Just like tourism in general, the Meetings, Incentives, Conventions and Exhibitions (MICE) industry, though considered lucrative, is rather vulnerable to various circumstances like economic, political and social climates, security and terrorism affairs as well as health issues.
In Indonesia, the MICE industry is also easily affected by similar things like the general and presidential elections, terrorism or the avian flu (and now the swine flu) pandemic. However, there have always been efforts to make Indonesia a great and favorite destination regionally and internationally.
With an increasing number of facilities and function rooms, Jakarta and other cities are seeing more events and exhibitions, ensuring the places remain good MICE destinations. There's also a kind of blessing in disguise in terms of currency exchange that makes Indonesia a cheaper destination, especially during the global recession.
Nia Niscaya, director of MICE from the Culture and Tourism Ministry, has said on several occasions that the global financial crisis could be an opportune moment to promote Indonesia as a relatively cheap destination compared to other countries. She has encouraged organizers to continue reminding local companies to promote their MICE facilities to foreign buyers.
Indra Sukirno, executive director of the Jakarta Convention and Exhibition Bureau (JCEB), shared a similar opinion regarding the global recession. She said the global recession had yet to affect the MICE industry in Indonesia. "Until now we do not see it coming our way, mainly because our situation has slightly improved compared to five to 10 years ago. Our products are excellent - our rates are competitive - being an affordable luxury destination we offer value for money," she said. She added that Indonesia has much to offer in terms of meeting products and facilities.
Jakarta and other big cities in Indonesia, for example, have many function halls, which are essential to support MICE, particularly the exhibition sector. Function halls or convention centers are among the most important things in the MICE business. Jakarta, for instance, has the popular Jakarta Convention Center (JCC), the Jakarta International Exhibition Center in Kemayoran, and new smaller places like Balai Kartini, Balai Samudra in Kelapa Gading in North Jakarta and Semanggi Expo in the Sudirman Central Business District (SCBD).
A number of malls and luxury hotels in Jakarta have also become sites for smaller events or exposes. Among the hotels offering convention or hall facilities for efficient and enjoyable seminars, meetings or other social events are Mercure Convention Centre Ancol in North Jakarta, GrandKemang Hotel in Kemang and the Ritz-Carlton Pacific Place in SCBD.
Hotels are certainly supporting the MICE sector as venues for events or exhibitions, and as a place for the delegates to stay. That's why some hotels are equipped with facilities to support the MICE business.
Ritz-Carlton, which manages two luxury properties in Jakarta designed as business hotels, for example, pledges to offer extensive business services including MICE facilities. The Ritz-Carlton Jakarta, Pacific Place as the second Ritz-Carlton hotel in Jakarta boasts the biggest hotel ballroom in Indonesia with capacity of up to 10,000 guests (standing reception) offering an additional international standard venue for the capital to host large international events, such as music concerts, international exhibitions, trade shows, conventions and product exhibitions.
Els Ramadhinta, public relations director of the Ritz-Carlton Jakarta and the Ritz-Carlton Jakarta Pacific Place, said that customers are definitely becoming more focused on value with higher expectations for innovative meeting set ups, and the hotel was always exploring ways to impress delegates within designated budgets.
"To exceed our customer's needs, we focus on combining legendary Ritz-Carlton service, outstanding facilities, with creative and flexible food and beverage options that not only meet our customer's budgets, but also ensure a highly successful and memorable event."
To support the MICE industry, professionalism is undeniably a key factor to good impression. According to Indra, the development of the MICE business is quite high but still lacks professionalism in the international standard of requirements. "Despite the vast potential for the MICE market, players in the industry are facing challenges to increase and even maintain better service quality, which is related to professionalism. Professionalism is a key factor to promote the MICE sector," she said.
As a large country, Indonesia offers a great variety of venues for conferences and exhibitions thanks to the large number of provinces and cities that have the capacity to host MICE events. Jakarta, Bali, Yogyakarta in Central Java, West Java, East Java, Medan in North Sumatra, Batam, Manado in North Sulawesi and Makassar in South Sulawesi are among the most popular MICE destinations in Indonesia. Indra, however, focused on professionalism.
"Although the government has designated 10 cities as MICE destinations across the country, I would personally say that only five of them could be regarded as being of international standard because of their condition and readiness to host international meetings. Readiness doesn't only mean product and facilities but the people that move all of this. Attitude, understanding the important factors of what an event can bring to a city is still far from being totally understood."
She reminded that it was very important to improve professionalism, of both players and other people at all levels and related sectors, in promoting and developing the MICE sector. "Indonesia should open itself more to international relations by being more active in its capacity as members of international meeting industry associations. Efforts in public-private partnership in making it a success should be enhanced more to achieve maximum results."
Nonetheless, the MICE business, particularly exhibitions in Jakarta, has increased annually. The growth is partly supported by the increasing number of convention centers. The other Indonesian cities or provinces with good convention, exhibition or event facilities and increasing MICE business include Bali, Batam, Makassar and Yogyakarta.
In relation to tourism, large-scale events or exhibitions have multiplier effects. An exhibition is a tool for promotion and there are buyers and sellers, both locally and internationally. When coming to Indonesia, international buyers and sellers often travel with their spouses or other family members who visit tourist attractions and spend money on food, souvenirs and so on.
When deals are inked during an exhibition, the domestic sellers, for example furniture or handicraft home industries, will get orders and make more products, which means employment. So the multiplier effect is very strong.
Indra said the MICE sector played a role in developing the country's tourism industry. But, she added: "The MICE business is the event business and removed from the tourist industry. The spending of delegates is also higher, about three times more, than that of leisure tourists. Every 300 delegates who come for a three-day conference bring at least US$200,000 to the country."
The MICE industry has begun to pick up again as a promising business. The sector has high potential to grow given the increasing demand for meetings, seminars and exhibitions from local private firms, governmental offices as well as international parties. The players and all relevant parties need to be aware to always improve services.
Source: The Jakarta Pos | By I. Christianto
In Indonesia, the MICE industry is also easily affected by similar things like the general and presidential elections, terrorism or the avian flu (and now the swine flu) pandemic. However, there have always been efforts to make Indonesia a great and favorite destination regionally and internationally.
With an increasing number of facilities and function rooms, Jakarta and other cities are seeing more events and exhibitions, ensuring the places remain good MICE destinations. There's also a kind of blessing in disguise in terms of currency exchange that makes Indonesia a cheaper destination, especially during the global recession.
Nia Niscaya, director of MICE from the Culture and Tourism Ministry, has said on several occasions that the global financial crisis could be an opportune moment to promote Indonesia as a relatively cheap destination compared to other countries. She has encouraged organizers to continue reminding local companies to promote their MICE facilities to foreign buyers.
Indra Sukirno, executive director of the Jakarta Convention and Exhibition Bureau (JCEB), shared a similar opinion regarding the global recession. She said the global recession had yet to affect the MICE industry in Indonesia. "Until now we do not see it coming our way, mainly because our situation has slightly improved compared to five to 10 years ago. Our products are excellent - our rates are competitive - being an affordable luxury destination we offer value for money," she said. She added that Indonesia has much to offer in terms of meeting products and facilities.
Jakarta and other big cities in Indonesia, for example, have many function halls, which are essential to support MICE, particularly the exhibition sector. Function halls or convention centers are among the most important things in the MICE business. Jakarta, for instance, has the popular Jakarta Convention Center (JCC), the Jakarta International Exhibition Center in Kemayoran, and new smaller places like Balai Kartini, Balai Samudra in Kelapa Gading in North Jakarta and Semanggi Expo in the Sudirman Central Business District (SCBD).
A number of malls and luxury hotels in Jakarta have also become sites for smaller events or exposes. Among the hotels offering convention or hall facilities for efficient and enjoyable seminars, meetings or other social events are Mercure Convention Centre Ancol in North Jakarta, GrandKemang Hotel in Kemang and the Ritz-Carlton Pacific Place in SCBD.
Hotels are certainly supporting the MICE sector as venues for events or exhibitions, and as a place for the delegates to stay. That's why some hotels are equipped with facilities to support the MICE business.
Ritz-Carlton, which manages two luxury properties in Jakarta designed as business hotels, for example, pledges to offer extensive business services including MICE facilities. The Ritz-Carlton Jakarta, Pacific Place as the second Ritz-Carlton hotel in Jakarta boasts the biggest hotel ballroom in Indonesia with capacity of up to 10,000 guests (standing reception) offering an additional international standard venue for the capital to host large international events, such as music concerts, international exhibitions, trade shows, conventions and product exhibitions.
Els Ramadhinta, public relations director of the Ritz-Carlton Jakarta and the Ritz-Carlton Jakarta Pacific Place, said that customers are definitely becoming more focused on value with higher expectations for innovative meeting set ups, and the hotel was always exploring ways to impress delegates within designated budgets.
"To exceed our customer's needs, we focus on combining legendary Ritz-Carlton service, outstanding facilities, with creative and flexible food and beverage options that not only meet our customer's budgets, but also ensure a highly successful and memorable event."
To support the MICE industry, professionalism is undeniably a key factor to good impression. According to Indra, the development of the MICE business is quite high but still lacks professionalism in the international standard of requirements. "Despite the vast potential for the MICE market, players in the industry are facing challenges to increase and even maintain better service quality, which is related to professionalism. Professionalism is a key factor to promote the MICE sector," she said.
As a large country, Indonesia offers a great variety of venues for conferences and exhibitions thanks to the large number of provinces and cities that have the capacity to host MICE events. Jakarta, Bali, Yogyakarta in Central Java, West Java, East Java, Medan in North Sumatra, Batam, Manado in North Sulawesi and Makassar in South Sulawesi are among the most popular MICE destinations in Indonesia. Indra, however, focused on professionalism.
"Although the government has designated 10 cities as MICE destinations across the country, I would personally say that only five of them could be regarded as being of international standard because of their condition and readiness to host international meetings. Readiness doesn't only mean product and facilities but the people that move all of this. Attitude, understanding the important factors of what an event can bring to a city is still far from being totally understood."
She reminded that it was very important to improve professionalism, of both players and other people at all levels and related sectors, in promoting and developing the MICE sector. "Indonesia should open itself more to international relations by being more active in its capacity as members of international meeting industry associations. Efforts in public-private partnership in making it a success should be enhanced more to achieve maximum results."
Nonetheless, the MICE business, particularly exhibitions in Jakarta, has increased annually. The growth is partly supported by the increasing number of convention centers. The other Indonesian cities or provinces with good convention, exhibition or event facilities and increasing MICE business include Bali, Batam, Makassar and Yogyakarta.
In relation to tourism, large-scale events or exhibitions have multiplier effects. An exhibition is a tool for promotion and there are buyers and sellers, both locally and internationally. When coming to Indonesia, international buyers and sellers often travel with their spouses or other family members who visit tourist attractions and spend money on food, souvenirs and so on.
When deals are inked during an exhibition, the domestic sellers, for example furniture or handicraft home industries, will get orders and make more products, which means employment. So the multiplier effect is very strong.
Indra said the MICE sector played a role in developing the country's tourism industry. But, she added: "The MICE business is the event business and removed from the tourist industry. The spending of delegates is also higher, about three times more, than that of leisure tourists. Every 300 delegates who come for a three-day conference bring at least US$200,000 to the country."
The MICE industry has begun to pick up again as a promising business. The sector has high potential to grow given the increasing demand for meetings, seminars and exhibitions from local private firms, governmental offices as well as international parties. The players and all relevant parties need to be aware to always improve services.
Source: The Jakarta Pos | By I. Christianto
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