It has been just four months since Convene published the results of its 17th Annual Meetings Market Survey, and only two since I wrote in this column about our changing economic climate. Back in March, there was still debate about whether we were in a recession; no respondents were talking about losses in attendance or reductions in budget (although the survey was actually conducted late last year). By May, things had changed. Most agreed we were in a recession, although there was a lack of consensus on its severity or length. That month, I voiced some concern about how the meeting industry should react to a downturn.

Since then, it seems that every day we're hit with more economic bad news: rising costs, loss of jobs, plunging stock markets. Some meeting professionals (mostly in the corporate arena) are telling me that they've already been directed to scale back. On the other hand, we continue to see facility expansions moving forward, construction projects going ahead, and many meeting plans unchanged.

In my column back in May, I cautioned against a bunker mentality … that is, pulling up all stakes and assuming the worst is yet to come. I stand by that. At the same time, going to the opposite extreme - looking the other way and hoping for the best - is not advisable either.

One thing is for certain: When management or your board comes to you and tells you to scale back, they're going to mean now. So if and when that happens, you'll want to be prepared with a plan.

One thing that has held true in the last several months is that travel costs - airline baggage fees, fuel prices, hotel food & beverage and room rates, Internet usage at meeting facilities - continue to rise. This was a big concern for the meeting professionals who responded to our survey last year, even before the economic downturn. As fuel and food costs have gone through the roof since then, they are most certainly being passed along to meeting organizers, their exhibitors, and attendees.

I'm curious to hear everyone's thoughts during this economically challenging time. Are you already reviewing your budget, scaling down expansion plans, or making adjustments to your meetings in light of the economy (either voluntarily or under management's directive)? What are you doing about the issue of rising travel costs - and how do you think the industry as a whole should address this? I'd love to hear from you. E-mail me at deborah.sexton@pcma.org.

A Special Kind Of Creativity
Although many of us face the prospect of cutting our budgets this year, what we don't want to do is cut into the value of face-to-face meetings. When attendees face higher costs to come to our meeting, they weigh its value even more carefully. It's imperative that we provide unique experiences that they won't find anywhere else, and that calls for a special kind of creativity under financial constraints.