Wednesday 13 March 2013

Will Independence Threaten The Scottish Conferencing Sector?

Back in 2010 Glasgow hit an all-time high of £130m within the business conference sector, making the city one of the top European destinations for conferencing. Last year marketing bosses from the Glasgow City Marketing Bureau (GCMB) predicted a bumper year in 2012 for conference sales, having already beaten the £120m total revenue from 2011 in the first eight months of the financial year.
“Between April and November, GCMB confirmed 347 new international and UK conventions through to 2020.”

“Major conferences booked by GCMB this year include the European Association of International Education in 2015, the Congress of the International Society of Haematology in 2016 and the World Biomaterials Congress in 2020.”




Such glowing forecasts of 60% growth were a result of Glasgow thrashing the competition both nationally and internationally.

Labour leader of Glasgow City Council and chair of Glasgow City Marketing Bureau Gordon Matheson was immensely proud of their achievements.

"To have exceeded our total sales for last year with a quarter of the financial year remaining and at a time when competition in the global marketplace is incredibly fierce, is a clear endorsement of the confidence that the meetings industry continues to have in Glasgow.

"It further strengthens the city's reputation as one of the world's premier business tourism destinations."
Director of sales at the Scottish Exhibition and Conference Centre (SECC), Ben Goedegebuure had further endorsements, "Glasgow is continuing its emergence as one of Europe's key meetings and events destinations, and this is reflected in our growing success in this market.

"Meetings and events matter to Glasgow - they ignite our local economy, create repeat visitors to our city and underline Glasgow's role as a hub of information sharing, specialist knowledge and expertise, and business excellence."

However going forward into 2013 there has been a worrying decline in business visitors, and it has been suggested that this is a direct link to the Scottish independence referendum scheduled for 2014. Marketing bodies in the north of England have been accused of attempting to sabotage the Glasgow business marking by telling potential delegates that Scotland may soon be a foreign country. Many UK wide organisations are obliged to hold an annual conference within in the UK or Ireland leading the GCMB to rethink mechanisms that will allow Scotland to be added to the list. How many bodies will be willing to make these changes is also uncertain. The UK Liberal Democrats are an example of a conference Glasgow would be likely to lose as a result of independence.

Gordon Matheson has been strongly against independence because of the effects that uncertainty may have on the local economy.

"One of my greatest concerns is the potential collapse of our business tourism sector.
"This is worth hundreds of millions of pounds to Glasgow and the majority of this business comes form the rest of the UK."

Not everyone is concerned that the referendum will have a detrimental effect on the conferencing sector ib#n Glasgow as many concerns are in stark contrast to record bookings. SNP opposition leader Graeme Hendry shrugged the GCMB findings off as a technical issue.

"No-one in the industry expects this to be a significant issue. Glasgow has reccord bookings for the coming year which is hardly a sign of there being a problem."
It cannot be ignored however that Scotland will have to reapply for EU membership. This will throw up all kinds of timescale and visa issues, and uncertainty in its wake. Whether or not marketers from outside Scotland will use this as angle remains to be seen.

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