The number of international business events attracted to Australia by convention bureaux is increasing, but there is scope to strengthen our market share, according to the latest industry analysis which has been released to coincide with Global Meetings Industry Day today.
The analysis is contained in the new International Business Events Forward Calendar, which has been produced by the Association of Australian Convention Bureaux (AACB).
“Since the release of the last forward calendar six months ago, there has been a 7 per cent increase in the number of international business events Australia has secured,” said the Chief Executive Officer of the AACB, Andrew Hiebl.
“Other key statistics, including the number of international delegates Australia is expected to attract as a result of these events (14 per cent increase) and total estimated delegate expenditure (11 per cent increase), are also positive.
“This outcome has been driven by the strength of our professional bid delivery, financial support put forward by state and local governments, and the industry – overlayed by the fact that Australia is a safe and highly desirable destination to hold an international event.”
The top three industry sectors attracted by number of events are:
- health care and social services (1 in 4 business events),
- professional, scientific and technical services (1 in 6), and
- information media and telecommunications (1 in 12).
“While these latest results are encouraging, the global market for business events is becoming even more competitive,” Mr Hiebl said.
“This is reflected in the 296 business events Australia has missed out on, which means $1 billion in delegate expenditure will take place in other countries.
“Among the major reasons why business events organisers chose other countries are Australia’s geographical isolation from the rest of the world and the associated total costs.
“If Australia is to secure even more international business events, consideration should be given to the establishment of a dedicated national convention bid fund, an initiative which other countries now have in place.
“Among other things, business events generate employment in tourism and related industries, as well as promote innovation and the knowledge economy.”
Key findings of international business events forward calendar (January 2017)
As at January 2017, Australia’s convention bureaux had secured 384 international business events on the Forward Calendar/ into the future. A 7% increase from the position 6 months ago.
- Attracting an estimated 216,500 international delegates (14% increase)
- Total estimated delegate expenditure = $863m (11% increase)
Main reasons for success include:
- Strong bid team – professionalism of bid delivery including bid leader, local support, convention bureau or lobbying activities
- Geographic preference – Australia is a safe and highly desirable destination to host an international event and visit as a delegate
- Financial packages offered – State and local government investment in event procurement
Top 3 industry sectors attracted by number of events:
- Health Care & Social Services (1 in 4 business events)
- Professional, Scientific & Technical Services (1 in 6 business events)
- Information Media and & Telecommunications (1 in 12 business events) – Financial and Insurance Services is 3rd if measured by expected delegate numbers.
However, to achieve this success, we have incurred 296 losses.
- This translates to an estimated $1b in delegate expenditure that will be spent in other countries
- International business events attract high yielding visitors and are therefore highly sought after by other countries
- Key reasons for loss = geographic location (distance), executive influence/politics and total cost
The opportunity for future success remains in our healthy bid pipeline with 223 international bids in play, valued at approximately $485m.