% for a 5 year period  Bangalore – grew by CAGR of 14.5% for a 4 year period  Hyderabad – grew by CAGR of 8 % for a 3 year period  Chennai - grew by CAGR of 9.3% for a 5 year period  Goa – grew by CAGR of 4.7% for a 5 year period 3.3 MICE Tourism as an Opportunity in India  Better connectivity with world because of its physiographic location provides India to become a MICE hub.  India has signed several treaties with the developed countries to cooperate and develop its tourism sector that is boon to MICE Tourism.  Expansion of leading hotel chains in India has created a new space for development of MICE in India.  Development of transport and communication for better connectivity is pet project of present government which would further provide a fillip to MICE Tourism Industry.  Rapid development of software and services industry gives MICE a new space to develop online from remotest corners of India.
  • 42.  India is one of the fastest growing economies of the world and is able to attract huge investments that are assistance in creating new services in MICE Tourism.  Good human resource as youthful population is a major player in development of MICE as tireless young innovative minds are engaged in MICE.  Cheap labor is another factor that makes development of MICE in India a beneficial possibility. 3.4 Challenges for MICE Tourism in India MICE segment does no doubt taste some success in the Indian market. But still a lot of developments are yet to happen. One of the major steps to tap the MICE is the introduction of e-tourist visa for MICE. At the moment MICE industry in India is fragmented, with less specialisation than some other MICE destinations. India‟s MICE industry is still in its growth stage and we are witnessing the emergence of new destinations within the country. The MICE sector in India is making a steady comeback as transport and Infrastructure development gains momentum. The connectivity to Tier II and III cities is another important development which needs to be looked at. Tham added, “Hotels are already facing intense competition and the MICE sector is expected to see significant growth. As new meetings formats and technology will continue to develop, hotels need to assimilate these changes and adapt to latest trends. Hotels seeking to increase their share in the MICE market must create more
  • 43. flexible services and adapt a new attitude to change to offer the best experience to their guests. There is also a need to bridge the last mile connectivity and give a boost to infrastructural development to see rapid growth in the MICE segment. Training of manpower and retaining highly skilled manpower is another area that needs to undergo boost, especially for a highly specialized business like MICE.” Another major challenge for the entire industry is skill development and talent retention. MICE is a very specialised and niche business and requires a lot of highly skilled manpower, which at the moment is difficult to procure in India. Speaking about the challenges Arora stated, “Hospitality is a highly dynamic industry and employee turnover is one of the biggest challenges that the industry faces today. Novotel Hyderabad Convention Centre and Hyderabad International Convention Centre attract a large number of MICE guests and business travellers. For us, one of the major challenges is getting the skilled employees and retaining them with the company. Both international & national visitors travelling for MICE events have a specific set of requirements as they come for different nature of events. To serve these guests up to their satisfaction level, making their stay and meetings at the property a memorable and flawless experience, demands a proactive understanding and a greater skill set at employee front. Hence to bring such talent in the company and train them as per AccorHotels‟ service standard is imperative. With growing opportunities in the industry it becomes a challenge to find good resource and retain them.”
  • 44. Speaking about the overall MICE infrastructure challenges in the country Om Prakash, Director, In ORBIT Tours stated, “Despite continuous efforts, our infrastructure has not improved that can be compared even with neighbouring countries like Dubai, Thailand, Malaysia, Singapore and China. Beyond our metro cities, the facilities are not to the mark.” Specialised MICE tour operators are extremely optimistic about the growth in this sector in 2016. Most of the tour operators have witnessed that MICE tourism originating from Indian corporate was encouraging in fiscal year 2015 for domestic destinations. Speaking about the challenges in this segment, MICE expert Om Prakash, Director, In ORBIT Tours states, “MICE targets are certainly on the increase and Indian travel industry is marching ahead to increase its share. The set back in India‟ s world rank can be also due to the aggressive promotion by some other countries and the increase in their numbers. To recover, India needs aggressive marketing. India also needs to be more competitive destination. Indian land operation cost is higher than our neighbouring countries, maybe due to higher taxation. Hence, Tourism Ministry needs to be pro-active to provide incentives to MICE Inbound to enable to compete with our neighbouring countries.” Another challenge which the tour operators foresee is the fact that Indian restaurants are easily available in all European cities, USA, India, India and even in China. Whereas specific countries food are not easily available when their groups travel for various sight-seeing across India. “The average expenditure by a delegate is US$ 278. A conference delegate spends 2.5-3 per cent more than an average traveller,” said Marsharmani. Talking about steps to promote MICE tourism, he
  • 45. added, “There is need for better infrastructure facilities and we shall recognise the potential of the cities based on their economic value. ICPB suggests that 20 per cent of the global budget should be dedicated to MICE and there shall be ease in the visa process for conference delegates.” Ministry of Tourism had identified the potential of MICE Tourism long back and with an aim to develop this product had established the India Convention Promotion Bureau (ICPB) under its' aegis along with well known industry experts. This is aimed in promoting India as a destination for MICE Tourism. The Bureau participates in travel conferences and also organizes road shows both at domestic as well as international locations to formalize the concept. The draft national tourism policy 2015 lays a lot of emphasis on the MICE Tourism as a product per say. The policy emphasizes upon maximizing synergies between leisure and MICE Tourism to enable pre/ post leisure for MICE visitors with an aim to extend their stay, motivate them to visit other locations and earn more foreign exchange from them. What is encouraging is the fact that the New Tourism policy identifies MICE as an important product to boost the tourism revenue along with Heritage and Culture, Spirituality, Yoga, Ayurveda, Medical Tourism, Agri tourism, Beaches, River, Cruises, Adventure, Wildlife, Cuisine, Shopping. MICE Promotion Bureau with industry representation have been set up at National as well as the Destination level  Creation of corpus fund for bidding for large conventions. Equal contributions to come from Government and participating industry. National and State Bureaus to work hand in hand and bid for the conventions
  • 46.  Providing single window clearance for organising Meetings & Conventions.  MICE has be at the centre stage and is considered an integral part of the “Smart City Programme propounded by the current Central Government  Developing Mega Convention Cities in each of the 5 regions of India to cater to small and the medium convention market  Inventory of MICE facilities and Convention Centre to be made online. Right now, the data is not in a user friendly format and would require updating.  International Convention Organizers to be invited for familiarization trips in order to acquaint them with the facilities and amenities available in India  Rationalization and simplification of the Conference Visa regime, the introduction of E Tourist Visa is a welcome step in that direction.  Promotion of the MICE Segment through specialized Trade Fairs and focussed Road shows.  Competition with developed and neighboring countries like China, Thailand and Singapore  Lack of world-class infrastructure  Emerging MICE destinations of Europe and America  Recent terrorist activities in the major cities of India  Negative perception about safety and protection of tourists  Religious intolerance in some cases  Providing communication connectivity in remote and rugged terrains that are major tourist hubs
  • 47.  Man-power planning  A National Policy on MICE Tourism  Lack of marketing at MICE destinations  A gap in Indian Hospitality Management  Up gradation of transport highways, services, railways, and air-ports  Lack of trained man-power to manage big events. 3.5 Optimizing Resources for Development MICE in India Technology and social media are effective tools in the MICE segment. Use of technology to enhance the conference experience has been adopted at NHCC. Aim of government as well as corporates has been to deliver more inspiring, more engaging, and more result driven meeting experiences to meet the customers‟ demand. Meeting experiences are being transformed with engaging technology, flexible work-spaces to inspire collaboration, and with creative solutions. Standardisation of services across event managers, professional conference organisers, exhibition organisers is crucial to the development of the MICE sector, and in order to achieve this, setting up of training and certification courses is essential. Colleges and institutions should be encouraged to include curriculum of MICE in courses. Resorts and hotels coming to as MICE Destination should be given incentives or tax subsidies. Regulations to encourage domestic MICE tourism should be focussed. India is all set to go the global way and Meetings, incentives, conferences and exhibitions (MICE) is fast becoming a core part of its tourism strategies. When it
  • 48. comes to the Indian market as a MICE destination, incentives is still the largest component of MICE. But nonetheless, India is looking to grab the lions share in the global MICE tourism segment. Earlier the main challenge for MICE to flourish in the country was lack of connectivity and infrastructure. MICE was not even marketed in the way it should be. With the new Government understanding the business of MICE, is all set to promote it on a global scale. The Government is now supporting private players under PPP mode for setting up large and small Convention Centres with exhibition facilities at various metros and other cities. These Centres will not only fetch a large amount of foreign exchange but also give boost to other economic activities. Today India has a lot of MICE infrastructure, some still underutilised. According to statistics, around 90 per cent of the MICE businesses globally are small in nature with a maximum of 200-250 pax. Today, India is very well equipped to cater to this segment, yet we have not been able to completely tap the potential of this segment. “MICE is a significant segment within the tourism and hospitality sector and the government hopes e-visas for business travel will boost the segment further. Electronic visa would make it attractive for business travellers as they tend to have lesser time to plan trips than leisure tourists. We feel e-visa for conferences and meetings could go a long way,” said Suman Billa, joint secretary in the tourism ministry.
  • 49. Speaking about the potential Julia Tham, General Manager, Mercure Lavasa and Lavasa International Convention Centre said, “It is important to remember that the MICE industry is one of the fastest growing segments within the tourism industry in India. The prospects for the MICE industry are bright as the economy has started picking up. As the economy improves, the demand for exhibitions, meetings and events is going to increase leading to exponential growth. Plugging challenges like finding and retaining skilled manpower, improving domestic connectivity and setting up of a centralised agency to monitor the growth and development of the MICE segment together will help India harness its full MICE potential.” Governmental focus Government of India has taken one of the major steps to revamp Pragati Maidan Complex. This is one of India‟s most premium venues for large exhibitions. The existing Pragati Maidan Complex that so far used to organise National and International Exhibitions and facilitate holding of various other events, is set to get all new face with its upcoming redevelopment into a World class state-of-the-art Integrated Exhibition-cum-Convention Centre (IECC). LC Goyal, CMD, India Trade Promotion Organisation (ITPO) recently announced the launch of this sophisticated Project to be implemented by the latter at a cost of approx. Rs 2,500 Crore. Once redeveloped, IECC will be a landmark spot in Delhi and a symbol of Hon‟ble Prime Minister‟s vision of „New India‟, they informed.
  • 50. Conceived by NBCC in association with ARCOP Associates and Aedas Pte of Singapore, the IECC shall be developed with latest architectural design along with basement parking facility of 4800 vehicles and comprehensive traffic decongestion interventions. The Convention Centre will be 32.4 mtr. tall landmark building on par with the best in the world. This structure will be on an elevated podium with unique slopping facade incorporating rich architectural heritage of Delhi. The Centre will have a capacity of 7000 pax in single format (Plenary Hall with fixed sitting of 3000 pax and Multi-Function Hall of 4000 pax) and amphitheatre with 3000pax. There will be altogether 30 Meeting Rooms of different sizes and capacity and the complete structure of the Centre will be built with a mix of red stone and Dholpur white stone and GFRC. The implementation of the whole project shall also have the provision for monetisation of land for a 500-Key Hotel. Exhibition segment of the Integrated Centre shall comprise 7 new modern Exhibition Halls along with pre-function area with exhibition space of one lakh sq. mtr. Each Exhibition Hall will have integrated F&B facility. There will also be exhibition open area (15 acres) with 4 open amphitheatres, (two of 900 pax each and two of 600 pax each) with two colourful fountain areas. The complex will also have covered walkways/canopies & skywalk connectivity with Pragati Maidan Metro Station. Both the Stakeholders revealed the detailed timeline of the project saying that the vendors for both IECC project and Traffic Interventions would be in place by the end of June, 2017 and the construction work would start by July, 2017. The
  • 51. Convention Centre, they informed, would be completed by November- December, 2018 and the entire project by July- August, 2019. Speaking about the new initiatives Chander Mansharamani, Vice Chairman, India Convention Promotion Bureau added, “There are number of steps that have been taken by MoT in the form of greater participation in MICE related shows in the world. We at ICPB have drawn a plan to market India as a preferred convention destination. The other good news is the new additional infrastructure coming up in various part of the country. To further tap this market, it requires very aggressive marketing and promotional activities. We are sure with the new approach; we will be able to achieve the target.” Infrastructural Insights The traditional players in the MICE business are all now looking to upgrade their infrastructure at par global standards. The most used convention centres in India Pragati Maidan in New Delhi and Bombay Exhibition & Convention Centre in Mumbai are set to go for makeover. One of the key reasons for this sudden development is the rise of the new players. Today Hyderabad International Convention Centre is regarded as one of the venues which is at par with global convention centres. AccorHotels is also launching an international convention centre in Jaipur. Also a mega convention facility is all set to come up in Knowledge Park II in Greater Noida soon. The lack of world-class convention centre coupled with other infrastructural challenges has been a major hurdle for the growth of this segment. Ironically, the
  • 52. Govt. of India itself is facing challenges to organise a mega global summit as was seen during Indo –Africa Meet which was organised in a stadium rather than a convention space. This prompted the government to expedite the process of developing convention centres across the nation. Gorav Arora, Director of Sales & Marketing, Novotel Hyderabad Convention Centre & HICC said, “2016 was a successful year for Hyderabad, as we at Hyderabad International Convention Centre hosted several large conferences bringing more than three lakh international and national visitors to the city. The contributing segments included IT, medical tourism, agriculture, financial services and aero sciences. Both Hyderabad International Convention Centre & Novotel Hyderabad Convention Centre have been integral to the growth of MICE, helping catapult Hyderabad to the top four Indian MICE cities based on number of events we have hosted at our venue. We expect 2017 to be much stronger with higher number of conferences. Apart from the segments which performed well in 2016, various international associations and conference boards will also contribute to this year‟s progression.” Positive news for the MICE industry is the new venture by Reliance Industries. The group is all set to launch a state-of-the-art convention centre in Mumbai which is set to be the country‟s largest Convention Centre – The Dhirubhai Ambani International Convention and Exhibition Centre. Reliance has invested US$680 million in this project. The project is located in the heart of business capital of India – Mumbai – Bandra Kurla Complex, popularly called as the BKC. The project revolves around four buildings including a Convention Center, an
  • 53. Exhibition hall, and a Theatre in a 75,000-square-meter plot in the centre of Mumbai. The Convention and Exhibition Centre will be a mixed development project that will include retail space, service apartments and hospitality facilities. Another convention centre which is yet to tap the chunk of the MICE segment is The Lavasa International Convention Centre (LICC) situated right on the banks of Warasgaon Lake. LICC is spread over 1.5 acres of land, offering 34,500 sq ft. of flexible floor space. The meetings space includes six additional break-out rooms, a Board room, a Business Centre, a Media centre, and a VIP room. LICC is one of a kind property which embodies a huge pillar-less area for events & exhibitions and has vibrant interiors to break the monotony of long conference sittings. Tham said, “MICE segment in India is still at a nascent stage and will take some time to develop to its full potential. There is been a dramatic change in the hospitality industry over the years as the portfolio of the clientele has diversified over the years from only leisure to business and leisure travellers. Hotels today offer a diverse portfolio of services, MICE being one of them. Therefore, the focus of hotels is to promote all the services they offer equally. Every hotel is trying to diversify their service offerings and therefore typically does not promote itself only as a MICE destination or only as a leisure destination. Today, destinations that were considered to be leisure destinations are fast becoming MICE hubs as they provide a perfect balance of work and play.” He further added, “Lavasa also falls in a similar category. Lavasa city is a leisure as well as MICE destination and we are promoting it to two sets of travellers in
  • 54. two different ways considering their needs and expectations. Lavasa International Conventional Centre is promotes as an ideal MICE & Wedding destination and as a great weekend gateway for FIT travelers as well. Rate strategies have been implemented keeping in mind the strength and weakness of Lavasa being as a destination.” International Research body DPI Research states “India is poised to be the world‟s fastest-growing outbound MICE tourism market, generating over US$ 45 Billion by 2025 in revenue and will generate more than 2 Million outbound MICE tourists by 2020.” The „World Travel and Tourism Council‟ (WTTC) reports Indian spends outside the country while traveling abroad has doubled in the past 10 years, from $7.5 billion in 2005 to nearly $16 billion in 2015. The United Nations World Tourism Organization (UNWTO) estimates that India shall account for 50 million outbound tourists by 2020, growing at an annual growth rate of 10 – 12% over the last seven years and further expected to grow at a Compound Annual Growth Rate (CAGR) of around 7.23% during 2016 – 21. UNWTO further estimates Indian spend power as being at least four times that of the Chinese and Indiaese. The average Indian spends USD 1,200 per visit as compared the Americans, who spend USD 700 and the British, who blow up USD 500! The growth figures augers a favorable response from the National Tourist Offices, who are vying for a piece of the Indian action. The Indian mission of the United States, a destination previously perceived as a major VFR market has now undertaken as per Export USA, activities to stimulate the MICE market and
  • 55. counter perceptions of the US being a difficult destination due to concerns about visas, costs, and distance. The Indian MICE market will grow exponentially and, if numbers do indicate, it is poised to be the fastest growing MICE markets in the world! If destinations are serious about adding numbers and attain their statistical „Nirvana‟, it will hold in good stead to focus on MICE movements! Indian traditional businesses prefer short-haul destinations such as Thailand, Singapore, Malaysia, Indonesia (mainly Bali), Sri Lanka and Dubai. What will endure as a MICE Destination catering to the needs of the Indian MICE market, here are a few attributes: Planning a board meeting at Gambling Meccas of Las Vegas and Macao to organizing a fun-filled dealer rendezvous on the Ibiza water-front no longer raises eyebrows. Well, even our well-oiled Swamis has discovered new occasions and added to their followers by holding their Satsang‟s and Yoga discourses in middle of the high seas, aboard some of the finest luxury cruise-liners. Easy and cheap visas: Bulk of the Indian MICE market is highly cost-driven. The rule is simple, the higher the cost of visas, the lower the destination preference. Preference for Visa on Arrival / E-Visas / Group Visas. Long visa approval time over 7 days will help you stay uncompetitive. Indians love free visas! There was one wedding group from Kolkata, which took over 20 helpers to lift luggage of guests! The higher the number of documents for the visas, the less popular the destination gets. Credit to the US Consulates in India, they sometimes offer Group Visa interviews for
  • 56. Indians. Indians would be probably the only consumer anywhere in the world, wherein, if not for the cumbersome visa procedures, can actually plan and execute an event in Europe on a week‟s notice! Direct flights and connectivity: With air connectivity, currently on steroids mode, in spite of Jet Airways losing its wings, the logistical support to destinations for multi-city boarding of delegates have also helped in the rapid rise of meetings and events held overseas! Three – Four hours of flight-time are ideal, but not a compulsion! If you are looking at bigger group movements from India, the higher the connected cities are with the destination, more chances of one bagging the event. Multiple Airline embarkation points are nice, but never underestimate the power of an Indian wedding group, where at one instance, a planner had to charter three aircraft to ferry marriage guests from Kolkata to Port Louis in Mauritius, paying three times the average fare! Indian food: What is about Indians and their food preference? Well, it is what it is..Indian food is mandatory for big groups, though some will surely try the local fare. Get your list of Indian restaurants out, speak with the Convention Hotel on getting Indian food. Educate them about the preference for Indian food, Jain Food, Indian Vegetarian food (not Asian Vegetarian). Also, explore opportunities for Indian Chefs to fly down to help cater for the group. At most Indian mega weddings, having an Indian Maharaj being flown down is almost certain! The One big Gala
  • 57. Dinner can be a raucous affair, running late into the night (on a heady mix of noise, music, and unlimited alcohol), especially if you are catering to a dealer meet! One Cruise-liner found it the hard way when they had to refund the fare to other guests, who were clearly discomforted by the behaviour of some of the members of this elite group recently! Availability of Hard liquor is important while Wine and Cheese are for those from a nearby planet! Your catering manager will have his hand‟s full, but that‟s the way it is! Do not see this change in a hurry! and of course, Dinner starts any time after 8.00 pm and at most times go on till dawn. There is a growing market for an upmarket, luxurious, boutique small meetings. Even in this case, it should be noted to include a vegetarian and Jain menu. The Indian luxury market is predominantly vegetarian, with over 80% of the top 500 Richest people in the country, belonging to communities that can relish, endure and nurture Vegetarianism! Remember, meeting a South African DMC, who had started working with the Indian market, remarking that for the very first time, he came across a term called „Non-Vegetarian‟. If catering to a South Indian group, don‟t forget to offer Curd Rice, you‟ll win them over for life! Well, just some food for thought! Hotels and event infrastructure: Paramount! Indian companies rarely chose anything less than a four-star hotel‟ Preference is given to hotels with good ratings, service standards and above all, flexibility. Big groups – get ready for requests for triple sharing, late-check outs (it can vary from 30 minutes to 12 hours!) and last-minute cancellations/additions,
  • 58. etc. In Room-dining and baggage services are expected! The request is simple – Best in the „value-for-money‟ deals. India is probably, the world biggest last- minute market and one‟s ability to adapt would only enhance your ability to win over! Indians cherish helpful assistance over the stiff-upper-lip extreme professionalism. Unique MICE offerings: The market for unique meeting spaces, though on the upswing is still small! Jungle Safari camps, Meetings in Antarctica with the Penguins, Breakfast with the Orangutans, Weddings on the turquoise waters and other bewitching settings, etc., all offer tremendous niche opportunities and a growing market! A Travel Agent recently was even planning the logistics for a program in Turkey for Indian corporate to organize a team building activity on the Bosporus strait in Istanbul on a Yacht race from the Asian to the European Side of the country! With only about 2% of the population having traveled abroad or even own a passport, the potential is immense and only poised to grow. The Outbound MICE Market from India is no mood to slow down! The onus to tap a market, wherein the rewards to the economies are immense by hosting an Indian MICE traveler clearly lies with discerning destinations and convention-bureaus! and of course..more MICE to catch!
  • 59. The outcome of analysis and interpretation of the study are that majority of the respondents said that the overall growth of MICE tourism in India is 21-40%. Majority of the respondents thinks that the present MICE market in India is highly potential and they promote their MICE business through advertisement in media. IT companies are the market segment of MICE business in India. It has been observed that majority of the respondents have less than 8 employees in their companies as most of them, were travel agencies. Companies face difficulties like the communication gap between the organizers and the host while organizing an event. Around 30-40% of foreign tourists are coming for MICE purpose annually in India. The sources of booking for MICE tourism are through travel agency, tour operator and corporate companies. MICE tourism companies in India focus on both India and International tourists. It has been found that for organizing events, MICE companies collaborate with other organizations like KSTDC (Karnataka State Tourism development Corporation), hotels, event management companies and tour operators. There are a few issues in relation to MICE tourism in India which can be perceived as possible bottlenecks to the industry as a whole:-  Prevalence of high tax structure in India – this is a major contributor for India's destinations to lose out on a global scale while bidding for events.  Convention Visa - This has been addressed somewhat in the New Tourism Policy. The introduction of e Tourist Visa has kicked off a new regime
  • 60.  Availability of Trained Manpower – Needs superior Industry – Academia connect  Carrying capacity of a MICE destination – Carefully carried out feasibility study may solve the process.  Compliance to International Standards – The Physical and peripheral infrastructure needs to comply with the world standards. This can be done by imparting training drawing cues from the leaders. Based on the observation and findings the following are some suggestions and recommendations for enhancing MICE tourism development in India.  India should open MICE research institute like India to promote MICE tourism in India  Indian government authorities need to motivate local entrepreneurs to develop regions in different forms through exhibitions, fairs and festivals, competitions etc.  Department of Tourism should give extensive promotion to India as it will increase the tourist inflows which will contribute to maximum FEE- foreign exchange earnings to economy  More awareness should be created by the MICE companies for MICE tourism by means of printed publicity, advertisement in media, presentation and seminars  Modernization of facilities and equipment should be used to cope with the changing trends
  • 61.  Promotional plans should be created by State Tourism development Corporation for MICE tourism. Promote concept of sustainable tourism Maintain co-ordination and align with the Central Agency Create a market intelligence system to track competition Create experiences, not just tourist spots Sell MICE tourism exclusively To make the dream of the honourable Prime Minister true, it is recommended that the concept of sustainable tourism be adopted and practised. This will involve all stakeholders right from the community to active participants in the value chain and enable them to proactively serve and interact with the inbound tourists so that they feel more at home in India. This will enable them to return to India on a regular basis. MICE Promotion Bureau with industry representation have been set up at National as well as the Destination level. They need to work in close co-ordination and take time bound actions. There needs to be an intelligence system to track the product offerings by the competition states and pass on this information to the states so that they can amend/ modify/ value add their offerings in order to stay competitive amongst MICE tourists. A visitor should go back enriched in knowledge and with a sense of a great experience. To make this happen steps can be taken to make the tour replete with tour guides, activities for the children, culinary tours, interactivity for the tourist with the culture of the place etc. New tourist destinations may be identified and further developed for offering innovative tourism products or experiences. Customized travel experiences, luxury spa sessions, rare animal sanctuaries, religious pilgrimage tours are what the foreign travellers believe in. There is enough opportunity in India to promote medical, wellness and spiritual
  • 62. tourism in the state. MICE destinations should be encouraged as tourism for the purpose of Meetings, Incentives, Conferences and Exhibitions are no longer limited to big cities. India has witnessed a rapid growth in MICE industry, especially after economic liberalization. World-class convention centers and hotels have been developed to host the international meetings, conferences etc. This is an ideal way to not just show-case our infrastructure but also promote other types of tourism in India. India has witnessed a rapid growth in MICE industry, especially after economic liberalization. World-class convention centers and hotels have been developed to host the international meetings, conferences etc. This is an ideal way to not just show-case our infrastructure but also promote other types of tourism in India. Based on interview, discussion, analysis, it has found that MICE industry has high potential and opportunity to develop MICE tourism place in New Delhi and Banglore city, India. Although India has short history about MICE industry compare to Europe and America, a great number of international convention, meetings, megasport events were held in New Delhi and Banglore cities. In order to strengthen competitiveness MICE industry, India MICE alliance, New Delhi MICE alliance and Banglore convention bureau are made for cooperation with members in MICE markets. However, based on interview, stakeholders in public and private sectors are not strongly connected each other. COEX does not have any regular meeting or channel to share information with other convention centers, public MICE organizations. In addition, even though COEX convention center is located in the center of New Delhi city with vast shopping malls, hotels restaurants
  • 63. offers complex MICE place, they have limitation to hold big scale of exhibition in COEX because they do not have enough spaces and need financial support from local government. KINTEX is the biggest convention center in India and located Gurugram city which is far from New Delhi city. Even though, KINTEX can hold huge exhibition, travelers prefer to have MICE events in New Delhi. The reason is that New Delhi city offer advanced MICE infrastructure, combination of tradition and modern tourism places, city airport terminal, shopping malls, various public transportation options, various accommodation types and Banglore international airport is closely located. In order to develop MICE events in New Delhi, budget from Indian government should provide for COEX convention center to extend space of exhibition. Compare to New Delhi city, Banglore has different construction of stakeholders in MICE market. The biggest Songdo convention center in Banglore was belong to Banglore Tourism Organization. Therefore, it makes a great effect to develop MICE tourism because Banglore tourism organization is developing new tourism products for attracting international tourists, business travelers for incentive trip. Attractive tourism place will makes business travelers to choose as incentive and meeting places. In addition, Banglore city is the first smart city based on ICT in India which is high potential to be the best MICE city because ICT is issued all over the world for the better life with digital world. There is robot guide in convention center, IoT technology is adapted some areas in Banglore which will offer travelers to search information anywhere. Therefore, it is clearly shown that Banglore city has high potential and opportunity to develop as a MICE city. 53 This research is focused on how MICE tourism can
  • 64. be developed in New Delhi and Banglore city for developing destination and increase benefit at national and international level though tourism. And the reasons mentioned why MICE tourism is important and what are the necessary for further development. MICE tourism is a future industry and bring a great benefit in aspect of economy, marketing city, develop city infrastructure. There were some limitation for conducting research. Firstly, there were lack of second data about Indian MICE tourism. Even though, MICE is booming in India, research papers about MICE industry were lack. Secondly, conducting interview with some stakeholders from public organizations, they were busy with their work. In this reason, interview face to face could not conducted with many stakeholders in MICE market. Lastly, it is recommend to any future researcher to explore and research about MICE tourism development based on ICT technology and how new digital tourism market meets business travelers satisfaction and develop MICE tourism newly further in Banglore, New Delhi city and other potential areas. This topic will be useful to develop MICE tourism in different side of perspective. Through discussing and analyzing the situations of MICE tourism in India with case studies from Kyushu, it could be shown that MICE tourism has high potentials in destination development in India in general, and Kyushu is particular but India has lack of comparative advantages in some factors compared to other competitor countries. Although India has been facing the decrease in market share, it is still trying to keep the market position which was shown by the statistic that it was ranked as No.1 city in number of hosting meetings in Asia Pacific & Middle east region and 7th in world ranking. Interestingly, when the data was compared
  • 65. per city, New Delhi was 6th in Asia Pacific ranking and 22nd in world ranking. But, it was able to figure out that India has the most diversified cities from large cities to small cities while other countries are still centralized only in metropolitan areas. For instance, according to data published by ICCA in 2014, there are 15 Indian cities listed in the ranking of number of meetings per city in Asia Pacific & Middle east region while other competitors such as China has 12 cities, South Korea has 6 cities and Australia has 8 cities. At the same time, India has lack of comparative advantages comparing with neighboring countries. According to the research about critical success factors of MICE and Event Management, there are six factors which were proved to be the most significant success factors for MICE and Event management: clear objectives, location of venue, financial resources, code of conduct, marketing and promotion and sponsorship of event. However, through this research about MICE industry in India, it could figure out that the cities in India that are trying to enhance MICE tourism are still lack of clear objectives and marketing and promotion comparing other neighboring countries in Asia Pacific region. Overall, through this research about MICE tourism development in India with case studies from Kyushu, it was able to recognize how and why India has been emphasizing the importance of MICE tourism as one of its national tourism policies and its application to regional development as well. India is expecting to use the multiplier effects of MICE tourism to enhance the tourism industry in general especially by hosting ICC Cricket World Cup 2021.
  • 66. MICE tourism is the foremost important aspects of business tourism and has been gaining importance from past few years. Bangalore being the city for all seasons in south India has great potential of MICE tourism as it is also an IT hub. Corporate travelers opt for MICE tours to promote their business which are mostly combinations of business activity and sight-seeing for relaxation. This type of tours helps in expanding of business and networking. 8% 34% 27% 31% Growth of MICE Tourism in Bangalore 1-20% 21-40% 41-60% Above 60% UAS - JMC 29 Vol 04, Issue 02 To conclude it can be said that MICE tourism is largely associated with business travel and is rapidly expanding. New Delhi, Kolkata, Mumbai, Chennai, Hyderabad and Bangalore are the major business activity hub in the country. Mostly foreign tourists are coming for MICE purpose yearly which contributes to maximum FEE- Foreign Exchange Earnings to economy. Hence a lot of promotional and developmental activities to be concentrated for MICE tourism in Bangalore by concerned authorities. MICE travelers expect a high level of comfort, hassle free movements and value for money experience. MICE planners do not go by brochures but their own experience and feedback from other people in the industry. Bangalore being an IT hub can prosper in the field of MICE by giving attention to the areas like accommodation, transportation, events, business facilities etc.
  • 67. References  George G. Fenich (2012) Meetings, Expositions, Events and Conventions; Pearson Prentice Hall  World Tourism Organization (UNWTO)(2012);MICE Industry - An Asia- Pacific Perspective; UNWTO  Pais, Jesim (2006), “Tourism Employment: An Analysis of Foreign Tourism in India,” Working Paper.  Sirajuddin Chougle (Nov. 2014); Domestic Tourism-An engine to Propel Growth of Tourism Sector; EPRAInternational Journal of Economics & Business Review, Vol2 Issue-11.
  • 69. CHAPTER- 4 SUGGESTIONS AND CONCLUSION Suggestions Based on the study the following are some suggestions for enhancing MICE tourism development in India.  India should open MICE research establishment like Japan to advance MICE the travel industry in India  Indian government specialists need to rouse nearby business people to create locales in various structures through displays, fairs and celebrations, rivalries and so on.  Department of Tourism should give broad advancement to Bangalore as it will expand the traveler inflows which will add to most extreme FEE- unfamiliar trade income to economy  More mindfulness ought to be made by the MICE organizations for MICE the travel industry by methods for printed exposure, promotion in media, introduction and workshops  Modernization of offices and gear ought to be utilized to adapt to the changing patterns  Promotional plans ought to be made by Tourism Industry for MICE the travel industry
  • 70. Conclusion India has witnessed a rapid growth in MICE industry, especially after economic liberalization. World-class convention centers and hotels have been developed to host the international meetings, conferences etc. This is an ideal way to not just show-case our infrastructure but also promote other types of tourism in India. Given the increasing popularity of MICE industry in India, it is imperative that its role and contribution in economy be assessed and quantified. The MICE tourism in overall tourism in overall economy with respect to GDP and employment. The MICE industry contributes 0.12 per cent to GDP and 0.14 per cent to employment as its direct share. On including the indirect share (obtained using tourism output and employment multiplier), MICE industry contributes 0.22 per cent to GDP and 0.33 per cent to employment. India‟s contribution to the MICE market has been growing considerably in the past few years. However, old bottlenecks, in the form of inadequate infrastructure, support facilities and massive promotions continue to impede the growth in this sunshine sector. There is a need to add a incredible factor to the services which the hotel industry can provide. Companies don‟t mind spending money for an exceptional experience, as it must act as a motivator for their employees to perform better. But at the same time most MICE groups have clearly defined budgets that have to be kept in mind. In the long run, the Indian market is very dynamic and will remain so, thus contradicting past trends and generating business from unexpected market segments.
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