1. Chapter 2
The Business Structure of
MICE industry
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E-mail: tpavit@hotmail.com
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2. Introduction
Chapter Two outlines for students the structure of the MICE
industry in Thailand. It identifies the various industry
stakeholders and the role that they play within the industry.
Students are also provided with an over view of the various types
of venues, facilities, products and services provided by the
industry.
The chapter is designed to build on the information introduced
Chapter One to ensure that students are provided with a solid
foundation on the structure and organisation of the MICE
industry.
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3. Objectives
1. Outline and explain the structure and organisation of the
MICE industry in Thailand
2. Name the industry stakeholders and outline the roles that
they play
3. Define the types of services necessary to conduct MICE
business
4. Identify the customers of the MICE industry
5. Explain some of the terms and definitions used in the
MICE industry
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4. Outline
1. The structure of MICE industry (demand and supply)
2. Player and Stakeholders in the industry
3. MICE customer
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5. The Structure of MICE industry
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6. The relationship between
business tourism and leisure tourism
Business tourism
Leisure tourism:
Accommodation Entertainment
Bars, Café, and restaurants venues
Transport Visitors attractions
Retail outlets Tourism information
Leisure tourism +:
Convention and exhibition venues
AV specialists and IT facilities The supply side: Business tourism
Secretarial services and leisure tourism
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7. Leisure tourism and business tourism
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8. 8

9. The Structure of Business Travel and Tourism
Consumer/ Customers
Demand Individuals
Companies
Associations
Specialist Intermediaries
Business travel agents
Conference placements and handling agencies
Intermediaries Exhibition companies
Event management companies
Incentive travel agencies
Destination management agencies
Supplies
Transport operators
Venue (Residential and Non-residential)
Supply Accommodation operators
Ancillary service (Catering)
Special service (AV, Entertainment equipment, IT)
Visitors Attractions
Source: Horner and Swarbrooke (1996) 9

10. The Structure of Demand
Business travel and tourism
1. Frequency of travel
2. The level of demand for particular destinations
3. The level of demand for particular venues
4. The level of demand for different types of accommodation
5. The level of demand for the products and services
6. The segmentation of the market on the demographic
7. The seasonality of demand
8. The purpose of trip and the type of business tourism
9. The duration of the trip
10. Expenditure during trips
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11. The Structure of Supply
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12. Characteristics of Events as a service
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13. Structure of Event services
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14. Structure of Event services
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15. Structure of Event services
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16. Industry Stakeholders
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17. The Industry Stakeholders
Delegates
Hotels
Delegates
Exhibit design Facilities
Destination PCOs and
management Convention managers
Companies
Exhibitors Transportation
Audiovisual Convention
services Bureaus
Exhibition/trade show Exhibition service
managers contractors
Exhibit design Food Services
Delegates
Associations
Delegates
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18. The Industry Stakeholders
1. Convention and visitors 7. Food services
bureaus 8. Exhibit design
2. Hotels
9. Associations
3. PCOs and Convention
managers 10. Audiovisual services
4. Transportation / Freight 11. Exhibitors
forwarder 12. Exhibition/trade show
5. Exhibition service managers
contractors
13. Facilities
6. Destination management
companies (DMCs)
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19. Services necessary to conduct MICE business
1. Convention and Visitor
Bureaus
2. Venues
3. Transportation Operators
4. Service Support Companies
5. Exhibition Service
Contractors
6. Professional Conference
Organizers (PCOs)
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20. 1. Convention and Visitors Bureaus
CVB has been established for the need of coordinated
approach by all sections of the tourism business
community as to encourage both MICE business and
visitors
CVB works or acts as a cooperative, representing all the
various sectors of MICE industries (e.g. venues, hotels,
restaurants, transport operators, etc.) and promoting the
city/destination to a broad range of companies,
associations or visitor groups
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21. Convention and Visitors Bureaus
Hotels
Meeting
Convention facilities
Attraction
and Exhibition
Tours
center
CONVENTION
Retail AND Transportation
Shopping VISITORS network
BUREAU
Information Food and
center/ beverages
Visitors
Entertainment
Arts events
Community Setting
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22. Convention and Visitors Bureaus
Major functions & responsibilities of CVB include:
1. Sell the city/destination by developing an image to
position the city in the market place
2. coordinating the constituent elements of the industry
and public sector
3. working with meeting & group planners
4. representing both buyers (demand side) and sellers
(supplier side)
5. providing information and responding to visitor enquiries
6. providing leadership for the industry
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23. Convention and Visitors Bureaus
CVB s services provided for all MICE sectors
1. site inspections of the city s hotels & other facilities
2. advice and assistance on budgeting & organization of the event
3. suggestions for the structure of conference program (during, pre &
post programs for both participants & accompanying persons)
4. promotional materials
5. assistance in the preparation of the bid documents, particularly for
associations that might wish to host a regional, national and
international conference at the destination
6. Liaison between government, civic authorities and the MICE
organizers
7. It generally has a list of members, those would have been
classified into different categories
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24. Convention and Visitors Bureaus
1. International Congress and Convention Association: ICCA
2. International Association of Convention and Visitor Bureaus: IACVB
3. The Professional Convention Management Association: PCMA
4. Asian Association of Convention and Visitor Bureaus: AACVB
5. Society of Incentive Travel Executives: SITE
6. International Association of Professional Congress Organizers (IAPCO)
7. Tourism Authority of Thailand: TAT
8. Thailand Convention and Exhibition Bureau: TCEB
9. Thailand Incentive and Convention Association: TICA
10. Trade and Exhibition Association (Thailand): TEA
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25. 2. Venues
Venues are places where MICE events
would be organized,
Venues today must be aware of current
trends within the industry, including:
1. the increase in the smaller MICE market,
especially from the corporate sector
2. the need to be cost competitive
3. the demand from corporate and organization
meting planners for a greater return on their
investment
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26. Venues
There are three main categories:
1. Residential Venues
2. Non residential Venues
3. Special Venues
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27. Venues
1. Residential Venues
Residential venues are any venue that provides both
residential accommodation and convention and meeting-style
facilities, for example:
Resort Hotel, Central Business District Hotels (CBD), Airport Hotels,
Suburban Hotels, Boutique Hotels, Residential conference centers
Colleges and University
Cruise Ships
= Provide Accommodation +
Convention and Meeting Facilities
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28. Venues
2. Nonresidential Venues
= Only provide convention
and meeting facilities
* other venues for MICE
events that exclude the
provision of lodging
indicated or purpose-built
convention centers
exhibition halls
arenas & stadium
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29. Venues
3. Special Venues
these have been
specifically selected for
particular MICE events,
e.g.
historical buildings,
museum,
zoos,
landmarks
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30. 3. Transportation Operators
The transport operators in supplying a
MICE event can include:
Airlines
Railways / BTS / MRT
Coaches
Car rental & taxi companies
Airlines play an important role in the
transportation process of both domestic
& international MICE event
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31. 4. Service Support Companies
This group of companies provides
support services to ensure a
successful MICE event, including:
audiovisual companies
printers, printing companies
florists
entertainment companies
interpreters & language translators
producers of conference satchels and
name badges
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32. 5. Exhibition Service Contractors
These companies, generally sited in each capital city, provide a
variety of products & services including
exhibition stand design & construction
plant & equipment hire
provision of light & power
security
art works
Generally, these companies work and
have a very close relationship with PCOs
and organizers at the MICE s venues
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33. 6. Professional Conference Organizers
These companies are an individual or
organization who organizes and
provides MICE planning services to a
client/customers for a fee
They would manage all details,
activities and interactions of a MICE
event, from the initial idea through to
the actual event and post-event
evaluation
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34. Type of Convention and Meetings
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35. Types of MICE events
International MICE Events
Corporate Initiators Non-Corporate Initiators
Internal event International Governmental
Organization. (GO’s)
External event
International
Non-Governmental
In/External event Organization. (NGO’s)
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36. Types of MICE events
In general, all MICE events could be categorized into:
Corporate events, these are from private sectors
Association/government events, these are from government &
not profit oriented organizations & associations
Examples of these events might include:
corporate events- association meetings & events
government & intergovernmental meetings
common interest meetings
exhibitions
trade shows
consumer shows
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37. Who holds and Plans the Event?
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38. MICE customers
This section deals with the question of who holds the MICE
events, the outcomes are as the following:
1. Corporate sector (think about the size of meeting, rotation &
frequency rate, etc.)
Can divided in to 3 distinct areas
1.1 Manufacturing Trade Show
1.2 Distribution & Retail Sales meeting
1.3 Service Seminar & Training
The cost of holding a corporate convention or meeting is normally
funded by the company or sponsor of the meeting.
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39. MICE customers
2. Associations,
Association can be professional, technical, religious, social,
educational.
Most professions or careers usually have at least one
association.
Associations can vary in size from small religious groups
to large state, national and international organizations.
3. Government organizations
4. Non-profit organizations
This market comprises unions, common-interest group such as
sport, culture or social clubs.
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40. Who is involved in the Organizing of Events?
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41. Who is involved in the organizing of MICE events
1. Company or association
The company make the decision to organize a
convention or meeting.
2. Venue
A venue provides the accommodation and all
conference and other in-house facilities.
3. Professional conference organizer
The PCO becomes an intermediary between the original
planner of the convention, the provider of the venue and
facilities, the various supplier and the actual delegates
to ensure that the convention or meeting is a success.
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42. Who is involved in the organizing of MICE events
1. Make all its own arrangement, including the
organization of the booking and management and
execution of the convention or meeting.
2. Decide on a venue and let the convention services
manager at the venue take care of the details
within the facility, liaising over the details as
required.
3. Contract with a professional conference organizer
to make all the arrangement on its behalf
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43. Who is involved in the organizing of MICE events
Company, Association
Government
Suppliers/services,
PCOs Venues, Hotels
Delegates,
participants
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