Chapter Thirteen Meetings, Conventions/Exhibitions, and Event Management Key Teaching Elements/Chapter Outline Historical Review People have gathered for meetings for hundreds of years. Meeting purposes have been and are very diverse. Page 446 Object. Associations go back many centuries; they originated in the United States at the beginning of the 18th century. Associations spend about $53.5 billion holding meetings and conventions that attract 22.6 million attendees (approximately). 446 The hospitality and tourism industry consists of a number of associations. (These are listed on page 446 in the student text.) Associations offer the following benefits for members: government/political voice, marketing avenues, member services, and networking. 446 1 Meetings are conferences, workshops, seminars, or other events designed to bring people together in order to exchange information. There are various forms that meetings can take – Clinic, Forum, Seminar, Symposium, or Workshop. 447 2, 3 Meetings are mostly organized by corporations, associations, social, military, educational, religious, and fraternal groups (SMERFs). 447 2, 3 The purpose of meetings is to affect behavior. A successful meeting requires careful planning and organization as well as attention to the wishes of the client. The three main types of meeting set ups are theater style, classroom style, and boardroom style. 447 2, 3, 4 Expositions are events designed to bring together sellers of products and services in an environment in which they can demonstrate their products and services to attendees at a convention or trade show. The intent of the exhibitors is to generate sales. 448 3 Types of Meetings 122 Conventions are meetings combined with expositions. They are generally larger meetings with some form of trade show included. (A typical convention profile is outlined on text pages 450-51.) The majority of conventions are held in large hotels over a 3 to 5 day period, rather than in a convention center. 448 3 452 4 454 2, 4 454 2, 4 455 4 Conventions Conventions are annual gatherings of a group of individuals, with no limit of numbers, who meet for a common interest. 455 2 Exhibitions Typically, exhibitions are either consumer shows or trade shows. Consumer shows are open to the general public; admittance to trade shows is available only to people who work in the particular industry. 456 2 456 2 Meetings, Incentives, Conventions, and Exhibitions Whether a meeting planner is organizing a meeting, a convention, or exhibition, the primary sources of revenue are: –Attendee registration fees –Exhibit space rentals –Sponsorship fees –Conference program advertising fees Meetings Meetings are often held as a marketing tool as well as a revenue source by associations, nonprofit entities, museums, performing arts organizations and educational institutions. Goals for meetings developed by the need to: –Increase awareness of a particular issue –Raise money for an activity or organization –Provide information to colleagues or clients Incentives Over half of all meeting planners are involved in organizing incentive travel. The incentive market continues to experience rapid growth as meeting planners and travel agents organize incentive travel programs for corporate executives to reward them for reaching specific sales targets. Forecast New technology continues to drive changes in the industry. Planners utilize technology as a means of producing meetings more efficiently by managing attendee registration, marketing, travel and housing, as well as delivering program proceedings. 123 Special Events and Off-Premise Catering The special events facet of the hospitality industry is the business of conceiving, designing, developing, and producing ideas as well as details, timing, logistics, special mechanics, and organization. Special events include sporting events, festivals, corporate, convention, and social. 456457 2 458460 2 460 3 Meeting planners may be independent contractors who contract out their services to both associations and corporations as the need arises, or they may be full-time employees of corporations or associations. 460461 4 The professional meeting planner not only makes hotel and meeting bookings but also plans the meeting down to the last detail. The meeting planner must remember to ensure that the services contracted for have been delivered. 461 4 The meeting planner’s role varies from meeting to meeting. Typical responsibilities include meeting with the client before the event occurs, meeting on-site during the event, and conducting a postmeeting debriefing. 461 4 Convention and visitors bureaus (CVBs) are major players in the meetings, convention, and expositions markets. Among the industry sectors represented by CVBs are transportation, hotels and motels, restaurants, attractions, and suppliers. 463 5 The primary responsibilities of a CVB are to encourage groups to hold meetings, conventions, and trade shows in the area; to assist groups with meeting preparation and support; to encourage tourists to visit the historical, cultural, and recreational opportunities the city or area has to offer; and to promote the image of the community it represents. 463 5 The Special Event Job Market Becoming a special event consultant or an off-premise catering/event specialist requires a variety of experience in different facets of the industry and balancing skills. Key Players in the Industry The need to hold face-to-face meetings and attend conventions has grown into a multi-billion dollar industry. Major players in the convention industry are convention and visitors bureaus (CVBs), meeting planners and their clients, the convention centers, specialized services, and exhibitions. Meeting Planners Convention and Visitors Bureaus 124 The outcome of the CVBs activities should be increased tourist revenues for the area. Bureaus generate leads from a variety of sources. They will often make cold calls on potential prospects such as major associations, corporations, and incentive houses. The sales manager will invite the meeting, convention, or exposition organizer to make a familiarization (FAM) trip for a site inspection. 463 5 Convention centers are huge facilities where meetings and expositions are held. Usually convention centers are corporations owned by county, city, or state governments and operated by a board of appointed representatives from various groups having a vested interest in the successful operation of the center. 464 5 Convention centers have a variety of exposition and meeting rooms to accommodate both large and small events. The centers generate revenue from the rental of space. Additional revenue is generated by the sale of food and beverages. 465 5 Larger convention center events are planned years in advance. It is important that the CVB and the convention center marketing and sales teams work closely together. Once the booking becomes definite, the senior event manager assigns an event manager to work with the client during the sequence of pre-event, event, and post-event. 468 6 The booking manager is critical to the success of the event by booking the correct space and working with the organizers to help them save money by allocating only the space really needed and allowing the client to set up on time. 472 6 The contract must be carefully prepared because it is a legal document. After the contract has been signed and returned by the client, the event manager will make follow-up calls until about 6 months before the event, when arrangements will be finalized. 472 6 The event manager is the key contact between the center and the client. 472 6 Two weeks prior to the event an event document is distributed to department heads. This document contains detailed information needed to ensure that things run smoothly. 472 6 Approximately 10 days before the event a Week at a Glance meeting 472 6 Convention Centers Event Management 125 is held (WAG meeting). This is a very important meeting as it often provides an opportunity to troubleshoot in advance. At about the same time as the WAG meeting, a pre-convention or preexpo meeting is held with various support contractors such as shuttle bus managers, registration operators, etc. 472 6 472 6 475 6 Specialized Services A number of companies offer specialized services such as transportation, entertainment, audiovisual, escorts, tour guides, convention setup, and destination management. Trends in Conventions, Meetings, and Expositions Globalization/international participation The cloning of shows Competition Technology Shows are growing at a rate of 5-10% per year. Check Your Knowledge, p. 449 1) Question: Define the five types of meetings: a. Forum b. Seminar c. Workshop d. Clinic e. Symposium Answer: (page 447) a. Forum – an assembly for the discussion of common concerns. Usually experts in a given field take opposite sides of an issue in a panel discussion with liberal opportunity for audience participation. b. Seminar – a lecture and a dialogue that allows participants to share experiences in a particular field. An expert discussion leader guides a seminar and usually thirty or fewer persons participate. c. Workshop – a small group led by a facilitator or trainer. It generally includes exercises to enhance skills or develop knowledge in a specific topic. d. Clinic – a workshop-type educational experience in which attendees learn by doing. A clinic usually involves small groups of people interacting with each other on an individual basis. e. Symposium – an event at which experts discuss a particular subject and opinions are gathered. 2) Question: What are the purposes of associations? 126 Answer: Associations are the main independent political force for industries like hospitality, offering the following benefits: government/political voice, marketing avenues, education, member services, and networking. (p. 446) 3) Question: Name the major hospitality associations. Answer: American Hotel & Lodging Assoc; National Restaurant Assoc; Int’l Assoc of Convention & Visitors Bureaus; Hotel Sales & Mktg Assoc Int’l; Meeting Planners Assoc; Assoc for Convention Operation Mgmt; Club Managers Assoc of America; Professional Convention Mgmt Assoc. (p. 446) 4) Question: Describe the main types of meeting room setups. Answer: Theater style, generally for large audiences, consists of a raised platform or lectern from which the presenter addresses the audience. Classroom style is used for more instructional meetings, where participants need to take notes. In boardroom style setups, small meetings take place around a table. Check Your Knowledge, p. 463 1) Question: What are the primary sources of revenue for meetings, conventions, or exhibitions? Answer: Attendee registration fees, exhibit space rentals, sponsorship fees, and conference program advertising fees (p. 452). 2) Question: Describe the incentive market. Answer: Meeting planners and travel agents organize incentive travel programs for corporate executives to reward them for reaching specific sales targets. (p. 455) 3) Question: What is the difference between a consumer and a trade show? Answer: Consumer shows such as a Boat Show or Auto Show are open to the public. A trade show such as the Gift Show is available only to people employed by retail establishments selling gift items. Attendance at trade show events requires precertification and registration. (p. 456) 4) Question: Explain what a CVB is. Answer: Convention and Visitors Bureau – organization responsible for promoting tourism at the regional and local level. Also, a not-for-profit umbrella organization that represents a city or urban area in soliciting and servicing all types of travelers to that city or area, whether for business, pleasure or both. (p. 463) Check Your Knowledge, p. 472 1) Question: What are the functions of a meeting planner? Answer: The professional meeting planner not only makes hotel and meeting bookings but also plans the meeting to the last detail. Functions include: 127 Pre-meeting Activities Plan meeting agenda Establish meeting objectives Predict attendance Set meeting budget Negotiate contracts On-site Activities Conduct pre-event briefing Prepare executive plan Move people in/out Troubleshoot Approve invoices Post-meeting Activities Debrief Evaluate Provide recognition Arrange shipping Plan for next year (pp. 460-461) 2) Question: Explain a FAM trip. Answer: FAM is a familiarization trip. It is offered to the meeting organizer to inspect and become familiar with the site. (p. 464) 3) Question: Describe the functions of a booking manager. Answer: The booking manager is critical to the success of the event by booking the correct space and working with the organizers to help them save money by allocating only the space really needed and allowing the client to begin setting up on time. This is covered in a written contract. (p. 472) Answers to Chapter 13 Review Questions 1) Associations are an independent political force for hospitality industries and offer benefits of education, marketing avenues, networking, member services, and a political voice. 2) SMERF stands for Social, Military, Educational, Religious, and Fraternal groups, which are the main organizers of meetings. 128 3) There are three main types of meeting setups. Theater style is intended for a large audience that does not necessarily need to take notes. The second style is a classroom setup and is used for instructional meetings where participants need to take notes. A boardroom setup is used for a small number of people who are grouped around a rectangular table. 4) a) A workshop is a small group led by a facilitator or trainer and may include exercises to enhance skills on the topic discussed. b) A seminar is a lecture that allows participants to share experiences, and is usually guided by a discussion leader. 5) Expositions bring together purveyors of certain products and services and enable them to demonstrate these to a group of people at conventions or trade shows. Exhibitors are able to interact with the attendees and establish contacts. Expositions are usually divided up into booths for the individual manufacturers. Conventions are large meetings in combination with some form of exposition or trade show. They are held in convention centers or large hotels usually over a three- to five-day period and usually include speeches, meals, expositions, workshops, and receptions. 6) The county, city, or state usually owns convention centers. Convention centers and hotels are the key locations for meetings, conventions, and expositions and make up a large revenue source for a city. They provide meeting space, accommodations, and food and beverage service. 7) The Convention and Visitors Bureaus are comprised of various industry sectors such as transportation, hotels, restaurants, attractions, and suppliers. Their responsibilities include attracting conventions and tourists to the community and increasing tourist industry revenues. 8) a) The event profile outlines and specifies in writing all of the client’s requirements. It is a legal binding contract. b) An event document contains all the detailed information for each department to ensure the success of the event. 9) The most important promotional tools are sales promotion, advertising, and public relations. –Sales promotion includes any activity aimed at giving guests an extra incentive to buy the product or service and creates excitement about the product. –Advertising is any form of paid communication used to encourage guests to use a certain product or service. –Public relations includes all communications aimed at increasing good will in the user communities. Its goal is to create and maintain a positive image of the company. Marketing Mix = product, price, place/location, promotion, and people. –The product must suit the wants and needs of the target market and is positioned to do so. 129 –Price impacts the success or failure of product; must be associated with value. –Place/location means the market can access the product. –Promotion’s goal is consumer awareness of the product’s existence; then, need to know how product or service will meet their needs. Consumers must like it and prefer over the competitor product. –People = Hospitality is a people business and the service given to guests makes the difference. To be a successful marketer, it’s vital to understand differences among people’s preferences in different areas as well as the need for proper research before introducing a new product. 130