Conference Tourism – Philoxenia, Helexpo

November 2005

Stefan MerkenhofSenior Consultant

JBR Hellas

Market research of International Large Conferences Market

- Position of Athens

Conclusion Large Conference Market (> 2,500 delegates)

– niche: 85% < 1,000 delegates

– Very seasonal & strong competition,

– 75 European Venues, of which ~25 are considered top

– Venues often not financially independent – government support

Greece - Athens is not on the map of leading venues– Could be opportunity, but only through

• Integrated approach: local, regional and national actors with long term strategy

– Example of Istanbul

– Example of Barcelona

– Significant financial and promotional impact on the city

Content

Large Conference Market – Quick Overview

Greek Venue Landscape

What can be learnt from international top Venues?

Where is Athens today

Critical Success Factors

Financial Impact estimation

Market Overview: Participants -1

Πηγή: ICCA, 2004

> 3000 4%

500 - 99920%

1000 - 199910%

2000 - 2999

3%

250 - 499

26%

50 - 24937%

Αsia18%

Europe60%

Αfrica2%

Australia4%

Latin America6%

South America10%

Market Overview – Participants - 2

1214

725

723

631

611

592

North America

Latin America

Asia

Europe

Australia

Africa

Source: ICCA, 2004

UIA (2004):

- 86% less than 1,000- Europe: 88%

- 69% less than 500- Europe: 74%

Average number of participants: ~ 700

Development 2000 - 2004

Str

asb

ou

rg

Am

ster

dam

Lo

nd

on

Par

is Ro

me

Mad

rid Osl

o

Bru

ssel

s

Lis

bo

n

Mo

sco

w

Ber

lin

Hel

sin

ki

Pra

qu

e

Gen

eva

Bu

dap

est

Ista

nb

ul

Du

blin

Vie

nn

a

Sto

ckh

olm

Bar

celo

na

Ath

ens

Co

pen

hag

en

To

tal

-60%

-40%

-20%

0%

20%

40%

60%

80%%

ch

ang

e n

r o

f m

eeti

ng

s

Source: UIA, 2004

Main CECs with space for at least

2500 seats

Total centers: 75

of which:

-15 in Germany-34 ICCA member-30 AIPC member

What can be learnt from these leading Venues?

Glasgow - SECC

Glasgow - SECC

Glasgow - SECC

Glasgow - SECC

Sydney - SCEC

Sydney - SCEC

Vienna – Austria Center

Vienna – Austria Center

Istanbul - CEC

Istanbul - Events

0

20

40

60

80

100

120

2005200420032002200120001999199819971996

Business Events

Music Events

F&B

Other Social

Number of evens

0

1.000

2.000

3.000

4.000

5.000

6.000

2005200420032002200120001999199819971996

Business Events

Music Events

F&B

Other Social

Average visitation per event

Istanbul – Type of events 2004

Business Events

59%

Other Social25%

Music Events7%

F&B9%

2

8

10

13

18

53

3,1

1,2

1,3

2,5

3,2

1,1

Nat. Congress

Symposium

Seminar

Int. Congress

Fair

Meeting

Days

Events

700

450

400

481

2.702

712

1.750

563

480

1.481

8.556

793

Nat. Congress

Symposium

Seminar

Int. Congress

Fair

Meeting

Delegates Days

Delegates

Barcelona - CCIB

Barcelona - CCIB

Barcelona - CCIB

Where is Athens today in comparison with Barcelona?

0,0 1,0 2,0 3,0 4,0 5,0 6,0 7,0 8,0 9,0 10,0

General cleanliness

Noise

Atmospheric Pollution

Safety

Signs & Information

Value for Money - Hotels

Value for Money - Restaurants

Value for Money - Shopping

Public Transport

Character of local people

Hotel facilities

Restaurant facilities

Shopping facilities

Leisure / Entertainment

Culture

Barcelona

Athens

Athens – Barcelona

Overall: 8,25

Overall: 7,56

Source: JBR Hellas – Turisme de Barcelona

Top City Breaks – in mln overnight stays

Source: Turisme de Barcelona, Hellenic Statistical Service

1990 2001 2002 20031 London 91,3 115,9 110,8 114,82 Paris 31,2 33,0 33,0 30,93 Dublin 15,4 19,1 18,6 19,04 Rome 12,9 15,0 14,7 14,55 Madrid 9,5 12,2 12,3 12,26 Berlin 7,2 11,3 11,0 11,37 Barcelona 3,8 8,0 8,7 9,18 Praque 4,5 6,8 8,49 Amsterdam 5,7 8,1 8,0 7,5

10 Vienna 7,5 7,7 7,7 8,0

Athens 4,4 4,1

Athens - Barcelona

0

2.000.000

4.000.000

6.000.000

8.000.000

10.000.000

12.000.000

1995 2000 2001 2002 2003 2004

0500.000

1.000.000

1.500.0002.000.0002.500.0003.000.0003.500.000

4.000.0004.500.0005.000.000

1995 2000 2001 2002 2003 2004

Overnight stays Arrivals

30%

40%

50%

60%

70%

80%

1995 2000 2001 2002 2003 2004

Bed Occupancy

0

5.000

10.000

15.000

20.000

25.000

1995 2000 2001 2002 2003 2004

Number of rooms

Visitation (x1000)of various European Attractions

Notre Dame Paris 10000Sacre Coeur Paris 8000Tour Eiffel Paris 6200Musee du Louvre Paris 5700Centre Pompidou Paris 5500National Gallery London 4900British Museum London 4800BA London Eye London 3900Tate Modern London 3600Cite des Sciences Paris 2600Musee d’Orsay Paris 2100Sagrada Familia Barcelona 2100Tower of London London 2000Zoo in Schonbrun Vienna 2000Sconbrunn Palace Vienna 1800

Πηγή: Γραφεία Στατιστικής Διαφόρων Πόλεων

Natural History Museum London 1700Victoria and Albert Mus. London 1400Arc de Triomph Paris 1400Caixa de Catalunya Barcelona 1400Aquarium of Barcelona Barcelona 1400Science Museum London 1400P.Espanyol de Montjuic Barcelona 1300National Portrait Gallery London 1300Barcelona Bus Turistic Barcelona 1300Centre de la Fundacio Barcelona 1100Αcropolis Athens 1100Hundertwasser Haus Vienna 1000Museum FC Barcelona Barcelona 1000Musee de l’Armee Paris 1000Parc Zoologic Barcelona 1000Tate Britain London 1000

Market share Attiki & Athens

Market share Attiki and Athensof the total of Greece

- Based on overnight staysSource: Hellenic Statistical Service

9,5%8,5%

8,0%7,6%

7,3%

13,7%12,8%

11,5% 11,1%10,8%

6,0%

8,0%

10,0%

12,0%

14,0%

1995 2000 2001 2002 2003

Athens Attiki

Source: Hellenic Statistical Service

% Overnight Stays Attiki per source country in comparison with Greece as a whole (2003)

Is it possible to develop a large event Conference Center in

Athens as well?

Athens...

... is not on the map of leading European venues yet

... is high on the list of desired destinations

... has improved city image, though much need to be done

... has an excellent mild climate

... has a sense of security

... has a rich cultural heritage

... has a good geographical position

Demand – Event planning

2

7

1

0

4

5

Within 12 months

Between 1 - 3

Between 3 - 7

Small event

Big event

Number of respondents (n=14)

Source: JBR Hellas – PCO Questionnaire

Market Requirements

Facilities: Free choice of local suppliers, no “forced contracts” High Speed Internet Access throughout the building

(wireless would be an advantage) Booth Construction Modern Audio Visual Equipment English Speaking local staff Temperature adjustable Air Conditioning Proper lightning Media Connections F&B, catering (Simultaneous) translation services / interpreters Security

Demand – Drivers (PCOs)

Source: JBR Hellas – PCO Questionnaire

9,07

8,93

8,86

8,64

8,57

8,29

7,71

7,43

7,00

6,23

5,75

Hotel infrastructure

Security

CEC infrastructure

City and environs

Ease of Access

CEC Services

Office and Communication facilities

Catering services

Previous experience

Additional activities

'Going around continents'

International

Athens

Critical Success Factors Integrated concept:

– A CEC should not be developed in isolation

– Support of local residents

– Partnership with local, regional and national actors

– Organised and market focused tourism promotion

– Professionally organised Convention Bureau

– Good possibilities for entertainment and experiences

– Sufficient hotel accommodation in the area Accessibility Sufficient volume of international business Geographic location Long term strategy Re-investments Flexible use of the facility

What does a large event Conference Centre bring to

Athens?

City Impact – Assumptions 1 event of 6,500 delegates 80% comes with partner Event length: 3 days

– Plus 1 day before and 1 day after 100% comes back at some point for leisure

117,000 overnight stays 65,000 room nights

– at € 186 per night in total 11,700 arrivals

– who spent € 110 per person per day

Hotel sector 10.7Retail sector 10.8Travel Trade 0.8State 4.3

– Athens Airport Tax (Σπατόσημο) 0.7– VAT 3.1– City Tax (Δημοτικά Τέλη) 0.5

Total 26.6

Financial Impact for Athens (mln €)

Thank you for your attention

Questions

Stefan Merkenhof

s.merkenhof@jbrhellas.gr+30-210-3605002