Happy New Year everyone!
I hope your holiday season was joyful and full of love and happiness. Now we face 2014, a new year and if you are like me, you are already planning on when to return to work and what priorities will be on your plate for 2014.
Pricing to go Skyward
One thing for sure, it appears that demand is still outpacing supply, and based on all of the survey results I’ve seen and analyst predictions, pricing for hotels, airlines, car rentals, etc. will continue to rise. I’ve seen single digit and double digit projections but I think it’s conservatively safe to use a 10% price increase estimate as an aggregate benchmark for your budgeting and forecasting.
Budgets to Fall
Successful Meetings just published an interesting article, which says that, according to their most recent survey, the number of planners who expect their budgets to decrease has risen into double digit territory! That means that companies have taken notice of marketplace pricing increases and are reacting in a pro-active way.
This could prognosticate a fall-off for various suppliers, in terms of number of attendees, a shift to lower-cost venues, reducing meal costs and extras like flowers and gifts.
Which way will your meetings and events budget go in 2014? And what’s driving your decision?
– ACTIVE Event Management Blog: Top 5 Event Technology Trends for 2014
– ACTIVE Network whitepaper: Event Trends Report: 2008-2012, a look at changes in meeting and event planning strategies since the recession began.