Abu Dhabi: Abu Dhabi’s Meetings, Incentives, Conferences and Exhibitions (Mice) industry is poised for growth, with an expected annual expansion of nearly six per cent leading up to 2020, according to Filippo Sona, head of hotels at Colliers International Mena, a real estate consultancy.

Abu Dhabi has been generating around Dh2.53 billion from the Mice industry, which constitutes 17-18 per cent of the overall business mix for hotels, and six per cent for serviced apartments, Sona said.

With the emirate’s growing economy, an increasing number of international exhibitors are bringing their events to the UAE, and contributing to growth in the tourism sector.

“Global meeting planners’ trends for 2015-16 focus on security, transportation technology, food and beverage, and the maximisation of the event agenda, both from a timing and added value point of view.

These are all trends that Abu Dhabi is now ready for and which will be able to capitalise on a potential growth,” Sona told Gulf News.

He added that Etihad Airways’ expansion strategy of connecting Abu Dhabi with more destinations will also help the Mice industry grow, and drive more demand from event planners.

“At present, Mice plays an important role in driving tourism in Abu Dhabi. However, over the next five years we anticipate that the importance of Mice will grow so that it will be the key to providing long term sustainability to the Abu Dhabi Industry.

As far as the hotel industry is concerned, [tourism from Mice will] allow new hotels to be absorbed by the market,” Sona said.

Similarly, Mubarak Al Shamsi, director of the Abu Dhabi Convention Bureau, said that the Mice industry contributes to the emirate’s tourism particularly since business visitors tend to have a larger disposable income than leisure visitors.

He added that business visitors also drive increased demand for luxury products and services including business and first class air travel, five-star hotels, and luxury retail offering.

Overall destination

“The variety of what Abu Dhabi has to provide from its products, hotels, and attractions is the biggest driver behind the Mice industry. When you speak about the Mice segment, [organisers] are not only looking for a venue; they’re considering the overall destination.

I think the development of [Abu Dhabi] as a destination and its offering are great,” Al Shamsi said.

The Abu Dhabi Convention Bureau also promotes the emirate by offering incentives to organisers such as free consultations, and discounted accommodation rates, among others.

The bureau is set to expand in 2015, opening new offices internationally to increase cooperation with global partners and bring more events to the emirate.

“The outlook [for the Mice industry] is very promising. We’ll see a very good increase in the number of exhibitions, conference, meetings and incentives.

Because we hosted international conferences and exhibitions in the previous years, that created an environment of trust and of credibility of the destination to bring other [events] to Abu Dhabi,” Al Shamsi said.

Asked about the impact of fluctuating oil prices, Chiheb Ben Mahmoud, head of hotels and hospitality group at consultancy, Jones Lang LaSelle, said that events planned by oil companies may be affected, though others won’t.

“The Mice events are planned a long time ahead, so what are taking place over the next months are events that were planned a year ago or more. So, it’s unlikely that they will be affected by oil prices,” Ben Mahmoud told Gulf News.

Abu Dhabi is currently hosting IBTM Arabia featuring international hosted buyers from 36 countries representing key planners of the Mice industry.