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Milos Milovanovic - How to Prepare a Successful Bid?


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Milos Milovanovic - How to Prepare a Successful Bid?

  1. 1. LVIV Tourism Forum October 2017
  2. 2. Milos Milovanovic Consultant Milos Milovanovic is a international consultant with expertise in activation and development of convention bureaus and destination marketing in emerging regions. He has over 10 years of experience in the meeting and conventions industry. He has consulted on projects in Belgium, Israel, Italy, Jordan, Kazakhstan & Qatar. Milos was the CEO of the Serbia Convention Bureau since 2007, whereas inaugural CEO he was instrumental in its establishment and development. Under his leadership the bureau has made constant progress in International Congress and Convention Association (ICCA) rankings making the top 50 globally Serbia, as one of the exciting and emerging Eastern European convention destinations, is now in the global limelight. It has made constant progress and represents one of the fastest growing meetings destinations globally. GainingEdge, established in 2004, is a global network of consultants that specialize in the business events sector. GainingEdge operates from 8 cities worldwide and has successfully delivered over 50 engagements across the globe. We have an excellent track record in the establishment of new convention & visitor bureaus, capability development of convention & visitor bureaus, destination strategy, convention centre feasibility studies and in-market sales representation. We bring the expertise of a diverse group of professionals comprising business events market expertise, convention bureau operational expertise, business development expertise as well as convention centre expertise. Our professionals are frequent speakers at industry conferences, serve on advisory bodies and participate in industry initiatives on an international basis. Gaining Edge Advising the world`s convention and meeting industry
  3. 3. MICE industry
  4. 4. What MICE Industry Really Mean M.I.C.E.  Meetings, Incentives, Conventions, Exhibitions  Business tourism  Business meetings & events  The meetings industry  MC&I (Meetings, Conventions & Incentives)
  5. 5. What MICE Industry Really Mean Why destinations want to host international meetings? ECONOMIC DEVELOPMENT – BEYOND TOURISM EFFECTS  Promote their economy and business potentials  Attract international associations and leading experts  Improve international integration of local experts  Develop creative economy and knowledge-based society FINANCIAL INCOME – TOURISM EFFECTS  Business travelers tend to spend more money (3 times more)  Meetings and conventions are usually out of high season  Convention participants are potential leisure tourists
  6. 6. What MICE Industry Really Mean Showcases Local innovation, products and expertise Generates Favorable Media Attention Local Professionals and Students Knowledge Investment Platform Profile Exports Networks Access New Technologies, New Ideas Brings in Buyers and Distributers. When They See it They Will Believe it. Business Contacts, Trade and Research Links Industry Leaders Thought Leaders Corporations Investors FOCUS
  7. 7. What MICE Industry Really Mean  Provides platforms for knowledge exchange and professional development of the local business and professional community  Promotes new industry growth sectors and helps developing international business networks  Delivers economic benefits beyond just visitors arrivals and expenditure  Attracts business travelers which means investors, industry and government leaders, scientists and researchers, etc. M.I.C.E. Engages human (intellectual) capital of the destination, which is the most important resource that any destniation has and can count on !!!
  8. 8. Leisure Tourism Business Tourism (MICE) How do Business Events and Leisure Tourism Differ? The MICE industry differs from leisure in terms of the purpose of the visit, decision makers, service providers, marketing approach, etc., and requires a distinct strategy for attracting business meetings.  Fun and leisure  Exploring new destination and learning new cultures  Business networking and information sharing  Education & certification  Business networking Purpose of Visit  Affordability  Uniqueness of destination and culture  Kind of leisure activities available  State of domestic economy  Quality of MICE-related infrastructure, such as convention/meeting venues and hotels  Affordability and connectivity Main Drivers  Individual tourists  Tour wholesalers  Travel agents  Meeting Planners/AMCs  Professional Congress/Exhibition Organisers  Associations and corporates Decision Makers  Tour operators/travel agents  Hotels  Airlines  PCOs/DMCs/EMCs  Venue Providers (meeting venues and exhibition grounds)  Convention centres Service Providers  Broadcast marketing to end consumers (tourists)  Tour packages through tour operators/travel agents  Bidding for international conventions/exhibitions  Lobbying with government and trade bodies  Direct selling to corporates and associations Marketing Approach What MICE Industry Really Mean Differences Between MICE and Leisure Tourism
  9. 9. MICE Industry M.I.C.E.  Meetings - general term indicating the coming together of a number of people in one place, to confer or carry out a particular activity (corporate meetings, seminars, symposiums)  Incentives - events as part of a program which is offered to its participants to reward a previous performance (incentive trips, team building)  Conventions - participatory meeting designed for discussion, fact-finding, problem solving and consultation (congresses, conferences, conventions)  Exhibitions - Events at which products and services are displayed (consumer shows, trade shows, fairs)
  10. 10. MICE Industry Suppliers  Meeting Venues – purpose built convention & exhibition centers, special venues (universities, cultural and historical buildings …)  Hotels – with conference facilities, accommodation  Event Planners – PCOs, DMCs, EMCs, …  Transportation – airlines, ground transport, local transfer  Meeting Service Suppliers – AV equipment, catering, translation, security services, entertainment providers ...  Destination Marketing Organizations – Convention Bureaus (local, city, national), tourist offices MICE Industry
  11. 11. 11 How Convention Bureau represents the entire MICE industry Key Actors in Convention Marketing Convention Bureau Local and National Governments:  Supports the convention market through investment in facilities  Financial support for convention bureau  Protocol  Logistical and security support  Special events permits Unique Roles of the convention bureau:  One stop shop  Represent the entire destination to convention buyers  Researches potential congresses, organizes site visits and prepares bids  Supports development of exhibitions  Attendance promotion at events  Industry development and coordination Hotels Convention Centres Destination Management Companies (DMCs) Local Host Committees Government Professional Conference Organizers (PCOs) Local Host Committee:  Issues a formal invitation to the group organizing the meeting  Works with the convention bureau during the bid  Plans social programs during the event PCOs:  Contracts with the meeting planner  Handles on-site logistics – hotel rooms, registration, housing, local transportation, sponsorship, meeting preparation, social program arrangements, entertainment, etc. DMCs:  Ground transportation  Logistics  Organises pre- and post- tours and incentive trips Hotels:  Provide room blocks for bid  Banquets and catering Convention Centres:  Cooperative sales effort with convention bureau  Primary meeting facilities  Event catering Client surveys consistently say that they will select destinations where they can work with convention bureaus over those that don’t have convention bureaus. MICE industry
  12. 12. RESEARCH: From Leads to Bids
  13. 13. BUSINESS FOCUS Question: What are our Industry Strengths? Question: What are the Targeted Industry Sectors?
  14. 14. Sourcing Leads Lead Source  Local Institutions  Referrals  Database > ICCA  Web research  Trade magazines & media o Bid wins, case studies  Trade shows & road shows  Sales promotions  Lead exchange > ICCA, GE  Business networks o CVBs, Centres, PCOs o Government, industry partners  Event calendars o Bureaus, centres, PCOs, industry calendars
  15. 15. Qualifying and Prioritising Leads Business Event Qualifier  To help prioritise leads  Creating a score sheet based on key criteria  Prioritising what is most important for the destination  Which events have the best chance of success Priority Potential Important Criteria High High High Medium High Medium Medium Medium High Low Medium Low Low Low Medium Focus
  16. 16. Qualifying and Prioritising Leads Criteria : Size  Number of delegates  Room Nights (delegates x days)  Event space (sqm) Considerations  Delegates > differentiate between local, national and international Capacity
  17. 17. Qualifying and Prioritising Leads Criteria : Profile  Delegate profile  High yield spenders  People of influence > investors, decision makers  Publicity value > topical subjects  Events we can leverage
  18. 18. Qualifying and Prioritising Leads Criteria : Local Host  Is a local host required > Yes/No  Strength of local host Considerations  No local host required > a bonus
  19. 19. Qualifying and Prioritising Leads Criteria : Industry Sector  Key economic growth sectors identified by government & industry  Centres of innovation, R&D
  20. 20. Qualifying and Prioritising Leads Criteria: Time of Year  Low season  Shoulder season  Peak season
  21. 21. Qualifying and Prioritising Leads Criteria: Event History  Rotational pattern  Destination choice > major or regional cities, resorts  Last time in your city/region
  22. 22. Qualifying and Prioritising Leads Criteria: Bid Time Frame  High = ample time to prepare and promote bid  Low = short time frame and complex bid process, not able to meet criteria
  23. 23. Qualifying and Prioritising Leads Criteria: Level of Support  High = low level of financial and non financial support required  Low = high level of financial support required
  24. 24. Qualifying and Prioritising Leads Leads Qualifier  Create a score sheet  Weight criteria according to importance to your destination  Apply to current leads to determine High, Medium and Low priority leads Criteria Priority Weighting 1 – 10 Points Score Industry Sector Medium 3 10 30 Local Host High 5 3 15 Event Profile Low 1 5 5 Rotation Medium/High 4 8 32 Room Nights Medium/Low 2 7 14 Total Possible = 150 96 SAMPLE ONLY Other considerations can be: season, publicity value and profile, demographics of delegates, government interest in field, level of financial support required, potential for corporate/government sponsorship, audience/delegates
  25. 25. CREATIVITY: Strategic position and strengths
  26. 26. Bid brief = what you need to know. Bid strategy = what you do with what you know. Definitions If we have a clear strategy… if we customise our bid… if we speak clearly to what they want… we will win over destinations that do “stock-standard” bids. and solve their problems…
  27. 27. Barcelona Positioning EASY access WORLD CLASS facilities RANGE & QUALITY of hotels MULTICULTURAL HUGE variety of cuisines GREAT shopping COSMOPOLITAN city
  28. 28. EASY access WORLD CLASS facilities RANGE & QUALITY of hotels MULTICULTURAL HUGE variety of cuisines GREAT shopping COSMOPOLITAN city Singapore Positioning
  29. 29. EASY access WORLD CLASS facilities RANGE & QUALITY of hotels MULTICULTURAL HUGE variety of cuisines GREAT shopping COSMOPOLITAN city Dubai Positioning
  30. 30. Self Assessment Review Bid Criteria  How does Lviv match up?  Strengths & Weaknesses  Competitive Analysis Group Workshop
  31. 31. Destination Position Lviv Iasi Cracow Hotels (Quality) Convention Centre Facility Package Air Access Visa/Customs Ground Transport Related Industry / Innovation Local Host New Market Offer Capability / Dependability Cost Safety & Stability Government Support Subvention Unique Venues Climate Destination Appeal Entertainment Strong Average Weak
  32. 32. Tailoring your Bid  Highlight your strengths  Prepare a response for your weaknesses  E.g. perceptions of cost  Seek industry support  Focus on competitive pricing  Highlight potential for other revenue sources  Put a value on all services provided  Cost comparisons
  33. 33. The Business Case  Factors that will make the meeting a success  Opportunities to accomplish organisational goals  Related local industry  Business opportunities for attendees
  34. 34. The Business Case  Meeting success factors:  Convenience of facility package  Quality and location of hotels / new hotels  Destination appeal, exciting, entertaining, high delegate attendance  Opportunities to accomplish organisational goals:  What are their goals and how can you add value?  Related local industry  How does your destination relate to their science?  Business opportunities for attendees  Offer to organise a business exchange?
  35. 35. Value Proposition  Insights into new innovation - A world leading research institute  Learning opportunities - Technical tours  Economies - Lots of local speakers available  Support resources - Enthusiasm and commitment of local host  New experiences - Never been to the Lviv before Things Lviv can offer better than our competitors:
  36. 36. Aligning Your Bid to Corporate Goals  The question is not “what are you looking for in a destination?” it’s “what are you seeking to accomplish through your meeting?”  Are you able to assist in helping the Association achieve it’s goals and aspirations?
  37. 37. Play to your Strengths  Highlight your strengths  Differentiate against your competitors weaknesses without naming them  Turn your weaknesses into positives  Develop creative offers
  38. 38. Things Lviv can offer better than other destinations 1. Unique selling points 2. Differentiation (why they should meet in Lviv vs. other destinations)  Examples: o Learning opportunities for members o Economies of scale o Support networks o New innovation o New experiences Workshop: Differentiating Lviv
  39. 39. Benefit Analysis Discussion Points 1. What is the benefit to the prospective client? 2. Put yourselves in their shoes 3. How does your benefit contribute to their success ? 4. What are your clients care most about? 5. Why do clients use your destination for business events?
  40. 40. Benefit Analysis Benefit Analysis  Why buy your pizza?  Why come back? Taste Quality Variety Convenience Reliability Friendliness Cleanliness Service Atmosphere Enjoyment Value for money Choice Save time Get what you want Feel Welcome Stay healthy No stress Feel happy Attributes Benefits
  41. 41. Selling Benefits What are the benefits to client? Strengths Benefits R&D investment >>> Innovative program content Regional strengths >>> Business opportunities Competitive pricing >>> Affordability for delegates to attend Low registration fees Increase delegate attendance
  42. 42. Group Workshop: 1. Considering the differentiators you have defined outline the BENEFITS they provide to the prospective client. 2. How does each benefit assist client in achieving their desired outcome 3. First consider the list of desired outcomes for a convention planner  Sponsorships  Attendance  Legacy  Profit  Grow memberships  Education  Knowledge exchange  Business to business relationships  Ease of doing business  Successful meeting Things Meeting Planners Like Workshop: Customer Benefits of Meeting in Lviv
  43. 43. Workshop: Why Lviv?  Top 5 Reasons  Evidence / Proof
  44. 44. Differentiation Why LVIV? Benefits  Business benefits  Financial benefits  Additional motivation  New business  New clients  Less expensive inputs  New technology  Good partner  Unique experience Evidence / Proof What are clients looking for ???
  45. 45. Differentiation Why LVIV? Benefits Top 5 Reasons 1. 2. 3. 4. 5. . Evidence / Proof 1. 2. 3. 4. 5.
  46. 46. THANK YOU