SA MICE buyers shift organising allocation

With bottom-line MICE benefits upper most in buyers minds there has been a noticeable shift in the allocation of organizing assignments in 2012. Whereas it was simpler to bring in an independent organizer the additional costs in this practice is rapidly being replaced with perceived cost effective methods.
Make-up of Buyer Market
(1) corporate Private/Professional (2) association (individual & company-based members) & (3) government local, regional, provincial, national as well as a wide variety of agencies and para-statals.
The corporate market is 60% of the SA MICE industry , while the association sector is in the region of 10% with the government making-up 30% and is a mixed and varied array MICE gatherings.
Financial Considerations
Corporate and government MICE undertakings are zero-budget based while the majority of associations are seeking a profit from a variety of sources during the gathering in the form of attendance fees, sponsorships, exhibition component, sale of books, promotion of new members which are amongst the main revenue generators.
The Noticeable Shift
The corporate market with a multitude of differing types of MICE undertakings have set-up an internal event department populated with a variety of experienced personnel to conceptualize on a collective basis the roll-out of high message retention gathering. Logistics are predominantly technology-based with timelines in keeping with necessary administrative tasks. Similarly in the association sector with high member numbers (5000+) event sections are becoming the norm. Government (public sector) continue to outsource via various predominantly questionable tender processes.
The Future of the Independent Organizer
Besides well-entrenched relationships which can alter dependent on internal personnel shifts the role of the independent organizer is on the decrease. Although within the association sector the external planner remains relatively constant and their future is not as precarious as within the corporate market once again relationships can change and if the associations committee views the amount the external contractor has charged – whether justified or not – consideration may be given to internalizing the tasks. Government organizers remain an enigma. With significant short lead times and dubious payment structures, the independent planner remains bold and deserving of most assignments granted to the external contractor.
The manner in which the independent organizer markets themselves will be paramount in 2013 and the communication techniques planned and undertaken on an ongoing basis could mean the difference between either moving forward or sliding backwards.