Report Business tourism market in Katowice in 2016 Conference participants market research

Transcription

1 Report Business tourism market in Katowice in 2016 Conference participants market research Krzysztof Cieślikowski, PhD 1

2 Foreword The business tourism market in Poland is still growing intensively. Growth can be seen on the demand side (more traffic in hotels 1, hotel accommodation expenses 2 are on the up, the number of realised 3 business meetings is increasing), as well as on the supply side (a further increase in hotel numbers is observed 4, the number of multi-purpose meeting centres is growing 5 ). In November 2016, there were 222 hotels operating in the Silesian Province offering 11,306 rooms 6. In Katowice and the nearby 13 cities of the 7 agglomeration, there were 75 hotels in 2016, with 4,519 rooms in total and 8,296 lodging places 8. The aim of this paper is to characterise the demand on the business tourism market in Katowice and to assess the attractiveness of Katowice city, as well as identification of the behaviours shown by participants in conference meetings and other business events in Katowice in To achieve the objective, analyses and observation methods were applied with the use of secondary sources and my own research. While conducting market research and elaborating results, the business meetings in Katowice were counted (number of participants, conference days), and the most important meeting places and their total numbers, structure and seasonal character were identified. For the purpose of the research, a survey-based method was used for the participants of selected conference meetings, with a questionnaire as a research tool. The activities of participants in conference meetings and business events were characterised (the total number of those they participated in in 2016, including participation in meetings held in Katowice, what part of those held in Katowice involved lodging), as well as indications in the trends of delegates' conference activities in Poland. 1 See: Tourism in Central Statistical Office, Warsaw See: Report for Q Grupa Kapitałowa Orbis [Orbis Capital Group]. Warsaw, October See: Report on Meetings and Events Industry in Poland in Poland Convention Bureau, Warsaw 2016 and former editions 4 In Poland 2,463 were operating in November Tourist accommodation places. Bank Danych Lokalnych [Local Data Bank], Warsaw , stat.gov.pl (available: ) 5 See: official websites for other provincial (voivodeship) capital cities. 6 See: Hotels. Silesian Province. Centralna Ewidencja i Wykazy w Turystyce. [Central Record and Registers in Tourism] Ministry of Sport and Tourism. turystyka.gov.pl/cwoh/index/ (available: ) 7 Bytom, Chorzów, Dąbrowa Górnicza, Gliwice, Jaworzno, Piekary Śląskie, Ruda Śląska, Siemianowice Śląskie, Sosnowiec, Tychy, Zabrze 8 See: Hotels. Silesian Province. Centralna Ewidencja i Wykazy w Turystyce. [Central Record and Registers in Tourism] Ministry of Sport and Tourism. turystyka.gov.pl/cwoh/index/ (available: ) 2

3 1 Conference meetings and business events in Katowice 1.1 Methodology of market research used for estimation of the realised demand on the conference meetings and business events market in Katowice. For the purposes of research on the business tourism market in Katowice, the conference meetings and business events held there in 2016 were counted. The criteria set down by the Poland Convention Bureau, operated by the Polish Tourist Organization (Polska Organizacja Turystyczna), have been applied to ensure that the results obtained may be compared with those for other cities. During the period from November to December 2016, direct contact was established with managers of 39 key meeting facilities on the business market in Katowice. Forms were then sent out to be counted. In January 2017, completed forms from the managers of 24 facilities were received. These facilities include large conference rooms and other roofed premises used for business meetings. Subsequent contact resulted in the collection of data from 24 facilities: - 2 facilities exhibition/congress centre; - 11 facilities hotels with conference rooms, - 6 facilities for special events with conference rooms, - 5 facilities higher study institutions with conference rooms. The facilities mentioned constitute the specific research panel to which each year (since 2012) the following questions have been addressed: the number of business meetings held in these facilities (providing for meetings lasting more than 1 day) and the number of meeting participants. The data are classified in terms of time divided into months. 3

4 number of business meetings 1.2 Analysis of conference meetings held in The total number of counted conference meetings and other business events in the analysed facilities in Katowice in 2016 amounted to: 6,317 meetings (including 21%, i.e. 1,326, that lasted 2 days or more). When compared with 2015 (when, in total, 6,601 meetings were recorded), the total number of conference meetings and business events decreased by 284 meetings, which means a decrease in the overall number of such meetings in Katowice of 4.3%. Whereas the number of meetings that lasted 2 days or more was greater by 179 meetings (in ,147), i.e. an increase year on year of 15.6%. Among the 24 facilities reporting the number of conference meetings, there were also facilities where the number of meetings held decreased considerably. This particularly refers to facilities offering a lower standard of services, with small conference rooms, for which new office buildings with conference rooms are big competitors. It must also be noted that in December the Qubus Hotel in Katowice one of the key players on the business market in the city closed and changed owner. The average occupancy level of rooms in hotels in Katowice in 2016 amounts to about 65% and is greater, on average, by 5 percentage points than last year. The average price per room also increased by 5% (in 2016 it amounted to ). Moreover, the number of days when all rooms in Katowice were sold again increased year on year when compared with spotkania Meetings lasting trwające two days dwa or more dni i dłużej Fig. 1. Structure of conference meetings and other business events in Katowice in source: K. Cieślikowski own study r r r r r spotkania jednodniowe One-day meetings The share of meetings that lasted 2 days or more (1,326 meetings) in the overall number of meetings in 2016 amounted to 21% thus, this was greater than in 2015, when it amounted to 17%. 9 See: A. Konieczny: Hotele w liczbach [Hotels in numbers]. Property Magazine, Katowice 1/2017, p According to interviews conducted with hotel managers in Katowice in January 2017: Angelo, Best Western Premier, Monopol, Novotel, Silesian and Diament hotel network. 4

5 14,0% 12,0% 10,0% 8,0% 6,0% 4,0% 6,6% 7,6% 10,4% 9,8% 9,6% 9,1% 9,9% 11,5% 10,5% 6,8% 2,0% 4,1% 4,1% 0,0% I II III IV V VI VII VIII IX X XI XII Fig. 2. Breakdown of conference meetings and other business events in Katowice in source: K. Cieślikowski own study. The majority (728) of conference meetings and business events were organised in 2016 in Katowice in October (Table 1), which constitutes 11.5 % of all meetings and events during the year (Fig. 2). During the holiday months (July and August), respectively, 259 and 260 were organised in Katowice, which constituted 4.1% in a year. Table 1. Seasonal character of conference meetings and other business events in Katowice in conference meetings month number % Meeting participants Number of % persons conference days Number of % days January % 16, % % February % 29, % % March % 165, % % April % 76, % % May % 81, % % June % 86, % % July % 22, % % August % 12, % % September % 63, % % October % 90, % % November % 66, % % December % 50, % % total 6, % 762, % 7, % Source: K. Cieślikowski own study. 5

6 25,0% 20,0% 15,0% 10,0% 21,8% 5,0% 0,0% 10,0% 10,7% 11,4% 11,9% 8,3% 8,8% 6,6% 2,2% 3,9% 3,0% 1,6% I II III IV V VI VII VIII IX X XI XII Fig. 3. Breakdown of business event participants in Katowice in 2016 source: K. Cieślikowski own study. The total number of participants in conference meetings and other business events in Katowice in 2016 amounted to 762,538. The greatest number of participants in conference meetings and business events in 2016 in Katowice was 165,980 observed in March (Table 1), which constitutes 21.8% of all meetings and events during the year (Fig. 3). During holiday months (July and August) and in January and February, the number of participants in conference meetings and business events in Katowice was the lowest. A large number of people (over 114 thousand) participated in the biggest business event in Poland the international computer games and software fair Extreme Masters (IEM), which was held during 4 to 6 March 2016 in Spodek Sports and Entertainment Hall and International Congress Centre in Katowice Fig. 4. Breakdown of conference days in Katowice in 2016 source: K. Cieślikowski own study I II III IV V VI VII VIII IX X XI XII The total number of conference days in Katowice amounted to 7,963 in The breakdown of conference days in the year (Fig. 4) is similar to the breakdown of conference meetings and business events in Katowice in

7 number of participants in business meetings The average time of conferences in Katowice in 2016 amounted to 1.26 day (this means slightly longer conference meetings in 2016 than in 2015, when the average was 1.24). As has already been mentioned, the total number of realised business meetings in Katowice in 2016 slightly decreased when compared with 2015 (-4.3%); however, the number of participants in meetings in 2016 amounted to 762,538 people and increased when compared with 2015 by 30.9% (in 2015, there were 582,495 people) r r r r r. Fig. 5. Number of participants in conference meetings and other business events in Katowice in source: K. Cieślikowski own study. Since 2013, the number of participants in business meetings in Katowice has been growing (Fig.3). The dynamic increase observed in 2016 was caused mainly by the fact that it was the first full settlement period (12 months of 2016) during which the International Congress Centre was operating (the first event organised in ICC was in Q3 2015). Moreover, 2016 was another operating year for the separated promotion budget of Katowice city, intended for the promotion through events (pursuant to Resolution no. LIII/1257/14. of the Katowice City Council of 10 September 2014) and more and more effective actions undertaken by the City Office in Katowice in the scope of the recommendations contained therein. 7

8 2 Research into conference participants in Katowice in Methodology of research covering conference participants Within the framework of research into the business tourism market in Katowice, the conferences and business events held there in 2016 were counted. Behaviours of participants in selected conference meetings (their preferences, expenditure size and structure, etc.) were also assessed. For the purposes of research, the survey-based method was used, with a questionnaire as a research tool, with a cover letter justifying the reasons underlying the research. The process of direct research was preceded by talks with managers of facilities and/or event organisers concerning the purpose of such research and receiving consent for their execution. The questionnaire forms were actively handed out and collected during a conference meeting by persons prepared to report on the research, who provided substantive support to meeting participants in case of any questions or doubts. The questionnaire, supported by direct contact from the research team, ensured high return and accuracy rates (it was assumed that the form would be completed by a minimum 30% of participants). In 2016, the data obtained from 318 participants at 6 conference meetings, out of a total of 850 participants, were analysed (these were meetings of various sized groups the groups of participants ranged 50 and 300, 1 regional/provincial, 4 national, 1 international). Moreover, the conference meetings and venues for test sample were deliberately selected, so that the research could be conducted with participants of various conference meetings organised: in different places in the City of Katowice (in the strict city centre and outside the centre) in various conference facilities (2 meetings in conference hotels, 1 meeting at the higher study institution, 3 meetings in the multi-purpose conference centre without accommodation base) on various days of the week (1 Monday, 1 - Tuesday, 1 Wednesday, 2 Thursday, 1 Friday) the participants represented different organisations: companies, as well as non-profit organisations and public institutions (universities, hospitals, state administration and self-government administration). An additional research assumption involved the relatively short time of research execution (from 4 November to 7 December 2016), so that diversified weather conditions and organisation of other events in the City at the same time (e.g. cultural, sports) would not affect the research results (e.g. differences in the participants' motivations for using catering/restaurant services, and incurring other expenses outside the conference facility). Realisation of the said assumptions required, among others: contact with persons managing conference facilities, convincing them of the need to conduct research among the participants in conference meetings organised in their facilities located in the City of Katowice, obtaining information from the managers of the facilities about conference meetings realised/planned to be organised in November and December 2016, contacts with organisers of conference meetings in order to obtain their consent to carry out research into the meetings' participants, direct contact with conference participants while carrying out the research in the field. The research into participants of conference meetings in Katowice in 2016, for the purposes of this report, was divided into the following stages: 8

9 I. elaboration and testing of the research tool II. identification of venues and meetings where the research would be carried out III. obtaining consent to conduct the research IV. performance of survey with the use of questionnaire forms V. entering and coding the answers VI. counting conference meetings in Katowice in 2016 VII. elaboration of results and their analysis VIII. elaboration of the report For the purposes of the research, an interview questionnaire consisting of 10 questions (open and closed, cafeteria-structure questions, questions using the 5-point Likert scale), as well as individual sections, was developed and tested. The questionnaire and cover letter were handed to the participants before they entered the conference rooms, along with a request to fill out the questionnaire. Afterwards the information collected was entered into and coded in a computer program for further analysis and to draw conclusions. 9

10 2.2 Characteristics of a test sample The test sample consisted of 318 participants in 6 different conference meetings held at various conference facilities in the City of Katowice in November and December Most of the participants in conference meetings (over 37.1%) were aged between (Fig. 6). 40,0% 35,0% 30,0% 25,0% 20,0% 15,0% 10,0% 5,0% 0,0% 3,1% 20,1% 37,1% 26,4% 12,6% 0,6% Fig. 6. Structure of surveyed participants according to their age source: K. Cieślikowski own study. 76.7% of delegates participating in conference meetings represented companies and this was the largest group among the people surveyed. representing non-profit organisations (including universities, schools, foundations, associations) constituted 13.8%. State and self-governmental administrations represented 9.4% of the participants (Fig. 7). administration 9.4% non-profit 13.8% company 76.7% Fig. 7. Structure of conference meeting participants according to the type of organisations they represent source: K. Cieślikowski own study. 10

11 Moreover, it should be noted that 50.9% of the overall number of people surveyed were men, and 49.1% were women, whereas the share of women in the group of participants representing companies amounted to 44.3%, and in the group representing only non-profit organisations and public administration, the women prevailed with a share of 63.3%. The survey covered only people from outside the City of Katowice (participants from Katowice constituted 5.6% of all participants in conference meetings). Most of the participants surveyed in Katowice visiting the City of Katowice came from other towns within the Silesian Province (53.8%), which proves high internal demand among participants in conference meetings, as well as the great challenge for the organisers and administration of Katowice City to keep these the most likely one-day visitors for a longer time than only for the period of their participation in a business event. The subsequent provinces in terms of participants' origin were: Masovian 13.8% among all those surveyed and Lesser Poland 10.1% (Fig. 8). świętokrzyskie podkarpackie lubuskie kujawsko-pomorskie opolskie łódzkie zachodniopomorskie podlaskie lubelskie zagranica wielkopolskie warmińsko-mazurskie 0.6% 0.6% 0.6% 0.6% 0.9% 0.9% 1.3% 1.3% 1.3% 1.3% 2.5% 2.8% dolnośląskie pomorskie małopolskie mazowieckie śląskie 3.1% 4.4% 10.1% 13.8% 53.8% 0,0% 10,0% 20,0% 30,0% 40,0% 50,0% 60,0% Fig. 8. Territorial breakdown of the participants of conference meetings in Katowice source: K. Cieślikowski own study. During their stay for a given conference, nearly every fourth research participant (24.2%) declared they had incurred accommodation costs in Katowice (Fig. 9). 11

12 with accomodation 24.2% without accomodation 75.8% Fig. 9. Structure of the participants in conference meetings providing for the costs of their accommodation in Katowice source: K. Cieślikowski own study. In order to evaluate the total expenditure of the participants in conference meetings and business events in Katowice, one must provide for the amount of their expenditure and its structure, incurred by participants in conference meetings and business events in Katowice staying and those not staying overnight, drawn from the questionnaires obtained from the tested sample. However, in order to present annual expenditure and its structure, one should take the average values of those surveys and take into account the identified share of conference stays with accommodation on the part of participants in conference meetings in Katowice during the whole year which was shown in Fig Results of the surveys of market delegates and participants in conference meetings in Katowice in 2016, and an analysis thereof 3.1 Delegates' conference activity Katowice as the destination for delegates as compared to the rest of the country The City of Katowice is an important spot for delegates on the map of conference meetings in Poland. The research participants (318 people) declared that in 2016 they had jointly attended 1,678 conference meetings (5.28 on average). 46.4% of these meetings (788 meetings) were held in Katowice (Fig. 10.) 12

13 Katowice 46.4% other cities 53.6% Fig. 10. Structure of all conference meetings of the surveyed participants in 2016 according to conference destinations source: K. Cieślikowski own study. 16.5% of all conference meetings and business events attended by the delegates surveyed in Katowice in 2016 were realised with an accommodation option. (Fig. 11) The other visits (83.5%) at conferences in Katowice in 2016 were without an accommodation option. with accomodation 16.5% without accomodation 83.5% Fig. 11. Territorial breakdown of all participants in conference meetings in 2016 source: K. Cieślikowski own study. 13

14 The surveyed delegates participated, on average, in 5.28 conference meetings in 2016, including 2.45 held in Katowice (Table 2). This is more than in the previous year, where the numbers were, respectively, 5.13 conference meetings, including 2.26 meetings 11 in Katowice. This means that participants have increased the number of conference meetings and business events they attend. Table 2. Average number of conference meetings of the delegates in 2016 according to the type of organisation total representatives of companies representatives of non-profit and administrative organisations Average number of meetings in total Average number of meetings in Katowice Source: K. Cieślikowski own study. Delegates representing companies participated in conference meetings more often than other delegates the average number of their meetings in 2016 equalled 5.75 (including 2.66 in Katowice). Whereas delegates representing non-profit organisations or public administration bodies amounted to 3.54 and 1.60, respectively (Table 2) Trends in delegates' activities on the conference market in Poland 63.0% of delegates participating in the research declared that the total number of conference meetings they attended in 2016 had not changed, when compared to the previous year. Table 3. Trends in delegates' activities on the conference market in 2016 decrease in the number of conference meetings number of conference meetings remained unchanged increase in the number of conference meetings Percentage [of participants who selected this answer] 11.9% 73.0% 15.1% Average change in the number of conference meetings % 0.0% 46.7% Source: K. Cieślikowski own study. Whereas 11.9% of delegates stated that the number of meetings they attended decreased. The average decrease amounted to 41.1%. Whereas 15.1% of all survey participants stated that the number of conferences that they attended increased by 46.7% on average (Table 3). 11 See: K. Cieślikowski: Rynek turystyki biznesowej w Katowicach w 2015 roku. Badanie rynkowe uczestników spotkań konferencyjnych [Business tourism market in Katowice in Conference meetings participants market research]. Convention Bureau Katowice, Katowice 2016, p

15 3.2 Preferred means of transport for participants of conference meetings in Katowice Most of the surveyed delegates arrived at the conference meetings in Katowice by car (76.7%). The next group (16.4% of participants) arrived in Katowice by train (Fig. 12). These figures exceed 100%, since some of the research participants were able to indicate more than one mode of transport used to get to the meetings. Autobus Long-distance dalekobieżny bus 3.1% Samolot Plane 3.1% TAXI 3.8% Lokalna Municipal komunikacja public transport miejska 9.4% Polish State Railways PKP 16.4% osobowy Passenger samochód car 76.7% Fig. 12. Structure of the participants in conference meetings in Katowice according to the means of transport used to come to the meetings in 2016 source: K. Cieślikowski own study. The percentage of delegates who use a car as a means of transport to conferences is higher among the group of company representatives (78.7%) and those participants who did not use the option of accommodation (78.8%). Table 4. Means of transport used by different groups of delegates/participants in conference meetings in Katowice in 2015 in total representing companies representing non-profit and administrative organisations without accommodat ion with accommodatio n passenger car 76.7% 78.7% 62.2% 78.8% 70.1% train 16.4% 18.0% 18.4% 10.4% 35.1% municipal public transport 9.4% 8.2% 10.2% 12.4% 0.4% TAXI 3.8% 4.9% 3.1% 4.1% 2.6% plane 3.1% 3.3% 2.0% 0.4% 11.3% long-distance bus 3.1% 2.5% 9.2% 4.1% 0.4% Source: K. Cieślikowski own study. 0,0% 10,0% 20,0% 30,0% 40,0% 50,0% 60,0% 70,0% 80,0% 90,0% 15

16 Mass transit options are most often used by delegates representing non-profit organisations and public administration bodies 18.4% of these participants arrived in Katowice by train, 10.2% also used public transportation. Delegates who scarcely used accommodation declared public transportation or a long-distance bus in their travel to conference meetings in Katowice (Table 4). 3.3 Identifying the main reasons for participation in conference meetings For the purposes of determining their major motivations for participating in conference meetings, the delegates indicated the significance of a given factor on their decision to attend a conference on a 5-point Likert scale. The list of reasons was broad. Having analysed the research done by foreign institutions (as well as the pilot project), a list covering 12 factors was drawn up (4 official reasons: knowledge acquisition, establishing new business contacts, promoting own company/institutions; and 8 unofficial factors that the participants mention less often to their employer or their accountant when planning on attending a conference). The surveys of the delegates showed that the most motivating factor for participating in conference meetings (Table 6) was 'knowledge acquisition' with an average score of 4.53 (on the 5-point Likert scale, where 1 corresponded to 'unimportant', and 5 to 'very important'). The next one was 'establishment of business contacts' The second group of significant factors includes: close distance from the place of residence 3.47 (the significance of this factor has been systematically growing over the last few years: 3.46 in 2015, 3.45 in 2014, 3.27 in 2013 and 3.26 in 2012); the next group being: low cost of participation 3.41 and a certificate of participation Similar to previous years, the possibility of doing some shopping in the city hosting a conference was the least important factor to the participants surveyed 1.94; however, the majority of participants decided to spend their free time shopping in shopping malls in Katowice and thus incurred significant expenditure (more details further on). Table 5. Official and unofficial reasons behind participation in conference meetings in 2016 Participant s in total representing companies representing non-profit and administrative organisations without accommodat ion with accommodatio n knowledge acquisition establishing new business contacts close distance from place of residence relatively low costs of participation certificate of participation / diploma personal and social aspect Public Relations promotion of one's company/institution information on competitors' activities reputation of the conference facility entertainment and leisure opportunities in free time

17 other attractions, e.g. bonuses, shopping discounts shopping in the conference city Source: K. Cieślikowski own study. When analysing the results presented in Table 5, we may observe that: delegates representing non-profit organisations and public administration bodies as well as selfgovernments attach greater significance to the category of 'low participation costs', 'reputation of the conference facility' or 'certificate' than those representing companies; a participant who uses accommodation pays more attention to 'knowledge acquisition' (4.65) than one who does not stay overnight; delegates representing companies attach greater significance to 'promoting one's own company' (3.13) than delegates representing public administration bodies or non-profit organisations. 3.4 Perception of the City of Katowice as a destination for conference meetings and business events, in light of research into the delegates In order to determine the attractiveness of the City of Katowice as a destination for participants in conference meetings, two questions were added to the research questionnaire. The first asked respondents to identify the major advantages of a conference destination (certain features were listed and the participants were asked to evaluate each of them by entering 'x' on a 5-point Likert scale from 1 to 5, where 1 was 'unimportant' and 5 'very important'). Whereas the second question (inserted further on in the questionnaire) asked to what degree the City of Katowice had met the factors decisive for delegates that determine Katowice's attractiveness as a conference destination (the same features as the ones referred to above were listed, where 1 meant 'meets them to a small extent' and 5 meant 'meets them completely'). The difference between the average results for specific features (expectations and satisfaction) revealed Katowice's strong and weak points as the destination for the conference market as perceived by participants in conference meetings Identification of the most significant features of a destination for conference participants The surveys of the delegates revealed that the most important feature of a conference location for the participants was transportation accessibility (whereas 'accessibility by a passenger car scored an average value of 4.01, while 'broad and diverse conference base' 3.65 and 'broad and diverse accommodation base' 3.60 (Table 6). Its significance seems to have grown systematically over the last few years, with the increase of the number of longer conference meetings and increased number of conference participants. The participants assessed the following as less important: 'many shopping centres in the city' 2.33 and 'many cultural and sports events held in a given city' Moreover, the results presented in Table 6 also show that: delegates staying overnight attach greater significance to: 'broad accommodation base' (4.12), 'accessibility with mass transit options' (4.09), 'accessibility by passenger car transport' (4.01); delegates representing companies attach greater significance than others to: 'accessibility by car transport' (3.97), whereas participants from non-profit organisations and public administration bodies pay more attention than others to 'accessibility with mass transit options' 3.99; delegates representing companies also attach greater significance than others to: broad and diverse catering base (3.15). 17

18 Table 6. Attributes of a conference destination against the results of surveys on participants of conference meetings and business events in Katowice in 2016 transport accessibility by a passenger car broad and diverse conference base broad and diverse accommodation base accessibility with mass transit options broad and diverse catering base Participant s in total representing companies representing non-profit and administrative organisations without accommodat ion with accommodatio n sightseeing opportunities many cultural and entertainment facilities located in the city Parks and 'green' areas other conference meetings and business events held at the same time many cultural and sports events in the city many shopping malls in the city Source: K. Cieślikowski own study Determining the extent of satisfying the delegates' expectations of Katowice as a conference location The delegates assessed the City of Katowice as a conference destination in the following terms: 'transport accessibility with a passenger car' scored an average of 3.99 in the assessment of meeting the expectations; 'broad and diverse conference base' scored 3.98; 'accessibility with mass transit options' scored Survey respondents gave slightly lower scores to the following: 'broad and diverse accommodation base' scored 3.65; 'broad and diverse catering base' scored 3.57 (Table 7). 18

19 Table 7. Assessment of attractiveness of Katowice as a meeting destination against the results of surveys on participants in conference meetings and business events in Katowice in 2016 transport accessibility by a passenger car broad and diverse conference base accessibility with mass transit options broad and diverse accommodation base broad and diverse catering base many shopping malls in the city many cultural and entertainment facilities located in the city Participant s in total representing companies representing non-profit and administrative organisations without accommodat ion with accommodatio n sightseeing opportunities Parks and 'green' areas many cultural and sports events in the city other conference meetings and business events held at the same time Source: K. Cieślikowski own study When analysing the results presented in Table 7, we may observe that: participants using accommodation find Katowice more attractive with respect to 'broad and diverse conference base' 3.95, then 'accessibility by passenger car transport' 3.93 delegates representing non-profit organisations and public administration bodies rated Katowice the highest for 'accessibility with mass transit options' It is worth noting that either in the average rating of all participants, or in the individual groups of participants, 'many shopping malls in the city' in Katowice achieved a higher score than 'many cultural and sports events' or 'sightseeing opportunities'. This means that shopping malls and centres have become an attractive way of spending free time (after conference or another business event) by participants in business events Strong and weak points of Katowice as a destination for participants in conference meetings and business events The strong points of the city as an attractive destination for conference participants are those attributes/features indicated by the delegates as highly important to them and well satisfied by the target destination. The difference between the average values for fulfilment and importance yields a positive value (meaning they exceed expectations). In the light of the surveys of conference participants in 2016, the City of Katowice meets the delegates' requirements for nearly all the features of a conference destination (see Table 8). For delegates, the most important is 'accessibility by passenger car transport', which when compared with the previous year 19

20 slightly differs from their expectations (-0.02). Whereas 'accessibility with mass transit options' exceeded expectations by 0.28 (on the 5-point Likert scale). Table 8. Features of the City of Katowice exceeding the expectations of participants in conference meetings in 2016 How important are the following features to the delegates? To what extent does the City of Katowice have these features? Katowice Conference City result transport accessibility by a passenger car broad and diverse conference base broad and diverse accommodation base accessibility with mass transit options broad and diverse catering base sightseeing opportunities many cultural and entertainment facilities located in the city Parks and 'green' areas other conference meetings and business events held at the same time many cultural and sports events in the city many shopping malls in the city Source: K. Cieślikowski own study. With respect to other features making a destination attractive to delegates, Katowice surpassed the delegates' expectations. This was most evident in the following features: 'many shopping centres', with a score of 1.20 (Table 8) and in case of the following features: 'many cultural and entertainment facilities in the city' 0.55 and 'many cultural and sports events held in a given city' The answers to these two questions in the questionnaire give us interesting information regarding the perception of Katowice among the delegates. Listed below are the most frequently provided answers to the question 'What did you like most in Katowice?': 23.06% - 'ICC building' 17.65% - 'good transportation accessibility' 14.12% - 'culture zone' 12.94% - 'grand scale of investments and business development' 5.88% - 'market square and city centre' 5.76% - 'railway station', 'shopping malls', 'cultural facilities' People arriving in Katowice notice and assess very favourably the changes made in the municipal zone, which they emphasised by indicating the building of the International Congress Centre and the 'culture zone' (which also included NOSPR and the Silesian Museum). Another open question concerned possible areas for improvement and read 'What would you improve in Katowice?' Listed below are the most frequently provided answers: 12.7% - 'public transport' 8.1% - 'more parking lots' 20

21 4.6% - 'more green areas' 4.6% - 'condition of local roads and streets' 2.4% - 'air quality' The analysis of answers to this question shows that delegates put particular emphasis on efficient transportation accessibility into the City, as well as safe transportation within the City limits (particularly with the use of municipal public transport). Business travel by conference participants, particularly those travelling by passenger car, should end with quick parking and driving along undamaged and well-signed public roads. Interesting answers given by the participants of November and December conferences were: 'improvement of air quality', less frequently also 'cleanliness of the City' and 'more hotels' were indicated (0.5%). An indication of the main source of information about conference as well as other business meetings in which the delegates participated in Katowice may prove interesting, particularly with regards to public funds expenditure for the promotion of the City of Katowice (Table 9). The city administration may pay special attention to the forms and tools used to promote events, where they engage funds for promotion purposes. Table 9. Main source of information on a conference meeting Percentage of answers 47.4% conference web page Source of information 15.8% professional contacts, other trade meetings 14.7% invitation by 12.6% 'from friends' company representative (organiser's, exhibitor's, 3.2% sponsor's representatives) 3.1% from academic, economic and trade publications 2.1% conference facility web page 1.1% other 100.0% Source: K. Cieślikowski own study. Research on participants in conference meetings and business events in Katowice 2016 indicates that the main source of information about a given event is the 'conference web page' (47.4% responses), the next being 'professional contacts, other trade meetings' (15.8% respondents), as well as invitations sent by (14.7 %) and 'friends' (12.6%). The results presented in Table 9 indicate the great importance of electronic means of communication with business meeting participants and direct contact ('other trade meetings', 'friends'). These forms should be particularly used by both the organisers of events and the city administration, interested in promotion through events. 21

22 3.5 Structure and size of expenditures incurred by conference participants in Katowice All the surveyed participants in conference meetings in Katowice (during their stay at a given meeting) spent in 2016 an average of , which is (7.98%) more than in 2015 per person on goods and services. Whereas it must be emphasised that: % of the participants declared they had not incurred any expenses in Katowice % of delegates participating in the study incurred expenses on accommodation in relation to a given conference meeting. The large number (39.6%) of delegates who did not declare any expenses in Katowice may result from the fact that the distance to Katowice is not very far from their place of residence, they had purchased goods and services earlier or after the conference meeting in another ('their own') city, and only purchased fuel (more than half of the delegates came to a conference meeting from the Silesian province). 24.2% of research participants declared they had incurred expenses on accommodation in Katowice in connection with the conference. Whereas the average number of overnight stays paid for by the delegates during the conference in Katowice was 1.26 and overlaps with the average time of conference duration; and the expenses incurred for this purpose reached (in ). Considering the average number of overnight stays of one delegate, one may calculate that delegates were willing to spend in 2016 about per night (in 2015 it was around ). The average expenditure in this research group during their stay in Katowice equalled Delegates who declared expenditure incurred in Katowice, but did not use accommodation (36.2% of all respondents), spent in Katowice, on average. 52.2% of respondents from this group did not incur any expenditure in Katowice. This means that the average expenditure of all participants who did not stay overnight in Katowice amounted to per one conference stay in Comparing these results to 2015, we can observe an increase in expenditure in the group of participants who did not use accommodation. (Table 10). Table 10. Average expenditure of conference participants incurred in Katowice in who decide to incur expenses in Katowice but did not use accommodation using accommodation Source: K. Cieślikowski own study. Considering the structure of expenditures incurred by delegates staying overnight in Katowice, we may observe that delegates in Katowice spent most on accommodation 52.3% (Table 11). This means that they spent in 2016 (Table 12.) during one conference stay and then for catering services inside and outside the conference facility (in total 15.9%), shopping in shopping malls (14.0%). 22

23 Table 11. Structure of total expenditure incurred by conference participants in Katowice in 2016 Structure of expenditure of delegates without accommodation Structure of expenditure of persons using accommodation accommodation services 0.0% 52.3% catering services inside a conference facility catering services outside a conference facility additional fees and conference materials local transportation in the target city (municipal transport, TAXI) recreation and entertainment during free time inside the conference facility recreation and entertainment during free time in Katowice shopping in the shopping malls, centres and commercial streets Source: K. Cieślikowski own study. 5.6% 3.1% 16.1% 12.8% 24.4% 11.8% 3.7% 3.0% 4.8% 0.8% 14.6% 2.2% 29.5% 14.0% car parks 1.2% 0.0% Total 100.0% ( ) 100.0% ( ) Table 12. Inclination shown by participants of conference meetings towards expenses by type of cost, along with average volume thereof in Katowice concerning those who declared them in 2016 without accommodation Average volume of expenditures for those who incurred them Percentage of participants incurring the expenditure in this group using accommodation Average volume of expenditures for those who incurred them Percentage of participants incurring the expenditure in this group accommodation services % % catering services inside a conference facility catering services outside a conference facility conference materials local transportation in the target city (municipal transport, TAXI) recreation and entertainment during free time inside the conference facility recreation and entertainment during free time in Katowice shopping in the shopping malls, centres and commercial streets % % % % % % % % % % 9.8% % 13.2% % car parks % % Source: K. Cieślikowski own study. 23

24 Table 12 shows an analysis only of the behaviour of those participants who incurred expenses in Katowice in relation to their participation in a conference meeting in Among the participants who did not stay overnight in Katowice, but still purchased goods or services, most people were willing to buy catering services outside the conference facility 16.7%, and spent on average for this. These services were also the most often incurred cost (apart from costs of accommodation) by those participants who stayed overnight in Katowice for the duration of their conference meetings. 63.6% of people in this group declared they had incurred such costs, and the average value thereof was (table 12). 'Shopping in shopping malls, centres and shopping streets' was a popular item among expenses incurred by respondents during their stay at conference meetings in Katowice. 13.2% of delegates who did not stay overnight spent an average of in 2016, whereas 29.9 % of those staying overnight in Katowice spent, on average,

25 Summary The total number of conference meetings held in Katowice in 2016 amounted to: 6,317, including 21% of meetings (i.e. 1,326) which lasted 2 or more days. The total number of conference days in Katowice in 2016 equalled 7,963, which means that the average time of conference and other business events amounted to 1.26 (i.e. it was longer when compared with 2015, when it lasted 1.24 days). The most conference meetings and other business events, as well as conference days were observed in October. Whereas the majority of participants in such events visited Katowice in March The number of participants in all conference meetings and business events in Katowice in 2016 amounted to 762,538 people. This means an increase when compared with 2015 of 30.9% (in ,495 people). In 2016, 220 conference meetings and other business events were organised in the International Congress Centre (ICC the biggest roofed conference facility in Poland) in Katowice, in which 530,690 people participated. In March 2016, the ICC in Katowice held the biggest business event in Poland the international computer games and software fair Extreme Masters (IEM). More than 114 thousand people visited the ICC during three days. In May 2016, there was another edition of the international European Economic Congress, in which 8,000 people participated. While observing average expenditure incurred by participants of a conference meeting one must note that total expenditure incurred by one delegate using accommodation in Katowice in 2016 amounted, on average, to including accommodation amounting to ( per one night). in conference meetings who did not use accommodation during their stay in Katowice spent, on average, (which constitutes an increase of 8.68% year-on-year). Whereas 39.6% of respondents did not declare incurring any expenses in Katowice with regards to their participation in the survey (they purchased fuel, tickets or other services in other cities before appearing at the meeting). The same share among participants of conferences in Katowice without accommodation is even higher and amounts to 52.3%. Taking this fact into account, the average amount of expenditure of all participants in conference meetings or other business events who did not use accommodation during one conference or other business event in Katowice amounted in 2016 to per capita. If we assume that 16.5% of participants in conference meetings or other business events in Katowice in 2016 stayed overnight during these events (Fig. 13), and the remaining number of participants did not stay overnight, then taking into account the total number of participants in business events in Katowice and average expenses, providing for the division into those staying and those not staying overnight, the total amount of expenditure incurred by the participants of business meetings in Katowice in 2016 may be calculated. Consequently, the expenditure incurred in 2016 by the participants in conference meetings or other business events in Katowice totalled 116 million ( 116,227, ). In light of this research into participants of conference meetings, the City of Katowice is perceived as a city that meets delegates' requirements for organizing conference and business meetings. 12 This results from the following calculation: ((16.5% out of 762,538 participants) x ) + ((83,5% out of 762,538 participants) x 77.22). 25

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