As we navigate through 2024, the events industry continues to evolve and adapt to new realities. Recent research from leading organizations provides valuable insights into the current state and future trajectory of our sector. At Huddle, we’ve compiled and analyzed this data to bring you a comprehensive overview of where we stand and where we’re headed.
Business Travel Rebounds
The Global Business Travel Association (GBTA) reports that total global spending on business travel reached $1.03 trillion in 2022, signaling a strong recovery. More recently, GBTA released a report focusing on the economic impact of domestic business travel in the United States, revealing some impressive figures:
- Total U.S. domestic business travel expenditure: $421.1 billion
- Tax contribution: $119 billion
- Jobs supported: 6 million (3.5% of total U.S. employment)
- Economic return: For every dollar spent on business travel, $1.15 was returned to the U.S. economy as net new GDP
The report also breaks down the types of business travel, with two-thirds falling under the “transient” category (individual sales trips, client service, government and military travel, etc.) and one-third categorized as “group” travel (conferences, conventions, training, and seminars). Notably, meetings and conventions accounted for 21.8% of all U.S. business travel volume in 2022.
Meeting Expenditures in Focus
Understanding the demographics of business travelers and meeting attendees is crucial for tailoring experiences. The GBTA report reveals:
1. Food and beverage: $41.1 billion
2. Entertainment /speakers
/production: $32.9 billion
3. Meeting administration:
$23.6 billion
4. Other meeting operations:
$19.4 billion
5. Meeting venue rental: $12.1 billion
6. Meeting registration fees: $11.5 billion
7. Transportation and staff travel: $9 billion
This breakdown offers valuable insights for event planners and venues, highlighting areas of significant spending and potential opportunities for optimization.
Demographic Insights
Understanding the demographics of business travelers and meeting attendees is crucial for tailoring experiences. The GBTA report reveals:
- Average age of U.S. business travelers: 44.3 years
- Income distribution: 33.9% below $50,000 annually, 31.5% above $100,000, with the remainder in between
- Gender split in conference and convention travel: 42.1% women, 57.9% men
- Women more likely to add a leisure component to business trips
These insights can help event organizers and marketers create more targeted and inclusive experiences for diverse audiences.
Rising Confidence and Investment
The Meetings Industry Association’s (MIA) latest insights report paints an optimistic picture for the sector:
- 73% of organizations express confidence in the sector’s future
- Average booking lead times have extended from 11 weeks to 16 weeks
- Average enquiry value: £27,853
- 78% of organizations have a dedicated strategy in place (up 10% since October 2023)
- 85% are investing in development (up from 80% eight months ago)
- Average investment in the last 12 months: £348,035
Areas of focus for investment include technology, training and development, marketing, renovation, equipment, and recruitment. This increased confidence and willingness to invest bodes well for the industry’s future growth and innovation.
ESG and Sustainability Take Center Stage
Environmental, Social, and Governance (ESG) considerations are becoming increasingly important in the events industry:
- 73% of organizations have a dedicated ESG strategy
- 89% are clear on their ESG goals and progress
- 78% have dedicated ESG KPIs in place
- 60% conduct environmental audits
- 56% have a roadmap to achieve Net Zero by 2050
- 70% are on track to achieve 2030 Net Zero goals
- 81% have invested in energy efficiency, waste reduction, recycling, and carbon offsetting programs
This focus on sustainability aligns with growing consumer and corporate expectations, positioning the events industry as a leader in responsible business practices.
Challenges and Opportunities
Despite the positive outlook, the events industry faces some persistent challenges:
- Staffing issues: 70% of organizations report staff vacancies (up 9% from October 2023)
- Skills shortage: 49% consistently report a lack of skilled workers
- Minimum wage increase: 56% of organizations have been impacted, with 53% increasing prices as a result
The AI Revolution
Artificial Intelligence is poised to transform the events industry:
- 81% of respondents predict an AI revolution
- 36% currently use AI for daily tasks such as compiling RFPs, handling customer inquiries, and generating marketing copy
- Only 22% consider their workforce to have a high understanding of AI usage
- Just 24% have a policy guiding the ethical use of AI
This presents both an opportunity and a challenge for the industry to harness AI’s potential while ensuring responsible and ethical implementation.
Event Trends in 2024
Bizzabo’s recent report highlights several key trends shaping the events landscape in 2024:
- Record number of events: The average number of events increased by 52% compared to 2023
- In-person dominance: In-person events grew by 40.3%, while virtual events remained stable
- Rise of regional field marketing events: 60% increase in smaller, regional events (fewer than 150 registrations)
- Year-round engagement: 54.8% increase in Q1 events compared to 2023, indicating a shift towards consistent, year-round event portfolios
The events industry is experiencing a robust recovery and transformation. With rising confidence, increased investment, and a focus on sustainability, the sector is well-positioned for growth. However, challenges such as staffing issues and the need to adapt to emerging technologies like AI require ongoing attention and innovation.
At Huddle, we’re excited about the future of events and remain committed to helping our clients navigate this evolving landscape. By staying informed about industry trends and leveraging cutting-edge strategies, we can create exceptional experiences that drive business success and meaningful connections.
