1. HOW TO DEAL WITH HOTEL ALLOTMENTS WHEN BIDDING FOR CONVENTIONS Airy Garrigosa Director Barcelona Convention Bureau Victoria, 2 November 2008

2. BARCELONA CONVENTION BUREAU  Staff  9  Total Budget  2 million €  Opened 1983  Number of meetings 2007  1,775  Number of delegates 2007  629,704  Overnights  2,322,371  Meetings  81  Delegates  132,000  Overnights  500,690 Booked through BCB year 2007

3. BLOCKED BY BCB 2008  Meetings  66  Delegates  76,495  Overnights  322,162 Corporate: 33% Association: 67%

4. HOTEL ROOM BLOCKAGE BCB blocks rooms in hotels. Medium size (3000 – 10,000) we block maximum in hotels Around the convention Centre, Then city centre. Approx 50% of expected attendance or less Once the bid is won, the client has to appoint a PCO to who we pass on the blockage Methodology:

5. HOTEL ROOM BLOCKAGES The PCO is due to draw the contracts with the hotels and take the reservations (groups or individuals). Also to pay deposits. For city wide congresses we ask for a 70 / 80% of their capacity. Smaller give around 50%. Prices and conditions. Meetings with: - Advisor group hoteliers - Hotel Association - Official PCO

6. REINVESTMENT Agreement with the hotels to pay 2% to BCB. We always block ourselves, never ask the PCO.

7. “WASH-DOWN” Each PCO acts under its own criteria or finantial situation. Often return rooms not to pay deposits. “wash-down” Individual participants book late (37,4% between 1 and 3 months) Many book through INTERNET cheaper than the PCO rates

8. EXAMPLES Veterinary – Octuber 2008 – Barcelona - CCIB Total participants: 2,200 Total rooms blocked : 965 Total rooms sold: 268 European Science Open Forum (ESOF) – July 2008 – Barcelona - CCIB Total participants: 4,200 Total rooms blocked: 1,200 Total rooms sold: 382 ECCO – September 2007 – Barcelona CCIB Total participants: 13,000 Total rooms blocked: 8,860 Total rooms sold: 4,216 IUCN – October 2008 – Barcelona CCIB Total participants: 7,800 Total rooms blocked: 4,378 Total rooms sold: 1,000 ESHG – May 2008 – Barcelona - CCIB Total participants: 1,800 Total rooms blocked: 900 Total rooms sold: 500

9. BOOKING CONDITIONS Example: city wide convention 2009 6 months prior to event: reduction without penalty 3 months prior to event: reduction - up to 20% without penalty - over 20% full charge 1 month prior to event: reduction - up to 10% without penalty Between 30 days and event: - full charge Groups

10. BOOKING CONDITIONS 6 months prior to event: 35% 2 months prior to event: 35% 30% remaining 30 days after invoice Deposits

11. BOOKING CONDITIONS Example: city wide convention 2009 4 months prior to event: revision of contingency without penalty 1 month prior to event: penalty one night Between 30 days and event: full stay payable Individuals

12. BOOKING CONDITIONS 2 months prior to event: 2 nights Balance upon departure by client Deposits

13. “WASH-DOWN” Consequence: PCO sells less than expected Association gets less part of the cake Hotels unsatisfied and reluctant to give large allotments for future congresses

14. THANK YOU FOR YOUR ATTENTION