1. WELCOME

2. Presentation to Trends in the Meetings Industry Didier Scaillet Director of European Operations and Global Development

3. MPI Facts and Figures • 20,000 members (1,400 in Europe) • 66 chapters and affiliates • 9000+ planners, spending € 9+ billions / year • 30+ years of experience • Central budget: € 16 millions per year • 80+ staff • 3 offices: Dallas (HQ), Toronto, Luxembourg • www.mpiweb.org

4. The Future is No LongerWhat It Used To Be…

5. European Airlines

6. FutureWatch 2005

7. FutureWatch 2005 • In conjunction with American Express • Third year: allow already for trends to be identified • 1851 respondents (11% response rate) • 960 planners / 891 suppliers • 8% European planners / 10% European suppliers

8. KEY FINDINGS • Meetings industry to grow gain in 2005: • Growth in budgets, employment, employee training, number of attendees per meeting and expenditures per meeting • International travel continues to rebound with largest increase from Canadian and European planners (weak dollar?) • Gap between planner and supplier expectations: 8 percent disparity in projected spending and revenue projections (4,5% in Europe)

9. KEY FINDINGS More International Meetings • U.S. Planners: 23% of all meetings outside U.S. • Europe (6%) and Canada (5%) as top destinations • European Planners: 28% • U.S. (8%) and Asia (7%) as top destinations • Canadian Planners: 29% • U.S. (13%) as top destination, followed at a distance by Europe (4%)

10. KEY FINDINGS Budgets on the rise • Recovering corporate budget • Budgets for third parties continue to be higher are not declining: outsourcing as a strategy seems to be there to stay • Association planners budget on the rise as well

11. KEY FINDINGS External Forces • Budget constraints (number 1 concern) • Commoditization (number 2 concern) • Global Economy • Security • Consolidation • Do more with less and shortened lead times have become standardised operating procedures

12. KEY FINDINGS Planners « and » Suppliers • Planners: • More planners reporting full implementation of standardized policies and procedures • About half have adopted or are implementing meeting management processes, programs, tools and technology, standardizing purchasing, contracts, RFP and reports • Suppliers: • Technology investments focusing on web site enhancements and wireless technology

13. KEY FINDINGS Planners «and» Suppliers • Planners would like from suppliers: • To work with suppliers as partners rather than as vendors • Increased flexibility in attrition/cancellation • Quicker turnarounds on requests • Suppliers would like from planners: • More honest disclosure of budgets • More comprehensive communication • More detailed RFP

14. KEY FINDINGS Return on Investment • Measuring ROI becomes the norm for planners • Suppliers are often not asked to help build systems or processes for measuring meeting returns and are not received feedback

15. New Entrants / New Borders

16. New Entrants / New Borders • Purchasing, Travel, Communication Agencies • Borders between players are getting blurred: • DMCs, Event, Hotels, etc • Consolidation • New governance/legal rules • New destinations, new venues • Event Marketing within the Marketing Mix

17. MPI Foundation / GPJ Global Study • Study of Senior Marketing Executives to determine trends in event marketing. • 651 senior marketing executives (VP, Director) at major companies (over $250M) in these industries: • Automotive • Healthcare • Financial services • Technology and telecommunications • Consumer and manufacturing • 100 members from MPI

18. Confident Industry Forecast More than 90% indicate the importance of event marketing is growing or stable

19. Event Marketing Provides Best ROI Event marketing provides the best ROI across all geographies

20. Budgets Align with Strategic Tactics 43% of companies plan to increase event marketing budgets, which represents 20% of marketing budgets

21. Study Summary • Positive events industry outlook (96% of respondents utilizes events in their marketing mix) • Focus on demonstrating ROI in marketing mix • New role for events in the sales cycle • Emphasis “enhancing the customer relationship” • Localized strategies • Regional priorities and approaches • Emerging markets have different requirements • Shifting priorities and budgets • Highly measurable media • A move to more integrated event marketing approach

22. Impact • Need to demonstrate ROI: relationships are still necessary but no longer sufficient • RFIs / RFPs (importance of right players locally) • Business models are changing: • Commissions to fees • Sales team • Associations also: core PCOs and/or insourcing, core destinations, multiple year contracts • One-stop providers or alliances • Need to educate procurement on added-value, complex buying, creativity within our Industry • New core skills are needed

23. Other Trends

24. THANKS