Insider Media Limited

Next year is set to be an even tougher year for the hospitality sector because of the demise of 24-hour delegate rates. That's according to Kay England, chief executive of Imago, the corporate hospitality company based at Loughborough University.

England said that the company expected 2011 to be "equally as challenging" as the previous year.

She said: "One prevailing factor will be the change in how clients want to book conferences and meetings. In previous years it was acceptable for meetings and conference clients to book facilities and accommodations for delegates through a single 24-hour rate.

"It is now more common for organisers to make delegates sort out their own accommodation. This has meant that many will opt to travel or to book budget rooms off campus. This not only has an impact on the pricing structure but can also damage the effectiveness of a conference, as delegates spend less time socialising with colleagues and networking."

England added that Imago is prepared for 2011 but that the company will need to develop new strategies to diversify further.

“We will be concentrating on providing our consistent excellent levels of customer care and ensuring the quality of our product remains high, in order to maintain high repeat business levels,” she said.

“We are also still being proactive with our sales strategy and are managing to pick up new business. It will be up to other venues in the UK to look for wider opportunities, such as those that are expected in the run up to the 2012 Olympics, to make the best of the situation. Being on the ball and looking to new markets, whilst keeping service levels to a premium as standard, is likely to be the best strategy for all.”