CHICAGO — At this year’s IMEX Frankfurt, the conference matchmaking platform Conferli shared the findings from its market study on Requests for Proposals (RFP). The study, titled “Shaping tomorrow’s RFP: Insights from association professionals,” reveals an overall sentiment that the traditional RFP process is in need of updating to meet the new and evolving needs of associations and conferences.
The report found a 55/45 split when it comes to whether associations have an RFP or bidding process in place, with only slightly more saying they do. And while the report details a desired transformation of the RFP process, it holds fast that a standardized RFP process is necessary to ensure events meet expectations, deliver value and are of high quality.
More associations (64%) are in line with a “centrally driven RFP process,” meaning they take the lead on the process by reaching out to receive proposals, whereas 24% are reported as being reactive and waiting for proposals or bids. Compared to 2022, when only 40% of associations responded that they take a proactive approach, this significant shift indicates that associations are looking to improve consistency, control and transparency in the RFP process.
“I would say that the reason why we’re seeing that this is happening is because a lot of the parameters are changing,” said Bregje Frens, Association Director at Conferli. “Like looking at how to incorporate sustainability in your events, thinking about travel and the increases in price. Associations are looking to be more strategic in what they want to achieve with their goals, so that’s when they have to take a lead a little bit more. And to get the younger generation to that conference, those aspects of sustainability and diversity really need to be included in the whole RFP process.”
The study found many areas where the RFP process could be optimized from an association perspective. The respondents said they’d like to see increased automation, enhanced data management and market insights, strategic relationship building, improved communication and requirements, technology enhancements, and geographic variability.
The RFP of the Future
While the report provides a comprehensive view on associations’ sentiments toward the current RFP process, it also focuses on what the RFP of the future could look like.
When examining what topics should be included in the RFP, associations said the most important were conference dates (1), hotel accommodation requirements (2), catering requirements (3), introduction to the association (4), accessibility (5), requirements for rooms in the conference center and participant profile (6), and the historical facts of the conference, benefits for the destination with hosting the event and public transport and sustainability (7).
To address current challenges, associations are looking for flexibility, efficiency and technology integration when it comes to future RFPs. This includes automation and efficiency, like being able to use an automated process to form quick responses to fundamental questions, along with transparency and professionalism, and personal interaction to make initial direct connections.
Conferli’s report concludes with the idea that a future where AI-driven tools handle data collection and analysis, and human interactions determine strategic discussions and final decisions is an ideal RFP process. This would also help in creating a more standardized template so associations and organizers could make side-by-side comparisons easier and quicker.
“It was really interesting to see that they were all looking for a technology development, like a software program, where they can easily use different building blocks to create the perfect RFP that would fit exactly for them,” Frens said. “However, none of them want to add in a financial contribution to this and they are expecting the industry to finance that. They’re looking for a faster approach, a personalized approach, and something that’s perfect and ideal for associations, which is like a dream scenario.”
The future of RFPs also will have a greater focus on forming long-term partnerships between the organizer and the destinations/venues to foster deeper commitment and mutual engagement to the success of the events.
“If you are looking at the response, it seems like there is so much misunderstanding in the RFPs,” Frens said. “A lot of them say, ‘we sent out our RFP and we get a copy and paste of somebody else’s proposal.’ The general idea is that if you have a long-term partnership, that you really see yourself as partners instead of a transactional relationship. That’s going to create extra value, and you can look at impact — what you’re leaving behind in your conference and what you are giving back to either the community or to your members.”
Other Key Findings
The report also outlines other key findings from associations on the RFP process.
- When it comes to infusing sustainability principles into the RFP framework, only 14.63% of respondents said it was extremely important, with 36.59% responding very important and 39% responding somewhat important.
- Yet more than 70% of respondents said that alignment with The UN Global Goals for Sustainable Development is important to include in the “RFP of the future.”
- The report finds that there is a need for more targeted training, advocacy and awareness around how to approach DEI in RFPs.
- 45% of respondents believe that their current RFP process is insufficient, with many indicating the process being time-consuming as a major issue.
- About 60% of associations reported being satisfied with the quality of proposals received, with about 24% saying they are not.
- Some respondents’ comments referenced incomplete information that was requested as being a reason for being unsatisfied with the proposals.
- Despite the growing trend of bleisure tagged onto shoulder days of events since the pandemic in the U.S., the more European-centric report found that bleisure activities rank low on organizers’ list of considerations.
- “We also did a little research on business and leisure in Europe, and I think it is definitely on the destination to add this as a topic in the proposal,” Frens said. “If you want to attract people to your conference, then the destination has to prepare the package around the conference so people can combine their leisure activities with their events. I think in the U.S., it’s [bleisure] a bigger market, because you don’t have that many vacation days.”
Destination Selection Factors
According to the report, the primary goal of association conferences is networking, which is followed by community-building, membership growth and financial health for the organization.
Given these priorities, the study reports that the destination selected for the conference needs to offer value in those areas to be attractive to the organizers, and that organizers most value venue facilities, location and accessibility, cost and budget, accommodation options and support services when making location decisions.
When associations were asked about what is important in the partnership with the destination in the future, the top five responses were: flexibility in contractual agreements, access to local expertise and resources, financial support, networking opportunities with local stakeholders and collaboration on marketing and promotional efforts. The report suggests that destinations focus on these points in the RFP process.
