Competition, Government Policy Top Concerns for Global Convention Centers
October 14, 2013
Convention Centers have identified growing international competition and government policies toward meetings and events participation as their top concerns heading into a period of slow economic recovery, according to the latest annual survey carried out by AIPC, the International Association of Convention Centres.
The survey, carried out between April and June 2013, achieved a 65 percent response rate from centers in 54 countries, with heavy participation from Europe.
"Growing competition amongst centers worldwide has been an issue for some years, but this very real spike in concern about government attitudes toward business events is a disturbing new development" said AIPC President Geoff Donaghy.
He added, "At a time when economic growth and stabilization is a big priority amongst governments all over the world, we would have hoped they would have made the connection this has with business and professional interactions, but our member experiences are suggesting otherwise. This shows we need to work even harder on making sure our value proposition is better understood and appreciated by policy makers."
Here are some other key survey findings:
While centers have seen 6-7 percent revenue growth in the past few years, they are anticipating slower growth (1 percent) for 2013 in the face of ongoing stagnation in economic recovery. European centers are lagging other parts of the world because of economic conditions there.
Recovering corporate event business is driving growth in many areas, while conventions, exhibitions remain stagnant.
Many centers are pursuing alternate revenue streams, including event creation, sponsorship and advertising and enhanced services and are also engaging in increased risk sharing with clients to encourage more business.
Centers are challenged by rapid change in event formats and explosive growth in technology and connectivity demands, both of which require greater facility investment in a time of only modest revenue growth.
Challenges arising from hotel and airline capacity and pricing also were cited in many areas as factors potentially limiting center business.
"Overall what this tells us is that there is no instant business upswing in the cards for centres in the near future.” Donaghy said. "As in many other sectors in today's economy, success in ours will have to be based on innovation, flexibility and an ability to be competitive in a highly contested market".
AIPC represents a global network of more than 170 leading centers in 54 countries with the active involvement of more than 900 management-level professionals worldwide.
Partner Voices
Overview:
The award-winning Orange County Convention Center (OCCC) goes the extra mile to make every day extraordinary by offering customer service excellence and industry-leading partnerships. From their dedicated in-house Rigging team to their robust Exhibitor Services, The Center of Hospitality brings your imagination to life by helping you host unforgettable meetings and events. With more than 2 million square feet of exhibit space, world-class services and a dream destination, we are committed to making even the most ambitious conventions a reality.
In October 2023, the Orange County Board of County Commissioners voted to approve allocating Tourist Development Tax funding for the $560 million Phase 5A completion of the OCCC. The Convention Way Grand Concourse project will include enhancements to the North-South Building, featuring an additional 60,000 square feet of meeting space, an 80,000- square-foot ballroom and new entry to the North-South Building along Convention Way.
“We are thrilled to begin work on completing our North-South Building which will allow us to meet the growing needs of our clients,” said OCCC Executive Director Mark Tester. “As an economic driver for the community, this project will provide the Center with connectivity and meeting space to host more events and continue to infuse the local economy with new money and expanding business opportunities.”
Amenities:
The Center of Hospitality goes above and beyond by offering world-class customer service and industry-leading partnerships. From the largest convention center Wi-Fi network to custom LAN/WAN design, the Center takes pride in enhancing exhibitor and customer experience.
The OCCC is the exclusive provider of electricity (24-hour power at no additional cost), aerial rigging and lighting, water, natural gas and propane, compressed air, and cable TV services. Convenience
The Center is at the epicenter of the destination, with an abundance of hotels, restaurants, and attractions within walking distance. Pedestrian bridges connect both buildings to more than 5,200 rooms and is within a 15-minute drive from the Orlando International Airport. The convenience of the location goes hand-in-hand with top notch service to help meet an event’s every need.
Gold Key Members
The OCCC’s Gold Key Members represent the best of the best when it comes to exceptional service and exclusive benefits for clients, exhibitors and guests. The Center’s Gold Key memberships with Universal Orlando Resort, SeaWorld Orlando and Walt Disney World greatly enhance meeting planner and attendee experiences offering world-renowned venues, immersive experiences and creative resources for their events.
OCCC Events:
This fiscal year, the OCCC is projected to host 168 events, 1.7 million attendees, and $2.9 billion in economic impact.
The Center’s top five events during their 2022-2023 fiscal year included:
AAU Jr. National Volleyball Championships 2023
200,000 Attendees
$257 Million in Economic Impact
MEGACON 2023
160,000 Attendees
$205 Million in Economic Impact
Open Championship Series 2023
69,500 Attendees
$89 Million in Economic Impact
Sunshine Classic 2023
42,000 Attendees
$54 Million in Economic Impact
Premiere Orlando 2023
42,000 Attendees
$108 Million in Economic Impact
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