The MICE sector has surpassed 2019 records, with Asia leading the wave of new bookings
Long-term business event planning is booming. Organisers are sending an increasing number of requests for projects that will only be realised a year or more from now.
Despite inflation, geopolitical tensions, and logistical challenges in air travel continuing to put pressure on operations, the global business travel and meetings market is demonstrating exceptional resilience. The latest data shows that companies are no longer viewing MICE segment as a cost. It is now seen as a necessary investment in development and innovation. As a result, there has been a significant leap in long-term planning.
Companies are turning to long-term planning
The industry's main focus is currently on events planned for more than 12 months' time. The number of Requests for Proposals (RFPs) in this segment has jumped to 1,221% compared to the pre-pandemic year of 2019. This is a clear indicator of confidence in the market's stability. When all future events are taken into account, total RFP activity holds steady at 101% compared to the base year.
On the other hand, realised hotel room nights under group arrangements are still slightly lagging behind a full recovery. They are holding at an average of 92 per cent of pre-pandemic levels. This disparity between current performance and future plans suggests that organisers are still grappling with short-term operational challenges and costs. Yet they are not hesitating to secure capacity for the future.
Regional differences and the dominance of Asia
A look at regional markets reveals that the recovery is not progressing at the same pace. Although all regions are recording a return above 2019 levels. In sending requests for future events, it is convincingly leading Asia-Pacific region which reached 131% of the previous figures. It is followed by North America with 124%. There is also Western Europe with 120%.
When it comes to immediate occupancy and the filling of hotel capacity through group nights, the situation is reversed. North and Latin America achieved the strongest results here. In these regions, group nights in the first quarter reached 96 per cent of 2019 levels.
According to the company's analyses Oxford Economics, The global economy is currently successfully avoiding a deeper recession despite instabilities in the Middle East and disruptions to supply chains. However, analysts warn that any escalations could directly affect safety and air networks. In the MICE sector, this always leaves room for caution when making final budgetary decisions.
