Cost Versus Value 
This issue of Convene includes the results of two telling surveys about the state of the meetings industry. The first is our annual Meetings Market Survey, and the other is a special PCMA study, funded by a grant from the PCMA Education Foundation, on how meeting planners select destinations.

In reviewing the results, I was struck by the significance meeting planners place on costs. In the site selection survey, respondents said "overall cost" was the most important factor in selecting a destination. In fact, even though 30 possible factors were listed, specific cost issues trumped other considerations (No. 3: price of hotel sleeping rooms; No. 4: labor costs; No. 5: cost to rent convention center space).

In the meetings market survey, respondents were given the opportunity to tell us in their own words (after an admittedly lengthy questionnaire) what they perceive to be the biggest issue affecting the meetings industry. Some said the impact of technology and barriers to travel, but overwhelmingly the responses had to do with - you guessed it - cost. Many focused specifically on hotel rates and attrition policies.

Are suppliers pricing themselves out of the market that significantly contributes to their success? Let's hope not. We as an industry should work together to make sure that costs remain at a level that supports a healthy infrastructure, while encouraging successful meeting outcomes in the long-term.

At the same time, perhaps we all could benefit from paying a little more attention to value over actual cost. Would a meeting benefit from being held in a different destination so it can attract new attendees? What unique business or learning opportunities would be available at a certain location? From the supplier side, what value would be realized (other than revenue) by helping a meeting succeed in your city or property?

This concept also applies to looking beyond the easy measures of success - packed meeting rooms, sold-out exhibit floors and hotels - to focus more on what the people who came to the meeting took away from it. Was it relevant to their work? Did they learn something new? Were they inspired to approach something differently back at their office?

I know this concept is a little difficult to get your arms around. Let's face it, we all have bottom lines - and many meetings are seen as major revenue generators. But maybe, just maybe, you can enhance your bottom line by not focusing on it so much. When people participate in a meeting that they find highly valuable, they are much more likely to come back ... and encourage others to join them.

Of course, everyone has a different value proposition, depending on their industry and the particular event. Measuring the true value of a meeting (by using a tool such as MeetingMetrics [www.pcma.org/meetingmetrics], which is now offered exclusively to PCMA members) should include tracking its financial - and psychological - impact on your individual stakeholders.

If you were to ask your attendees to tell you the single most important factor in their decision to attend your meeting, would it be cost?

Deborah Sexton
President and CEO