Event planners cite 'seller's market' as trend for concern, says MPI

42% of meetings professionals cited the power shift to a strong seller's market as a key trend of concern, according to MPI's recent Meetings Outlook Report.

The power shift to a seller's market is a key trend of concern, according to MPI
The power shift to a seller's market is a key trend of concern, according to MPI

MPI’s latest report highlights a ‘significant power shift’, that has resulted in a strong seller’s market, with the power in the hands of suppliers whose venues fill up swiftly. This could create concerns for the industry and make things tough for planners.

"The stabilised market ultimately places the power of supplier competition on value and quality, rather than price," explained Bill Voegeli, MPI Georgia Chapter and president of Association Insights, the firm that conducted the research for the report.  

"Most venues and destinations have the luxury of raising prices with demand, but fair competition still dictates the need for suppliers to be the superior choice of all comparably priced alternatives."

The report stated that in some cases, buyers seeking better value are turning to second-tier markets, which are increasing their prices more slowly than first-tier markets. 

Stuart Ruff, director of meetings and events at the Risk and Insurance Management Society, said: "I’ve been told to my face: ‘Why would we give you more rooms when we know we can fill them at a higher rate with this other group?’"

However, it also argued that suppliers are facing pressures from the current seller’s market too, as meeting planners expect more from meetings because they have larger budgets, even if those budgets have not kept pace with costs. 

Other key findings in the report were that growth in attendance at both live and virtual meetings and events is expected to remain steady at a rate of 2.7%, with business also expected to remain stable with healthy growth at a rate of 3.8%.

More: 

Fiona Pelham to chair MPI's 2016 board of directors

MPI announces new education programme

In Numbers: MPI's World Education Congress 2015

• For more breaking news and in-depth features, sign up to C&IT Magazine's daily Newstracker here


Have you registered with us yet?

Register now to enjoy more articles
and free email bulletins.

Register now
Already registered?
Sign in
How to create multi-sensory events

How to create multi-sensory events

Stimulating more areas of the brain helps people absorb and retain new information, says senior lecturer Rob Davidson.

Top 20 fears for travellers revealed

Top 20 fears for travellers revealed

Survey uncovers the biggest reasons why business travellers might be concerned about setting off on a journey.

"Safe isn't memorable"

Do you face a daily battle with the board? C&IT, in partnership with Cvent, ran a roundtable dinner discussion for corporate planners to talk about their tips and tricks.

New hotel and convention centre in western France

New hotel and convention centre in western France

The €52 million project has resulted in a new convention centre, a sixth hotel and a night-time show at Puy du Fou theme park.

Sponsored: Venue of the week - The RuMa Hotel & Residences

Sponsored: Venue of the week - The RuMa Hotel & Residences

Well-equipped for meetings and events in Kuala Lumpur, RuMa is a member of Leading Hotels of the World.

How to stop fake news ruining your event

How to stop fake news ruining your event

False information travels much quicker than the truth so make sure you're ready to act fast, says expert at IBTM World in Barcelona.

Tips for succeeding in a crisis from Thailand cave rescue diver

Tips for succeeding in a crisis from Thailand cave rescue diver

British cave diver involved in the 2018 Tham Luang rescue explains how he solves problems in steps and stays calm under pressure.

3 days left to answer our corporate event planner survey

3 days left to answer our corporate event planner survey

Complete our quick 10-minute survey to win a stay for two with Iconic Luxury Hotels and inform our State of the Industry report.

SDI Meetings and Incentives appoints new president

SDI Meetings and Incentives appoints new president

Chicago-based agency makes leadership change but former president will continue in role as company founder.

8 essential steps for event marketing

8 essential steps for event marketing

Delegates at IBTM World in Barcelona got some tips from MPI to create a smart promotional strategy.

LATEST JOBS