Political Support for the Conference Industry in Hamburg, Germany Florence, 12 November 2013 Dr....

Political Support for the Conference Industryin Hamburg, Germany

Florence, 12 November 2013

Dr. Rolf-Barnim Foth

Free and Hanseatic City of Hamburg Ministry for Economy, Transport and InnovationHead of Task Force Northern German Cooperation, Hamburg Metropolitan Region, Marketing & Tourism Alter Steinweg 1-3 20459 Hamburg phone +49 40 428412618 [email protected]

Oberthema... (weiß) Bitte überschreiben.Unterthema... (blau) Bitte überschreiben.Agenda

International competitiveness and regional politics

A few facts about Hamburg

Hamburg as a location for the meeting industry

Institution building – the convention and meeting industry as a pillar in

Hamburg‘s marketing strategy

Conclusions

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Oberthema... (weiß) Bitte überschreiben.Unterthema... (blau) Bitte überschreiben.

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European visibility from U.S. or China

National states lose importance

Most European cities or regions are too small to reach or to maintain global visibility on their own.

Metropolitan Region building:Urban + urban/urban + rural = one answer to globalisation

Joint efforts of local and regional players and improved marketing become essential !


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4 Federal States, 17 counties, 2 major cities, 26.000 km², 5,1 million inhabitants= 1% of EU-population

joint labour market:

340.000 inbound

150.000 outbound

Hamburg has run a comprehensive growth strategy since 2001 –together with the region

12 metro-regions in Germany;European megatrend

Hamburg Metropolitan Region


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Hamburg: Who we are …

Germany’s 2nd largest city with a population of 1.800.000 – largest non-capital of EU; > 20% international population

City State with law making powers

business capital of Germany; European Green Capital 2011

foreign trade hub for 800 years and turntable between Northern Europe and Asia, Latin America and Africa first European logistic hub


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second largest port in Europe third aviation technology centre world wide regional cluster policies in aviation, logistics, life science, maritime industry,

new energies, media & IT, creative industries, healthcare oldest German metro-region; cooperation dates back to pre-war times region of growth - highly attractive region to live and work between the Baltic

and the North Seas


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Bild durch Klicken auf Symbol hinzufügen

Tourism: European „Champions League“: overnight stays 2012


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Bild durch Klicken auf Symbol hinzufügenbeds available in 2001: 28.000

2012: 53.500

2014: > 60.000

overnight stays in 2001: 4,7 million

2012: 10,6 million (+ 11,6 %/2011)

25% = business

108.000 jobs in Hamburg

turnover 2011: 7,4 billion Euro

Hotel and restaurant industry36,0%

Retail industry45,6%

Services 18,4%

Source: dwif 2011

Oberthema... (weiß) Bitte überschreiben.Unterthema... (blau) Bitte überschreiben.Congress Center Hamburg (CCH)

second center by size in Germany, among Europe‘s leading CC 12.500 seats, 10.000 m² exhibition fascilities since opening 1973 130 world congresses - last „96th. Lions Clubs

International Convention Hamburg 2013“ with 23.000 participants situated in a park in Hamburg‘s city center, in walking distance to

high speed train station, hotels, shopping etc. 20 mins drive from airport CCH designed for meetings

and events >1000participants; others takeplace in hotels andspecial locations

CCH 100% state owned


200.000 participants in national and international congresses/meetings (2012) estimated 100.000 participants stay 1-4 days in Hamburg purchasing power of 107,5 mil. Euro (100.000 participants x 2,5 overnight

stays x 430 Euro average expenditure per day); 80% directly in Hamburg securing 1.800 jobs, 1.400 in Hamburg itself indirect advantage: access of Hamburg‘s clusters, universities etc. to

knowledge and international exchange

CCH – value for Hamburg

Oberthema... (weiß) Bitte überschreiben.Unterthema... (blau) Bitte überschreiben.CCH – City commitment

CCH - meeting facility outdated; estimated investment < 200 mil. Euro. Alternatives: phasing out + close down or revitalise

market 2011 in Germany + 3,5 % growth (2,25 mil. meetings with 101,5 mil. participants; turnover 66 billion Euro);stagnation of small meetings < 50 participants; increase of larger meetings

closing down has negative effects on industry: No national or international visibility without congress center; all well known congress cities have at least one big center seating 5.000 to 10.000. Top destinations like Vienna, Berlin or Barcelona dispose of several centers.

internet will not replace face to face networking and presentation of products or rearch results: Increasing global division of labour leads to a rising demand for platforms for personal exchange, dissemination of information, knowledge and business contacts. Acquisition of qualified workforce and companies.Interaction with own clusters.

Oberthema... (weiß) Bitte überschreiben.Unterthema... (blau) Bitte überschreiben.Meeting industry – City commitment

majority of meetings takes place in hotels. German congress centers have a market share of 5,5 %, however, 60 % of all participants.

Congress Center Hamburg has 80 % turnover with TOP 30 meetings.

Therefore all meetings < 500 participants and most < 1000 taken over by meeting industry in and (next step) around Hamburg.

City gives support to

all (potential) clients

via first stop office:

Hamburg ConventionBureau (HCB)

Oberthema... (weiß) Bitte überschreiben.Unterthema... (blau) Bitte überschreiben.Hamburg Convention Bureau GmbH (HCB)

established in 2009; 100 % daughter of Hamburg Marketing GmbH

funded by Hamburg and the new “Hamburg Cultureand Tourism tax” (1.000.000 Euro p.a.) and partners (hotels, caterers, PCOs)

(neutral) first-stop-office for meeting planners considering Hamburg as a destination for their business-event

first port of call for all service providers of the meeting industry in Hamburg Metropolitan Region

marketing Hamburg Metropolitan Region as a congress destination - domestically and globally

acquiring corporate and association business


Cooperation agreementswith further marketing actors from Hamburg

Business Promotion Tourism Marketing

budget&IT

strategic controlling

personal&

organisation

Hamburg marketing

brandmanagement

PR

communication

Internat.relations

fairparticipation

grafics market research

Structure of Hamburg Marketing

First stop office for meeting

planners

Leading role within city‘s

bidding process

Convention Marketing(Events)

Shareholders75,5% Hamburg 9,5% 17 counties and 2 major cities of Metropolian Region15,0% Chamber of Commerce

Oberthema... (weiß) Bitte überschreiben.Unterthema... (blau) Bitte überschreiben.Competences and tasks of the HCB

research and acquisition of conventions and meetings

bid process management

recommending hotels, venues, accompanying events and incentives, service providers etc. in Hamburg Metropolitan Region

obtaining hotel allocations and arranging contacts to competent service providers such as catering firms, PCOs, agencies or logistics suppliers

client support before, during and after the convention

involving all relevant municipal organisations

planning and execution of site inspections

continuous monitoring and evaluation of meeting industry market data

(events)

Oberthema... (weiß) Bitte überschreiben.Unterthema... (blau) Bitte überschreiben.HCB - selected marketing measures

trade shows – IMEX, IMEX America, EIBTM

fora – M&I, The Meetings Space, Successful Meetings University

educational tours – national and international

roadshows and Hamburg related events abroad

“Hamburg Special” – for meeting planners of Hamburg Metropolitan Region

bi-annual meeting guide on Hamburg Metropolitan Region

homepage & newsletters

Oberthema... (weiß) Bitte überschreiben.Unterthema... (blau) Bitte überschreiben.Conclusion

Convention and meeting industry is of major economic and social importance to Hamburg

a convention bureau is vital, as a congress center will not be able to market a destination with its meeting portfolio in total

a large congress center has a lighthouse role and contributes to the marketing of the City itself and to the success of the meetings industry

a congress center is a vital platform for economic (cluster) or scientific ambitions and a source of know-how transfer to the region

however, there is no need to run everything 100% on public funds; ppp is a realistic alternative

Inevitably there will be a deficit for the city budget, but an overall advantage for the industry, retail, jobs etc.

Oberthema... (weiß) Bitte überschreiben.Unterthema... (blau) Bitte überschreiben.Questions ?

Rimini by architects from Hamburg:

Oberthema... (weiß) Bitte überschreiben.Unterthema... (blau) Bitte überschreiben.Success factors for meetings industry

good accessibility by air, train and car

meeting facilities according to demand

enough hotels and restaurants in all categories

shopping facilities and leisure/touristic facilities play a role

attractiveness of location and state in terms of size, business relevance …

successful meeting locations dispose of „first-stop office“ and „convention bureau“ (Vienna since 1969)

quality of services/welcome culture

Oberthema... (weiß) Bitte überschreiben.Unterthema... (blau) Bitte überschreiben.Market potential for Hamburg

Many international meetings have not yet taken place in Hamburg:

845 congresses with average 1.000 to 3.000 participants495 took place in Germany, incl. 107 in Hamburg

220 congresses with average more than 3.000 participants160 took place in Germany, incl. 41 in Hamburg

Political Support for the Conference Industry in Hamburg, Germany Florence, 12 November 2013 Dr....

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