mci customer magazine #3
DESCRIPTION
TRANSCRIPT
The Procurement Evangelist
MEETING OF mINDS
OUTpERFORM Allianz GroupHyundai
INSpIREMeetings and EventsEffectiveness
INsIGHTStill RisingThose with Glowing Eyes
THE MCI MAGAZINE ISSUE 1 - 2009 I NOMINAL CHARGE 10€
N°3°°
updatedin 60 seconds
MCI and Green Globe
International Alliance
World Expo
2010
MCI Support
CSR Action
Raising£30,000 for NCH
Wonderful Copenhagen,
here we come
New Practice:
PerformanceImprovement
f
MCI entered into an agreement with Green Globe Interna-
tional, Inc., the premier global brand for sustainable travel,
tourism and related businesses. The two companies will
provide sustainability consultancy services, based on Green
Globe and MCI MeetGreenSM standards, to meeting
facilities and destinations that are compelled to improve the
environmental and fi nancial performance of their operations,
through the integration of sustainable business principles.
MCI sponsored Cycle Europe 2008, a
charity bike ride around Europe to raise
awareness and money for young stroke
victims. All funds raised during the
charity ride went directly to organiza-
tions that support rehabilitation centres
for young stroke victims in the United
Kingdom and the countries he rode
through. Furthermore, this sponsorship
was an opportunity for MCI to explore,
engage and share its commitment to the
social end of Corporate Social Respon-
sibility (CSR).
The MCI Belfast offi ce provided assistance
with the corporate fundraising event NCH
‘Never Mind the Business’ Fundraising Event.
This fundraising gala was attended by 350
people from 35 local corporate companies.
MCI Belfast helped this children’s charity
to raise more than £30,000 on that night…
a great success!
MCI announces its merger with NHG A/S in Copenhagen.
Already present in Scandinavia with offi ces in Stockholm and
Gothenburg, MCI is developing its presence in the region by
expanding in one of the most rapidly growing cities in Europe.
‘Wonderful Copenhagen’, which markets the city as a meeting
destination, will manage an increased marketing budget during
the next 4 years. This represents a great opportunity for MCI
in attracting clients to this destination.
Uwin Iwin and MCI are two powerful entrepreneurial cultures that are
seeking to infl uence the effectiveness of internal communications,
channel platform productivity and employee motivation. Effective
recognition and reward strategies complement MCI’s offering and
enhance existing meetings and events practices. Uwin Iwin’s unique
technology and consultative methodologies provide the added value
needed to meet challenging organizational performance improve-
ment requirements.
As a Service Partner of the World Expo 2010 in Shanghai, China, MCI is
best placed to invite its corporate and association clientele to explore
and expand growth opportunities in China. MCI Shanghai will provide a
one-stop shop solution for any integrated event management services
needed. The expected attendance is 70 million people with 206 nations
exhibiting. The expo will showcase eco-friendly approaches to sustaining
a society that is ever developing and evolving.
nity,or the fi nal year of my executive programme mber last year’s theme ‘Be Unreasonable’. advertising disappears, your soon-to-be verwhelmed by constant virtual targeting, that we all have a fi rst life before a Second where we connect in real places, in real brands. In our latest Strategic Event interviewed over 400 Marketing Directors
at Events have the highest perceived ROImarketing mix.able, embrace change by unleashing theetings, NOW!
23468
1416
EDITORIALSébastien Tondeur on unleashing
the power of meetings.
UPDATED IN 60 SECONDSThe most important MCI news
at a glance.
INSPIRESébastien Tondeur discusses
the effectiveness of meetings
and events.
MEETING OF MINDSThe Procurement Evangelist -
Luc Volatier on the evolving
role procurement.
OUTPERFORMEuroFest – Hyundai Builds Community
through sponsorship.
Allianz Asia: Agent Engagement Programme.
Brands, People, Markets: Success Stories.
GLOBAL LIFECoolhunting: Top Tips Straight
from our Global Offi ces.
INSIGHTStill Rising – The growing recognition
of value of event marketing in Europe.
Those with Glowing Eyes – Roger Tondeur
tells us how he identifi es talent.
ditorialIN60SECONDS
Dear CommunAs I prepare foat MIT, I rememAs traditional acustomers, ovare reminded Life. A fi rst life time, with real Research we to uncover tharesult of the mBe Unreasonapower of mee
Sébastien TondeurCEO Corporate Division
|
oday, meetings and
events provide a busi-
ness solution to meet
strategic organizational
goals; taking the dialog
beyond price or cost to
elevate the conversa-
tion from logistics planning to strategic
organizational goals for employee moti-
vation, team development, learning,
or to drive sales. In this article we will
explore what outsourcing success looks
like, why you should care and what’s in
it for you.
Why Outsource a Meetings and
Events Department?
In the service industry era where human
capital is a key component of organiza-
tional success, companies must invest
in the resources that create the most
value, the most competitive differences.
A pharmaceutical company should fo-
cus on attracting talented researchers,
not talented meetings professionals.
An information technology company
should deploy resources to recruit great
systems engineers. Likewise, automo-
tive companies should invest in the best
designers.
Event management agencies are focus-
ing all their efforts on attracting, growing
and nurturing meetings professionals.
We provide the vision and setting for
success – rich job diversity, a culture of
innovation, a learning environment and a
critical mass for technology systems and
focused processes.
Strategic Meetings Management vs.
Meetings Consolidation?
Strategic Meetings Management
(also referred to as Portfolio Optimization,
or Strategic Planning). A methodical
process, whereby an orga nization stra-
tegically decides which programmes to
run in the context of the value derived.
The goal is to make sure organizations
do not mandate meetings and events
programmes that do not fi t with organi-
zational goals.
Meetings Consolidation is the process
by which an organization decides to
centralize the control of meetings and
events programmes in order to leverage
spend, align the brand and optimize
resources.
Technology – What’s the Big Deal?
A technology system deployment is of
essence to service excellence. Tech-
nology serves the following purposes:
automating human processes, connect-
ing data systems together and intel-
ligence reporting. Most agencies use
component technologies for registration,
sourcing, inventory management, and
consolidate them through data systems
connectors. Multilayer data-reporting is
used to ensure the effective use of hu-
man labour, to generate complex reports
and dashboards for optimal decision
making, and to avoid re-inputting data
several times.
Advanced spreadsheet programmes,
simple database applications, and word
processing are vital to our operations.
These technologies are very well suited
for events of up to 250 attendees. They
are the most commonly used software
in the meetings industry. Slightly more
advanced, custom-made systems us-
ing these technologies support larger
projects. Well known registration sys-
tems and event management software
are also used in very specifi c cases.
Usually these technologies add value to
projects with at least 1,000 attendees or
for multi-events campaigns.
A best in class technology deployment
would fi rst defi ne expected outcomes
and business objectives, develop proc-
esses, and then fi nally assign the right
talent to the right job.
What Does Success Look Like?
In other words, how to ensure success -
ful meetings and events outsourcing?
1. Save time and money by leveraging
our purchasing power and human capi-
tal. We will guarantee signifi cant savings
on your third-party meeting spend.
2. Be faster and better as a focus. By
being a dedicated professional service
fi rm in the congress and meetings in-
dustry, we will advise you based on our
knowledge of the latest innovations,
trends, and technological advances.
3. Provide the utmost quality and dedi-
cation in the execution of our services
by attracting the best talent this industry
can offer. Talent is trained on the job; our
focus is on the congress and meetings
industry.
But above all, the intent must be to
inspire trust and to open a dialog with
your selected strategic partner.
“If you do not measure, you won’t get the marketing dollars” – Anonymous
INsPIRE
T
Te
ch
no
log
y
Best-in-Class Average Laggards
Key functionalities of management tools:
60% corporate meetings calendar
41% corporatemeetings calendar
31% corporatemeetingscalendar
42% electronic workfl ow for approval of requests
31% electronicworkfl ow for approval of requests
23% electronicworkfl ow for approval of requests
42% electronic payment submission and processing
36% electronicpayment submission andprocessing
35% electronicpayment submission and processing
40% budget planning and analysis
30% budgetplanning andanalysis
22% budget planning and analysis
30% online sourcing of meetings
22% online sourcingof meetings
21% online sourcingof meetings
Best-in-Class Average LaggardBest-in-Class Average Laggard
2%
4%
6%
8%
10%
12%
8,8%7,7%
111,4%1,4%
The Competitive Framework 2
Meetings Management Programme Savings 2
1 http://en.wikipedia.org/wiki/Disruptive_technology2 Source: Aberdeen Group, February 2008
Meetings Management Programme Savings 1
Focus on corre-competencesand outsourrce the rest. A professionnal servicefi rm in the mmeetings and events indusstry will offer the right humman capital and an enviironment to grow; technoology and innovationss to increase ROI; and puurchasingpower to savve costs.
By Sébastien TonddeurCEO Corporate Diviision
Effe
MeetingsEventsand
MOST DEMANDING USE
TIME
PE
RF
OR
MA
NC
E
MEDIUM QUALITY USE
LOW QUALITY USE
HIGH QUALITY USE
DISRUPTIO
N TECHN
OLO
GY
|5
MCI: Please tell us about your current
job position.
Luc Volatier: I describe myself as a
Procurement Evangelist. As a matter
of fact, I started in procurement right
after university when I became a ‘buyer’
for a Belgian company. After a few
years in Northern Europe, I moved to
the UK where I became a Purchasing
Manager. Then, after going to INSEAD,
I became the fi rst Procurement Director
for Danone in Asia. Until recently I was
Chief Procurement Offi cer for Numico,
a Dutch food manufacturer. Today I am
an Executive in Residence at IMD,
where I am preaching about the strategic
role of procurement in corporations.
In 2008, I worked closely with two IMD
Professors to publish a book titled ‘The
Power of Two – How Smart Companies
Create Win-Win Customer-Supplier Partner-
ships that Outperform Competition.’
Parallel to teaching, I consult for fi rms
that wish to transform their procurement
organizations. I am an invited speaker at
many conferences on procurement and
new ideas in supply chain management.
MCI: What is the importance of
the procurement organization in
companies?
L. V. : In many companies, more than
fi fty percent of the revenue generated
by selling to customers is in fact used
to buy products and services from
suppliers. This proportion even reaches
eighty percent in some manufacturing
companies. Over the last decades,
companies have gradually focused their
resources on a limited number of core
competencies and therefore have
become much more dependant on
outside vendors. Procurement professio-
nals are here to help corporations get
the maximum value for every dollar they
spend. This is an absolutely key idea.
If they do it smartly they can bring a true
competitive edge to their company. On
the down side, if they screw up, it can
be a disaster. Have you heard of Jose
Lopez’ techniques while he was Pur-
chasing VP at General Motors?
You see the result today…
MCI: What are the main challenges
that procurement faces today in the
indirect spend category?
L. V. : Procurement professionals started
their job by focusing on direct spend.
Then they moved to the uncovered
spend. Call it NPR - Non Product Rela-
ted, OGS - Other Goods and Services,
NFR - Not For Resale or simply ‘indi-
rect’; this is a huge collection of very
different categories. From the genetically
modifi ed mouse you need to buy for the
R&D lab to the stage performance of a
pop star, the same company is buying
many different things. The challenges
linked to these categories are multiple.
To name a few: (a) lack of spend visibility
at stake and the supply base involved,
(b) most of the buying is done locally
therefore diffi cult to coordinate globally,
(c) procurement professionals don’t have
the right skill set as they mostly use the
‘toolkits’ they’ve acquired while working
on their direct categories. As Martin
Sorrell puts in his latest Annual Report of
WPP: ‘The question remains whether the
procurement process can successfully
purchase creative services in the way
door handles or widgets are bought.’
MCI: What are factors you look at
in deciding between insourcing and
outsourcing?
L. V. : The decision is simple. If it is
core business and if the future of your
company depends on it: keep it in-
house. When you really do the test for
your company you then realize that not
so many things are that critical. Think of
Apple. Steve Job has done the exercise.
They even write on the back of every
product they sell around the world what
is really strategic for them and what’s
not: Designed in California (by Apple),
Assembled in China (by a supplier). The
minute you’ve decided a product or a
service could be outsourced, you then
have to fi nd the company which has
the greatest expertise and the adequate
scale to become your partner. But re-
member, it takes two to tango!
MCI: Generally speaking how do you
measure ROI of marketing, commu-
nication or events spend? It is typi-
cally measured in terms of fi nancial
returns? Does your measurement also
consider other benefi ts?
L. V. : This is in fact the fi rst question a
procurement professional would ask the
Marketing or Communication Director
before working on a project. How will
you describe success? How could we
measure it? There is not an easy answer.
I know several companies which have
institutionalized this approach to such an
extent that for every Euro they spend on
any communication action they allocate
fi ve cents to objectively measuring the
real impact on their pre-defi ned objecti-
ves using a third party.
MCI: In your experience, what types
of measurements seem to be effi cient
in a best-in-class supplier relationship
for an outsourced category? Is it
different for meetings and events
category?
L. V. : I would say that mutual trust and
long term vision alignment are the most
important ingredients for a successful
lasting outsourcing relationship. I don’t
think it is that different for an outsourcing
partnership for meetings and events.
If we are in the same boat or bed, I want
my partner to enjoy it as much as I do.
I want my partner to surprise me positi-
vely with unexpected initiatives; I call it
innovation. I want my chosen partner to
be the right one for the entire sailing trip,
or life.
MCI: Where do you see the trend on
measurement going, towards more
cost, value or quality and why?
L. V. : I think many procurement pro-
fessionals have realized that there is a
limit to how far costs can be reduced.
On the contrary, there is almost no limit
to how much value you can add to your
business. The key is INNOVATION. But
this is not enough. As we know the
devil’s in the details, therefore seamless
EXECUTION is equally important. This is
what I call INNO-CUTION. It is all about
bringing new products or new ideas to
the market faster than competition but in
a controlled manner. I have been able to
witness fi rst hand that MCI has this very
special gene in its DNA.
MEETING OF mINDS
The role of procurement has come a long way with many Chief Procurement Offi cers now reporting directly to companies’ CEOs. Luc Volatier, former CPO for Numico and currently Executive in Residence at IMD, dissects the evolving role of procurement, its evolutions and its challenges, notably in the realm of measurement and ROI.
Luc Volatier
“There is almost no limit to how much value you can add to your business. The key is innovation. But this is not enough. As we know the devil’s in the details, therefore seamless execution is equally important. This is what I call inno-cution.”
|7
he Hyundai Motor Company
(HMC), the offi cial automo-
tive partner for the UEFA
EURO 2008™ wanted to
ensure that they remain one
of the most visible brands
around football, which is one
of the most popular sports in the world.
As part of a fi ve month global marketing
campaign, South Korea’s largest auto
maker aimed to bring the crescendo of its
sponsorship engagement to the fans in the
host city of Basel, Switzerland, at the Kick-
off of the UEFA EURO 2008™ games.
Hyundai objectives were to generate posi-
tive brand awareness and positioning for a
broad segment of the Swiss marketplace,
to showcase their product line and to
incorporate the HMC senior management,
dealers, partners and fans. HMC called
upon MCI Zurich to help bring all these
elements alive.
To build up the anticipation of the Hyundai
EuroFest, MCI created a fully branded
communications programme which
included a media mix of online, print, radio
and TV spots and PR activities, as well as
poster and fl yer promotions within the host
city of Basel. Furthermore, to showcase
the Hyundai automobiles on display,
various POS materials were created for the
occasion.
In the offi cial Basel Fan Zone, which was
no more than the parade grounds of a
Swiss military campus, MCI created the
EuroFest environment providing a place for
Hyundai to engage and entertain the ge-
neral public, as well as VIP zones for their
dealers, customers, press, public offi cials
and senior executives of HMC.
Daytime activities included holding the
offi cial Kick-off ceremony where UEFA
Offi cials and the HMC top management
recognized and rewarded winners from the
on-line and off-line marketing activities and
a programme named ‘Quest for the Best’,
a football skills competition which provided
the opportunity for amateurs to try to break
current Guinness world records. The Hyundai
objective was to enhance their image as a
‘football loving’ brand as well as an Offi cial
Partner of the UEFA EURO 2008™.
Further emotional impact was achieved
in the hearts of the Swiss fans with a live
evening performance by Baschi, a Swiss
music star, singing his song ‘Bring en hei’
which established itself as the Swiss foot-
ball anthem. This highlight was transmitted
to all of Switzerland by the major Swiss
television network, SF1.
Throughout all the event stages, Hyundai
and MCI project teams partnered together
to provide a high impact branded environ-
ment allowing HMC to build and reinforce
relationships and their brand with the
dealers, customers, media and the public
at large. The communication campaign
was successful in attracting a crowd of
over 10,000 people to the EuroFest, with
a transfer of the key branding messages
being reported in 24 different media
channels. Interestingly enough, in Western
Europe sales of the i10 1, one of the
featured vehicules at the EuroFest,
increased 25% two months later…
a score HMC can be proud of!
The Challenge:In the context of a Kick-off event prior
to the UEFA EURO 2008™, Hyundai
sought to generate positive brand
awareness in the Swiss marketplace,
to showcase its product lines and to
incorporate key internal and external
stakeholders. For a public event with
multiple on-site activities, Hyundai
required a partner skilled in bringing
multiple elements alive from their
sponsorship engagements, whilst
leveraging the best of both the Korean
and Swiss business cultures.
The Solution:MCI conceived of a tailor-made
programme combining a fully branded
communications campaign, on-site
showcasing of their automobiles and
an engagement concept for sporting
fans, clients and dealers alike.
Implementation included hosting a
Korean HMC team working in the MCI
Zurich offi ces for a few weeks prior to
the event – living and blending Korean
and Swiss work cultures.
The Result:This programme generated positive
brand association between HMC and
the excitement of Europe’s greatest
sporting event, having reached a
broader audience of over 10,000 on-
site visitors and generating 24 positive
articles 2 in important media channels.
OUTpTT ERFORMIt’s the summer of 2008 and football euphoria rules in Europe. The UEFA EURO 2008™in Austria and Switzerland is about to get into full swing and the football fan community is anxiously awaiting the start of Europe’s greatest sporting event.
OUTpERFORM
Contact: [email protected]
1 www.hyundai.com (European Retail Sales)2 www.argus.ch
T
BuildsCommunity through sponsorship
Hyundai|9
he Allianz Group, one of
today’s leading global ser-
vice providers in insurance
and fi nancial services, has
operations on almost every
continent. With over 150,000
employees, the group serves more than
75 million customers in over 70 coun-
tries.
The Asia Pacifi c region represents one
of the strategic growth regions for the
company. Allianz has been present in the
region for over 90 years, currently with
its 13,000 staff serving over 17 million
policy holders. As Allianz had never
rolled out a performance improvement
campaign in Asia on a regional basis,
they called upon MCI’s global experien-
ce and reach (Shanghai Offi ce) to initiate
a locally relevant incentive and reward
programme.
The company’s top agents invited to
this event came from China, Indonesia,
Malaysia, Taiwan, and Thailand, while
committee members arrived from Allianz’
regional head offi ce in Singapore. Beijing
was chosen as the destination of choice
to leverage on the winning spirit of the
Olympic Games taking place there a few
months later.
Answering Allianz’ call for greater
productivity and growth, MCI’s stra-
tegy focused on creating an experience
that blended the right mix of learning,
motivating and rewarding. The company
selected two coveted venues for this
event: the Great Wall and the Olympic
Sports Centre Gymnasium, showcasing
both China’s heritage and the modern
face of the People’s Republic.
The programme kicked off with a series
of workshops. Session topics were de-
signed to be relevant to the local audien-
ce and reinforce the global positioning
of Allianz. Sessions’ topics included
‘Persistence’, ‘Achieving through the
Heart’, ‘Power of Believing’ and ‘Next
Generation Leader’ just to name a few.
These workshops supplied the substan-
tive input for achieving the visions of the
future in a learning environment.
Following the workshop sessions, par-
ticipants were then requested to attend
the Award Presentation. The Olympic
Sports Centre was the appropriate set-
ting for honouring the best performances
of the participants in a true sports-like
spirit.
The Great Wall of China was host of
the fi nal event of the day. The regional
agents came together around a once in
a lifetime production creating a lasting
memory of key business objectives and
communication messages. This also
provided an unforgettable experience,
which further contributed towards
building community between the high
performers.
Major economic powers around the
world have respect for the economic
strength of the Chinese ‘dragon’. Allianz
Asia benefi ted from that. With an
Olympic team spirit, and with the self-
confi dence of success, the company
prepared to scale new heights of growth
with the dragon.
The Challenge:Allianz Asia sought to motivate and
reward its top agents from the Asia
Pacifi c region, with the ultimate goal
to develop long term and sustainable
growth in the region for both the com-
pany and its local high performers.
This representing the company’s fi rst
performance improvement program-
me in Asia, they called upon MCI’s
global experience and reach (Shanghai
Offi ce) to create a locally relevant
incentive and reward programme.
The Solution:MCI conceived a content-based
training programme culminating in
a rewarding and motivational expe-
rience. The programme’s slogan was
‘Determine, Overcome, Innovate,
Triumph’. The concept was imple-
mented in a way that leveraged the
company’s business objectives.
The Result:This programme helped create a
lasting memory of key business objec-
tives and communication messages.
It also provided an unforgettable
experience, which contributed further
towards building community between
the agents.
OUTpTT ERFORM
Allianz, one of the major global insurers, sought to motivate and reward its top agents from the Asia Pacifi c region, with the ultimate goal to develop long term and sustainable growth for both the company and its local talents.
Contact: [email protected]
OUTpERFORM
T
Engagement Agent
Programme
AllianzAsia:
|11
OUTpTT ERFORMOUTpTT ERFORM
Build market share,build your brandWith limited budget and just one month to prepare, MCI Barcelona worked with an international pharmaceutical company on a national product launch that targeted 150 key industry opinion leaders and experts. MCI produced a memorable event to enforce the client’s key message.
MCI BARCELONA
Celebrate outstanding performanceMCI Dublin worked with a large telecommuni-cation company to produce their annual awardsceremony to recognize and reward outstanding employees. The event was designed to energizeteam work and motivate employees. Creativityas well as on-time and on-budget requirementswere successfully met for this client.
MCI DUBLIN
Conveyto a press launch Legendary Swiss watchmaker Patek Philippe decided to re-launch its famous Nautilus brand, an iconic watch from the 1970’s. MCI designed an appealing 70’s theme to convey the essence of the Nau-tilus heritage to over 300 journalists. The result was extensive international media coverage and the product was success-fully launched into the market.
MCI GENEVA and DORIER
Reward your channel partners To boost distribution sales, Mercedes-Benz Truck and Van Division waspresented with an incentive schemeto improve its sales and increaserevenues. The top performers wererewarded with a motivational programmein an attractive destination in Europe.
MCI ZURICH
Focus onyour core business One of the world’s largest pharmaceu-tical companies decided to outsource its event management department to reduce operational cost and to concentrate on its competitive core business, pharmaceutical research. MCI was chosen because of its global reach and strong purchasing power. MCI is about people, therefore the lock-step plan of integrating their eventmanagement staff into our organiza-tion won the client over.
MCI GENEVA and MCI ZURICH
Unite your organizationEvery company has important dates to remember; they provide an opportunity for staff to come together in a spirit of celebration and recognize all those who help create a company’s history, day by day. MCI worked with a major telecom player to bring its staff to-gether, inform them of the company’s new strategic direction and present them with last year’s successes.
MCI PARIS and MCI LYON
Energize yournew team duringa mergerTwo leaders in the Swiss energysector completed a merger tocreate Alpiq. The new management called upon MCI to bring together its newly formed team and cele-brate the merger. MCI developed aprogressive brand immersion expe-rience that created a clear percep-tion of the key messages, a positiveattitude toward the merger, trust inthe Board and the will to engage.
MCI GENEVA
Create effectivecommunicationcollateralsMCI Geneva helped a client in the luxury industry to create a modular event stand concept which allowed for easy reproduction in many different markets. MCI pro-duced the necessary market-ing collateral including an intranet, for easy access to information.
MCI GENEVA
Communicate across fi ve different countriesMCI was approached by a multinational IT manufacturer to help design a customer relationship management programme in fi ve different countries. With account mana-gement in Singapore, MCI developed all back-end logistics and creative support from India. The client was then free to focus on its marketing message to key customers and strongly position itself in new markets.
MCI SINGAPORE and MCI DELHI
|13
Hollywoodin Barcelona
The Rival:More than a hotel
A dream tour for fi lm and Barcelona fans: the BarcMovie Route offers a fascinating perspective of thmetropolis and famous fi lm and television producsuch as Almodóvar’s All About My Mother and Kyrgue’s Music Video Slow. Discover Barcelona throulenses – a director’s and Hollywood’s.
Benny Andersson, ex-member of the worldwide super-group ABBA and co-composer of Mamma Mia! has asecond career as a hotel owner. The Rival offers an excitingand inimitable location right in the heart of Stockholm withits 99 cozily furnished rooms, Art Deco bar, cinema andconference rooms. Recommended for anyone travelling tothe Swedish capital, business and leisure travellers alike.
BARCELONA
STOCKHOLM
GLOBAL IF
celonahe vibranttion sets,
ylie Mino-ugh new
FE
Meetat the SQUAREWhen the Brussels Congress Centre
reopens in 2009 as SQUARE, it will be the
premier venue to host not only traditio-
nal conferences, but also chic fashion
shows, fi lm openings and exclusive galas.
Its 10,000m² offer auditoriums for up to
1,200 delegates, high-tech meeting rooms
facing Mont des Arts and a top-fl oor event
room, overlooking the charming Brussels
city [email protected]
BRUSSELS
GLOBAL
120 years
of Mercedes Benz
Experience the history of the
automobile by taking a tour of the
Mercedes Benz Museum in Stutt-
gart. From the fi rst automobile
devised by Karl Benz to the latest
topics from the R&D department,
the venue offers an unparalleled
experience that captures the true
spirit of automobile lovers and
technology. Architecture lovers
can enjoy a tour that focuses on
the design of the Museum itself.
STUTTGART
A Train Ride LikeNo Other
CHINA
Tangula introduces luxury travel to the most scenic and culturally rich regions in China. Guests can travel between Beijing and Lhasa or Lijiang, onboard a train of unparalleled luxury and comfort. Tangula practices responsible tourism and has a zero discharge policy – all waste will be collected and disposed of according to stringent regulations.
Coolhunters! We have distilled the best insider information from our global offi ces. Get the best tips from real people, in real place, real time.
The home of GUINNESS
DUBLIN
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recession have only accelerated this trend,
says Event Marketing Institute’s Smith.
«When times were good, companies would hold an event because they always have. But now companies are asking ‘What is the ROI we’re getting?’» Smith said. «We’re seeing a very strong movement toward measuring the impact of events.»According to EventView, 64 per cent
of respondents said they engage in
some form of post-event ROI measu-
rement. More interestingly, companies
that measure ROI are three times as
likely to expect increases in their event
marketing budget than companies
that don’t measure. Respondents say
they measure ROI for a wide variety of
reasons, ranging from justifying expendi-
ture to improving attendee experience to
infl uencing procurement.
But because ROI is still an emerging
fi eld, there is little consistency within
companies in how they measure the
effi cacy of events, let alone consistency
across industries. Metrics also vary
widely depending on whether an event is
meant to spark sales, generate publicity
or just educate consumers. Another pro-
blem with measuring ROI is that it takes
a long time - sometimes years - to build
up a meaningful comparison base.
Consistency, of course, is key to mea-
ningful ROI measurement. But industry
leaders in event marketing are taking
the process one step further. They say
that events are almost pointless unless
they are designed to fulfi ll a particular
strategic objective. And in order to fulfi ll
objectives, event planners must measure
very specifi c results.
Into the Future
Not surprisingly, the drive to prove ROI
has produced another pleasant side
effect: innovation. As event marketers
experiment with ways to produce better
results, they fi nd it necessary to break
obsolete barriers. Many companies are
experimenting with new event formats,
for example, or broadening the life of
an event by focusing more on pre- and
post-event activities.
Companies known for technological
savvy in particular are feeling the push
toward creating richer experiences. IBM,
for one, has begun to experiment with
different forms of events, with a focus
on helping customers co-create the
experience.
What This Means For You
«Companies recognize the impor-tance of events,» Event Marketing
Institute’s Smith said. «Even though the marketing pie might be getting smaller because companies are being really careful with their pennies, event marketing still makes up 26 per cent of their marketing spend.» These days, companies want to make
sure every event has a clear place within
a wider marketing strategy. As a result,
successful meeting planners must be-
come strategic players who understand
a company’s business goals and help
achieve them.
Event planners who can position
themselves accordingly have a rare
opportunity to rise up the corporate food
chain. Instead of simply being viewed
as logistical wizards who can smoothly
pull off complex events, they are being
welcomed to the decision-making table
along with heads of marketing and
advertising.
However, to make that transition, plan-
ners must be willing to show they can
supply results.
«The last thing you want is to get a call from above, saying that you’ll lose your budget if you can’t prove how your department is contributing to the bottom line,» Smith said.
And while this need for measuring ROI is
especially acute today, don’t expect it to
disappear any time soon.
«We’ve been asked to be more stra-tegic, more clear about outcomes and more accountable for back-end reporting,» Cisco’s Neipp said.
«We will never go back to the way we were before, and be permitted to do anything less than measure and build that into how we invest.»
in Western Europe believe that using
events to market their products is one
of the most effective forms of market-
ing out there and expect any potential
marketing budget increases this year to
go toward events.
Twenty-three per cent of marketing
managers said event marketing provides
the highest ROI, according to prelimi-
nary fi ndings from the EventView 2009
survey, published by the MPI Foun-
dation, the Event Marketing Institute
and marketing fi rm George P. Johnson
(GPJ). This fi gure is up slightly over the
previous year’s global survey results,
with 22 per cent citing event marketing
as providing the greatest ROI.
Perhaps more importantly, a large
percentage of respondents (30 per cent)
said they expect any budget increases
this year to go toward event and Web
marketing.
Face-to-Face Value
One of the top reasons executives say
event marketing is so effective is becau-
se it brings customers and companies
face-to-face. And that, in turn, helps
foster relationships more effectively than
any other form of interaction.
«It’s like dating,» said Kerry Smith,
executive director of the Event Mar-
keting Institute. «Face-to-face is the most effi cient way to create and deepen relationships with people.»The numbers concur: 44 per cent of
those surveyed said that event market-
ing is the marketing discipline that best
accelerates and deepens relationships,
trailed by a wide margin by public rela-
tions at 23 per cent.
For companies that sell complicated and
expensive products, such face-to-face
meetings are especially crucial.
Experience Marketing
But face-to-face meetings also work
wonders for consumer product or
service companies trying to build brand
loyalty. Many of these companies refer
to «event marketing» as «experience
marketing,» because the events allow
prospective customers to live and brea-
the the brand.
«Experience marketing gives people an unprecedented opportunity to look a brand in the eye and decide how closely they want to affi liate with that brand,» Rich said. «What happens in print and broadcast is a statement of claims. In experience marketing, you can actually give people an experience of the brand’s values and attributes.» In effect, he
says, the events allow potential consu-
mers to experience how their lives will
be improved if they affi liate themselves
with a certain brand.
Happy Returns
This growing understanding of event
marketing’s value has led to a growing
awareness of the need to measure ROI,
and the fi nancial pressures caused by the
At a time when companies
are cutting events, slashing
marketing budgets and
fretting about how they will
hold on to customers in
the recession, one of IBM’s
highest-ranking marketing executives is
surprisingly upbeat. Eric Andrews belie-
ves an aggressive event strategy will help
carry IBM through the storm.
As a vice president in charge of generat-
ing demand for IBM products around the
world, Andrews sees a clear correlation
between smartly planned events and
IBM’s ability to attract customers. In fact,
he says IBM’s event marketing budget for
2008-2009 rose slightly compared to the
prior fi scal year, and has not been cut so
far.
«Events are going to be critical for us in this economy, both in terms of reaching out to new customers and deepening relationships with our core franchise,» said Andrews, who
manages a budget worth hundreds of
millions of dollars within IBM’s marketing
department and dedicates up to 40 per
cent of it to event-driven marketing each
year. «Events are a critical aspect of face-to-face marketing. They enable us to connect our salesforce with our customers and help us better under-stand their needs and explain our products.» The good news is that Andrews is not
alone: A growing number of top-level
executives at the largest companies
An increasing recognition of value highlightsthe current state of eventmarketing inWestern Europe.
INsIGHT INsIGHT
By Dalia Fahmy
Source: EventView 2009 Globalhttp://www.mpiweb.org/CMS/uploadedFiles/EventView%202009%20Global%20Webcast.ppt
A
Direct Mail
13%
Event Marketing
23%
Print Advertising
10%
Broadcast Advertising
7%
Public Relations
17%
Web Marketing
17%
Other 13%
Web Marketing
7%
Direct Mail
11%
Event Marketing
44%
Broadcast Advertising
3%
Print Advertising
6%
Public Relations
23%
Other 6%
Procurement Influence
5%
Marketing
Best Practice
5%
To Demonstrate Marketing ROI
37%
To Improve Attendee
Experience
17%
To Protect or
Increase Budget
4%
To Justify Expenditure
10%
Other 22%
The Greatest ROI in Marketing Accelerating and Deepening Relationships
Question: Of these marketing elements,
which would you say is best for accelerating
and deepening relationships?
Measurement Motivation
Question: Why do you measure the impact
of event marketing?
StillRisingTaken from MPI one+ EMEA March/April 2009 Issue
www.mpiweb.org
|
CIM: Your rivals sometimes appreci-
atively, sometimes fearfully speak of
‘Tondeurism’, what do they mean?
Roger Tondeur: I am not sure. Here’s
what comes to my mind: at 29 I started
the company. I was the new kid on the
block. I wanted to become big. But to-
day I think I still have a very small com-
pany. MCI is at the wharf in the global
business. What I see as my competi-
tion today are the large companies like
Publicis, Havas or the Interpublic group.
CIM: What is the limit for your expan-
sion?
R. T. : It’s the sky! Meetings and events
are a multi-billion Euro industry world-
wide. So I think we are still very small.
In China alone there are 60 congress
centres being built right now. Can you
imagine how much business there will
be? If we can have 200 people with
MCI in Switzerland then we could
easily have 400 or 500 people in China.
CIM: How come MCI is growing fast-
er than all the rest – from one offi ce in
1987 to 34 in 19 countries?
R. T. : It’s a question of attitude and cul-
ture. We believe in harmony, in people,
relationships and the spirit of winning.
These are the people I’m attracting.
And automatically this leads to a growth
environment.
CIM: Do you have the values of the
company written down?
R. T. : Yes, we have. The values are on
every reception desk at each offi ce.
The core values are integrity, profes-
sionalism, inventiveness, respect, relia-
bility and dedication. I would say the in-
teresting story is: I am an ex-hippy. For
eight years of my life during my twen-
ties, I travelled around the world with
long hair living that dream. And my son,
who is the CEO of the company – I am
the president – has an MBA from Bos-
ton. I sent him to the best business
school in the world. And he’s 33, I am
only 19 years older than him. Both of us
make up this team where we basically
mix the latest business knowledge from
US business schools with my personal
hippy culture.
CIM: That sounds astonishing, so
didn’t you feel anti-capitalist?
R. T. : No, it was more the spirit of the
seventies - that meant harmony, love
and peace, make love not war, a bit of
sex and rock n’ roll also, so it wasn’t
politically motivated.
CIM: Sex sells anyway, but what cus-
tomers (industries) will have a special
need for congresses and events in fu-
ture?
R. T. : The energy sector. If you really
want to change something, people have
to meet. That’s when magic happens!
Probably health care is going to stay
important, too, where most of our busi-
ness is coming from right now.
CIM: In what regions do you see the
largest growth markets?
R. T. : It’s a little bit corny, but it’s the BRIC
countries.
CIM: Are the market giants of the East
swallowing the talents of the West?
R. T. : There is a huge pool of talent in
those countries. We attract local talent. On
the other hand, there isn’t enough trained
talent in these countries because growth is
so fast. It’s the 35 to 40-year-olds who are
a problem. The 25-year-olds, Generation Y,
they all speak English, they have MBAs,
they are trained in management and they
go on You Tube and have an iPod when
they come to the offi ce.
CIM: What qualifi cations do people ap-
plying for a job at MCI have to have?
R. T. : Generalizing it, I would say they
have to have an MBA or a diploma from
a hotel management school. That would
be the two best diplomas to enter the
market. We then complement with the
MCI institute, we do in-house trainings,
and the rest is training on the job.
CIM: What are your weapons in the ‘war
for talent’ – or is there none for you?
R. T. : I don’t like the word ‘war for tal-
ent’. I’m against war. But how do I at-
tract people? With a global brand with
great corporate culture. When you walk
into any hotel or congress centre any-
where in the world and you say you work
for MCI, people know who we are.
Roger Tondeur, founder and president of MCI Group, tells us how he identifi es talent, why he prefers chaotic geniuses and how being an ex-hippy infl uences enterprise culture.
INsIGHT
withThwwRoger TondeurFounder and President of MCI
Source: CIM (Conference & Incentive Management), November 2008
glowhheyehhCIM: But I think fi rst of all it’s a com-
petitive salary that is most important.
Don’t you think so?
R. T. : No. With the salary you have to bbe
somehow in the market range. Yesterdaay
I had a meeting with HR, and it’s clear
we cannot go to the type of salaries thaat
some of our competition are now pay-
ing in Dubai. But people still work for uss.
If somebody wants to leave because hee
gets paid 20 per cent more somewheree
else, we wish them good luck.
CIM: So what makes the people stay?
R. T. : It’s the growth mode. One of ourr
current Vice Presidents once was a hosst-
ess 20 years ago with us. She would
have never imagined becoming the Vicce
President of a global company. It wasn’t
her ambition. But we made her grow
with us. And so as long as we keep
growing, people don’t leave us, becausse
they have opportunities here. So the
ambitious people stay. Others like the
atmosphere, we treat them well, we care
for them, we like each other in the offi cce.
So we keep both types of people.
CIM: But what are ‘talents’ for the
meetings industry?
R. T. : Those are people who want to
learn, who have ambition, who have
the capacity to dream and to make othh-
er people dream. They live and balancee
their life within the business. If you try
to separate that, it’s a no go, just like
having a nine-to-fi ve mentality, if you
have no passion.
CIM: Chaotic genius or disciplined
desk jockey – who is more likely to be
happy at MCI?
R. T. : The answer is the chaotic geniuss.
There are people who are born a certain
way. If somebody is a chaotic genius,
we can make them disciplined. But
if they are a disciplined desk jock-
ey, we can never make them a gen-
ius. We look for attitude.
CIM: How do you identify high po-
tentials?
R. T. : I and my senior managers go to
a number of association events; we are
very involved in SITE, MPI, in all the
MICE communities. There you look at
the people, and then you can see the
talent. You can see those with eyes that
are glowing. They get involved, they get
up, they talk, they network, and those
are the people that we pick out. Actually
it’s easy. You don’t even have to go out,
they come to us.
CIM: So you aren’t in need of head-
hunting?
R. T. : Yes and no. We don’t use any pro-
fessional company for headhunting. It is
done at these events. Once we pick out
the talents, they have to pass the fi lter
of the HR department. We do make as-
sessments in certain places like ‘inside’
to see the personalities of the people.
CIM: Seeing the fi nancial crisis, what
is your biggest fear?
R. T. : I’m not trying to kid myself that
MCI is going to get away with it, but we
aren’t that much affected because of our
involvement in the B2B, B2E and asso-
ciation business. During these times
it’s important to keep a positive spirit,
because success breeds success.
www.cimunity.com
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