Financial & Insurance Planners Upbeat on Future of Meetings

We asked a sampling of FICP planner members to weigh in on the state of the meetings industry. Here's what they had to say.

Successful Meetings: We've heard from a lot of meeting planners lately that they see 2011 as a year of recovery. Does that hold true for financial and insurance conference planners?

FICP: For many insurance and financial services companies, 2010 proved to be a year of recovery. Our companies were among the first to feel the effects of the economic downturn and were on the forefront of its recovery, so our meetings were primarily impacted in 2008 and 2009. The value proposition of holding face-to-face meetings has led this recovery, albeit with a new norm. Implementing change in meeting design is common with shorter, consolidated meetings that leverage larger groups for better rates and reduce time out of the office. Resource constraints and budget reductions have been felt by planners. As the economy continues to improve, there is a lot of optimism as many planners are seeing a rise in meetings for 2012.

SM: How have meetings and events in this industry changed as a result of the economic and public perception issues of the past few years? What's different now?

FICP: There is a greater awareness of what meetings are being held and understanding of the goals, objectives and audiences of these meetings. Transparency and validating the return on investment in meetings are critical steps in the meeting planning process. Strategic Meetings Management (SMMP) is increasing as a priority in order to maximize efficiencies and productivity.

For many larger companies, perception remains a consideration. The former model of a 5 to 6-night incentive trip is now being offered as a 3 to 4-night experience. Size of meetings is another factor with some companies limiting the number of qualifiers for an incentive program. The key theme is an overall tightening of budgets and an emphasis on representing a company's brand responsibly.

What hasn't changed is the value of these programs. Incentives motivate sales professionals and facilitate networking, communication, camaraderie and recognition. They work, and senior management acknowledges that they are a critical component to driving revenue and retaining and engaging top performers.

SM: Does the industry know how to react better now? What lessons have been learned?

FICP: The industry's collective response and advocacy efforts have played a significant role in communicating the value of meetings – not only in regards to its impact on the economy but to the industry's organizations as well. The education, tools and metrics that are available better position us to continuously advocate on behalf of our industry.

The spotlight on the industry has resulted in positive change – more SMMP practices to track spend and centralize contracting, implementing corporate social responsibility programs into meetings, mastering ability to change a meeting on a moment's notice and incorporating educational content into incentive programs.

The most significant outcome has been strengthening of relationships between meeting planners and our hospitality partners as we came together to create win/win scenarios in a very tough environment.

SM: In what type of destination/venue are you holding meetings, conferences, and events in 2011 and 2012? What's new in terms of where you're going, and why?

FICP: For the most part, planners in the insurance and financial services industry have not experienced a change in the destinations they are booking meetings in and many planners continue to hold programs internationally. Some were more conservative in their 2009 and 2010 offerings – regional locations for educational programs – but 2011 and 2012 seems to be a return to normal.

Meeting objectives still drive site selection. Cost consciousness is top-of-mind but luxury properties and resorts are still a consideration for most companies for their ability to deliver on a meeting's objectives.

SM: If you had to reduce the budget of your events in the past few years, where did you make those cuts? And are they coming back?

FICP: The ability to "do more with less" has become increasingly relevant in our industry. Shifting mindsets of executives from quantity to quality and justifying meetings with objectives and goals is a must.

Trends seen in helping reduce spend include limiting travel costs (holding meetings at airport hotels or in cities with direct flights from city of origin), decreasing décor, production and entertainment expenses, planning shorter meetings with fewer qualifiers, and in some cases, eliminating gifts or activities.

Planners work diligently to source better deals and options without compromising perceived quality.

SM: How much of an issue is public perception this year? Will 2012 be different?

FICP: Public perception does not seem to be as much of an issue for most organizations as it was in prior years. While our Canadian planners felt the effects of the increased attention on the industry and downturn in the economy, it was not as pronounced as it was in the U.S.

What won't change is that perception will always be of concern. Companies work too hard to establish their brands to be cavalier about how they are perceived by the public. That said, companies can't operate out of fear that they will be scrutinized. Planners today are more prepared to justify their meetings, locations and activities surrounding their events.

SM: There's been a lot of talk about companies, C-level executives, and boards wanting to see more proof of return on investment for their meeting dollars? Are you seeing this, and how does it affect what you do?

FICP: Communicating the effectiveness and value of meetings and conferences is a critical part of every meeting professional's job. Return on investment is measured in myriad ways and many are leveraging technology to quantify meetings "smarter, faster and easier." Tracking budgets, performing post-event surveys and communicating directly with executives, including CFOs, on event spend and results is a necessity. These processes not only extend to the meeting itself, but also in monitoring competitors' terms of service, product and compensation practices for their employees. Meeting planners are accountable for their results and the experiences derived from their programs.

SM: Many companies had to cancel events and meetings in the last couple of years. Did any good come out of this, in terms of company executives seeing first hand how important meetings really are?

FICP: While the design of meetings and conferences were affected by the economy, the majority of organizations did not cancel their meetings. Consolidating meetings was an option and meetings without solid goals and objectives were reevaluated.

For many that did cancel meetings, the impact was felt immediately, especially in regards to its effect on employee engagement and resulted in the reinstatement of those meetings. The relationships fostered between FICP planners and our hospitality partners proved invaluable in navigating this process.

SM: How has virtual meeting technology changed what you do? What impact will it have going forward?

FICP: Planners are incorporating more on-demand learning modules and Web-Ex presentations as a communication management tool. Leveraging technology to deliver business updates, employee training and stream live sessions from events expands the audience that can benefit from the content. Offering virtual content, in particular for smaller, internal meetings, has offset transient spend for these meetings.

As virtual meetings become part of organizations' culture, planners do not see them replacing larger meetings or incentives where face-to-face interaction is essential. In a sales-based environment, live meetings and conferences are the best way to develop and maintain relationships and provide employees with direct access to executives.

SM: How about incentive events? Are they returning at all, and if so, in what form?

FICP: Incentives are part of an employee's compensation and keep top performers engaged and motivated. Most planners did not experience cancellations but rather, modifications to their programs (primarily shorter duration).

The incentive market has evolved over the last several years moving from a pure recognition-based program to incorporating business and educational components to the trips. Research has proven that employees value the memories created by incentives more than cash rewards.

SM: From your perspective, how much of a concern is the regulatory climate, going forward?

FICP: The meetings industry is ever-changing and the need to adapt will always exist. Operating in a regulatory environment has its benefits. The stringent processes require attention but once adopted, are essential to the protocol, which drives transparency.

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