Convention center officials expect busier '02

By Katherine Nichols
Advertiser Staff Writer

Window washer Tupou Maile helps prepare the Hawai'i Convention Center for a better year. Center officials expect 94,300 out-of-state conventioneers this year, compared with 52,000 in 2001. That would still fall short of the 128,525 out-of-state attendees in 2000. Advertiser library photo Major bookings The following are major meetings/conventions booked at the Hawai'i Convention Center: Number Attendees 1999 17 72,430 2000 31 108,600 2001 23 52,750 2002 28 94,300 2003 12 53,600 2004 12 60,800 2005 14 97,800 2006 7 51,800 2007 7 58,350 These numbers do not include short-term bookings. Source: Hawai'i Tourism Authority and Hawai'i Visitors & Convention Bureau • Hawai'i Convention Center bookings for 2002 (large graphic) • Major bookings

Last year, when Hawai'i tourism could have used a steady stream of business meetings from elsewhere, the Hawai'i Convention Center failed to deliver. The number of off-shore conventioneers dropped almost 60 percent from the previous year.

The decline had more to do with the recession than with the Sept. 11 attacks, said Sandra Moreno, vice president of meetings, conventions and incentives with the Hawai'i Visitors and Convention Bureau.

But the fallout from the attacks, including cancellations by two out-of-state groups booked for 2002, did not go unnoticed. The Hawai'i Visitors and Convention Bureau sent a team on the road for 18 unscheduled promotions. They logged thousands of miles visiting clients to mine new opportunities and make sure no more groups backed out of commitments.

The effort seems to have paid off. The convention center held on to 28 offshore groups booked for 2002, compared with 21 groups that used the facility last year. More importantly, 94,300 out-of-state conventioneers are expected to attend events this year, as opposed to 52,000 last year. That's still short of the 128,525 out-of-state convention attendees in 2000.

"I'm not saying we're out of the woods, but we're seeing some much more positive signs now," Moreno said. "We are looking forward to a better year than 2001."

The convention center hopes to generate $270 million in visitor spending if the 2002 projections are accurate, Moreno said. This includes registration fees, logistical support, airfare, meals, entertainment and an estimated 215,295 room nights.

Filling the gaps between out-of-state conventions will be about 150 local events. Although these generate some income and help the center refine its services for larger groups, "the goal continues to be to get offshore events," said Joe Davis, convention center general manager.

Conferences were responsible for a record $96.4 billion in spending nationwide in 2000, according to Meeting Professionals International, a Dallas-based group of corporate meeting planners gathering this week at the Hawai'i Convention Center. Now attendance nationwide is averaging 20 percent below expectations, Moreno said.

"I think it will take us until 2003 to get to more normal levels," she said. One of the problems is that fewer people are attending conventions. Teleconferencing and Inter-net meetings are becoming viable alternatives that cut costs and keep wary travelers on the ground.

While cancellations may be rare — Japanese lingerie company Charle, which was to send 5,000 sales associates, was one of the two groups Hawai'i lost since Sept. 11 — the key challenge for the convention center is minimizing attrition at each event. "We are committed to do major attendance promotions" with clients, Moreno said. Though she readily admits "there is just no silver bullet for this," Moreno said the HVCB made every effort to establish trust.

In addition to numerous face-to-face meetings, deals were made with airlines to promote special air fares. Pricing flexibility helped leverage large groups. A direct mail program, Web marketing and an e-mail campaign offered multi-layered follow-ups.

The push for 2002 was so intense, Moreno said, that it will be nearly impossible to maintain. But she says it is hoped the momentum created — with the same budget plus money from canceled training retreats — will carry the convention center for years.