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SINGAPORE: The meetings, incentives, conferences and exhibitions (MICE) industry has not been spared from the devastating impact of the COVID-19 pandemic.
Both the supply (event organizers and exhibitors) and the demand (corporate attendees and tourists) have literally evaporated.
Borrowing the best-selling change management fable from famous author Spencer Johnson, it’s time for the MICE industry to “move with the cheese” and stay relevant with new opportunities.
According to GlobalData, MICE tourism may never fully recover. Many conferences and meetings are held online. Meanwhile, companies are looking to cut costs in these tough times.
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Additionally, business travel has become more challenging due to travel restrictions, COVID testing requirements before and after travel, and country-imposed quarantine measures.
A SOFT PERSPECTIVE
As more travelers realize the convenience, value, and security of holding meetings and conferences virtually in the comfort of their homes and offices, the demand to physically attend may decline even further.
Video conferencing and live streaming platforms, along with virtual and augmented reality technologies, allow MICE participants to have immersive and interactive experiences remotely.
However, there may be something positive after the pandemic, as participants are motivated by the benefits of learning and experiencing the products, technologies and solutions on display, and want to personally interact with exhibitors and vendors, and network with leaders from the industry.
Some of the most lucrative and iconic MICE events around the world, like the World Economic Forum’s annual Davos conferences, are also completely reluctant to go online.
FILE PHOTO: World Economic Forum founder Klaus Schwab delivers a welcoming speech alongside Swiss Confederation President Simonetta Sommaruga at the annual meeting of the 50th World Economic Forum (WEF) in Davos, Switzerland, on January 21, 2020. REUTERS / Denis Balibouse
In Singapore, it is hard to imagine events such as the Singapore Airshow and the International Maritime Defense Expo, where participating organizations showcase new aircraft and ships that merge completely in the virtual world.
IMPORTANCE FOR SINGAPORE
There is a growing sense that Singapore’s MICE industry must be rescued. According to the Singapore Tourism Board (STB), the MICE industry contributed nearly 1 percent of Singapore’s GDP in 2019 and generated more than 34,000 jobs.
It generated an economic added value of S $ 3.8 billion, where MICE business travelers spent almost twice as much as leisure travelers.
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The industry is coming under fire, especially after the staunch Suntec Singapore Convention and Exhibition Center recently announced a reduction of nearly half of its staff in various functions: sales and events, human resources, finance and food production.
If the COVID-19 threat persists, the prospects for Singapore’s MICE industry look bleak for the next few years.
It’s hard to see how Singapore, which is positioned as a leading MICE hub, can break even this year, given its high dependence on overseas business travelers and the high operating costs of hosting these events.
During this break, its state-of-the-art infrastructure in terms of large meeting facilities, hotels and digital reservation platforms, established tourist attractions, and a vibrant food and drink, culture, and entertainment scene have turned into empty ghost towns.
People walk past Singapore’s Suntec Convention and Exhibition Center on November 10, 2018 (Photo: AFP / Roslan Rahman).
Indeed, the future of the MICE industry may be one of a hybrid model, with a combination of physical and online events, as government support and incentives, security management measures, health insurance, Travel bubbles and advanced technology can help push the limits of your reopening.
ATTENUATING FACTORS
The Singapore government has recognized the strategic importance of the MICE sector and is helping to maintain Singapore’s leading status as a hub, retain critical capabilities, safeguard jobs and create multiplier benefits for the economy.
In this regard, the STB recently announced that it is allowing exhibitions and conferences with up to 250 attendees to return to Singapore from October, after a successful pilot in August for a 50-person event.
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There is also high-level attention from national leaders to reopen this part of the economy. Trade and Industry Minister Chan Chun Sing recently announced that Singapore is also learning from the experience of other countries and is working with partners and event organizers abroad to scale up MICE events in a safe and sustainable way.
Recent industry surveys indicate that people are still afraid of attending MICE events due to the risk of contracting COVID-19 and the personal and business disruption it creates when vulnerable family members and co-workers are infected and when the business continuity suffers.
As such, there is an urgent need for countries, airlines and MICE stakeholders to design and implement strict end-to-end safe management measures and hygiene protocols to support MICE tourism.
While Singapore has a strong global reputation for managing the pandemic, it is also facing competition from other MICE centers such as Dubai, which announced in July that it was opening its economy to tourism.
Working closely with its Emirates airline and immigration services, and like Singapore, it offers end-to-end security management measures throughout the airport and in-flight travel, including free COVID-19 trial for all. visitors who do not have a recent exam. negative test result.
Dubai officials hope that Expo 2020 will revitalize its weak economy. (AFP / GIUSEPPE CACACE)
However, travelers must have health insurance and bear the costs of quarantine if they test positive upon arrival.
Even when travel bubbles with countries like China, Malaysia, Japan and New Zealand allow business travel, the MICE industry has to embrace hybrid events as the new reality to ensure long-term sustainability.
NEED FOR DIGITALIZATION
In preparation for the new normal, STB has recommended that the industry move away from touchscreens and adopt more facial and voice recognition interfaces.
This is expected to enable contactless interaction with participants, leverage virtual and augmented reality solutions powered by artificial intelligence (AI) to deliver rich, personalized content on demand, and Internet of Things cloud platforms that enable capture, track and analyze visitor data in real time.
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The pandemic has fundamentally changed the way the industry works and convention venues such as the Marina Bay Sands Convention and Exhibition Center (MBS) have responded by investing in new technologies such as Virtual Reality (VR), Augmented Reality ( AR) and Extended Reality. (XR).
It recently launched a state-of-the-art hybrid event broadcast studio that has a three-dimensional stage and lighting systems to provide personalized and immersive experiences to remote audiences, including remote presenters “live” to Singapore via holographic presence.
Despite the pandemic, the MICE industry also needs to create immunity to disruptions caused by technology, geopolitics, and climate change. As such, the need for digital transformation has never been more urgent for MICE players and their ecosystem.
While technology cannot completely replace in-person networking and immersive experiences, digital readiness will allow MICE players to offer alternative options to ensure business continuity in the face of the pandemic or other future disruptions.
MBS is a good example and currently offers three virtual conference options: full virtual webcast and live streaming events; hybrid events with public in person and online; and hybrid events with holographic telepresence.
(Front row, left to right) Ms Kwee Wei-Lin, President of the Singapore Hotel Association, Minister of Trade and Industry Chan Chun Sing, Minister of Human Resources Josephine Teo and Mr. Lee Seow Hiang , CEO of Changi Airport Group, with other industry members at Marina Bay Sands on September 7, 2020 (Photo: MTI)
As countries learn to better manage the pandemic and allow for larger hybrid and physical events to occur, the industries supporting MICE in Singapore will also benefit as assistance gradually increases.
While we remain cautiously optimistic, MICE players must begin to experiment and prepare for the future through hybridization and digitization, just as MBS has done in Singapore.
By doing so, they can stay in the game and reap the benefits of cost, productivity, security, scalability, transparency, and customization.
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For example, hybrid MICE events can now easily scale to reach larger and more diverse global audiences who cannot travel today or in the future, and leverage technology to provide more targeted, immersive and personalized interactions and networks, without significantly affect costs. , productivity and safety.
Additionally, digitization will enable real-time data analysis and generate actionable customer information for MICE organizers, exhibitors and participants, enhancing transparency and personalization.
For MICE players, the cheese has moved, exacerbated by the pandemic, and it’s time they moved with it.
Dr Prem Shamdasani is Associate Professor of Marketing and Academic Director of the Executive MBA at NUS Business School, National University of Singapore.
