Chapter 1 introduction to mice
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The document provides an overview of the MICE industry, including definitions of key terms like meetings, incentives, conventions, and exhibitions. It discusses the importance of the MICE industry for Thailand's economy and development. The global MICE market is analyzed in terms of the number of events by continent, country, city, and other factors from 2003-2008.
![Meetings, Conferences and Conventions
An organized event which brings people together to
discuss a topic of shared interest. [It may] be commercial or
non-commercial may be attended by 6, or many
hundreds it may last from a few hours to a week
[What makes] a meeting qualify as part of business tourism
is that it engages some of the services of the tourism
industry
(Rod Davidson)
9](https://image.slidesharecdn.com/chapter1-introductiontomice-100703035337-phpapp02/85/Chapter-1-introduction-to-mice-9-320.jpg)
Chapter 1 introduction to mice
- 1. Chapter 1 Introduction to the Operation and Management of MICE industry F ก ก ก ก ก F E-mail: tpavit@hotmail.com 1
- 2. Objectives 1. An overview of the industry: Definitions & Terms 2. Outline the potential benefits and significance of the meetings, incentives, conventions and exhibitions (MICE) industry to Thailand 3. Briefly explain the impact of MICE industry * Economic * Political * Environmental * Technology * 2
- 3. Introduction Chapter 1 provides an overview of the environment of the conventions and meetings industry and introduces the student to the global MICE industry. A profile of the characteristics of the industry includes a review of the international and domestic MICE market and an exploration of the facilities and infrastructure that are available within the country. The economic, political, technological and environmental impacts of the MICE industry are reviewed. In studying this chapter, students should consider the progress of the Thailand MICE industry during the last 10 15 years in relation to its international counterparts and consider the potential challenges for the future. 3
- 4. Outline 1. An overview of the MICE industry 2. The importance of MICE industries 3. The Global Market of MICE industries 4
- 5. Introduction to MICE industry 5
- 6. ก ก ก F FF ก ก ก F F F F F F ก F ก ก กF กก F F ก ก ก F F F F ก 6
- 7. What is business travel and tourism Business tourism is concerned with people traveling for purpose which are related to their work. As such it represents one of the oldest forms of tourism, man having traveled for this purpose of trade since very early times. (Rod Davidson) 7
- 8. Definitions & Terms (MICE) = Meetings ก = Incentives ก = Conventions ก F = Exhibitions F ก 8
- 9. Meetings, Conferences and Conventions An organized event which brings people together to discuss a topic of shared interest. [It may] be commercial or non-commercial may be attended by 6, or many hundreds it may last from a few hours to a week [What makes] a meeting qualify as part of business tourism is that it engages some of the services of the tourism industry (Rod Davidson) 9
- 10. M = Meetings An event where the primary activity of the attendees is to attend educational sessions, participate in meetings/discussions, socialize, or attend other organized events. Could be formal, informal, as well as the venue arrangement of either internal or external organization. The use of external services e.g. venue, F&B, services Basically, there are three categories of meeting. 10
- 11. Meetings 1. Association Meeting, which are usually of a practical or technical nature and are related to individual trade association, professional societies or academic institutions. 2. Corporate Meeting, which businesses use to communicate with staff and distributors. 3. Government Meeting, which the governors from all over the world are participated. For example WTO, APEC and IMF conference 11
- 12. Incentive Travel Incentive travel is a global management tool that uses an exceptional travel experience to motivate and/or recognize participants for increased levels of performance in support of the organizational goals Society of Incentive Travel Executives 12
- 13. I = Incentives A reward system in which the company pay for its employee s tour programs as to compensate and motivate them, who have achieved company s goal, profits, revenues or sales. Program might include a normal tour program, company s activities as well as an achievement of particular event Company pays for their employees, however their employees sometimes have to share the expense too. 13
- 14. C = Conventions Contain activities & purposes as same as formal meetings , however the theme or size of the event tends to be larger/ Bigger convention is an assembly of persons met for a common purpose. Conventions are often held annually, calling for more intensive planning organizes not only the business of the convention, but also an extensive social program. Basically, there are three categories of convention. 14
- 15. Conventions Convention refers to the big meeting, popularly used in USA Congress refers to the big meeting, popularly used in European countries and the Commonwealth generally related to politics, the assemblies especially the official assembly. In USA, the Congress refers to US parliament. Conference refers to the big meeting that last for several days with hundreds or thousands of participants in USA or other region. Normally the conference is accompanies by the exhibition, show or other activities. 15
- 16. Exhibitions Presentation of products or services to an invited audience with the object of inducing a sale or informing the visitor Exhibitions are considered part of the business tourism industry because the stimulate travel (for both exhibitors and visitors) (Rod Davidson) Exhibitions may also be called trade or expositions in different part of the world. 16
- 17. E = Exhibitions An event at which products and services are displayed. The primary activity of attendees is visiting exhibits on the show floor. These events focus primarily on business-to-business (B2B) relationships. Moreover exhibition can mean to display of products or promotional material for the purposes of public relations, sales and/or marketing. Basically, there are two categories of exhibition 17
- 18. Exhibitions 1. Trade Show, which exhibit of product and services targeted to a specific clientele and not open to the public. (B2B) 2. Consumer Show, on the other hands its target to the public and general. 3. Trade and Consumer Show 18
- 19. Other events Concerts of popular singers or bands Special events, e.g. reception party, theme s dinner and talk show etc. 19
- 20. Other events Sport events, e.g. World Cup, Olympic Games, ASIAN games etc. Other activities that attract a large group of people who are interested in the same thing traveling to participate these event/activities, e.g. Festivals, special occasion, etc. 20
- 21. Target Group of MICE Meetings, Incentives = Corporate Meetings & Incentives Conventions / Congresses / Conference = Association Meetings Exhibitions = Exhibitors / Visitors / Organizers 21
- 22. A typology of business travel and tourism Johnn John Swarbrooke and Susan Horner 22
- 23. Definitions and Frameworks Special events are that phenomenon arising from those non-routine occasions which have leisure, culture, personal or organizational objectives set apart from the normal activity of daily life, whose purpose is to enlighten, celebrate, entertain or challenge the experience of a group of people. Anton Shone, 2001 23
- 24. Categories and Typologies Leisure events (leisure, sport, recreation) Personal events Special Cultural events (Wedding, Birthday) Event (ceremonial, heritage) Organizational events (commercial, Political, Sales Anton Shone 24
- 25. The importance of MICE industry 25
- 26. The significant of MICE industry Employment in the industry and economic contribution to local communities, provinces and the nation Direct foreign currencies earning from international participant s daily expenditures on accommodations, food and beverage, souvenirs, etc. 26
- 27. The significant of MICE industry Stimulate the investment, both from domestic and oversea investors. Invest in MICE facilities and Invest in other facilities, basic infrastructure and other industries. 27
- 28. The significant of MICE industry Stimulate domestic business firms to strengthen their operational management by connecting or building their synergy with external & internal firms. New scientific & technological knowledge to develop the nation Create/build credibility, reputation & reliability of the hosts to local, national, regional and international levels Opportunities for relevant business, e.g. hotels. F&B, transportation, tour operators, etc. 28
- 29. The significant of MICE industry The period of MICE events generally could enhance the tourism industry, during MAY TO OCTOBER is a off- peak period (low season) in most tourist destinations An average expenditure of MICE participants generally 3 times higher than the normal tourist 4,000 THB/day/person for oversea tourists 8,000 THB/day/person for oversea MICE participants 29
- 30. The benefits of business travel and tourism for destinations Tend to visit in off-peak season, Relatively high in other words, generally not Per head per in the summer or school and public holidays Day expenditure Help justify and Business tourists tend to be Fund infrastructure Business tourism relatively well behaved, Developments which causing few problems for the Benefits the host community and Destinations host community Help ensure viability of Help ensure viability of Community leisure facilities Community leisure facilities Such as shops and theatres, . Such as shops and theatres, . which are used by local people . which are used by local people . as well as business tourist as well as business tourist 30
- 31. NATIONAL MULTIPLE BENEFITS FROM MICE BUSINESS MICE business is one of a major sectors in tourism industry which can bring more than 700,000 overseas tourists to Thailand. MICE tourists usually have more spending than leisure tourists. Therefore, MICE business can earn high income and benefits to Thailand, both the ones which the value can be calculated and cannot be calculated in an exact amount of money. The benefits can be divided into 3 levels as follows; 31
- 32. Primary Benefits These are direct interests from international meeting and convention, international incentive travel and international trade fair / exhibition. The stakeholders gaining direct benefits are venues, organisers, PCOs, PEOs, DMCs, and Hotels. 32
- 33. Secondary Benefits These are related interests from international meeting and convention, international incentive travel and international trade fair / exhibition. The stakeholders gaining indirect benefits are Contractors, Freight Forwarders, Exhibitors, Restaurants & Entertainments, Tour Agents, Shopping Centers, Transportation & Communication, Banks and Temporary Staff. 33
- 34. Tertiary Benefits These are multiple interests from international meeting and convention, international incentive travel and international trade fair / exhibition which cannot be calculated in an exact amount of money. The stakeholder in this level is the country as a whole and benefits gained are Technology Transfer, International Trade and Positive Image, etc. 34
- 35. The Impacts of MICE industry 1. Economic Impacts ก F ก 2. Social Impacts ก F 3. Environmental Impacts ก F F 4. Technological Impacts ก F 35
- 36. Economic Impacts 36
- 37. Social Impacts 37
- 38. Environmental Impacts 38
- 39. Technological Impacts Advancing the use of information technology (IT) in holding international MICE events, e.g. VDO & satellite conference, internet, digital & computer graphic, etc. The improvement and encouragement of technological development bringing-in by those exhibitors and participants Contribute these technologies to other business sectors resulting the improvement of their productivity and competitiveness 39
- 40. Global Market of MICE industry 40
- 41. The Market of MICE industries Corporate initiators, e.g. internal,external and in/external meeting of business sector Non-corporate initiators, e.g. international governmental organizations (GO s), International Non-Governmental Organizations (NGO s) 1. International markets 2. Regional markets 3. Domestic markets 41
- 42. Level of Meeting 1. International = 2 2. Regional = ก 2 3. National Offshore Meeting 4. Domestic 42
- 43. Segmentation 43
- 44. Global Market of MICE industry Number of meetings analysed The number of events per year in the ICCA Association Database has grown with more than 3000 events over the past 10 years. Source: Statistics Report, The International Association Meetings Market, International Congress and Convention Association 44
- 45. Number of meetings per continent From 2003 to 2007, the percentage of meetings organised in Europe dropped each year, from 58.0% in 2003 to 55.1% in 2007. In 2008 Europe s market share increased by 0.3% to 55.4%. Asia & Middle East and North America are 2nd and 3rd with relatively stable market shares of respectively 18.6% and 11.4%. Latin America s market share was 9.2% in 2008, which is the highest of the past 10 years. Australia s market share was 3%. and Africa s 2.5%. 45
- 46. Number of meetings per country As has been the case since 2004, U.S.A. and Germany are the number one and two countries measured by the number of international meetings organised in 2008. The numbers 3 and 4: Spain and France had a considerable increase by amount of meetings compared to 2007: 40 and 79 respectively. United Kingdom also had an increase of 40 in the amount of meetings, but dropped from 4th place in 2007 to 5th in 2008. The Netherlands is a newcomer in the top 10 at the cost of Austria. 46
- 47. Number of meetings per city For the first time in three years, Vienna shares the top with Paris as the most popular city in 2008. Barcelona on 3rd place had an increase of 30 meetings over 2007. Singapore dropped one place to 4th and Berlin dropped three places to 5th. Stockholm and Seoul are both newcomers in the top 10 and climb in the rankings to 8th and 9th position respectively. Remarkable newcomers in the top 20 are Athens, Buenos Aires, Sao Paulo and Tokyo. 47
- 48. Favourite months, frequency and length September remains the most popular month for organising international association meetings, followed by June, October and May. Over 55% of all international association meetings in 2008 were annual meetings, which is a decrease of almost 4% compared to 2007. Over the last 10 years meetings became shorter; the average length of a meeting in 1999 was 4.4 days and over the last three years it was 3.9 days. 48
- 49. Venues used Since 2005, Meeting facilities in Hotels has taken over as most popular type of venue to organise an event from Conference/Exhibition Centres . In 2008 the usage of meeting facilities in hotels consolidated its first place with 41.5%. Usage of Conference/Exhibition Centres lost another 2.1% in 2008. The use of universities has risen more than two percentage points and is now 19.2%. 49
- 50. Subjects Medical Science has been the most occuring subject of international association meetings in the last 10 years. Technology, Science and Industry have been respectively second, third and fourth since 2003. 50
- 51. International Markets (Share%) Year 2000 2001 2002 Continental No. of Market No. of Market Market Event Share Event Share (%) No. of Event Share (%) (%) Europe 1,854 59 1,540 58 1,780 60 Asia 463 15 471 18 530 18 North America 363 12 262 10 321 11 South America 208 7 177 7 145 5 Australia/Pacific 179 6 149 6 115 4 Africa 84 3 67 3 83 3 Total 3,151 100 2,666 100 2,974 100 Source: International Congress and Convention Association (ICCA), Data, June 2003 51
- 52. Association Meetings Market Number of meetings per country 52
- 53. Association Meetings Market Number of meetings per country 53
- 54. Association Meetings Market Number of meetings per city 54
- 55. Domestic Market 2001 2002 2004 Province No. No. No. No. No. No. Event Participants Event Participants Event Participants Central Region 537 86,543 953 90,158 1,091 163,717 North Region 113 13,362 159 15,713 125 20,095 South Region 339 23,215 329 27,216 331 31,224 East Region 71 12,297 101 38,626 98 51,724 Total 1,066 136,426 1,551 172,963 1,664 268,835 55
- 56. Discussion Questions 1. Identify and review the factors that have lead to the recognition of Thailand as an important conference and meeting destination. 2. Critically discuss the potential benefits that the convention and meeting sector provide to an economy. 56
- 57. Discussion Questions 3. Identify and explore the factors that have constrained the growth of the international and domestic market for conventions and meetings in Thailand. 4. Discuss the importance of the National Strategy for the MICE Industry and subsequent government initiatives to the development of the industry. 57