Political situation could impact MICE prospects
The meetings, incentives, conventions, and exhibitions (MICE) industry in Thailand is still being considered as lucrative for the next few years with two-digit growth, but "politics" would have to stay calm and stable.
According to Thailand Convention and Exhibition Bureau (TCEB), it had previously projected that the Thai MICE industry would be on the rise until 2016. It is valued at Bt70.93 billion in 2014, Bt78.71 billion in 2015, and Bt87.35 billion in 2016. This year, it is projected to grow to Bt63.92 billion, up from Bt60.12 billion in 2012.
The number of MICE travellers will on average grow to 871,200 in 2014, 958,320 in 2015, and about 1.05 million in 2016. This year, its number projection was at 792,000, up from 750,000 in 2012.
Sumate Sudasna, president of Thailand Incentive and Convention Association (TICA), said the overall outlook for the industry is still optimistic so far, but politics is considered the major threat that could dent growth. Its impact is big because political unrest would undermine tourist confidence.
The Kingdom’s removal from the candidate list for hosting World Expo 2020 in recent months has not had any negative impact on the country’s image as one of the top destinations in Asia, he said.
In the second half of this year, there is still a flow of groups for incentive tourism from Europe, especially from Benelux (Belgium, Netherlands, Luxembourg) nations and Germany. This can somewhat be an indicator that the economy in Europe is on the recovery path and Thailand is gaining from the change. However, the gains can accrue only if the political landscape during the period must be stable and peaceful, he said.
Currently, MICE operators from Singapore, Malaysia, and Vietnam are coming here to set up offices to cash in on the tourism boom and the opening of the Asean Economic Community (AEC) in 2015. The region is a value-for-money place. They have created a regional business package, leading to more competition, he said
However, he said that Asean countries were not Thailand’s rivals for the MICE business. In fact, there are countries offering diversity as a competitive edge, especially Australia, South Africa, and Turkey. He said small and medium enterprises should strengthen themselves by looking for creative and unique services to sell.
