Does a growth in overseas incentives mark a new era?
Liz Taylor, CEO of the Taylor Lynn Corporation and luxury hospitality consultant, on what current incentive trends mean for the sector.
It’s an unusual time within the events sector. We’ve come through another difficult period where yes, budgets have been squeezed, but it is external perceptions that are the overarching driver for the rise in overseas events. It’s an interesting trend born of opposing factors.
Our corporate clients can be wary of appearing frivolous with their budgets or overspending on incentive events when the finances are stretched. But they are also aware of staff shortages affecting multiple industries. When they find good people – they want to keep them.
For this scenario, with its competing forces of internal staff morale and external perceptions, destination incentive events that form a business function, fit the bill perfectly.
Liz Taylor
Liz Taylor
In the private sector, long haul destinations such as Barbados are proving popular as clients shrink their guest list but focus on throwing the best party for a smaller, more select crowd. We have a large number of weddings, birthdays, and private celebrations currently on the roster that fit this format.
We’ve seen a similar movement within our corporate portfolio. Smaller, more exclusive events that incentivise key staff and highlight the benefits of working for the company.
The main difference we’re noticing with our corporate clients is that the short haul destinations that are more appealing.
Majorca, France, Spain, and even those a little further afield such as Marrakech, Cyprus, and the Greek islands as we move towards winter. These places with a shorter flight time, but with guaranteed sunshine, will deliver a fantastic setting for an incentive event. Keeping it within a smaller budget, but also completely spectacular.
And as ever, outcomes are vital. Our current events have a purpose linked to the client’s overall business objectives. It could be tied to a new business drive, training, team building, or developing connections with overseas offices. It performs more of a legitimate business function whilst rewarding key teams.
I’ve spoken quite a lot on how I feel things are changing overall within the corporate sector. There is less of a focus on Christmas as the main reward and retention event with a move to smaller events throughout the year - many of which have a family focus. A relaxed summer party, a dramatic Halloween event. Now this shift to select teams heading out overseas.
However, I also believe this current trend to be a sign of further recovery and growth within the events sector overall. The upturn in overseas incentive events is paving the way for a positive outlook in 2025. It’s an interesting shift at the top end of the market that perhaps shows an example of companies feeling a greater sense of optimism.
Next year I hope that more of the shackles will be lifted as economic growth continues. There is usually a buoyant effect that comes with a change in government. As a country, we have adjusted more fully to the changes brought by Brexit and other external forces. More importantly, there appears to be a general sense of optimism within the business community, along with a deeper understanding of how to manage the difficulty in recruiting and the value of staff retention.
OK, so it's not rocket science to say that it’s much better – and dare I say can be cheaper- to spend on staff retention, rather than it is on a continuous loop of recruitment. But important too, in this new era of hybrid working, is that those who have teams still working at home or under hybrid conditions also know the importance of bringing teams together and fostering a workplace culture.
What better way to do this than with an incentive event overseas?
Photo by Holly Mandarich on Unsplash
Photo by Holly Mandarich on Unsplash
Photo by Jakob Owens on Unsplash
Photo by Jakob Owens on Unsplash
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