New analysis examine in collaboration with Oxford Economics measures the worldwide financial significance of enterprise occasions.
The Events Industry Council (EIC) in partnership with Oxford Economics, launched findings from its 2023 Global Economic Significance of Business Events examine, which measures the total scope and financial significance of the $1.6 trillion USD international enterprise occasions business. For the first-time, EIC and Oxford Economics measured the important function enterprise occasions serve in areas like information sharing, innovation and worker engagement – important impacts that go properly past direct occasion spending.
Oxford Economics analysed the financial significance of enterprise occasions throughout 2019 to ascertain the total scope and financial impacts of the sector earlier than the COVID-19 pandemic, with these key findings:
- Total Participants: 1.6B
- Direct Spending: $1.2T
- Total Business Sales: $2.8T
- Total Jobs: 27.5M
- Contribution to Global GDP: $1.6T
The intensive analysis evaluation within the newest examine throughout 50 nations contains the vital, and infrequently neglected, “catalytic” results or wide-reaching advantages of enterprise occasions hosted inside locations. A 2022 international survey of over 1,600 assembly professionals, exhibitors and venues reveal relationship-building, employee collaboration and enterprise growth are probably the most tough outcomes to switch with out conferences and occasions. The survey additionally discovered:
Key Findings:
- Event organisers ranked relationship administration, consciousness and new clients as a very powerful methods they measure the catalytic impacts of enterprise occasions.
- 67% view constructing relationships by way of face-to-face interplay as most tough to switch.
- As a lot as 22% of latest clients are generated by way of in-person occasions.
- The discount of enterprise occasions as a result of COVID-19 led to important lack of innovation, with 65% reporting a discount in analysis and growth prioritisation.
- Organisers imagine a median of 44% of revenues could be misplaced with out internet hosting in-person occasions.
“Business events is a $1.6 USD trillion industry, with a GDP larger than many global economies. The economic significance of the global business events industry is immense, and so are its broader impacts,” stated Amy Calvert, Events Industry Council CEO. “Events are a catalyst for meaningful change. Across industry sectors, organisations and individuals all gain in ways that are fundamental to advancement, innovation and adaptation to a changing world. The way we understand, measure and communicate the importance of business events is vital to showcasing its overall value.”
Global Business Events are Recovering from COVID-19 Impact
In 2022, international enterprise occasions recovered solidly at about 80% of pre-pandemic ranges. The Middle East, North America, and Central and Eastern Europe have led the restoration, reaching spending ranges in 2022 that approached 2019 ranges, lifted partly by an earlier restoration of journey and normalization of pandemic-related dangers.
While Asia, Western Europe, Latin America and the Caribbean have typically skilled a slower tempo of restoration, these areas are anticipated to expertise a few of the strongest development of any of the worldwide areas. Adjusted for inflation, international occasion spending is forecast to method 2019 ranges by 2025.
“The industry has made significant strides to recover losses. Two-thirds of global direct business event spending was lost in 2020. The three-year cumulative lost sales total $1.9 trillion USD,” stated Adam Sacks, president of Tourism Economics, an Oxford Economics firm. “When we embarked on this study, we knew getting a total picture of the global business events sector was critical for EIC’s advocacy efforts on behalf of its global membership. Now we have the data to show that the business events total GDP impact would rank as 13th largest global economy and recovery is well underway. The economic implications are massive.”
The Value Proposition of Events is Evolving
The examine, launched this week, additionally illuminates how the worth proposition of occasions is evolving. Event organisers can anticipate that constructing tradition and engagement, supporting environmental, social, and company governance (ESG) goals, advancing the enterprise of the organisation and knowledge-sharing are greater priorities for occasion organisers sooner or later. The examine additionally discovered:
- Business occasions might be more and more vital in constructing tradition and engagement (41%) and might be used extra to advance development of particular person staff (36%).
- Over time, many occasions are anticipated to undertake hybrid codecs, as 40% of respondents counsel.
- While the dimensions of enterprise conferences or occasions is predicted to say no within the brief time period (48% of respondents), solely 10% agree this might be a long-term shift.
“Our study supports a better understanding of both the economic significance and larger impacts of in-person event experiences, looking forward from COVID-19 disruptions,” added Calvert. “Our comprehensive research and global events barometer forecasting model with Oxford Economics reveal the industry’s substantial value drivers. We know business events offer irreplaceable benefits like knowledge sharing, research collaboration and human capital development. These findings not only help industry professionals make more informed and effective decisions, but also deepen our relevance and connection with global society.”
Research Funders: ADMEI, AHLA, ASAE, Caesars Entertainment, Fairmont, Freeman, IACC, IAEE, IMEX Group, Los Angeles Tourism, Maritz Global Events, MCI, MGM, MPI, Northstar, New York City Tourism + Conventions, Omni Hotels & Resorts, PCMA, RCMA, SISO, SITE, and U.S. Travel Association.
EIC Advocacy and Research Committee:
- Cathy Breden, CMP, CAE, International Association of Exhibitions and Events, Center for Exhibition Industry Research
- Martin Boyle, The International Association of Professional Congress Organisers
- Nancy Drapeau, IPC, Center for Exhibition Industry Research
- Jennifer Glynn, CIS, Society for Incentive Travel Excellence
- Senthil Gopinath, International Congress and Convention Association
- Stephanie Harris, The Incentive Research Foundation
Theodore is the Co-Founder and Managing Editor of TravelDailyNews Media Network; his obligations embody enterprise growth and planning for TravelDailyNews long-term alternatives.