UK: Is Events Industry Being "Overvalued"?
An industry heavyweight has claimed that the events industry could be overvalued and could be missing out on potential government assistance as a result.
Hamish Reid, of Meetings Professional International (MPI) and general manager of Jersey Conference Bureau, made the comment at the BDRC Continental Hotels Insight Forum, when asked what needs to change about the sector.
He said: “You are asking if I could change just one thing. It’s not a popular view but I’d like to challenge the valuation of the events industry. Business Visits and Events Partnership (BVEP) values the industry as at least £39.1 billion and more. The industry has relatively small margins, organisers state they have reduced budgets, established agencies can go under and it seems odd that the GVA is claimed to be the similar to that of the entire telecommunications industry and the turnover akin to that of Tesco’s UK revenues.”
He cited figures from Visit Britain reports that showed in 2001 delegate spend was valued at £140 but in 2006 the figure had risen to £459.