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The Site International Foundation released its newest Site Index survey, Site Index: Focus on the Measurement of ROI/ROO, which addressed the application of Return on Investment (ROI) and Return on Objectives (ROO) in the motivational events industry. The survey examined current measurement activity and provides predictions for the future.
In today’s environment, it is more crucial than ever to demonstrate return on investment and return on objectives. With the increasing pressure of fiduciary responsibility and justification, the need for clear measures is critically important. The Site Index survey verified that hard measures (increased sales, profitability and growth of market share) receive more emphasis than soft but also important measures (such as commitment, loyalty and trust). What this does is show that we understand what is going on in the market is deeper than sales. The softer measures do matter, just not as much as the harder measures.
“There is no question that measurement is the important topic of the times. Without proper measurement, it is very difficult to improve the performance ethic of a corporation. Dealing with a base of reality and understanding ROI strengths and weaknesses makes a company resilient,” said Fay Beauchine, CITE, Site International Foundation President and President, Engagement & Events, Carlson Marketing.
Seventy-five percent of respondents confirmed that the number of programs for which ROI/ROO is measured will increase in the next three to five years. This fact must be considered with data from the earlier Site Index: Focus on the Economy survey that showed more senior management engagement in motivational event programs. Together, these surveys send a clear message that there is an increased focus on motivational events spending. Providers and users of these programs must clearly communicate to management not only the expected return from spending, but how this return will be measured.
Steve O’Malley, Site International Foundation Vice President and Research Committee Chair, and Vice President, General Manager, Maxvantage reported, “The findings of this report reiterate the importance of this issue. As an industry, we have been advocating the necessity of measurable ROI and ROO. It is important for us as motivational events professionals to take this opportunity to lead the discussion, because our industry is being critically examined from all angles. With 80 percent of respondents recognizing the increased focus on ROI and ROO, it is clear that this issue is here to stay.”
Complete survey results are available at siteglobal.com. The report is available to Site members as well as motivational events industry professionals. Participant data are maintained as strictly confidential by the researchers and are not available to anyone including the Site International Foundation or Site. The Site Index is made possible by partner donations from the Canadian Tourism Commission, InterContinental Hotels Group and Mexico Tourism.
TravelDailyNews Asia-Pacific editorial team has an experience of over 35 years in B2B travel journalism as well as in tourism & hospitality marketing and communications.
