Citation: MICE: EMERGING AS THE PROFIT SEGMENT FOR THE INDUSTRY, By Karishma Sen, T3 , May 14, 2013

INTRODUCTION
Domestic and outbound travel has been the talk of not just Indian industry stalwarts but international ones as well. The mere statistics of tourism in India is enough to raise eyebrows and contribute to heated discussions that fuel a growing opinion of India’s tourism potential. The creeper that grows alongside this sector is MICE. Not only has it been contributing to a large chunk of the tourism sector, it has also grown leaps and bounds in quality, services and, most importantly, demand..
Following research questions have been addressed by this research paper:
(1) What is the status of current Indian MICE industry ??
(2) Why only convention centres are enjoying to MICE business ??
(3) Significant contribution of MICE to Hotel business ??
(4) Challenges for India is becoming an exotic MICE destination in comparison with other countries.
LITERATURE REVIEW
According to International Congress & Convention Association (ICCA) statistics, a total of 400,000 conferences and exhibitions are held worldwide every year at the total outlay of US$280 billion, and India’s share is pegged only at US$4.8 bn. Currently, India ranks 27th in the global MICE market. According to International Congress & Convention Association (ICCA) statistics, a total of 400,000 conferences and exhibitions are held worldwide every year at the total outlay of US$280 billion, and India’s share is pegged only at US$4.8 bn. Currently, India ranks 27th in the global MICE market.
While infrastructure is a major concern for the MICE space, the industry cannot ignore its competition – neighboring countries which have established themselves as MICE destinations long before India joined the rat race. Thailand, Malaysia, Sri Lanka, Dubai and Singapore, among others, have packaged and marketed their MICE offerings successfully over the years, and India needs to catch up with and stay ahead of them.
Experts opine that MICE contribute as much as 40-45 per cent to overall travel volumes and India is no exception to it. Indians are now are now travelling abroad throughout the year on business. The recent statistics suggests that the Indian outbound MICE market is estimated to be around US$600 million and is expected to increase by 12-13 per cent over the next couple of years. Unaffected by the global slowdown, Indian corporates are spending on corporate travel, increasing the outbound market for MICE.

DISCUSSION
While the industry has witnessed growth in overall MICE traffic, there has also been a steady trickle of domestic and inbound corporate travel that is picking up speed as India improves its infrastructure and establishes itself as a quality MICE destination. India’s government, both Centre and States, and private sectors put serious efforts into improving India’s infrastructure with state-of-the-art convention centres. While most of them are still in the making, the existing ones enjoy bustling business largely from the domestic sector. It is calculated that the Business Tourism contributes for india some around INR 14,000 Crores to INR 24,000 Crores. The MICE Industry also adds to the multiplier effect of the other industry related directly or indirectly with it. According to EuroMonitor, the Indian outbound MICE market was estimated to be around US$ 550-600 million in 2011. It grew strongly and resulted in an outbound trip volume of 6.2 million, with around 1.5-1.8 million Indians travelling outbound only for MICE.

CONCLUSION
MICE is a very niche product and needs to be marketed in a focused manner. Although there is no hard and fast rule on attracting MICE clients, it is essential to form a proper team with airlines, hotels, transport companies, cultural organizations, boutiques, and travel agents to target markets potential MICE clients.
When we are talking about Domestic MICE tourism, The target markets from India are Mumbai and Delhi followed by Bangalore and Chennai. Foreigners are tapping all the metros and would look into the tier two cities as well. Of course, none of it comes without challenges. The increase in demand is still not met with appropriate supply in infrastructure. But hotels and convention centres in India seem to have stayed afloat and drummed up enough business to make MICE large contributors to their toplines. The largest contributors are the domestic MICE travellers. And it is not just the metros and major cities any more. With a consistent increase in GDP is a constant rise of tier II and III markets and new industries mushrooming across the country. Pharmaceuticals, automobiles, educational institutes, real estate, banking, multinational corporations etc. have all posed as major segments for domestic MICE.
Tourism development bodies believe that MICE trends are expected to pick up in 2015 and will prove to be one of the major travel segments in the Indian market. Meeting size is growing, meeting space is changing, luxury space is making a comeback and emphasis is given on teambuilding activities. The growing economy and increase in international trade, increased participation in conventions, exhibitions and corporate meets is fuelling the growth of the outbound MICE segment.