Meeting Expenses Rise Due to Fear of Public Opinion

We've already seen that public opinion has an affect on meetings and events, specifically on an organization's decision to cancel. Now, the Association of Corporate Travel Executives (ACTE) has found that a a fear of public perception is actually raising expenses on meetings you do decide to have.

It turns out that organizations are going out of their way to host what will be taken as sensible meetings. They'll pass up on all the great deals at venues with easy access to air transportation, then spend more on venues not associated with entertainment.

The survey's 110 U.S. respondents were asked, "Would your company avoid a perceived resort location (like Las Vegas) for a corporate conference or meeting in favor of a less leisure-oriented location (even if rates were better in the resort city) to avoid any external negative perceptions?" A surprising 60 percent said "Yes."

"Paying higher rates and spending more time getting to a business location when less expensive and more easily accessible alternative locations are available will quickly deplete a corporate meetings budget, thus wasting funds that could provide someone with a job," Susan Gurley, ACTE Executive Director, said in a statement. "Not only is this bad business from the standpoint of a corporate balance sheet, but it is also bad business for the travel and hospitality industry."

Regarding site selection, 58 percent of the respondents said suitability and price were key factors. However, 38 percent also said public and media perception is a factor, too.

What will it take to address this issue? Gurley said promoting business travel management techniques and controls is the answer.

If you're looking to implement more control over your meeting spend, consider getting started with Cvent's Strategic Meetings Management solution.
blog comments powered by Disqus
Subscribe to our Monthly Newsletter
Receive updates on the latest trends, best practices, and strategies
to transform your meetings and events