Events Costs Are Still Surging – Here Are 5 Ways to Save 

The newly released 2025 CWT-GBTA Global Business Travel Forecast points to a harsh reality for the meetings sector when it comes to budgets. The average daily cost per attendee (accommodations, food & beverage, audiovisual, meeting space, activities, ground transportation and technology) is projected to increase to $162 in 2024, a 4.5% rise from 2023, and to approximately $169 in 2025, an additional 4.3% increase.

The reasons for these increases? Organizers are being more creative rather than just putting on the same programs. Innovation takes more time, effort and money. 

Many meetings and events are expected to include hybrid elements, which requires an investment in digital technology and developing multiplatform content. In addition, organizations with ESG mandates are seeking out suppliers that can provide data on carbon emissions, energy use and food waste, and tactical ways to reduce emissions. This comes at a higher price.

On the supplier side, staffing shortages and wage inflation, and higher food and beverage costs, have contributed to price increases. “This comes at a time when there is more scrutiny on budgets for meetings and events,” the report says.

The report calls for planners to become more strategic, and recommends that companies take a holistic approach to meetings, compiling data from both the meetings and transient travel departments, and leveraging this spend to get better rates with suppliers.

Holistic Approach

It also recommends that meeting organizers be given shared responsibility for savings goals, giving them more ‘skin in the game.’  

Heidi Daniels, senior director, Global M&E Consulting at CWT Meetings & Events, suggests that planners hold an annual strategy planning with their corporate travel department counterparts. “It is critical for meeting and event program owners to participate in strategy development, not only to advance their programs forward but also to align with their peers in the travel program.”

This outreach can extend to other stakeholders as well – such as those in charge of sustainability and corporate risk – “with a line of sight into plans across the whole organization,” the report says.  

Companies need to see meeting spend as an investment, rather than just an expense, the report concludes. “Currently, this is the exception rather than the rule. This is changing with the realization that a new higher baseline for M&E has been reached and all costs must be justified.”

5 Ways to Cut Costs  

In addition to these strategies, Daniels suggests that planners take the  following actions to counteract rising costs:

1. Be flexible about destinations – Secondary or tertiary cities can provide cost advantages.
   
2. Consider the cost and convenience of air travel – A secondary city venue might offer lower prices, but it also might cost more and take more time to get people to that destination.
   
3. Plan ahead – Advanced lead time is one of the most critical factors in securing a preferred location and competitive pricing.
   
4. Share data with suppliers – Robust data supports competitive negotiations.  
   
5. Be proactive – As prices shift, planners must be willing to quickly pivot to preferred suppliers. Waiting for a three-year RFP is yesterday’s approach.