The number of travel managers globally negotiating meetings costs is growing. Although the volume of negotiated deals increased sharply in the past, the percentage of managers expecting further price savings in this area has slowed.
Nearly 90% of UK travel managers believe spend on meetings will increase or stay the same in 2013, according to a global survey of travel managers by AirPlus. This is significantly higher than the European average of 79%.
The survey was conducted in late 2012 by the international market research company 2hm on behalf of AirPlus International. A total of 2,101 travel managers were surveyed from around the globe.
This overwhelming view that expenditure on meetings will not dip in the UK is in line with the belief of 85% of respondents that the volume of meetings will either stay the same (66%) or increase (19%). In comparison, only 82% of travel managers globally forecast the number of meetings would either stay the same (57%) or increase (25%). The greatest increase in meeting activity is predicted by respondents in growing economies such as India, Brazil and Turkey.
The number of travel managers globally negotiating meetings costs is growing. Although the volume of negotiated deals increased sharply in the past, the percentage of managers expecting further price savings in this area has slowed. In the UK only 38% believe that there are more opportunities for reducing meetings and event spend in comparison with 40% in the previous year. Globally, the figure remains at 44%.
Overall, travel managers in countries that already have a high number of negotiated deals with MICE providers expect fewer future savings.
The AirPlus study also finds that the responsibility for meetings management globally is divided among travel departments, other departments and outsourced providers.
Both globally and in Europe, internal departments other than travel are responsible for 42% of meetings activity. Travel managers are responsible for 33% of meetings globally, 32% in Europe, and outsourced providers are accountable for 23% globally and 24% in Europe.
Yael Klein, Managing Director of AirPlus UK, said "We are seeing here in the UK that those responsible for managing travel are more often trying to get a handle on the event piece as well. We believe this presents an opportunity for travel managers to begin to truly control their meetings and events spend, through better insight and analysis tools."
AirPlus understands the growing need to find answers to the problems experienced in the meetings and events space. AirPlus has formed a dedicated team whose specific job it is to create solutions specifically for this industry. This team lead with the launch of the new AirPlus Events Solution this week.
Source: Travel Daily News
