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The future is hybrid for Singapore events companies

Dr Biz • Oct 20, 2020

Historically, Singapore events companies have been an important and thriving part of the city-state’s economy. With internationally renowned events in diverse sectors from yachting to fintech, the Singapore Meetings, Incentives, Conferences and Exhibitions (MICE) market was valued at $3.8 billion in 2019, or 1% of Singapore’s GDP.

In January it was projected that the Singapore events industry would reach a value of US $5.2 billion by the end of 2027, representing a compound annual growth rate of 8.4% - one of the strongest in Singapore. Some of the key drivers included increasing numbers of international visitors due to easy access to the country, and high numbers of high spending business travellers.

As we know, though, the global travel and business landscape has changed drastically over the course of 2020 thanks to the Covid-19 pandemic. Lockdown and social distancing measures have changed the way we live our lives significantly, and Singapore events companies have been some of the biggest casualties.

Losses for Singapore events companies

The events industry supported more than 34,000 jobs before the pandemic hit, however many have had to cut staff. This includes one of the country’s largest events centre’s, the SUNTEC Singapore Convention and Exhibition Centre, which cut 85 staff from its workforce in August while cancelled large scale events like the Formula One night race and the Singapore Yacht show have meant millions in lost earnings for organisers and staff.

In a survey conducted by #SaveEventsSG in May, many Singapore events companies reported that they planned to implement staff pay cuts of between 20% and 30% while more than a third of respondents said they would be implementing unpaid leave and called for more aid from the government’s Covid-19 Job Support Scheme (JSS).

More than half of the respondents (56%) said they expected revenue projections for 2021 to plunge by an astonishing 90% or more, while just under a third (30%) said they were planning for income to decline by more than three quarters (75%).

The new virtual events reality

As most office workers have experienced first hand, the pandemic has been a huge boon for online meetings platforms - Zoom in particular. Indeed, Zoom has seen its share price swell by an almost unbelievable 650% in 2020, with the company claiming that it now hosts around 300 million users every day.

Previously identified as a strongly growing trend for Singapore events companies, online events have been forced to evolve at the speed of light, with some of the world’s largest organizations and events rising to the online challenge.

This includes the The Asia Pacific Medical Technology Association forum, which on 24 September was one of the first so-called “hybrid conventions” held in Singapore. The format saw a total of 50 delegates allowed into a physical centre who were temperature checked and separated into zones, with around 1,400 more joining online.

Hybrids and the new online city

The government hopes this new format, devised by the Singapore Tourism Board (STB), will help to save Singapore events companies and ensure that the country maintains its reputation as a global events hub.

As infection rates remain under control, the STB announced that the physical delegate cap would be raised to 250 people from October. This is just in time for the Singapore Fintech Festival – one of the industry’s most widely attended global events – which will go hybrid in December.

In 2019 the Singapore Fintech Festival hosted 60,000 delegates from 140 different countries, however under the new hybrid structure it could host thousands more. The week-long event will see delegates attend in person at a handful of physical locations around the world while being connected in an innovative “online city” experience.

The future is augmented

As it evolves virtually, augmented reality (AR) could be the next logical step for the events industry. Made famous by the “Pokemon Go” game, which overlaid characters from the Japanese anime show onto real-world settings, AR is set to be the next big thing in events as tech’s heavy hitters Microsoft, Apple and Facebook are reportedly developing their own AR headsets.

According to founder of Singapore media technology company Hiverlab Ender Jiang, soon AR could be a common sight at large events, particularly for speakers giving their keynotes speeches over an online platform like Zoom. The founder says these people could use AR to be more than “just a talking head” on screen.

Jiang says: “Whether it's a 3D model of a Formula 1 racing car engine floating next to the presenter, or a PowerPoint slide showing graphs and data, AR can create more engaging experiences for audiences. As with any emerging technology, this space will blossom as more awareness of the possibilities becomes available and mainstream.”

Singapore events companies are resilient and are facing-off the hurdles that the global Covid-19 pandemic is presenting, utilising hybrid structures and new online capabilities to create exciting new formats. In the new global “normal” change is inevitable, and innovation is crucial.

At Dr Biz, we provide tailored and comprehensive solutions for our client's business needs. From incorporation to accountancy, tax and payroll, to professional advisory services, we help businesses in Singapore assess potential risks and become more cost effective and efficient.

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