The other side of Punta del Este: winter of conventions

  • 1 years ago

New players have taken action to eradicate the concept of "low season" and replace it with that of "mid season" based on a greater attraction of events. After the summer season, Punta del Este sheds its Panama hats, tunics and white shirts to show its lesser-known side, and dresses in shirts and suits.

With the emergence of new players, the first signs of progress are beginning to be seen on the path to making the most of Punta del Este as a destination for conferences and corporate events to break with the undesirable seasonality.

The "flagship" is the Convention Center, inaugurated in July of last year, as it is a space that connects the resort with the capacity to host up to 10 people, including its exhibition space. The other player is the Punta del Este Convention Bureau, a nonprofit public-private partnership comprised of leading business leaders from the area, the Maldonado Municipality, the Punta del Este municipality, and the hotel, restaurant, commerce, and real estate chambers.

The Bureau, also founded last year, acts as a facilitating tool when choosing Punta del Este as a destination for congresses and conventions. It has a database of everything needed when planning a congress, such as hotels, car rentals, air packages and restaurants.

US$670 is the average amount spent per day by a conference tourist, according to data from the Ministry of Tourism.

For Verónica Igoa, General Coordinator of the Convention Bureau, the number of events between March and November is growing, with the Convention Center clearly having an impact. So much so that she indicated that the term "low season" is no longer used, but rather that the concept is being eradicated, replacing it with "mid-season." This year, the Bureau will be responsible for promoting Punta del Este's added value as a conference destination throughout the region. Its action plan consists of exhibiting at leading Latin American trade shows in the meetings tourism market.

This situation is creating particular expectations for the arrival of a new winter season. In addition, a summer of record-breaking tourism in the country is coming to an end, which, according to several hotel industry entrepreneurs, has created a certain sense of good spirits.

Between March and November, 41 of the 71 hotels associated with the Punta del Este Hotel Center will remain open. Of these, 23 have at least one meeting, press or conference room.Hotel del Lago

But beyond offering this proposal, some hotel establishments have already begun to be "impacted" by tourism from congresses and conventions, while others are waiting for the Center's consolidation to benefit their business.

Another of the main convention venues on the peninsula is the Enjoy Conrad Punta del Este hotel. Its Public Relations Manager, Javier Azcurra, reported that 2015 events were held in its halls in 110, while in 2016 there were more than 150. He believes the growth trend will continue in 2017. He attributes this to the Bureau's collaborative outreach efforts, Enjoy's more aggressive approach to attracting this audience, and the growing awareness of the advantages the destination offers, such as tax exemptions—on rentals, food, and sound systems, among others—for holding conferences at both the Conrad and the new Convention Center. This policy was promoted by the Ministry of Tourism, and disseminating it is another of the Convention Bureau's objectives.

In 2016, the hotel received 8.000 participants in corporate events, 80% of them foreigners. The Convention Center has confirmed the arrival of 7.800 people for different events this season, of which 5.800 will attend congresses, trade fairs or corporate events. According to its general manager, Arnaldo Nardone, every convention center has a consolidation period of between three and five years. During this time, it is the management company that must provide its own capital to keep the management of the center in balance. However, although for Nardone the center does not yet have the number of events to be classified as a successful company, it is yielding good results for the destination.

Add to the spa

The Grand Hotel has been on the peninsula for two and a half years. It has event rooms for up to 120 people and the congress and convention segment represents 30% of its business.
Its general manager, John Iriondo, said that its rooms have been used up to five times by the same company, and that the groups that come for this reason are mostly Uruguayans and Argentines.

According to Iriondo, March, April, and October are the seasons in which most of the events are concentrated. From May to September, the intensity decreases. The executive explained that the Convention Center began to impact his business. With the hosting of conventions there, the hotel has reached the point where between 80 and 100 of its 120 rooms are occupied. And although the opportunity to fill the hotel has arisen several times, it is decided not to do so "so as not to neglect the other clients," according to Iriondo. He added that executives who attend these conventions often choose his facilities for smaller meetings. That's why, in any case, the conventions are generating a side business for him.

"We expected what's happening now. Gradual growth that will benefit the destination." Convention Center General Manager Arnaldo Nardone.

At the Awa Hotel, this year's event is expected to increase by 20%, according to Sales Manager Noelia Ortiz. The executive explained that generally, when large events are held at both the Conrad and the Convention Center, all the hotel rooms are occupied. This is due in large part to the hotel's proximity to both venues, but also to its active commitment: "We don't expect the organizers of these conventions to come to us; rather, we offer ourselves as the venue and provide extra benefits such as discounts on transportation and certain services," Ortiz stated.

“Expectations are high. Everyone is starting to get active more because the summer was good, and it's generating a kind of collective synergy.” Noelia Ortiz, Sales Manager of Hotel Awa.

For this year, the Awa hotel has already confirmed the blocking of all its rooms due to two events generated at the Convention Center.

The commercial manager of the Barradas, Golden Beach and Hotel del Lago hotels, Germán Doldan, said that the public from the events comes mainly to the first two, with the Hotel del Lago being further away. For November, the Barradas hotel has 40 of its 71 rooms assigned. For September, another event generated 15 reservations.Hotel Barradas

Location is a differentiating factor when choosing a venue. For Nardone, "if the hotel combines location and a good price, it's unbeatable."

Waiting

The Punta del Este Resort (formerly Mantra) will close its doors for the first time during the winter. Its executive director, Pier Luigi Taliento, stated that "it is still too early to assess the impact the convention center will have on Punta del Este."

"We'll have to wait at least a couple of years for the start-up phase to be completed and take advantage of the conferences that are being organized three or four years in advance. That's where we'll all truly benefit," he said.

Jean Clevers general manager Enrique Briano agrees: "It has an impact, but not as strong as the expectations that had been generated, because it is in a maturation phase."

For its part, Solanas has once again this year bet on congresses, since for two years, during the construction of the Crystal Lagoon, it had to give up that segment. According to its general manager, Alejandro D'Elía, the bet is actually for 2018, since this type of event is booked at least two years in advance.

D'Elía sees the Punta del Este Convention Center as "a strategic partner for all hotels and a plus for positioning the destination."

Some relevant events

One of the most important events to be held at the Convention Center this year will be Chinalac, a fair in which Chinese exporters and companies will exhibit and exchange ideas with Latin American businessmen. This event, which will take place in November, is expected to receive 800 people. From March 8 to 10, the Congress of the Federation of Organizing Entities of Congresses and Related Events of Latin America (Cocal) was held at the Convention Center, which was attended by 200 people.

In April, another 200 will arrive at the Center for the event of the Association of Convention Centers of Latin America and the Caribbean, where regional experts will present on good practices in the management of these establishments.

Source: elobservador

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