The financial fortunes of US conference centers are turning around after three consecutive years of declining revenues and profits.
“When looking forward to the remainder of 2005, most center managers are expecting even greater improvements in performance,” says PKF Consulting (PKF-C), which issued a new report in conjunction with the International Association of Conference Centers.
Said David Arnold, eastern regional chief executive officer of PKF-C:
“As a whole, our Trends in the Conference Center Industry sample enjoyed a healthy 7.5% increase in total revenue in 2004.”
Conference centers in the study envisioned a 9% increase in occupancy this year, and a 4% increase in package pricing.
Conference center are specialized lodging facilities that thrive on small to mid-sized business conferences.
Business organizations and academic institutions were the primary sponsors of conference center meetings last year.
Tight corporate meeting budgets not only reduced the number of conferences held during the recession, but it also limited the amount of travel for which companies were willing to pay, the study said.
Report by David Wilkening
