Latest news with #eventcancellations
Travel Daily News
23-05-2025
- Business
- Travel Daily News
IAPCO survey highlights global trends shaping meetings in 2025
Geopolitical turmoil, policy changes, and economic uncertainty impacted 60% of IAPCO members, forcing event cancellations, destination shifts, and higher operational costs. Geopolitical instability, global conflicts, policy shifts, and economic uncertainty are increasingly affecting the international meetings and conference industry. The International Association of Professional Congress Organisers (IAPCO), together with its network of national PCO associations and strategic global partners, conducted the Global Socio-Political Impact Survey 2025, offering an insightful overview of how recent developments are reshaping the sector. A landscape of continuous challenges According to the survey, nearly 60% of IAPCO members reported that their ability to organise or host international meetings has been affected – 45.24% moderately and 14.29% significantly. Additionally, 25% of member companies had to cancel, postpone, or relocate events due to safety concerns and regional instability. Key impacts include: Reduced international participation (52.38%) Travel disruptions (41.67%) Increased costs for clients and participants (32.14%) Security concerns at event locations (39.29%) Moreover, 48.81% of respondents observed a shift in preferred event destinations, while 22.62% noted a decline in willingness to travel internationally. Economic and policy-driven implications Uncertainty also strongly affects event budgets. 31.58% of organisers cited changes in government funding or grants, while 59.21% pointed to cuts that hinder the participation of academics and scientific experts. Significant concern is tied to U.S. policy changes. 47.36% of professionals stated that reforms under the Trump Administration have impacted their planning and execution capabilities. Budget cuts to top U.S. universities such as Columbia, Johns Hopkins, and Princeton are diminishing research output and participation in global conferences. The consequences extend beyond logistics – they threaten entire academic and advocacy fields such as global health, climate action, gender equality, and democratic development. IAPCO's role amid global disruption IAPCO remains the global benchmark for excellence in professional congress organisation. Members must pass annual peer-reviewed quality assessments and demonstrate leadership in efficiency, creativity, financial responsibility, and stakeholder management. In 2024 alone, IAPCO members delivered 19,469 events globally. Within this scope, 57.14% stated that 1–10 of their clients' venues were impacted by global unrest, while 5.95% experienced even higher impact levels. From a financial perspective, 26.83% of respondents reported losses of up to 50,000 euros, and 14.86% saw losses exceeding €150,000. Strategic foresight and global collaboration required The findings confirm that the global meetings and events industry is navigating a complex environment requiring flexibility, risk management, and collaborative resilience. IAPCO – with its 92 member companies and 180 global offices – continues to set the standard for quality, trust, and professionalism in an evolving marketplace. As Arnaldo Nardone, Chairman of FIEXPO Exhibition Group, aptly states: 'The difference IAPCO members make is clear: they elevate the quality of service provided by truly professional PCOs.' The meetings industry remains active and relevant – but to stay impactful, stakeholders must adapt to new realities, prioritize safety and sustainability, and strengthen global cooperation.
Skift
12-05-2025
- Business
- Skift
Event Cancellations Surge, but Planners Want Hotels to Pay Up
As cancellations mount and commissions disappear, planners are calling for hotels to share the burden and rethink outdated contracts. Travel restrictions and geopolitical tensions are driving event cancellations, leading to disputes between planners and hotels over contracts and compensation. Brett Sterenson, president of Hotel Lobbyists, a site-selection company that works mainly with government events, had 59 cancellations so far this year. They totaled $2.57 million in lost hotel revenue, with little to no commission paid to his firm. 'Many clients can cancel without penalty due to the flexibility of government contracts,' he said. 'Others invoke force majeure. A smaller number either can't escape penalties or are willing to pay them." Cancellation Penalties Should Be Shared Even when hotels collect cancellation penalties, Sterenson rarely gets a cut. 'When a hotel collects cancellation revenue from a client, it might seem fair that I get paid for the work that led to the booking,' said Sterenson. 'In most cases, I don't.' With a record number of cancellations, he's pushing for some compensation.'It would be fiscally irresponsible not to try,' said Sterenson. Typically, he earns anywhere from 7-10% commission on actualized room revenue. 'In cases of cancellation, I'm paid 0%. I propose to the properties that they pay me half of my commission as a compromise,' said Sterenson. Contracts Must Evolve As the events industry continues to face volatility and cancellations, planners say it's time to rethink standard practices. 'Adapting to federal policy changes should be a two-way street. Understanding and compromise are needed on all sides to keep business flowing in this environment. Unfortunately, that's not happening yet to a significant degree,' said attorney Joshua Grimes of Grimes Law Offices. Falling attendance adds to the tension. 'Renegotiating contracts isn't easy, and many hotels aren't willing to consider lowering the contracted room requirements,' said Grimes. Whether force majeure clauses cover attendance drops due to government policy depends on how they're written, said Tyra Warner, chair, Department of Hospitality, Tourism, and Culinary Arts, College of Coastal Georgia. 'Most are at best a grey area. Many don't apply. Some planners entering into new contracts now are including a new clause specifically addressing government funding, or lack thereof. They provide a remedy either akin to a force majeure clause, being able to terminate without liability, or forgiving performance damages if they move forward with the meeting in spite of the government challenges,' said Warner. Planners say they're being held to strict contract terms, with limited flexibility from hotels, and that must change.
