Ironically, many of the challenges of planning meetings internationally are caused by the popularity of global business events themselves. Increased demand for corporate and association meetings abroad has resulted in higher hotel occupancy with very little new inventory, said Terri Woodin, CMP, vice president of marketing and global meeting services, Meeting Sites Resources, during a recent MeetingsNet webinar, Successfully Navigating International Meetings. There are lots of new hotel openings, Woodin explained, but mainly in the limited-service sector. Wooden shared her international planning experience, touching on a variety of challenges, but also providing strategic tips for navigating through them.
Time
Woodin confirmed that planners will need longer to plan and execute an international meeting, but they may also need be more flexible with the timing of their events to secure the appropriate space in a compressed market.
Language
English is the preferred language of business, but Woodin says making the effort to learn a few key phrases or using a language app can be a great way to establish communication. However, the language in contracts needs to be defined as some terms mean different things. Woodin recommends having the contract in both languages on adjacent pages so that you can point to the appropriate clause with questions and everyone is literally “on the same page.”
Costs
There are higher costs associated with international meetings, but Woodin pointed out that the daily delegate rate (DDR) based on the minimum number of attendees will be the most cost-effective option for a conference and often includes:
• Full- or half-day conference package, per person, per day
• Main plenary room
• Conferences notepads, pens, meeting sweets
• Unlimited mineral water and conference beverages in the main meeting room
• LCD projector and screen
• Flip chart with markers
• Basic Internet connection
• Coffee break, including snacks
• Lunch buffet or three-course menu, including one soft drink, tea, or coffee
• Service charges and all applicable taxes
This can mean that some of the costs normally associated with meetings in the U.S. are mitigated abroad, canceling out the higher room rate. Caveat: When calculating the DDR, Woodin said to be aware that in the U.S. we typically look at single occupancy rooms but in Europe, a guest room with two double beds will be calculated based on an occupancy of four so your DDR may be lower than you think. Woodin said, “Ask for a one-sheet of everything that is included in the DDR so that you can work out total costs and savings.”
Value Added Tax
Many countries charge Value Added Tax. This is an indirect tax on consumption of domestic goods and services, with the exception of food and essential drugs, and varies from 15 percent to 25 percent per country.
Depending on the destination and the amount involved, VAT can be refunded. Woodin said, “Typically your purchases must be over a certain amount that ranges from $30 to hundreds of dollars, although Ireland has no minimum. Your attendees must require a passport to enter the country in order for you to qualify for a VAT refund.”
Woodin’s checklist for VAT refunds:
• Ask if the venue participates in VAT refunds when you source it. Hotels almost always do, but nontraditional spaces like sports arenas or castles may not.
• Have the venue complete the Tax-Free Form
• Take the paperwork to airport customs prior to leaving as sometimes the country concerned requires it to be stamped.
• Apply for the refund within three months of the visit or making the transactions.
Shipping
Woodin’s advice: Hire a shipping broker. “They know the rules of each country; they can calculate duties and taxes, and they will ensure that your items clear customs and get to the destination on time.” Woodin suggested asking your destination management company for referrals for shipping rather than relying on DHL or USP. If you are still printing documents for attendees, Woodin said to consider producing the materials in the conference country, and if you plan on giving gifts to your attendees, she advised planners to, “Ask the incentive company if it can show samples and ship gifts directly to your attendees’ homes.”
