Melia Hotels International : Palma Convention Centre achieves its financial objectives and drives the leadership of Mallorca in the European MICE segment

The Palma Convention Centre, managed by Meliá Hotels International, has presented a summary of its first year of operations, from April to December 2017, in which the results confirm the success of the facilities and management model and the potential that Mallorca has to become a leading destination for European business travel, its greatest remaining challenge.

After more than 170 events with 30,000 attendees in the first nine months of operations, the amount of business generated in the low season was of particular note, helping reduce seasonality in demand, one of the main objectives for the island. Among these events, highlights included a Volkswagen corporate event held in the final quarter of the year and attended by more than 12,000 people, and the hosting of five medical congresses, a key target market for the Convention Centre. In 2018, more than a dozen congresses will be held, with the month of May being a record month for congress activity in the city. The sales and promotion activities carried out by the Convention Centre have been particularly strong, with the public and private sectors working together to build an image for the destination that attracts more MICE business and makes the island a European leader in this market segment.

During the presentation of the Activity Report, the Managing Director of the Palma Convention Centre, Ramón Vidal, highlighted revenues of (9.4 million euros), more than 18% above forecasts for the first year, 'confirming the major commitment we have made to ensure the Convention Centre is a profitable asset for the entire community.' In this regard, Vidal emphasized the distribution of wealth generated by the Convention Centre (its so-called 'social cash flow') and the creation of value for different stakeholders: suppliers, employees, the public administration and the management company.

The responsible management model adopted by the Convention Centre has also been a key factor in increasing its positive impact on its immediate environment. In the words of its Managing Director, 'we want the Convention Centre to be a benchmark facility for Europe, but we also want it to be a profitable and sustainable project that adds value to the city and encourages innovation and excellence in the industry'. That is the reason that the model has been built around four areas:

- Employability: with an average workforce of 131 people, the Convention Centre and hotel are a source of stable employment, working together with other bodies and organisations in the Balearic Islands to promote youth employability and training, especially among people at risk of exclusion, using methodologies that are very much in vogue such as dual training.

- Social leisure: the protection of children is the priority focus of social action at the Convention Centre. Ever since it opened, it has been working on projects to bring quality leisure options to children in the most vulnerable neighbourhoods in Palma, as well as providing a venue for charity events to support children.

- Eco-efficiency: Palma Convention Centre aims to reduce the environmental impact of its activities and raise awareness about sustainability among customers. To this end, sustainability has become a differentiating factor in its events programme, it has joined the Meliá Hotels International energy efficiency programme, it uses 100% renewable energy in the facilities and has made investments of more than €150,000 in technology to make more efficient use of resources. At the same time, it has also adopted a waste management system that allows it to reach a recycling rate of 66%, far above the EU target of 50% for 2020.

- Responsible product: the Convention Centre seeks proximity and inclusivity in its supply chain, and in 2017 worked with almost 200 local suppliers generating €4.3 million in trade (including part of the initial investment for opening). It has also developed a healthy eating programme throughout the Food and Beverage chain that responds to increasing interest in healthy living.

Finally, Vidal also highlighted the role played by the Convention Centre as a driver of development, stating that 'we are convinced that the Convention Centre is already a social, cultural and commercial epicentre for Palma, well received by the vast majority of Mallorcan and Balearic residents, as seen in the more than 18,000 local people that visited the facilities in 2017.'

For her part, Joana María Adrover, President of the Board of Directors of the Convention Centre and Councillor at City Hall in Palma, stressed that 'Meliá Hotels International is achieving 100% of the commitments it made'.