Australia’s Sydney Harbour Bridge. Courtesy of Tourism Australia

While the rebound in business travel continues to lag behind the recovery of leisure travel, the outlook for the MICE sector for next year and beyond is upbeat. The Global Business Travel Association (GBTA) released its predictions earlier this year with a projection for 2024 of surpassing the global pre-pandemic business level spend to $1.4 trillion. This forecast further extends growth to $1.8 trillion by 2027.

Singapore

According to the GBTA report, demand for corporate travel is still high, with destinations like Singapore leading the way.  Singapore is expecting a full MICE recovery between 2024 and 2025, according to Rachel Loh, senior vice president of the Singapore Tourism Board (STB).

“Our international visitor arrivals crossed 10 million in the first nine months of this year, giving us a strong foundation to build on as we work towards a 12 to 14 million forecast for 2023,” she said. “The strong demand for in-person events, coupled with the dedication by our MICE partners to deliver high quality experiences, will put us in good stead to recover well. There is also growing business confidence from organizers and delegates; and a robust events pipeline secured beyond this year.”

As a gateway to the fast-growing Asia-Pacific and home to a vibrant and dynamic international business community, Singapore offers unrivalled access to new markets and partnerships, according to Loh.

Singapore is also expanding its luxury product with new properties, such as Raffles Sentosa Resort & Spa, which will feature 62 villas, each with its own private pool and terrace. Also slated for 2024, The Standard, Singapore will feature 143 rooms with a prime location on Orange Grove Road across from Shangri-La Singapore.

Silver Leaf is an iconic event venue overlooking Dragonfly Lake in Singapore. Courtesy Photo

Other new luxury options to entice incentives include the 326-room Pullman Singapore Orchard and 302-room Mondrian Singapore Duxton, both of which opened this year. The 347- room Pan Pacific Orchard also debuted earlier this year.

Singapore is also leading in its sustainability efforts.

“As one of the greenest cities in the world, our vision is to be the leading sustainable MICE destination in Asia-Pacific,” Loh said. Singapore’s MICE Sustainability Roadmap encompasses targets to develop sustainability policies and guidelines, to obtain sustainability certification for all purpose-built MICE venues, to track waste and carbon emission and to achieve net zero emission by 2050.

At the beginning of the year, Singapore was certified as a Sustainable Destination based on the Global Sustainable Tourism Council (GSTC) Destination Criteria after being the first to apply the certification process on a country level.

The STB has a suite of programs that help planners with the cost of holding an event in Singapore, such as its In Singapore Incentives & Rewards (INSPIRE) Global 2.0 program that encourages the MICE industry to continue developing innovative experiences for attendees, such as luxury experiences aboard the Royal Albatross, a four-masted superyacht.

For corporate groups, Gunther Homerlein, Xperience Maker at Xperience DMC Events & Travel in Singapore, said the challenge is having to utilize Singapore’s plethora of smaller offsite venues. “With Singapore, larger groups are more challenging from a perspective of hosting dinners in unique locations. We don’t have a lot of huge spaces,” he said.

Homerlein has used spaces such as The Alkaff Mansion. “It’s a fantastically beautiful house. It’s gives you a sense of Singapore.” Other venues he has used include the ArtScience Museum and the former Supreme Court, which is now the National Gallery Singapore. “You can have your pre cocktail on the balcony and then you can go into this great venue. That’s good for about 200 people.”

Korea

Korea is also seeing growth in the MICE sector. The Seoul Tourism Organization (STO) expects that its support for corporate meetings and incentive groups will surpass the pre-pandemic levels by the end of this year, with a notable increase in demand from new countries such as Vietnam, India, and the Philippines, in addition to demand from the Greater China region.

Ki-yon Kil, CEO and president of the STO, said in a statement, “Prior to the COVID-19 pandemic, 25% of corporate meetings and incentive events held in Seoul were from the Greater China region. This year, however, there has been a diversification in Seoul’s corporate meetings and incentive tourism demand, with countries such as Vietnam (20%), India (14%), and the Philippines (6%) showing increased interest in hosting their events in Seoul.”

An STO analysis shows trends have shifted due to various factors, such as large groups arriving in smaller segments, preference for longer stays with simultaneous visits to other areas besides Seoul, and increased visits from industries including the beauty sector, insurance and finance, and pharmaceutical wholesale.

Corporate groups planning meetings will find new hotel products, such as the DoubleTree by Hilton Seoul Pangyo — a four-star hotel situated in Seongnam, Gyeonggi Province, near Seoul, which opened in 2023. Le Méridien Seoul, Myeongdong is a recent addition. On the horizon, located in Yangyang near Songjeon Beach, Capella Yangyang aims to become the largest wellness resort here with a total of 261 rooms, restaurants featuring wellness-inspired cuisines, and five indoor and outdoor swimming pools, with direct beach access.

The Korea Tourism Organization (KTO), which promotes Korea as a premier business events destination with its Korea MICE Bureau (KMB), said accessibility is a key factor in the country drawing MICE groups. Korea offers direct flights from more than 85 airlines for more than 50 countries and more than 150 cities.

KTO is currently focused on promoting Korea’s culture and has selected 52 unique venues across the country as prime outlets for MICE offsites and experiential offerings. Those include the Korean Folk Village theme park in Gyeonggi-do Province; National Museum of Korea in Seoul; and Korea’s oldest temple, the Jeongdeungsa Temple on the slopes of a mountain in Ganghwado.

Korea is also focused on sustainability for MICE, with a history of green venues. In 2010, Songdo ConvensiA was the first in Asia to receive an LEED NC 2.2 “certified” rating from the US Green Building Council (USGBC), and the sustainability objectives remain strong today.

Sustainability is also a focus at Coex, Korea’s top convention and exhibition venue. Located in the heart of Gangnam, Seoul’s business district, Coex’s meetings facilities consist of four main exhibition halls and 55 dividable meeting rooms. On-site facilities include three 5-star hotels, Asia’s largest underground shopping mall, four international office towers, an aquarium and the Korea City Air Terminal.

Thailand

Korea and Thailand are teaming up to help drive business to Coex and Bangkok’s Queen Sirikit National Convention Center (QSNCC) — the first national convention center in Thailand. The two recently signed a Memorandum of Understanding to officially partner, with a focus sharing knowledge in basic services and technology and conducting joint business development and marketing activities.

Thailand is ramping up its MICE efforts, as the Thailand Convention and Exhibition Bureau (TCEB) is partnering with Thailand Incentive and Convention Association (TICA) and Association of Thai Travel Agents (ATTA), aiming to gain more market insights to attract more meetings and incentive groups from key source markets from all corners of the world.

It is targeted that, by the end of the fiscal year 2024, Thailand will draw 23.2 million MICE travelers, generating 140 billion baht (nearly $4 million) in revenue. The figure includes some 960,000 overseas travelers.

TCEB is also focused on promoting local experiences for convention groups. It has developed a series of seven “Magnificent MICE Routes” and identified local products and services that can be used as souvenirs or gifts for delegates.

There will be more luxury options next year for incentive groups with the slated opening of the Fairmont Bangkok Sukhumvit and the new YONA Beach Club in Phuket, the world’s first floating beach club dubbed “an oasis in the middle of the sea.”

Australia

Another Asia-Pacific MICE hotspot showing strong signs of growth is Australia, which as of the month of August was at about 76% of where it was in 2019 for MICE business, according to Robin Mack, Tourism Australia executive general manager of Commercial and Business Events Australia. “Some markets are back more than others. If I look at the U.S. market specifically for that month, it’s 90% of where it was 2019, so we’re coming back.”

Mack noted Australia’s focus on infrastructure development throughout the pandemic as a boost to its corporate and incentive allure. “We had 200 new hotels open in about two and a half years, and some really major brands coming into some of our cities, and that was across the whole of the country,” she said.

Recent hotel openings include the W Sydney, the largest W hotel in the world, which opened this fall in Sydney’s Darling Harbour. Other openings this year include Dorsett Melbourne, The Ritz-Carlton Melbourne, Capella Sydney, and the Le Meridien Melbourne.

Upcoming hotel openings that will target MICE groups include the Queen’s Wharf development in Brisbane, which is due to open in stages beginning next spring and will feature three hotels — The Star Grand, The Dorsett and the six-star Rosewood. Meanwhile, South Australia’s first Marriott hotel will open in Adelaide/Tarntanya in 2024 with 285 guest rooms. Seppeltsfield winery, in the historic Barossa Valley wine region of Adelaide/Tarntanya, has announced that a new six-star luxury hotel, The Oscar, will be opening in 2025.

The Cairns Convention Center in Queensland also underwent a recent refurbishment and more than 113,000 sf expansion. In Melbourne, sustainability companies helped transform a rooftop car park overlooking the Melbourne Convention Exhibition Centre into the Melbourne Skyfarm, which can accommodate MICE groups for events and education sessions.

Aside from hotels, Australia is focusing on standout incentive experiences, such as the Heart Reef experience on the Great Barrier Reef in Queensland, which includes a helicopter tour and landing on the new Heart Reef Pontoon for a snorkel at a lagoon and canapes by the water. The Jackson is a new luxury superyacht on Sydney Harbour for corporate group outings.

“The other areas that we’re focused on as a destination marketing organization, are around the indigenous side of Australia,” Mack said. “We know from our research that it’s something that the customers want. They want to understand the First Nations people of the country they’re visiting.”

Options include hiring an indigenous elder to welcome delegates or speak at an event, as well as workshops in traditional painting or dance. The Burrawa Aboriginal Climb is a program combining a climb of the Sydney Harbour Bridge and indigenous storytelling. The climb is led by an Indigenous guide, and caters to groups of up to 14.

Scotland

VisitScotland Business Events (VSBE) is also focusing on creative ways to integrate MICE groups with local communities and further the interests in having a social responsibility objective as part of an incentive or meetings group experience. Invisible Cities is one of the city tours that VSBE partners with for group programs with the aim of offering attendees a transformational experience.

Invisible Cities trains people who have experienced homelessness to become walking tour guides of their own city. Since launching in Edinburgh in 2016, they are now in six cities across the UK with plans on expanding its reach. Local DMCs can arrange bespoke group experiences.

Brooke Davis, COO of Global Access Meetings, based in Denver, CO, has planned unique corporate meetings in Edinburgh. “When it comes to the culture, accessibility, history, food, architecture and just its beauty are a draw. Many people in the UK think it’s expensive, but Scotland is much more cost competitive than going somewhere like London. Also, you have the best of both worlds — the  city and the countryside.”

Davis recalls a memorable MICE outing at the Surgeons Hall Museums in Edinburgh. “We did a really cool murder mystery event and a murder mystery dinner, which was super fun.”

Aside from unique experiences, Scotland is adding a slew of new hotels, including the W Edinburgh, in the historical St James Quarter district, with 199 rooms and 45 suites, as well as meeting and event spaces. Soon after Scotland debuted its first Virgin Hotel opening in Edinburgh, the second Virgin property opened in Glasgow with 240 guest rooms.

“Scotland continues to add new and exciting venues and hotels to its ever-increasing portfolio of options for those seeking incentive experiences in Scotland,” said Richard Knight, VisitScotland senior corporate & incentive manager to the Americas. “Looking ahead, we are delighted to welcome such a strong variety of new developments that add to our rich cultural and innovative incentive offerings from unique immersive experiences to vibrant five-star city center hotels.”

Ireland

Meet in Ireland, a brand owned and managed by Fáilte Ireland, the National Tourism Development Authority, is also reporting a strong return to corporate meetings and incentives. “Corporate travel is coming back, and spending is higher as more attendees stay longer on the incentive side,” said Alison Metcalfe, executive vice president for Meet in Ireland at Fáilte Ireland. “The RFP pipeline in business continues to strengthen, and so by 2025, we’re looking very good.”

The attraction of Ireland for meetings and incentives is multifold. “People find it a very welcoming destination,” Metcalfe said. “It’s the people, it’s the history, the heritage, the scenery. It also has a great infrastructure for meeting planners. We’ve got wonderful, unique venues to start for global events.” Metcalfe noted the multitude of options of spaces like Titanic Belfast, which can offer a whole new customer experience, and EPIC The Irish Emigration Museum in Dublin. Farm visits where attendees can meet a family that has been on a farm for five generations and have a hands-on teambuilding experience are possible, as well as visits to any of Irelands many distilleries such as Old Bushmills Distillery — the world’s oldest licensed whiskey distillery — on the North Coast of Ireland, which offers educational workshops and other curated experiences for MICE groups.

There are also new spaces like the Dublin Royal Convention Centre, part of the renowned Radisson Blu Royal Hotel, Dublin and Velvære Spa, which is surrounded by historic buildings such as Dublin Castle, St. Patrick’s Cathedral and Christ Church Cathedral.

Cork Convention Bureau has created three new sample itineraries for MICE experiences that include the chance the ring the bells in one of the oldest churches in the city, followed by a cup of tea and freshly baked scones, cooking demos, wildflower floral arranging, surfing or pub crawling.

Italy

The MICE industry in Italy is growing at a healthy pace. According to ENIT, the Italian National Tourist Board, spending by foreign visitors on business travel in Italy totaled over more than $4.5 billion in 2021, rising to more than $6.8 billion in 2022, an increase of 47.4%. Revenue was up 10.4% on pre-pandemic levels. In 2022, spending on business travel in Italy accounted for 14.5% of the total revenue from international tourists, slightly higher than the 2019 figure of 13.1%.

Italy benefits from its leisure appeal. Future travel patterns increasingly combine business with leisure, according to an ENIT survey conducted on data from ForwardKeys, the World Travel & Tourism Council, Banca d’Italia, Deloitte and Trip.com Group.

The survey results are backed by Euromonitor forecasts, which show spending worldwide by travelers combining business and leisure, estimated at $200 billion in 2022, is set to double from 2021 to 2027, rising from $150 billion to around $360 billion.

“These excellent figures regarding the recovery of business travel are exceptionally good news, because in addition to being good for the economy, they also have a positive impact on the environment, and help the sector with strategies aimed at spreading tourist flows more evenly throughout the year, bringing benefits also to local economies, because spending more time and money in a place offers visitors a better opportunity to get to know the area and its typical products and traditions, which are the strengths of Italy,” the Minister for Tourism Daniela Santanchè said in a statement.

“The adoption of sustainable policies on the part of companies also has an impact on the management of business travel, and would appear to be encouraging greener choices, including the payment of higher rates for accommodation, living and transport options that are kinder to the environment and/or minimize CO emissions,” explained ENIT marketing manager Maria Elena Rossi in a statement.

Italy is preparing new upscale offerings that can cater to groups and incentives. Slated for 2025, Rosewood Rome will offer 157 rooms, including 44 suites in the former headquarters of Italy’s Banca Nazionale del Lavoro (BNL) overlooking the iconic Via Veneto. The property will encompass three historic buildings, each of which were originally built in the early 1900s. Additional amenities include a subterrain experience within the bank’s original vault featuring a modern Roman Bathhouse and Sense, A Rosewood Spa, located on the rooftop. Dedicated event spaces will encompass three meeting rooms and a grand ballroom.

Anantara Palazzo Naiadi is opening in a former government building and hotel in the heart of Italy’s capital. Portrait Milano lies in the heart of Milan’s luxury fashion district and the five-star hotel offers a wellness area beneath an ancient vaulted ceiling.

Spain

Spain is also seeing an uptick in luxury offerings for corporate groups and incentives. Madrid will have more than 2,700 luxury hotel rooms by the end of 2023, up 50% from a decade ago, according to a report by commercial real estate services company JLL.

Spain’s capital of Madrid has 33 new hotels in the pipeline, half of them in the upscale segment, while Barcelona has about a dozen projects in the works. Planners will be able to take advantage of the Madrid hotel boom, as room rates in Madrid are expected to rise at half the pace of those in Barcelona in 2024, thanks to the hotel openings, according to a forecast by American Express Global Business Travel. The annual survey expects room rates in Madrid to rise by 4.5%, while prices in Barcelona will increase by 9% next year.

“Barcelona, Madrid and Malaga are very successful because they are upscaling their offer here,” said Magi Castelltort, consul for tourism affairs at the Consulate General of Spain in New York. Post-pandemic there has been an emphasis on planners preferring known, reliable partners which has benefitted some of the long-time well known established brands in Spain’s major MICE cities.

More Growth

Business travel in the Middle East and Africa (MEA) is strong. MEA business travel achieved 86% of its 2019 levels during 2022. Dubai Business Events (DBE), the city’s official convention bureau and part of the Department of Economy and Tourism, worked with partners and stakeholders to win 143 conferences, congresses, meetings and incentives in the first six months of 2023 for events that will take place over the coming years. The events are expected to bring over 94,000 additional visitors to the city.

In the Americas, Panamá is promoting its MICE development with the recent inauguration of the Panama Convention Center in Panama City, with space for up to 23,000 guests. Panamá City offers approximately 20,000 hotel rooms, with another 10,000 more throughout the rest of the country. There are more than 11 hotels that have a convention center with a capacity of more than 1,000 people and Panamá can provide convention services for large corporate groups with around 800,000 sf in meeting spaces.

According to Colombia’s Office of Immigration, more than 48,600 international travelers visited the country in the first quarter of 2023 for business and events — 32% more than in the same period in 2022. In terms of connectivity, 14 new international air routes were introduced in 2023, increasing Colombia’s connectivity with seven countries throughout the Americas and Europe.

All this growth paints a rosy picture for hotels, restaurants, vendors, travel, transportation, managements services, event technology, event marketing and promotion, and the rest of the events industry market, which serves as an incredible platform for people and businesses to host events that bring people together. C&IT