Meetings Professionals International, a US-based organisation with 24,000 members worldwide, last month launched the MPI Business Barometer aimed at giving the industry a snapshot on how the sector is performing right now. Findings were mixed but definitely on the incline compared to 12 months ago.

The survey, which questions those on the MPI Industry Advisory Panel, has found that business conditions in April 2010 continue to improve with 57 per cent indicating the current state of the industry is better than it was 12 months ago.

The survey found that the majority of new meetings and events activity is coming from the domestic corporate sector. However, uncertainty regarding the future of the economy remains strong, and is the second most commonly expressed trend influencing the industry generally.

Further, concern for the perception of meetings and events remains a telling factor.

“This concern is mainly centred on a suspicion that the public places a lower value on face-to-face meetings and events, as a result of comments and publicity in 2008 and 2009,” the report says.

“While the negative rhetoric seems to have subsided, for the most part, many meeting and event professionals believe negative effects will remain for some time to come, and [they] continue to avoid certain specific destinations and activities.”

One other telling finding is the ongoing reduction of staff, both full-time and part-time.

“Suppliers and planners both indicate full-time and part-time employment has experienced a consistent net decrease during the past six months, but the rate of decrease is slowing,” the report says.

In October 2009, 32 per cent of Business Barometer respondents indicated their organisations were decreasing their number of full-time employees, a figure which has fallen to 25 per cent in April 2010. The 25 per cent of respondent organisations reducing their ranks of part-time employees in October 2009 has fallen to 19 per cent in April 2010.

Some other key findings were:
How do your organisation’s current overall meetings and events business conditions compare to last year at this time:

• Greater than 10 per cent better - 17 per cent
• Six to 10 per cent better – 19 per cent
• One to five per cent better – 22 per cent
• Flat – 17 per cent
• One to five per cent worse – nine per cent
• Six to 10 per cent worse – six per cent
• Greater than 10 per cent worse – 10 per cent
To what extent have rising travel costs forced you or caused you to change the way your business operates?
• To a significant extent – 14 per cent
• To a moderate extent – 45 per cent
• To no extent – 41 per cent
Compared to one year ago, which client segment of your organisation’s meeting and event-related business has seen the greatest decrease in activity?
• Domestic association – 14 per cent
• International association – five per cent
• Domestic corporate – 41 per cent
• International corporate – 22 per cent
• Government – 12 per cent
• Other – seven per cent
What one trend do you see most affecting meetings and events business over the next six months?
• Shorter lead times – 11 per cent
• Economic uncertainty – seven per cent
• Poor perceptions/coverage of meetings – five per cent
• Increasing air travel costs – five per cent
• More web/virtual meetings – four per cent
• Low budgets/budget cuts – four per cent
• More bookings – four per cent.
To learn more about MPI visit www.mpiweb.org.

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