890-CRT LEARNING MODULE

Course Code THM03

Course Title Micro Perspective of Tourism and
Hospitality
Units 3
Module Title The MICE Industry: Meaning and
Importance

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 College for Research & Technology of Cabanatuan

HOW TO USE THIS DIGITIZED LEARNING MODULE

Welcome to the module in The MICE Industry: Meaning and Importance.
This module contains training materials and activities for you to complete this module..

You are required to go through a series of learning activities in order to complete

each learning outcome of the module. Each of the learning outcomes is provided with
Modules. Follow these activities on your own and answer the self-check at the end of
each learning outcome. You may remove a blank answer sheet at the end of each
module (or get the answer sheets from the online facilitator) to write the answers for
each self-check. If you have questions, don’t hesitate to ask your facilitator for
assistance.

This module was prepared to help you gain fundamentals and basic knowledge
about Tourism and Hospitality. This will be the source of Information for you to acquire
knowledge and skill in this particular trade independently and at your own pace, with
minimum supervision of help from your instructor.

 Talk to your online facilitator and agree on how you will both organize the
Training of this unit. Read each through the module carefully. It is divided into
sections, which cover all the skills and knowledge you need to successfully
complete this module.
 Work through all the information and complete the activities in each section.
Read Modules and complete self-check. Suggested references are included to
supplement the materials provided in this module.
 Most probably your facilitator will be your supervisor or manager. Your online
facilitator will support and correct you.
 Your online facilitator will tell you about the important things you need consider
when you are completing activities and it is important that you listen and take
notes.
 You will be given plenty of opportunity to ask questions and practice on the job.
Make sure you practice new skills during regular work shifts. This way you will
improve both your speed and memory and also your confidence.
 Talk to more experienced workmates and ask for their guidance.
 Kindly the self-check questions at the LMS (EDMODO) to test your own progress.

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 When you are ready, ask your online facilitator to watch you online via Zoom or
Google Meet to perform the activities outlined in this module.
 Ask your online facilitator work through the activities: ask for written feedback
on your progress. Your online facilitator keeps feedback/pre-assessment reports
for this reason. When you have successfully completed each element, ask the
facilitator to mark on the reports that you are ready for assessment.
 When you have completed this module, and feel confident that you have
sufficient practice, your online facilitator will arrange an appointment with
registered assessor’s to assess you. The results of your assessment will be
recorded in your competency Achievement Record.

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Micro Perspective of Tourism and Hospitality
Contents of this Learning Module

No. Module Topic Code

Title
8 •Meetings,
Incentives,
Conventions,
and
Exhibitions

Module 8: • Keep
The MICE Players in
the MICE
Industry:
Industry
Meaning and
Importance Module 8
•Convention
and Visitors
Bureau

•Professional
Associations

• Event
Management

• Types of
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 Events in the
Special
Events

MODULE CONTENT

MODULE TITLE: Module 8: The MICE Industry: Meaning and

Importance

NUMBER OF HOURS: 3 hours (1 week)

LEARNING OUTCOMES:

At the end of the module, you MUST be able to:

1. Explain the meaning and importance of MICE industry.

2. Clarify the difference between meeting, incentives, conventions, and
exhibitions.
3. Discuss the key players in the MICE industry.
4. Explain the employment opportunities in the MICE industry.

Contents:

1. History of the Accommodations or Lodging Industry

2. Types of Accommodations
3. Classification of Hotels
4. Rating Systems
5. Management Methods
6. Hotel Terminology
7. Accommodation Reservation

Conditions:

The students must be provided with the following:

1. Hard copy or soft copy of the course syllabus
2. MS Word
3. Pen
4. Paper

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Assessment Method:

1. Submission of Research paper.

2. Written examination.
3. Quizzes using Google forms.

MODULE 8
The MICE Industry: Meaning and
Importance
Learning Objective: After reading this MODULE, you should be able to:

1. Explain the meaning and importance of MICE industry.

2. Clarify the difference between meeting, incentives, conventions, and
exhibitions.
3. Discuss the key players in the MICE industry.
4. Explain the employment opportunities in the MICE industry

The MICE Industry: Meaning and

Importance

The meetings, incentives, conventions, and exhibitions (MICE)

industry is one of the fastest growing and lucrative area of the tourism and
hospitality industry. It includes different areas such as conferences,
meetings, incentives, exhibitions, and trade shows. The MICE industry has
been traditionally regarded and hospitality industry with activities that
involve both tourists and non-tourists part of the tourism.

One of the significant features of the MICE industry is its potential to

attract national and international visitors. Visitors to MICE events are
considered participants, delegates, or attendees. MICE events provide
additional benefits to the country in the form of business opportunities,

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education, and training. Many of these events are related to business and
professional activities. MICE activities usually occur outside the peak
season of leisure travel. Hence, they are advantageous to hotels, resorts,
and restaurants in offsetting the low and off-peak business periods.

The MICE industry today is recognized as an important business

activity for corporations and associations. It is also an important market
segment for suppliers of services to these customers. At present, the
convention attendee spends appropriately 50% more than the leisure
traveler It is for this reason that great emphasis has been placed on
attracting meetings and conventions to cities all over the world. More than
one million meetings, conferences, and conventions are attended by 81
million people every year, contributing more than $50 billion annually to
the economy. Even in a slow economy, companies continue to meet. The
demand and spending by corporations does not decrease.

The Evolution of the Meetings, Incentives,

Convention and Exhibition (MICE) Industry

The meetings, incentives, conventions, and exhibitions industry

(MICE) is young, relative to the tourism and hospitality industry as a whole.
Before 1960, persons traveling to conventions either drove or traveled by
train. With the introduction of the Boeing 707 in 1958, the airplane
provided am affordable and fast alternative to cars and trains. The "jet
age" stimulated business and leisure travel.

The intense construction of hotels and convention centers began in

the 1970s. The features added to attract the convention participants were
the removal of interior posts, barrier-free space, flexible walls, and
improved lighting.

In the 1980s, cities began to build convention centers to host large

conventions and expositions. The largest convention center was built in
1989 with approximately one million square feet of flexible meeting space.
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Meetings, Incentives, Conventions, and Exhibitions
Meetings are conferences, workshops, seminars, or other events
designed to bring people together in order to exchange information

The following are forms of meeting:

1. Clinic - a workshop where attendees learn by doing. It involves small

groups who interact with each other individually.

2. Forum - an assembly for a discussion of the group's common

concerns, featuring a panel of experts who take opposite sides of an
issue.

3. Seminar - a gathering of professionals who work together under the

guidance of a discussion leader.

4. Symposium - a meeting where a subject is discussed by experts

and a consensus of the group is gathered.

5. Workshop-a small group led by a trainer concentrating on skill

enhancement.

6. Conference - a formal meeting of professionals for exchange of

opinions and information.

7. Convention a large meeting of people assembled for a common

purpose.

8. Colloquium - an informal discussion on group-selected topics.

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 9. Panel - consists of two more speakers stating their viewpoints

10. Lecture - a meeting in which an expert speaker addresses an

audience.

Meetings are usually organized by corporations, associations, or social,

military educational, religious, and fraternal groups (SMERF). The reasons
for holding a meeting can range from the presentation of a new sales plan
to a total quality management workshop. The number of people attending
a meeting can vary Successful meetings require a great deal of careful
planning and organization.

Meetings are set up according to the wishes of the client. The three
types of meeting setups are theater style, classroom style, and boardroom
style. Theater style is intended for a large audience that does not need
plenty of notes or documents Classroom setups are used when the
participants need to take notes or refer to documents. The boardroom
setup is intended for a small number of people.

Expositions or exhibitions are events designed to bring together

suppliers of products and services who will demonstrate their products and
services to the attendees in order to make sales or establish contacts
Expositions need several hundred thousand square feet of space, divided
into booths for individual manufacturers or their representatives.

Conventions are usually larger meetings which include some form of

exposition or trade show. Several associations have one or more
conventions per year. These conventions raise a large part of the
association's budget.

A typical convention has the following format:

1. Welcome registration
2. Introduction of the president of the association
3. President's welcome speech
4. First keynote address by a speaker
5. Exposition booths open
6. Several workshops or presentation on specific topics
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 7. Luncheon
8. More workshops and presentations
9. Demonstration of special topics
10. Vendors private receptions
11. Dinner

12. Convention center closes

Conventions are riot always held in convention centers. Majority are

held in large hotels for three to five day period.

Incentives are rewards for achievement used by corporations to

motivate employee to higher sales efforts It may be in the form of goods
or trips to glamorous and exotic places.

Incentive managers devise programs which involve employee

competition and gives rewards to the highest achiever Travel rewards are
one of the best incentives. Merchandise is another incentive. Creativity is
very important in the incentives business Incentive managers must
continuously come up with new ideas to motivate employees to improve
their performances. Planning an incentive involves the following:

1. Setting specific goals

2. Measuring performance
3. Communicating standards to participants
4. Choosing rewards appropriate to the participants
5. Celebrating achievements

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 Key Players in the MICE Industry
The major players in the MICE industry are the convention and
visitor’s bureau (CVBs), meeting planners and their clients, convention
centers, specialized services, and exhibitions.

Meeting Planners
Meeting planners may be independent contractors who offer their
services to associations and corporations as the need arises or they may be
full-time employees of corporations and associations.

The professional meeting planner makes hotel and meeting bookings,

and ensures that the services contracted have been delivered. The
following are the activities of the meeting planner.

1. Plan meeting agenda

2. Establish meeting objectives

3. Predict attendance

4. Set meeting budget

5. Select meeting site

6. Select meeting facility

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 7. Select hotel(s)

8. Negotiate contacts

9. Plan exhibitions

10. Prepare exhibitor correspondence and packet

11. Create marketing plan
12. Plan travel to and from site
13. Arrange ground transportation
14. Organize shipping
15. Organize audiovisual needs

On-site Activities

1. Conduct pre-event briefing

2. Prepare executive plan

3. Move people in/out

4. Troubleshoot

5. Approve invoices

Post-meeting Activities

1.Debrief

2. Evaluate

3. Provide recognition and appreciation

4. Arrange shipping

5. Plan for next year

The meeting planner has several interactions with hotels. These

include negotiating the room blocks and rates Escorting clients on site
inspections give the hotel an opportunity to show their facilities and
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services. The most important interaction is with the catering/
bouquet/conference department associates especially the services manager
and captains because these frontline associates can make or break a
meeting.

Convention and Visitors Bureau (CVB)

The convention and visitors bureau (CVBS) is a major player in the
MICE market The CVB is a nonprofit organization that represents an urban
area that tries to solicit business to pleasure-seeking visitors. It represents
the various industry sectors - transportation, hotels and motels,
restaurants, attractions, and suppliers. It has the following responsibilities:

1. To encourage groups to hold meetings, conventions, and trade shows in

the area it represents,

2. To assist groups with meeting preparations and give support throughout

the meeting:

3. To encourage tourists to participate in historical, cultural, and

recreational opportunities offered by the city, and

4. To develop and promote the image of the community it represents

The result of these four responsibilities is to increase the revenues of

the city's tourist industry. Bureaus compete for business at trade shows
where interested visitor industry groups gather to do business.

Convention Centers
Convention centers are large facilities where meetings and
expositions are held Parking, information services, business centers, and
food and beverage facilities are included in the centers. Convention centers
are usually corporations owned by the city or state governments and
operated by a board of appointed representatives from several groups who

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have a vested interest in the successful operation of the center The board
appoints a president or general manager to run the center according to its
mission, goals, and objectives.

Convention centers have several exposition and meeting rooms to

accommodate large and small events. The centers generate revenue from
the rental of space which is divided into booths. One booth is about 100
square feet. Additional revenue comes from the sale of food and
beverages, concession stand rentals, and vending machines. Many centers
have their own subcontractors who handle staging, construction. Lighting,
audiovisual, electrical, and communications.

An example of a convention center is the Rhode Island Conventions

Center which is an $82-million center. A convention center can generate
millions of dollars into the economy of the city in which it is located.

Event Management
The events in large convention centers are planned many years in
advance The convention and visitors bureau is responsible for the booking
of conventions moe than 18 months ahead The marketing and sales teams
of the convention and visitor bureau and the convention centers work
closely with each other As soon as The booking becomes definite, the
senior event manager assigns an event manager to work with the client
throughout the pre-event, event, and post-event.

A contract is written based on the event profile. It is the event

document which stipulates in writing all the client's requirements and gives
important information. Such which company will act as decorator
subcontractor to install carpets and e up booths. After the contract has
been signed and returned by the client, the event manager will make
follow-up calls for six months before the event to finalize security business
services, and catering arrangements. The event manager is the key contact
between the center and the client.

Specialized Services

Several companies offer specialized services such as transportation

entertainment audiovisual, escorts and tour guides, convention setup, and
destination management
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Professional Associations

Since the MICE industry has grown, several professional associations

have emerged. These are the following

A. Convention Industry Council

The Convention Industry Council (CIC) was founded in 1949 as an

umbrella organization for four professional associations which represent
hotels, convention centers, and association executives. Their purpose was
to address the professional concerns of all industry groups and offer
certification of meeting professionals or CMP. At present, the CIC members
consist of 30 national and international organizations representing 81,000
individuals, as well as 13,000 companies and properties.

B. European Meetings Industry Liaison Group

It is also called the European Alliance of the CIC. It is composed of

five groups, namely: International Association of Conference Interpreters
the International Congress and Convention Association, the International
Association of Professional Congress Organizers, Meeting Professionals
International, and the European Federation of Conference Towns.

C. International Association of Professional Congress Organizers

(IACPCO)

The IAPCO was founded in 1968. Its headquarters is in Belgium. It

has members from 52 companies as well as individual members. Majority
of the members are from Europe but there are members from Australia,
the USA Canada, Latin America, and Middle East.

D. International Congress and Convention Association (ICCA)

ICCA was founded in 1963. Its headquarters is in the Netherlands.

The ICCA has very strict guidelines which require members to conduct
meetings in at least four different continents. It has members from 100
countries which include convention centers, travel agents, airlines, and
other industry related services companies.

E. International Federation of Conference Towns

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Like the ICCA, it has very specific membership guidelines which require
cities to have:

1. Conference facilities that can accommodate at least 300 participants,

2. Proper equipment;
3. Traditional meeting services;
4. Satisfactory hotel accommodations for at least 300 participants,
5. Necessary transportation;
6. Team of experts in conference organizations; and
7. Proof that it has hosted at least five international conferences for the
past three years.

F. International Association of Convention and Visitors Bureaus

(IACVB)

IACVB originated in the United States. It has several international

members. Their most common services are destination information
services, supplies networks, and housing assistance programs.

G. Professional Convention Management Association and Meeting

Professionals International (PCMA and MPI)

The PCMA and MPI are professional associations for industry

professionals. They provide education programs and have excellent
publications and resources.

H. Foundation for International Meeting (FIM)

The FIM was established in 1983. It is focused on MICE industry

organizations which conduct international meetings. FIM offers several
educational travel opportunities and a unique trade mission program that
links members with their counterparts in other countries.

I. American Society of Association Executives (ASAE)

The ASAE was established in 1920. The headquarters is in Washington,

D.C. It has more than 35,000 individual members who manage
professional, trade, and philanthropic associations which serve more than
287 million people and companies worldwide.

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 Convention and Special Events Management
Companies
There are several types of companies or organizations that provide
special events management services. The following are companies which
provide convention and special events management services:

1. Destination management companies

2. Independent meeting management companies
3. Travel management companies
4. Special events professionals, public relation firms
5. Government entities and tourism offices

Destination Management Companies (DMCs)

Destination management companies are private companies that offer
services primarily for inbound customers. The corresponding European
service provider is known as Professional Convention Organizer (PCO). The
primary responsibility of DMCs is to expose their clients to opportunities
available in the surrounding area, and prepare a proposal describing the
preferred events and costs, selecting and organizing the special events for
the convention attendees. As soon as they are selected as the DMC for the
inbound group, they will organize the event, secure the site, obtain
permits, and hire suppliers such as the caterer, decorators, bands, and
entertainment.

Independent Meeting Management Companies

These companies provide services to outbound groups. When the
independent meeting planner conducts a meeting away from the home
city, he or she will hire the DMC in the host city because destination
management requires experts from the local area. When the independent
meeting planner is in his or her home territory, he or she will provide
services to inbound groups to maximize profits.

Travel Management Companies

Large travel management companies organize destination
management companies as part of their larger travel services product
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offerings. Large travel management companies are similar to the national
chain operations.

Major Event Producers

Major event producers are another type of destination management
company. These companies produce sophisticated and highly technical
events such as the Super Bowl and Olympics, and political events such as
the Democrat and Republican National Conventions and presidential
inaugurations. These are usually high tech, high visibility, and many have
components that are dangerous without proper precautions. A high level of
technical knowledge is required to organize these type of extravagant
events

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 Types of Events in the Special Events Market
The following are the types of events included in the special events market

1. Corporate events - incentive programs, product introductions,

building openings, recognition events, anniversaries, retirement,
groundbreaking and ribbon cuttings.

2. Meeting conventions, expositions - opening ceremonies, gala

dinner dances, opening receptions, awards ceremonies, theme
events, trade shows, and expositions.
3. Public events - parades, fireworks, displays, festivals, fairs,
inaugurations/ swearing in ceremonies, holiday observances, military
ceremonies, and sporting events.

4. Retail events - grand openings, promotions, celebrity appearances,

and seasonal promotions Social/private events - weddings,
anniversaries, graduations, reunions, funerals, memorials, births,
christening, charity balls, runs, and auctions

5. Emerging Trends- There are many developments that will shape

the MICE industry. Two of the leading factors are changes in
communication systems, specifically the Internet and its diverse
applications, and the changing character of nations into a global
community. The Internet provides an accessible format for virtual

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 meetings and exhibitions, video conferencing, and online education.
This connection to the cyber world from the home or office makes
Europe, Asia, and America accessible to the local tourist office. Many
corporations have already started the process of globalization. At
present, smaller organizations and individuals can equally participate
in global integration.

Employment Opportunities in the MICE Industry

There are many employment opportunities in the meetings,
incentives, conventions, and exhibitions industry. The main qualifications
are education and practical experience Persons who possess these
qualifications will have no trouble finding a job in the MICE industry.

The following are the job opportunities in the MICE industry:

1. Director of Convention Services

2. Convention Service Manager
3. Director of Group Sales
4. Director of Food and Beverage
5. Director of Catering Operations/Sales
6. Director of Marketing
7. Hospitality Coordinator (Room Service)
8. Director of Human Resources
9. Resident Manager
10. Director of National Accounts

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REFERENCE

MICRO PERSPECTIVE OF TOURISM AND HOSPITALITY

AUTHOR: ZENAIDA LANSANGAN-CRUZ, PHD

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