Incentive Leaders Express Concern About Potential Impact of Trump Policies

SITE’s just-released latest installment of the Destination InSITEs report found that the top concerns influencing incentive buyers’ destination choices in mid-to-late 2024 were cost, geopolitical risk, safety and local policies.

Since the Trump Administration took office in January, that already significant list of concerns has ballooned. New policies regarding tariffs, labor and immigration – along with the increasing alienation of U.S. allies and the growing economic instability – have left industry leaders uncertain not just about destination decisions but about whether some of their clients’ programs will take place at all.

“All these factors will likely influence buyers’ destination choices if a corporation doesn’t feel they can operate their program easily, affordably and safely,” said SITE CEO Annette Gregg. “The current uncertainty may also delay some programs – more on the meeting side of the business than the incentive side – as companies see how these changes play out.”

David Peckinpaugh, president & CEO of Maritz, said his company is watching the geopolitical environment closely with regard to the tariffs and potential impacts on inbound international travel. “Right now, it’s too early to know how this will impact destination choices and programs, but we are staying in touch with our clients, particularly with those organizations that rely on government funding, and the ones that serve members in the government sector and have international attendees.”

At Meetings & Incentives Worldwide, CEO Tina Madden said her team is exploring potential cause/effect scenarios around tariffs and trade agreements, as well as immigration policies. 

“Depending on which way this goes, we could be looking at higher prices across many key areas, including food and beverage for events, and a potential increase in operational costs for airlines,” she said. “Stricter immigration policies could cause labor shortages in various aspects of crucial service areas, affecting delivery times and suitable staffing.”

As a result, she said, clients may prefer not to travel to certain locations, or have strong feelings about traveling in general. But she’s not seeing anything yet. 

“It’s difficult to predict how everything will unfold, but we remain optimistic,” Madden said. “I think responses may initially be reactionary, while people look to uncover and implement solutions to these challenges. But in the long term, things should stabilize.”

SDI Meetings & Incentives’ CEO Craig Dooley reported that in the short term, his clients’ incentive programs are proceeding as planned. “Longer term, our focus is to cut through the noise, assess the facts and help our clients make the best choices.

“We’re keeping a close watch on policy shifts, as everyone in the industry must right now. But the actual impact on clients’ travel and programs varies greatly by destination and timing.”

It’s important to avoid speculation, he said. “Tariffs, or labor and immigration changes, may influence costs and service, but not always when you think they will or in the way you expect them to.”