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COPYRIGHT 2005 University of Queensland Press
A survey of 3000 UK conference venues took place in 2001 as part of a PhD research program. One aspect of this research highlighted the perceived strengths and weaknesses of the UK conference sector in terms of service quality. This article provides an overview of the UK conference sector, introducing the four conference venue classifications within this sector, and outlines the developing role of service quality within it. The research identifies that there is a perception by UK conference venue providers that they offer at least some of the factors that are demanded by conference organisers and delegates in terms of service quality, such as supplying a high level of service and customer-oriented staff, and a range of meeting capacities. Additionally, this research identifies that perceived weaknesses exist within the four venue classifications, such as concerns that conference capacities may not be sufficient for the modern conference organiser.
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The UK Conference Sector In 2001, research undertaken by the Union of International Association identified the UK as the principal European destination for conferences (PricewaterhouseCoopers, 2003). Data published by the International Congress and Convention Association in May 2002 identified that in 2001 the UK was ranked second behind the US for global market share of conferences (Rogers, 2003). Additionally, in 2001 the UK conference sector contributed approximately 7.3 billion [pounds sterling] to the UK economy (British Tourism Authority [BTA], 2002). This is an increase of 10.6% on 6.6 billion [pounds sterling] in 2000. This 7.3 billion [pounds sterling] was generated from an estimated 1.4 million conferences, defined as involving eight or more delegates, taking place at UK venues (BTA, 2002). The UK conference sector is therefore an important competitor in the global conference market place. However, over the first years of the current decade, studies have identified that the average number of delegates per conference, the average conference duration, and indeed the number of conferences have all shown a slight reduction, although the reduction in conference duration was highlighted by the BTA in 1998 (BTA, 1998; Davidson & Cope, 2003; Meeting Industry Association, 2002; PricewaterhouseCoopers, 2003).
Around three fifths of all UK conferences are organised as corporate events (59%), a further quarter (25%) are held by government and 14% held by associations. UK nonresidential conferences attracted, on average, 46 delegates, while an average of 50 delegates attended residential conferences. Fifty or fewer delegates attended approximately three quarters (74%) of nonresidential conferences, while 50 or fewer delegates attended 72% of residential conferences (BTA, 2002). However, many conference venues have facilities to host larger events. Just over half (56%) of venues offer a maximum conference capacity (e.g., single largest area, theatre style) of between 101 and 500 delegates. Overall, the average maximum capacity of a UK conference venue is 391 delegates, which is slightly fewer than the average recorded in the 2000 survey, 410 delegates (BTA, 2002).
The BCMTS report (BTA, 2002) also details that overseas delegates attended some 20% of residential conferences; this compares to 13% of nonresidential conferences. A professional conference organiser or a venue-finding agency was used to book a third of all conferences (34%). Similar proportions of nonresidential and residential conferences were booked using this method (34% and 33% respectively). This suggests that the majority of conferences are booked directly with the conference venue itself, rather than a professional agency. Table 1 shows a summary of the UK conference sector by the BCMTS (BTA, 2002).
UK Venue Classifications
With an increasing number of destinations introducing conference venues, the conference sector is one of the fastest growing tourism segments (Oppermann & Chon, 1997). The obvious appeal of the high-spend, relatively price-resistant and year-round nature of the business has enticed many destinations into targeting this sector as part of their wider economic strategy (Leask & Spiller, 2002). Barriers to entry within the conference sector are perceived to be low. Many organisations with the necessary facilities (room, table, chairs and basic equipment) can provide an area for conference activity, and thus enter the conference market. Conference business to those outside the sector is considered very attractive, as it is perceived as being straightforward use of otherwise empty space. Competition has increased among UK towns and cities to win lucrative conference business (Leask & Spiller, 2002).
Although there is a lack of coherent and accurate data within the conference sector (Ladkin & Spiller 2000), estimates have been made as to the size of this sector. Rogers (2003) estimated that there are approximately 5000 venues within the British Isles; however, less than a fifth of these would generate more than 40% to 50% of their annual turnover from conferences. This suggests that for the vast majority of venues, conferences are not their primary source of revenue. Other estimates have also been made about the size of the UK conference sector. Robinson and Callan (2003) estimate the number of UK conference venues to be 3888, which together host an estimated 283,824 conferences per annum and attract an estimated 9,176,976 delegates per annum.
Although estimates regarding the number of venues within the UK conference sector differ, authors agree that the sector is composed of many differing venue classifications; thus the sector should not be considered homogeneous (McCabe, Poole, Weeks, & Leiper, 2000; Montgomery & Strick, 1995; Pearce, 1989; Rogers, 2003; Weirich, 1992). With regard to venues, many purpose-built conference venues were developed through the 1980s as part of the central government's plan of economic regeneration, which aimed to create jobs and boost local economies (Spiller & Ladkin, 2000). In today's market place the majority of conference suppliers are not solely dedicated conference facilities, with most venues operating as part of the revenue mix within a larger business, for example hotels (Leask & Spiller, 2002). Hotels have supplied an increasing share of the demand for conference venues. By 1990 hotels led the market in terms of supplying conference facilities, accounting for 77% of all conference venues and 68% of all delegates' nights (Travel Industry Monitor, 1991).
The use of other venue types, such as sports stadiums, museums and castles (Leask, 2003; Leask & Digance, 2001; Leask & Hood, 2000; Leask & Spiller, 2002) along with educational establishment facilities (Davidson & Cope, 2003; Paine, 1993), is increasing. Organisations such as museums and educational establishments have faced decreasing central budgets, resulting in a need to broaden their business mix and generate external revenue (Leask & Spiller, 2002).
Today four distinct classifications may be used for the UK venue sector:
* purpose-built conference venues
* hotels with conference facilities
* educational establishments with conference facilities
* visitor attractions with conference venues.
With the increase in the number and range of conference venues come both increased competition and the use of quality to differentiate between conference venues (Robinson & Callan, 2003). There is large-scale customer demand for quality products and service within the tourism industry (Lam & Zhang, 1999).
Service Quality
'The attractiveness of convention tourism has spurred destinations to proactively pursue the conference market' (Crouch & Weber, 2002, p. 57). This has resulted in an escalation in the building or expansion of conference centres and facilities, not only within the UK but worldwide. The intensity of this competition naturally gives rise to interest in the range of factors that underlie the choice of conference venues (Crouch & Louviere, 2004). Venue selection is encompassed within the theories of service quality, which were a significant preoccupation of the hospitality industry throughout the 1980s and 1990s (Johns, 1996).
Quality within a service environment can be examined in a number of differing ways (Hope & Muhlemann, 1998), as quality and service quality have received substantial theoretical attention for...
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