Dayton, Ohio — The latest Association of Destination Management Executives International (ADMEI) business survey reveals that DMCs are enjoying stable and growing business.
According to the survey: 79 percent of DMCs say 1Q16 was better or the same compared to 1Q15, while 84 percent of DMCs say that their projections are stronger or the same for 2Q16 compared to 2Q15. Looking ahead, 56 percent of DMCs anticipate that, based on advanced bookings, business in 2017 will increase and 34 percent anticipate business will remain the same.
Other key findings include:
- Lead times increasing: The second quarter 2016 business survey reflects a continuing strong trend for DMC business throughout the world. The other side of the business survey is the time interval between when the DMC received the RFP and the actual event. There are 50 percent fewer DMCs reporting decreasing lead time between 4Q14 and 2Q16 while 30 percent DMCs are reporting no change in lead times. While this trend is encouraging, there are still times when this interval is too short for the DMC to effectively manage their time; 10 percent of the DMCs still ask, What interval? We are lucky to get an RFP two weeks before the event. One DMC notes: “We are seeing the trend continue that it is all within a year for the most part, however world events are shifting to also create some very last minute bookings as well.”
- Ethical clients: DMCs report that 81 percent of their clients are ethical all or most of the time. One DMC commented, “Client told us they were going with another DMC because of the venue they presented even though they liked us better overall. Not good for us, but figured if the tables were turned, I would be happy.”
- Healthy meeting industry: 54 percent of DMCs project 2016 to be more profitable than 2015, and 21 percent project as much profit in 2016 as they had in 2015. With 85 percent of the DMCs reporting project as good as or better profit over the previous year, the clear trend is that DMCs are reflecting the health of the meetings industry.
ADMEI is the premier international association for DMCs. Its mission is to define the DMC industry, uphold the highest level of professionalism, establish standard business and ethical practices, and promote the value of local destination management.
Visit admei.org for more information about ADMEI.