On March 1, the "China Convention and Exhibition Industry Digital Innovation Conference and Deqing Convention and Exhibition Industry Development Conference (hereinafter referred to as "CEIDIC") held in Deqing County, Huzhou City, Zhejiang Province officially released the "China Convention and Exhibition Organizer Digital Research Report (2024" (hereinafter referred to as the "Research Report"). Fan Peikang, the leader of the research team and editor-in-chief of China's leading newspaper, focused on the digital operation of China's exhibition organizers in 2023, the digital transformation practice of the exhibition industry, and the future development trend, policy suggestions, and countermeasures and suggestions of the exhibition organizers.
The report was jointly initiated by the China Convention and Exhibition Economy Research Association, the China First Newspaper Social Exhibition Industry Committee, the Yangtze River Delta Convention and Exhibition Research Institute, the School of Convention and Exhibition and Communication of Shanghai University of International Business and Economics, and the Guangdong Convention and Exhibition Organization and Exhibition Enterprise Association, and was implemented by the Digital Exhibition Working Committee of the China Convention and Exhibition Economy Research Association and the 31 Conference Research Institute. This year's survey has been further expanded on the basis of the previous three editions, with 396 valid questionnaires, covering a wider range of regions and participating organizers more representatively. The survey not only focuses on the current state of digital practices of MICE organizers, but also focuses on the revenue growth and future strategic planning brought by them.
oneKey findings:
Revenue and profit growth are out of sync
In 2023, the exhibition industry will usher in a recovery after the epidemic, and most institutions' exhibition revenue will exceed the performance of 2019. However, profit growth failed to keep pace with revenue, reflecting the dual pressures of rising costs and increased market competition.
The issue of digital talent is urgent
The industry is in a period of digitalization and transformation, talent has become the primary pain point, and the urgency of connecting the four-year talent problem is increasing. In terms of talent skills training, the digital skills focused on are data analysis, platform operation, portal and advertising operation.
Digital services continue to deepen
With the continuous evolution of digital tools, MICE organisers are increasing their ROI through services such as digital advertising, ** platforms, business matching and smart recommendations. These services not only enhance the customer experience, but also increase customer retention and repurchase rates. In addition, the rise of generative AI has become a widely adopted efficiency tool for MICE organizers. This change reflects the continued evolution of digital tools and the industry's ability to adapt quickly to emerging technologies.
Rationalization of digital investment and expectations
With the full recovery of the offline exhibition business, the growth rate of digital revenue and the proportion of investment are expected to slow down in 2024. This shows that the industry's expectations for digitalization are becoming more rational and rigorous, and the organizers' investment in digital transformation will be more pragmatic and cost-effective.
2. **Policy Recommendations:
Develop industry standards and specifications for exhibition digitalization
In the process of digital transformation of exhibitions, the lack of industry standards may lead to inconsistent service quality and data security issues. It is suggested that the first department should promote the development of digital standards for the exhibition industry, ensure the quality and safety of digital exhibition services, enhance industry confidence, promote fair competition, and improve the service level and international competitiveness of the industry.
2. Introduce digital support and incentive policies for exhibitions
The digital transformation of the exhibition industry often requires large initial investment and sunk costs, and the main exhibition organizer may face greater financial pressure. It is recommended that the competent departments of convention and exhibition at all levels introduce relevant policies to set up special financial subsidies or development, tax incentives and other incentives for digital transformation of exhibition enterprises according to digital exhibition standards and evaluation systems, reduce transformation costs, and encourage exhibition organizers to increase investment in digital platforms, services, transformation and construction.
Establish a digital talent training system for the industry
The digital transformation of the MICE industry requires skilled professionals who can use modern technology to improve the efficiency and quality of MICE services. It is suggested that the exhibition authorities at all levels should increase the training of digital talents in the exhibition industry, encourage and support exhibition enterprises to improve the digital skills of their employees by setting up special projects and providing training subsidies, and at the same time promote the cooperation between schools and enterprises in the field of digitalization to accelerate the digitalization process of the industry.
3. Countermeasures and suggestions of the organizer
Start with organizational culture and organizational structure changes to develop a digital transformation strategy roadmap
Digital transformation is not only an update of technology, but also a change in the culture and organizational structure of exhibition organizers. The host organization should clarify the digital transformation goals, formulate a feasible digital transformation strategy and roadmap, establish a digital business department, and promote the digital transformation of internal management processes. John Cotter, a master of change management and a professor at Harvard Business School, proposed "Kerter's 8-step change model" in "Leading Change" to increase the chances of success.
Set up a digital business unit and build a digital team
Seventy-five percent of enterprises have recognized the importance of digital transformation, but the proportion of organizations that have established dedicated digital business units and set new incentives and assessment indicators is still low. In order to meet this challenge, MICE organizers should clearly set up digital business units according to their digital strategies, and start to build a professional digital team to promote the innovation of MICE business models, seize the opportunities brought by digitalization, and achieve high-quality development.
Bringing in external talent and strengthening digital training go hand in hand
The lack of talent and operational experience with digital operations skills has become the most prominent challenge, which has been ranked as a top challenge for the third year in a row. In order to meet this challenge, MICE organizers should actively introduce talents from outside and strengthen skills training from within, so as to cultivate a digital talent echelon (examples of training content are provided based on the needs of this survey and the content of international counterparts).
Integrate business systems, build a data middle platform, and accumulate data assets
Although more than 90% of the institutions have different degrees of system application, the overall system integration and data sharing and utilization need to be improved, and only 19% have achieved results. Therefore, it is suggested that exhibition organizers should pay attention to the application of data analysis in the exhibition business, integrate business systems, build a data middle platform, strengthen data analysis capabilities, precipitate data assets (do a good job of "digital assets into the table"), build a data-driven decision-making and business system, optimize the exhibition planning, marketing and service processes, and improve decision-making efficiency and customer satisfaction.