Post-COVID-19 Future of Corporate Events

The meetings and events industry represents a third of the economic spill that tourism in Mexico, estimated at more than US$35 billion annually, according to data from the Ministry of Tourism. This sector is of special importance since it comprises a mix of congresses, conventions, exhibitions and other national and international scale events in Mexico. However, the arrival of COVID-19 marked a different direction for the sector's growth expectations.

The Mexican Council of the Meetings Industry (COMIR) estimates that the events industry in Mexico will lose about MX$153 billion (US$6.98 billion) and will also reduce its participation in the national GDP from 1.64 percent to 1.4 percent, explains a note by Expansion. 

It is expected that by the second half of the year, the events industry will gradually recover its pace. However, it will require a sum of several factors. On the one hand, the industry enjoys the support of the authorities. In the framework of the inauguration of the XXVI National Congress of the Meetings Industry (CNIR) in Los Cabos, Baja California Sur, Minister of Tourism Miguel Torruco committed to promote and strengthen the events industry since this segment, in addition to generating a great economic spill, represents 3.1 times more than the total amount generated by concerts, shows, amateur and professional sporting events and all the recreational activities together in the country.

Likewise, the Mexico City Ministry of Tourism led by Carlos Mackinlay decided to reopen the Office of Congresses and Conventions in 2019 to keep the city as a benchmark in the industry. Mexico City, according to El Financiero, is the most important pole for corporate events and business exhibitions.

However, in addition to government support, the return of the industry will require a way of holding events in a post-COVID-19 reality. An article published by EventosPlus highlights that technology, health and engagement will be the three fundamental pillars that will guide future events in the sector. Technology will be one of the tools that will be vital for conducting events, either online or face-to-face, with greater innovation. Meanwhile, health security will require the evolution of events towards smaller, more exclusive and even boutique modalities, according to EventosPlus. Also, the public’s engagement will be different, demanding greater participation to be maintained but at the same time ensuring the safety of attendees. 

For others, the future of corporate events is hybrid. New event models will be based on a combination of face-to-face and virtual elements that combine live events with virtual components for remote attendees, according to an article published by Ungerboeck. However, hybrid models do not have a defined formula, yet. Ungerboeck mentions that the first step is for companies to define what is the goal of their event. Depending on whether they want to increase brand awareness, boost customer engagement or generate revenue, they will have to combine virtual and face-to-face elements. For example, a virtual exhibition booth may "offer visitors first-hand information and the ability to request a deeper conversation or product demonstration," according to Ungerboeck. B2B or B2C experiences can remain face-to-face under a more exclusive and intimate concept for doing business. Knowing the audience will be key in this new reality.

Pablo Ricaud Arriola, Co-Founder and Executive Chairman at Rising Farms, wrote in an exclusive article for MBN that “good times have a way of spoiling us into thinking everything will continue to be the same. We just came from a 10-year bull run all around. Ideas were plentiful, access to capital was abundant. Inevitably, we took that for granted and stopped being critical of what would happen if conditions might have reversed.” Ricaud believes that COVID-19 and its complexities taught us a lesson. “Life had a swift lesson to teach us, one that human beings have a hard time internalizing: Just because conditions behaved in a certain way in the past, it does not mean they will be the same in the future. Let’s use these times to be better,” he says.