I launched the results of the latest ICCA Venue Trend Survey at the ICCA Venue sector chapter meeting Monday 18th April.
They suggest that ICCA Venue members are experiencing an increasingly competitive environment with many planning refurbishment and more requiring subsidies for ongoing operation and capital expenditure. Here are some of the most interesting results:
Perhaps not surprisingly, the most significant changes seen since 2012 relate to social media, digital services and provision of WiFi. Social media is now important to 91% of venues, with venues own blogs, twitter, Linked In and Facebook most popular. 84% co-ordinate it in house and 65% track its success.
51% of venues said staffing had increased compared to 37% in 2012, with new positions most often related to social media; online/ digital marketing and business development.
60% offer free WiFi in all areas of the venue (up from 43% in 2012). Only 14% do not provide it free in any area of the venue compared to 31% in 2012, and 50% of them plan to do so in future. The day is fast approaching when all ICCA venues will offer free WiFi!
The new technologies or tools that have most significant influence on how business is generated are free and high speed WiFi and greater bandwidth.
There has been a significant increase in the offer of exhibition services available for order on line since 2012.
46.6% of centres are public sector owned, 33% privately owned and 20.3% a combination of private and national/state/city ownership. 61% are privately managed.
Sales, rental periods and charges
Average duration for full day rental charges is 15 hours. 80% charge for overtime.
71% offer fixed prices for venue rental outside the current business year.
Average room rental received by venues on signing the contract is 24%. 54% of venues require full payment of all costs before the event starts.
The average percentage charged for rental during set up and dismantling is 73%. 61% of venues charge 50%.
62% pay commission to venue finders/DMCs/PCOs. Average rate of commission is 9%.
44% charge different rental rates for use of exhibition halls for other purposes, such as 33% for catering and 56% for poster display. 63% make no charge for use of the lobby/foyer for registration/coffee breaks etc.
41% of venues’ business is coming from the corporate sector, 36% from associations and 16% from government.
57% of business for venues is generated by in house sales teams, 20% by agencies , 11% by CVBs, 7% by ambassadors and 5% from online portals.
Economic impact data
62% of venues said their convention bureau collects and measures economic impact data, yet 57% also said they do so themselves. Average delegate spend for an international congress from all respondents is €352.
In house vs outsourced services
52% have audio-visual services in house although only 27% said clients are obliged to use their service. Average rate of commission paid by outsourced a/v suppliers is 17%.
Catering is provided in house by 56% of venues. For those outsourcing catering the average rate of commission received is 16.6%. 66% have restaurants open to the public.
57% have their own hotel facilities and 31% have plans to build a hotel on site in future. Average number of hotel rooms within walking distance of the venue is 1861.
65% of venues said their city had a financial incentive or general support scheme for events with 63% offering pre congress marketing support.
65% of venues have plans for refurbishment and 37% are planning new constructions. 53% said clients were looking for new meeting layouts and formats compared to 37% in 2012.
I prepared a report following analysis of the results which will be available to all those who participated in the survey from www.iccaworld.com. If you have any queries please get in touch: