Meeting News - July 21, 2008 - (Page 6)

Inside the Meetings Industry Edited by Terri Hardin terri.hardin@nielsen.com Once Again, Affordable Meetings Show Goes Off Swimmingly in Long Beach, CA Survey: Biz Travel Is Near Tipping Point, As High Costs Spur Look At Alternatives Higher air travel costs are now altering the behaviors of not only corporate executives but also employees, according to a recent survey of 128 travel managers by the Association of Corporate Travel Executives (ACTE). Ninety-eight percent of respondents indicated that there is a threshold where air travel costs will bring executive mandates to consider alternatives for travel that is not “strategic” or “revenue-producing.” And, 61 percent believe that threshold will be reached this year. These figures reinforce the results from the inaugural American Express/CFO Research Global Business & Spending Monitor, released several weeks back. In it, the authors found that more U.S. respondents (55 percent) were likely in the next 12 months to restrict travel to conferences, management retreats, and training events, compared to 41 percent in Mexico, 38 percent in Asia, 33 percent in Canada, and 29 percent in Europe. What’s more, the ACTE survey found increasing pushback from employees who travel frequently. Sixty-five percent of travel managers expected an increase in requests for travel alternatives from employees themselves, who now contend with fewer domestic flights, more congested airports, more crowded planes, and more delays and cancellations. And, regardless of how executives and employees are feeling, 59 percent of respondents said that flight cutbacks would limit their firms’ ability to meet with suppliers and buyers, anyway. ACTE executive director Susan Gurley noted that the need of companies to meet their objectives, coupled with growing demand for travel alternatives, will drive more rigorous “demand management,” a process that weighs revenue of travel return against expenses and productivity losses. Eighty-two percent of respondents reported studying videoconferencing as a travel alternative, while 49 percent reported that they’ve already cut back on travel this year. “This confluence of economic pressure, customer need, and technological availability generally heralds significant change for an industry,” said Gurley. For travel that’s deemed necessary, keeping employees within negotiated programs can occur not just by mandate but by positive reinforcement, too, said panelists at a regional ACTE conference held recently in Montreal. Lina Rivera, buyer and administrator of corporate travel for Sanofi-Aventis Canada Inc., advised participants to use roadshows, information sessions, incentive programs, and rewards to gain increased compliance. She also advised targeting key user and focus groups and repeatedly communicating to all travelers the value of booking within the system. Rivera’s methods helped bring a 64-percent increase in adoption of her firm’s most-used air route, represent—Robert Carey ing a cost savings of 74 percent per ticket. r www.meetingnews.com Affordable Green Day: General session at Affordable Meetings West was enthusiastically received. More than 500 planners convened at Hospitality Sales & Marketing Association International’s (HSMAI) 12th annual Affordable Meetings West Exposition and Conference, held at Long Beach Convention Center in Long Beach CA, June 11-12. The general session, “Greener Meetings with Less Stress: How to Save the Planet Without Losing Your Mind”—led by Deborah Popely, president of Green Events Source; Janet M. Cooperman, president of Green Pea Events; and Veronica Quintero of Savor SMG Company—was enthusiastically received.“We should be saying we’re doing greener meetings,”said Popely, having noted that “green is a comparative term; different meeting conditions require different approaches.” Green wasn’t the only gray area. Joan Eisenstodt, owner of Eisenstodt Associates, who led “Ethics, the Law, and Best Practices in the Meetings Industry” (one of 20plus seminars offered), said many of her attendees were not aware of their employers’ or industry associations’ code of ethics. “They said that it’s part of an employee handbook and that they are told to read it 6 MeetingNews July 21, 2008 when they are hired and never again.” Still, she said “other companies are testing people on ethics policies once a year and everyone has to take a test.” Exhibitors were pleased with business booked. “Affordable Meetings generated the highest number of qualified leads out of any other show we attend,” said Callie Reagan of Sodexho Conferencing, one of the more than 200 exhibitors present. She added, “Attendees at Affordable Meetings come prepared to do business.” Other exhibitors ranged from hotels and resorts to conference centers and technology suppliers, such as Listenation, which provides voicemail marketing tools. “I was pleased to see so many attendees open to learning about meetings technology,” said Listenation’s Ray Baum. “I provide a marketing service to planners and enjoyed meeting highly qualified attendees who were ready to do business.” —Terri Hardin http://www.meetingnews.com

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Meeting News - July 21, 2008

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