The latest issue of MPI Meetings Outlook, out last winter, showed that continued, but slightly slowing, growth endures, with some indications that the market isn’t strictly a seller’s or buyer’s market. A level of equilibrium is being realized in the industry. And as budgets remain tight – and in some cases continue to get tighter – many industry professionals are receiving a greater mandate by senior leadership to gauge the value of meetings and events.
Findings include:
- Most respondents (68.2 percent) are optimistic or expect no negative change as a result of the U.S. presidential election.
- Half of planner respondents for international association and corporate events as well as U.S. government meetings expect a worsening of business conditions.
- 23 percent of organizations that employ meeting and event professionals are increasing the number of employees and/or contractors due to new technology.
- Attendance at live and virtual events is expected to grow by 1.3 percent and 2.4 percent, respectively.
Political conditions
There are specific market segments that are expected to be disadvantaged, and specific market segments which are expected to be bolstered by the incoming administration. In general, there appears to be greater optimism toward the near-term prospects for domestic corporate and association markets, and greater pessimism expressed about the near-term outlook for international corporate and association markets, as well as the government market.
Business Conditions
Overall figures indicate stable business conditions even as the percentage of respondents seeing a favourable landscape is dropping and the percentage of respondents seeing a negative landscape is increasing. In detail, 58% of respondents predict favourable business conditions, 22% neutral and 21% negative business conditions.
Other bad news: budget outlooks are decreasingly positive. In the past quarter, 12% fewer respondents reported a favourable budget year to come; 10% more respondents reported a negative outlook. The estimated percentage increase in actual budgets also dropped, from 1.6% last quarter to 0.6% now. 45% of respondents predict favourable budget/spend, 26% flat and 28% negative.
Meanwhile, many meeting professionals are seeing an uptick in meetings with short lead times. Often, this is because of last-minute budget approvals but sometimes the inexperience of meeting professionals involved contributes to the situation.
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