As demand for MICE picks up steam, contracts are getting more complicated – and more nuanced
Many things are changing in the business travel ecosystem as part of getting back to a post-pandemic normal. Return-to-travel policies were created, pre-trip approvals have tightened up and booking channels are becoming more complex. Unsurprisingly, businesses have been hyper-focused on building back stronger and doing more with less in terms of staff and budget, which is placing a strain on anyone with the responsibility of one particular rising spend category, that of meetings and events.
In GBTA’s most recent Quarterly Outlook Poll surveying the types of trips corporate buyers think they will be allocating their budgets toward in the year ahead, over one-third of the projected spend (36 percent) is likely to be dedicated to meetings of some kind, either internal meetings (21 percent) or external conferences, trade shows or industry events (14 percent).
The picture is clear: Corporations of all sizes are now ready to put up their Open for Business signs and face the outside world. Having got their house in order, they are filling their business pipeline and that means more face-to-face time and a resurgence in meetings and events.
In its Hospitality Market Insights Report February 2025, Amadeus noted that 40 percent of the hotel bookings made by its clients for 2025 are tied to meetings. The GBTA poll for 2025 reveals an even more bullish picture from buyers when comparing 2024 spend, revealing that 33 percent forecast external meetings/conference travel to increase somewhat/significantly and 37 percent expect company-held meetings/conferences to increase by the same amount.
But will the reasons for meetings and events stay the same in this post-pandemic landscape? Shauna Whitehead, VP of customer solutions at BCD Meetings and Events, believes the way companies are now viewing M&E spending has changed. “M&E is now a driving force of business travel, and seen in a new light as both a key revenue driver and engagement tool to drive company loyalty, brand recognition and culture,” Whitehead says. “There is a much stronger focus and investment on purposeful meetings, events and experiences because of this.”
Whitehead is not alone in tracking this change. Cynthia D’Aoust, senior VP of global MICE at Your Event Solutions, an Altour company, concurs. “Post-pandemic, there’s been a notable resurgence in in-person meetings and events,” she says. “Companies have recognized the irreplaceable value of face-to-face interactions for team building, customer relations and critical growth strategies like product training, launches and performance recognition. This shift underscores the importance of genuine connections in business success.”
Undeniable pressure also comes from needing to outshine previous meetings successes. Major meetings and events player Cvent says delivering the same experiences you did in 2024 won’t cut it. In a white paper entitled 8 Key Trends for Hotels and Venues That Will Shape Events in 2025, Cvent writes, “Planner’s and guest’s expectations are constantly changing, and your ability to keep up and impress attendees is the difference between struggling to secure bookings and confidently surpassing revenue targets.”
Meeting with Purpose
It’s always been the case that meetings and events must, at their very core, be well-managed, contain costs and demonstrate ROI, and those companies which have invested in a strategic meetings management (SMM) program, should also reap the benefit of supplier engagement, enhanced negotiations, risk mitigation and operational efficiencies.
In 2025, however, other factors seem to be at play. Whitehead argues that now, “there is more of a focus on better organizing and managing across a portfolio of meetings and events under some clear company guidelines to drive consistency, ensure M&E investment is in the right types of meetings or events,” she says.
This is the new era of purposeful travel, which requires a re-think in terms of defining what constitutes a meeting, who can contract it, ensuring that the right tools are utilized and setting realistic expectations. All of these actions combined will help mitigate risk.
Consultancy Festive Road coined the phrase purposeful travel in 2021 when the pandemic gave companies the opportunity to think about travel as an enabler versus a budget line. Purposeful travel will mean different things to different organizations but categorizing the types of travel and meetings that are valuable to your organization will help align your travel program to your company objectives and culture and help re-set your travel and meetings agenda for the mid-term.
Taking Care of Business
The next question is, who can contract these meetings? And this often opens up a can of worms. Meetings contracting is a complex procedure and set against a backdrop of the cost line for meetings going up versus the drive for efficiency, this means that companies do need category expertise to mitigate risk to the company, particularly around the terms and conditions of cancellation.
“There has been a boom in simple and small meetings which doesn’t feel too risky,” says meetings management pioneer Kari Wendel, filling the newly-created role of VP Meetings Solutions for the Americas at HRS, “but now we’re seeing a return to bigger meetings.” In the light of this, she questions whether companies are getting the right escape clauses, the right data and actionable insights – mysteries of meetings agreements which technology can unlock.
Wendel, formerly with CWT Meetings & Events, is leading the meetings-as-a-service solution at HRS, the corporate lodging and payment technology company. Last October, the company launched HRS Connect designed for simple meetings management. Utilizing the company’s proprietary Connect platform, it provides an AI-powered tool that enables transparency and control over meetings programs while integrating procurement, instant pricing, virtual payment and VAT reclaim in one end-to-end process.
While companies with centralized meetings strategies are the most advanced in using technology to streamline this spend category, Wendel says technology can also help those who have other jobs alongside meetings, the non-meetings professionals – most commonly the PAs, EAs, middle managers, sales managers and planners. “The reality is they are not trained in contract negotiation so risk is added to the company,” she says.
“Your personal ability to negotiate a good rate comes with time, research and understanding of the specifics of the event,” says Robert O. Sanders, Jr., president of meetings and incentives at Leros Meetings and Incentives. “If you are new into the planning field, ask for some internal support if available. There are many ‘sample’ contracts online that someone can review and become familiar with,” he adds. “All though basic, another set of eyes on an upcoming contract is always helpful.”
BCD’s Whitehead explains that, more than training, what’s needed is “access and accountability to organizational standards and non-negotiable items when entering contracts with third party suppliers.”
Getting the right tools is crucial and, as in other areas, artificial intelligence has come to the rescue in many ways since the pandemic. It has streamlined tasks, saved time and reduced errors. “Artificial intelligence has become a transformative tool in event planning,” says D’Aoust. “It streamlines tasks such as creating agendas, generating content and providing real-time feedback, which then helps in reducing operational costs. AI also enables the delivery of personalized educational and motivational sessions globally, which is a game-changer.”
Hidden Pitfalls
Ultimately though, implementing an SMM program is crucial for mitigating risk. “Aligning with a single partner to manage sourcing and contracting ensures clearly defined enterprise-wide policies, balanced partnership contracts, tracking of cancellation credits, preferred terms and conditions, and agreed-upon service standards,” says D’Aoust.
According to Whitehead, risk mitigation requires “applying a policy, strategy and structure around contracting for M&E – at least above a certain dollar threshold.” When contracting for meetings, she says, “Applying rigor to this process can increase visibility of spend, reduce risk in ensuring company specific T&Cs are accounted for, and tracking and driving savings and concessions.” Whitehead recommends taking a consolidated approach to sourcing and channeling to preferred vendors to leverage buying power.
Sanders agrees, noting that venues often have more pricing flexibility when considering multi-event contracts. “Work with the selected venue to create a win-win outcome,” he advises, but warns against negotiation overreach. “You can often times ‘negotiate’ yourself out of a great event. Use the venue as a strategic partner to create the best outcome for both parties.”
D’Aoust recommends separating the sourcing and contracting phases from the planning phase to allow external experts and internal associates to collaborate effectively. “A trend we are seeing is to implement self-use tools for small or simple meetings, supported by defined policies and allowing internal resources to facilitate,” she says. “This can reduce cost while ensuring risk is mitigated.”
Wendel believes the two biggest pain points in meetings management are data quality and a payment solution. She notes that to mitigate risk, HRS Connect tackles both, the latter with payment automation to increase accuracy and reduce potential fraud. “I would have died to have this technology 14 years ago,” she says.
Know the Basics
Defining types of meeting or events and the preferred company approach to each is key. “Overall applying thought to the types of meetings/events that are most important to your business and stakeholders,” Whitehead advises, followed by steps that make it to “do the right thing” through a streamlined approach to requesting, booking and executing a meeting or event.
Getting the numbers right is a basic requirement, according to Sanders. “For many events there is real optimism as to who will want to attend versus who will actually attend,” he says. “An expected number is very different than a ‘guaranteed’ number of attendees. Manage that expectation very carefully.”
Other steps Whitehead recommends for streamlining the contracting process: “Focus on types of events and booking channels, streamlining smaller events into a self-service environment to guide bookers to company preferred options,” she says. In addition, she suggests looking at the convergence of on-site and off-site event management, finding ways to maximize onsite event space and driving cost containment, while streamlining the experience for meeting owners.
While the fundamentals of meetings contracting 101 stay the same, there is much more to finesse in 2025 – particularly around innovation from technology and more nuance in categorizing travel – to ensure the attendees, the organization and the planner all succeed.
