An ‘incentive’ location, not a CBD hotel. Where the focus is on ‘spoiling’ delegates, making them feel special, image and prestige become important. The organizer is looking to provide delegates with a different or unique experience.
Access – for some meetings it is important that the meeting is accessible so that key speakers can come and go as required. Hinterland locations, within 1.5 hours drive of the office are usually selected. For meetings where the emphasis is on removing the staff from the office environment, more remote destinations will be considered. The key access consideration is being able to transport all delegates to the venue in a short time span.
Cost is a factor, with the emphasis on value for money as opposed to the lowest price. Companies are more concerned with the image, quality and experience offered to their staff.
High quality service must be guaranteed.
Availability in-house of state-of-the-art equipment for data projection, audio-visual and video production and sometimes, broadcasting.
The corporate market is extremely demanding. For senior management, the minimum standard accepted is generally 4.5 star, with 3.5- 4.5 star standard properties for lower and middle management. A 3.5 star property is only used if it offers a ‘special’ location, product and/or experience. The quality of the meeting facilities is important with corporate clients expecting state-of-the-art equipment and a high level of professional service. Considerable emphasis is placed on the quality of food and beverage services. While this segment is not highly price sensitive, it does demand value for money. In recent years there has been a change in the meetings behaviour of this sector, with changes including:
Decrease in the number of external meetings being held by companies. This is due to changes in company culture and an emphasis on reducing costs.
Decrease in the number of people invited to attend meetings – meeting size is decreasing.
Decrease in length of stay. Over the past few years the average length of stay has declined from 3-4 nights to 1-2 nights.
Shift to weekend meetings, particularly for senior executives and small companies. This is causing major problems for operators as the weekend meetings compete with their weekend trade (primarily the short-breaks market).
Dain Simpson Associates February 2002
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