Convention biz boost

A recent report from the Convention Industry Council indicates that the U.S. meetings industry directly supports 1.7 million jobs, a $106 billion contribution to GDP, $60 billion in labor revenue, $14.3 billion in federal tax revenue and $11.3 billion in state and local tax revenue.

The study was conducted by PwC US and assisted by a team of industry researchers, according to the report. The council statement noted that the research and analysis spanned more than a year in research and analysis and is the first-ever study of the size and scope of its kind.

The research quantifies the economic contributions made by the 1.8 million meetings, trade shows, conventions, congresses, incentive events and other meetings that take place across the country.

"As the nation grapples with effective ways to work its way out of a recession, the meetings industry plays a critical role in supporting jobs in communities across America, creating environments that foster innovation, consensus and business success," Karen Kotowski, executive director of the Convention Industry Council, said in the statement. "Two years ago, the value of meetings, one of America’s top economic and social engines, was misunderstood by governments and the public. This new research quantifies the economic significance of our sector for legislators, regulators and economists alike."

SURVEY FINDINGS
• The 1.7 million jobs generated by the meetings industry is larger than many U.S. industries, including broadcasting and communications (1.3 million), truck and rail transportation industries (1.5 million) and computer and electronic product manufacturing (1.1 million).

• The industry’s 1.7 million jobs generate $60 billion in labor income and support another 4.6 million U.S. workers, including industry suppliers and those who rely on meeting output for sales and revenue.

• Spending on goods and services resulting from meetings and events in the U.S. totals $263 billion. The majority of direct spending, $151 billion, is related to meeting planning and production, venue rental and other non-travel and tourism related commodities.

• $113 billion is spent each year on lodging, food service, transportation and other travel and tourism commodities.

• The $263 billion in spending generated $14.3 billion in federal tax revenue and $11.3 billion in state and local tax revenue. And meetings’ $106 billion contribution to the U.S. GDP is greater than, for example, auto manufacturing ($78 billion), performing arts/spectator sports/museums ($71 billion) and information and data processing services ($76 billion).

• A total of 205 million people, representing domestic and international delegates, exhibitors and organizers attend the 1.8 million meetings.

• Of the 1.8 million meetings, 1.3 million are classified as corporate or business meetings, 270,000 are conventions, conferences or congresses, 11,000 are trade shows and 66,000 are incentive meetings. The vast majority of meetings (85 percent) were conducted at venues with lodging. Meetings generate 250 million overnight stays by 117 million Americans and 5 million international attendees.

• Including direct, indirect and induced contributions, meetings activity provides $907 billion in total economic output to the U.S. economy.

• Total economic output also includes a $458 billion value-added contribution to GDP, 6.3 million full-time and part-time jobs, $271 billion in labor income including wages and salaries, benefits and proprietors’ income, $64 billion in federal tax revenue and $46 billion in state and local tax revenue.

Link here for the PDF of the complete report.