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SPOTLIGHT: WES WESTLEY, PRESIDENT & CEO, SMG.

Philadelphia-based SMG  turns 30 this year and at last count, 202 facilities are under its management aegis—making SMG the largest company of its kind in the world. SMG controls over 1.5 million entertainment seats worldwide and manages more than 10 million square feet of convention/exhibition space, managing an array of venues including convention centers, conference centers, arenas, stadiums, civic centers, coliseums and performing arts theaters. SMG is not just the largest at what it does—it may well be the best at what it does—45 SMG venues received Prime Site Awards last year, by far more than any single facilities management firm.

At the helm of this company is Wes Westley, President & CEO. A native  Philadelphian, Wes served in the Marines in Vietnam and has an MBA from Drexel  University and is a Certified Public Accountant. When he joined SMG in 1991 (he was promoted to his current position in 1994), the firm managed a mere 27 venues. The company has also become more global, with divisions thriving in Europe and Latin America. Westley is in the unique situation to provide a comprehensive perspective on the meetings and events industry and in our spotlight interview, he appears upbeat about the market in terms of economic forecasts and expounds on several trends.

FOL: What makes a venue competitive in today’s meetings market?

W.W.: Today’s busy consumers are focused on their ROT (Return on Time). With the many options available for all levels of a Center’s consumer base (planner, exhibitor, and attendee) it is critical that the venue provide the consumer with the most positive business experience possible. Customer service (always number one!), convenience of facilities, and a variety of business services (in particular business communications) are vital to a facility’s attractiveness.

FOL: Is the meetings market healthy? Has it rebounded from the post 9/11 recession that hit in the industry a few years ago?

W.W.: Yes, the meeting market is very healthy and has rebounded from the post 9/11 recession. In fact in the case of SMG facilities, not only were we fortunate to experience very little in the way of impact immediately after 9/11 but we have seen steady increased activities since then.

FOL: Has new construction and renovation cooled in recent years and what is your forecast for new construction and renovation?

W.W.: There seems to be a steady stream of venues in secondary and tertiary markets that are either funded or underway. Coupled with the planned expansion in Philadelphia and projects under discussion in other first-tier markets, there seems to be a strong flow of new exhibit space in the market.

FOL: SMG just opened a new office in Puerto Rico and you have announced your intent to increase your presence in the Latin American market. What is appealing about this market and how do you evaluate its potential?

W.W.: We established the office in response to a need for more senior oversight as a result of our initial success in Puerto Rico and Mexico and indications of interest throughout the region – Caribbean, Central and South America— in our services to assist with a variety of projects, both new or proposed as well as existing facilities. We are currently in various stages of discussion or negotiation involving both convention and entertainment facilities and were just selected to manage the new Convention Center being built in Tampico, Mexico.

FOL: What should meeting planners know about the latin market that they perhaps have yet to realize?

W.W.: The appeal—as well as established infrastructure— varies throughout the region. San Juan, Mexico City and Acapulco are well established destinations and the facilities, as well as service levels in each location will be quite suitable to any North American clients. As we go farther afield we see the need for improvements to bring things up to a higher standard, which is what we’re most often being called on to assist with.

FOL: There have been concerns raised by meeting planners that meeting venues in more exotic locales, such as Hawaii or the Caribbean, offer too many distractions and attendees become more excited about the tropical activies and location than the purposes of the meeting. How valid is this concern and has had any impact on usage of these venues?

W.W.: San Juan has a very positive business atmosphere which is one of the main reasons we chose it as our regional HQ. A major advantage in the future will be that it is unnecessary to travel with a passport to either location. The Hawaii Convention Center has more than overcome that image as evidenced by the increased bookings and mix of association and corporate clients. San Juan has hosted major meetings and corporate events for many years, plus everything in the City is so close – 10 minutes from the airport to the center and the major hotels and the center is five minutes from the Old City – one of the main attractions. Like Honolulu— easy to get business done and still have time to enjoy yourself.

FOL: Is there a trend towards more multi-use venues?

W.W.: Without question, the flexibility of a venue is a valuable asset, in particular in emerging markets. It is this flexibility that allows it to best meet the demand of the widest range of markets and enhances the activity level of the venue. Examples such as Wildwoods Convention and Civic Center, Wildwood, NJ where the venue can host a trade / consumer products show as easily as it can host a basketball tournament has vastly expanded the economic and community benefit of the venue.

FOL: What is the next important technological goal for venues? What technologies do meeting planners now expect and what are the new ones they are demanding?

W.W.: The most important goal for technology is that it is helpful and easy for our clients and guest to use. You’re correct in that most venues today are equipped with all sorts of bells and whistles. Making these things meaningful for guests and clients is the goal. Ease of access, speed and security are things all meeting planners demand. One of the newer technological innovations on the horizon is RFID, which is Radio Frequency Technology that can be used in a number of interesting applications.

FOL: Is the trend towards smaller meetings or larger meetings?

WW: The trend toward the mega-shows seems to have waned with shows being more targeted toward an industry segment. Venues that are able to support multiple activities are best suited to meet this trend.