Economic Impact Assessment

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ECONOMIC

IMPACT
ASSESSMENT
Contribution of Dubai World Trade
Centre Calendar of Events to GDP
2017 REPORT
OVERVIEW
Tourism is a key component of the UAE economy with sustained contribution to the
country’s GDP growth in recent years. Cities that are geographically well-
networked and serve as commercial hubs with access to fast-growing markets
are increasingly focused on developing their business tourism proposition within
the wider Travel & Tourism sector, as a sustainable generator of value to their
economic output. Building on its historic strengths as the global trade gateway for
the region, Dubai has been steadily investing and strengthening its offering across
both business events and the wider ecosystem to cement its international
positioning as the region’s leading business destination. The city’s strong tourism
proposition is partially fuelled by the Meetings, Incentives, Conferences, and
Exhibitions (MICE) sector led by Dubai World Trade Centre (DWTC), the Middle
East’s leading venue in terms of size, diversity of calendar and scale of events.

DWTC’s role in enhancing the value of Business Tourism to Dubai includes:

1. Positioning Dubai as a Global Business Hub:


DWTC aids in promoting Dubai as a global destination that offers best-in-
class networking infrastructure and a seamless in-country experience for
business travellers. Events hosted at DWTC attract multinational
corporations from across the West and East that seek to connect with each
other and gain access to the Middle Eastern, African and South Asian buyer
and supplier base. This allows Dubai to showcase its ability to deliver the
diversity of markets, and quality of attendance; its seamless operations and
well integrated logistics; and the breadth of its amenities and attractions that
create a comprehensive business destination experience.

2. Delivering a Platform for Regional Market Access:


DWTC builds on Dubai’s history as a trading harbour and leverages the
Meetings, Incentives, Conferences & Exhibitions (MICE) offering global firms
convenient and immediate access to regional and local market opportunities.
Each year, Fortune1000-companies, large-scale buyers and suppliers,
investors and customers choose DWTC as their destination to engage for
Table of Contents business and knowledge sharing through the renowned events associated
with a variety of industries. This further strengthens Dubai’s proposition, not
1. OVERVIEW 3
just as a geographic gateway but also as a city that truly delivers a viable
2. EXECUTIVE ecosystem for the international business community to engage in commercial
SUMMARY 4 activity with the immediate Middle Eastern and wider region spanning Africa
and Asia.
3. APPROACH AND
FRAMEWORK 6 3. Generating a Multiplier Impact on Dubai’s GDP:
DWTC drives substantial economic activity within Dubai that goes beyond the
4. ECONOMIC
spend of its customers within the MICE sector. Event organisers, exhibitors,
IMPACT 8
sponsors, delegates and visitors purchase local goods and services during
5. IMPACT the course of their event participation in Dubai, generating consumption and
ENHANCEMENT 12 economic activity through the service delivery and supply chain associated
with the MICE industry and its interrelated sectors like travel, logistics,
6. IMPACT hospitality, etc. This activity has a ripple effect in terms of driving greater
COMPARISON 15 business growth for these industries domestically and increasing the
purchasing power of their employee base. Consequently, every dirham spent
7. GLOSSARY at DWTC results in much higher value generated for the wider Dubai economy
OF TERMS 16
as cumulative result of hosting the event.

2 2 3
EXECUTIVE SUMMARY
>> 103 Large-scale Events attracted over >> Large-scale Events generated sales of DWTC MULTIPLIER EFFECT IN 2017

4.3
2.6MM attendees in 2017 of which 42% approximately AED 5.3Bn (USD 1.4Bn) MILLIONS, AED
were international attendees. DWTC EVENTS* DWTC TRAFFIC within the MICE sector, driving over 4
INTERNATIONAL times its value in overall non-trade

42% 3.0
Large-scale Summits,
>> Total Economic Output across the Dubai Conferences & Exhibitions
related business activity across
economy created by Large-scale Events
2.0
(2,000+ Attendees)
Dubai’s economy, i.e. when an

103 2.6
held at DWTC in 2017 amounts to AED 1
2,630,920 1,096,344 organiser or attendee invests 1 AED at
22.5Bn (USD 6.1Bn).
a DWTC event, it creates 4.3 AED in
>> Gross Value Added (GVA) to the Dubai
MM ATTENDEES
sales value for the wider Dubai MICE ADJACENT DIRECT INDIRECT + TOTAL
economy by DWTC amounted to AED LOCAL economy. SECTORS INDUCED
12.7Bn (USD 3.5Bn), retaining 57% of the 58% >> For every 1 unit (AED) directly spent in
Total Economic Output and contributing *103 events of 380 total events hosted at the venue 1,534,577
during 2017; 2.6MM visitors of the 3.3MM visitors that
the MICE sector, an incremental 2
3.3% to Dubai’s GDP in 2017.
attended events at the venue during the same period times spend is driven in Related/
>> Based on an extensive analysis,
5,263 10,650 16,028 6,495 22,523
Adjacent Sectors to constitute a Total
investments and expenses related to event Direct Impact that further delivers
participation by the 2.6MM attendees to nearly same value across Indirect and
ECONOMIC OUTPUT VALUE ADDED DWTC CONTRIBUTION
DWTC events, was determined to have Induced Impacts to Dubai’s GDP. DWTC 2017 CALENDAR YEAR IMPACTS
supported 84,226 jobs in Dubai. This does

3.3
>> Key 6 sectors represented by events at

22.5 12.7
not account for larger economic impacts Output GVA Income Employment
DWTC had an aggregated contribution
such as actual trade conducted and 57%
RETAINED % of 68% of the Gross Value Added to
AED MM AED MM AED MM Number of Jobs

business transactions as a result of the Bn AED Bn AED OF GDP Dubai’s economy in 2017 and were Direct 16,028 9,279 2,996 59,365
103 events or capital investment in
AS % OF DUBAI’S GDP = inclusive of ‘Healthcare, Medical &
infrastructure and social benefits of AED 389Bn (A)
Science’, Food, Hotel & Catering’, Indirect 3,339 1,750 567 7,953
human capital enhancement.
‘Automotive & Transport’, ‘Building
Construction & Facility Management’,
Induced 3,156 1,718 559 16,908
‘Information Technology’ and ‘Energy &
DWTC led the MICE sector’s activity in 2017 by hosting 103 “Large-scale” Events that Total Impact 22,523 12,747 4,122 84,226
Environment’ – which is reflective of
attracted a total of 2.6MM attendees throughout the year and contributed AED 12.7Bn to the scale of the respective events and
Dubai’s economy, equivalent to 3.3% of Dubai’s total GDP in 2017. attendance mix. Impact in USD (MM) 6,137 3,473 1,123

4 4 55
APPROACH AND FRAMEWORK
In order to quantify the value of the economic activity generated by events at Dubai World Trade Centre (DWTC), a study was
MODEL
conducted to analyse the flow of expenditures initiated by attendees at Large-scale Events (with each hosting over 2,000
attendees) at DWTC and the resultant incremental impact created by ‘business events’ for the Dubai economy. The focus of These three sets of inputs were used to quantify the total amount of Direct Spend generated by the Large-scale Events in 2017.
this report is to present the highlights of this study on the Economic Impact of DWTC. The Direct Spend results in higher demand for products and services in sectors related to Hotels & Restaurants, Retail/
Recreation, Air & Ground Transport, Government, Business Services etc., which will see a consequential growth in business
The impact of DWTC’s calendar of events is based on: volumes. Additionally, all industries that supply the raw materials, manufactured goods and ancillary services to these
>> ‘DIRECT’ INVESTMENTS made by DWTC, the event organisers and every exhibitor, as well as the spends of all incoming sectors, will also see a surge in their production to cater for the higher demand.
attendees to events at DWTC; The model used a customised Input-Output (I/O) table for Dubai to map the flow of ‘value’ from the point of spend through the
>> ‘INDIRECT’ PRODUCTION increase in Adjacent Sectors that are linked to the delivery of services and goods to meet the entire chain of activities within the domestic economy. The I/O table thus assigns a coefficient factor to the incremental value
rise in demand; which generate a natural spike in job opportunities within the local economy; and likely to be generated and retained within Dubai at each point in the production chain due to the initial spend triggered by an
event participant.
>> ‘INDUCED’ VALUE as a result of higher employment and rise in earnings of the impacted households encourages more
domestic consumption and re-spending in Dubai. This increased production effect created through the entire supply chain, triggered by the initial direct Incremental Spend, is
considered as the Indirect Impact. Similarly, based on the robustness and depth of domestic industry capabilities, associated
factors for local employment, income levels and re-consumption or repatriation are determined. Application of the relevant
FRAMEWORK incremental coefficients enable estimation of the Induced Impact.

The model developed quantifies the economic impact of DWTC by measuring two key components: The model employs the detailed input sources of spend together with the I/O tables to determine the following impacts of
events hosted at DWTC:
>> DEMAND SIDE: Identifying and quantifying each source of Incremental Spend within the Dubai economy by individuals
and/or organisations participating at events. DWTC ECONOMIC IMPACT MODEL
>> SUPPLY SIDE: Assessing the impact of increased production-levels in each Adjacent Sector that is involved in catering to
the increase in demand. 1 DIRECT IMPACT 2 INDIRECT IMPACT 3 INDUCED IMPACT TOTAL DWTC IMPACT
On other adjacent On the industry supply On the wider economy due All the Impacts have been
sectors as a result of chain created by the to the resultant increase captured in terms of:
INPUTS spend within MICE MICE Direct Spend, due in household income and
to increased demand for higher purchasing power
Extensive and robust data to allow for a statistically valid and representative sampling across all events held at DWTC in 2017, SPENDING SOURCE goods and services and of the local population
including the following: Event Organiser the incremental purchases involved in the production
Exhibitor - Local across all related sectors and delivery of the services
Exhibitor - Foreign
>> EVENT STATISTICS: Covers event durations, types, scale, geographic reach and sectoral scope of all major associations, Visitor - Local
that cater for this additional that drives further re-
conferences and exhibitions (events) held at DWTC in 2017. Visitor - Foreign demand generally referred spending within the local
to as ‘production-induced’ economy, and hence
>> FINANCIAL DATA: Covers MICE-related revenues booked and expenses incurred by organisers and exhibitors. TYPE OF ORGANISER generally referred to as
DWTC ‘consumption-induced’
Other UAE
>> FIELD SURVEY: Primary survey data included details of the attendees’ activities during the event and the spend-patterns Other International
on other travel and tourism related activities, such as accommodation, food and beverage, entertainment, transportation SUPPLY CHAIN PURCHASES SPENDING OF EMPLOYEES
etc. The population covered visitors and exhibitors (local and international) with a representative sample size of nearly
TYPE OF EVENT Food/Commodities Food A ECONOMIC OUTPUT
(Non-Trade Business Activity)
Association Manufacturing Consumer Products
22,000 respondents allows for a 99% confidence level with a margin of error under 1%. Congress/Conference Utilities Retail/Entertainment
B2B, B2C Exhibition Construction Transport B GROSS VALUE TO GDP
City-wide and DWTC capital investments in infrastructure and the spend associated with business deals signed or leads Wholesale Trade Housing (Value Added)
INDUSTRY Transport & Logistics Financing
generated by the events are excluded from this assessment. Hotels & Restaurants Communications Communications INCOME AND
Retail/Recreation Business Services C
Air & Ground Transport EMPLOYMENT
Government (Jobs Supported & Wages)
Business Services

KEY EXCLUSIONS
It should be noted that the analysis has adopted a conservative approach and results exclude the following high value
contributors:

>> CAPITAL INVESTMENT IMPACT: Value of all physical infrastructure investments.

>> IMPACT OF DEALS CLOSED DURING EVENTS: The trade generated during events at DWTC or by business networks
established at the event resulting in commercial activity post-event.

>> SOCIAL IMPACT: All human capital benefits, e.g. best practice and knowledge sharing during the events, research and
innovation enhancements etc. which are not easily quantified but represent real social benefits to the Dubai economy.

This study provides perspective on the role that DWTC currently plays in the overall Dubai economy, and more importantly,
identifies the fundamental drivers behind its substantial economic contribution. The insights, backed by sophisticated data
analytics enhances our understanding of the critical levers that can be monitored and managed to sustain and further
increase the MICE sector’s contribution levels, consequently informing and influencing the emirate’s overall economic
development strategies.

6 6 7
ECONOMIC IMPACT
Direct Economic Output of AED 16.0Bn (USD 4.4Bn) was generated by the 103 Large-scale events and the attendees to these
events at DWTC in 2017. This represents the impact of expenses incurred by the 2.6MM event attendees (organisers,
exhibitors, delegates and visitors) to purchase goods and services related to the event and/or during the course of their
business visit to Dubai, and includes all revenues to intermediaries involved in the sales process.

Events hosted at DWTC generated a total sales of approximately AED 5.3Bn (USD 1.4Bn) within the MICE sector with almost
twice as much - AED 10.7Bn (USD 2.9Bn) - spent by attendees in procuring goods and services from other sectors within the
domestic economy during the course of the events. The magnitude of this resultant spend across other sectors indicates the
strong interdependency and symbiotic benefits across adjacent sectors to the MICE industry.

MICE EXPENSES
MICE sector spend of AED 5.3Bn (USD 1.4Bn) is dominated by expenditure incurred by attendees during events including all
investments by event organisers and exhibitors for space rental, exhibitor stand services, events facilities maintenance and
other logistics and delivery related business services. Business networking events and entertainment account for an
incremental AED 238MM (USD 65MM) spend, resulting in a total MICE Expenditure of AED 5.5Bn (USD 1.5Bn), which
constitutes 34% of the Total Direct Economic Output of events held at DWTC.

PERSONAL EXPENSES
Outside of the MICE specific spends, the single largest category of expenses incurred by attendees to business events was
Personal Expenditure. Accounting for 54% of the Total Direct Economic Output, these spends reflect all the sales generated by
businesses associated with the Travel and Tourism sector such as hotels, restaurants, retail/shopping, local transport,
non-business related entertainment, etc. It is pertinent to note that for international attendees to events, the event is the
trigger of their decision to travel to the city and hence the analysis captures the full value of their expenditures incurred in
Dubai. However, for all local attendees, only the incremental impact of spends associated with the event are considered. This
category of Personal Expenses is thus calulated at AED 8.6Bn (USD 2.4Bn).

TRAVEL EXPENSES DIRECT ECONOMIC OUTPUT BY SECTOR IN 2017


AED
TOTAL
MICE events in 2017 have enabled increases in sales
for domestic carriers like Emirates Airline and
MICE BUSINESS MICE
flydubai as well as the local operations serving BUSINESS SERVICES ENTERTAINMENT EXPENSES
MICE EXPENSES

foreign carriers, capturing an overall Aviation


1%
sector-specific business impact of AED 1.7Bn (USD
33% 34%
469MM). An incremental AED 43MM (USD 12MM) was 5,263MM 238MM 5,501MM
generated through landing fees, visa and
immigration related expenses etc. for the Dubai Civil
Aviation Authority and the Government of Dubai.
Similar to the personal expenditure, these spends
PERSONAL EXPENSES

are also highly influenced by the level of foreign RESTAURANT ACCOMMODATION PERSONAL EXPENSES
& RETAIL
participation at events. Hence, as the percentage of
6%
international attendees to events in Dubai rises, so
will the MICE sector’s contribution to all these tightly
988MM 7,660MM 48% 8,648MM 54%
correlated sectors.

AIRFARE GOVERNMENT TRAVEL EXPENSES


TRAVEL EXPENSES

Events hosted at DWTC generated


sales of approximately 5.3Bn (USD 11% 1% 12%

1.4Bn) within the MICE sector, an


1,721MM 43MM 1,764MM
incremental 2 times spend is driven TRADE TRANSACTIONS: Sales generated as a result of business conducted and deals closed during trade shows and/or as a consequence of
the event HAVE NOT BEEN INCLUDED in the calculation of DWTC’s impact. This is primarily due to the fact that the events at DWTC are a
in Adjacent Sectors to constitute a platform for foreign investments to access the regional markets - i.e. generate business in the UAE and across the Middle East, Africa & Asia
Total Direct Econoic Impact of AED and consequently generating wider economic gains for the entire region. Additionally, given Dubai’s position as a regional commercial hub,
the trade volumes themselves are significant. The purpose of this study is to draw focus on all other value generated by the trade shows and
16.0 Bn (USD 4.4 Bn). DIRECT ECONOMIC OUTPUT 16.0BN more critically, retained value with Dubai’s economy as a Gross Value Add to the GDP. Much of the impact of trade transactions is assumed to
have a repatriation impact and hence been left out to be conservative.

8 9
TOTAL ECONOMIC OUTPUT EMPLOYMENT AND INCOME
The Direct Economic Output of AED 16.0Bn (USD 4.4Bn) consequently ECONOMIC OUTPUT IN 2017 Events at DWTC are estimated to have
EMPLOYMENT SUPPORTED BY DWTC EVENTS IN 2017
generated an increase in demand for goods and services within the local MILLIONS, AED supported 84,226 jobs in Dubai of which NUMBER OF JOBS (FULL TIME EQUIVALENT:FTE)
market that was met by a rise in production activity throughout the supply the majority - 71% (59,365 jobs) - were
chain. The ‘Indirect’ Economic Output created for businesses within the supply directly triggered by demand generated INDIRECT: 7,953 INDUCED: 16,908
chain for the associated sectors was estimated at approximately AED 3.3Bn INDUCED within the MICE sector and Adjacent
(USD 910MM). 3,156 Sectors. The remainder 29% (24,861 jobs)
TOTAL is attributable to the wider domestic 9% 20%
With growth in sales not just in the MICE and directly linked Tourism sectors
but across the various industries associated in the production process, there is INDIRECT
22,523 economy as a result of the Indirect and
DWTC

58x 84,226
Induced Employment Impact.
a consequent increase in employment opportunities and rise in household 3,339
EMPLOYEES TOTAL
income levels. Within the Emirate of Dubai, higher household purchasing Based on the Dubai economic structure
power drove more consumption and re-spend within the domestic economy
DIRECT and industry profile, it is further
16,028
leading to an Induced Impact on business sales estimated at a further AED estimated that 84,226 jobs supported in 1,447 TIMES
3.2Bn (USD 860MM). Dubai generated disposable household FTE
income of AED 4.1Bn (USD 1.1Bn)
These calculations of the Indirect and Induced Impacts are derived from the
Dubai Input-Output Model that enables us to trace the flow of each spend In effect, 1 Full Time job is supported for 71%
through the value chain and to households, including estimations of the every AED 269,989 (USD 73,567) in direct
re-consumption levels within the local economy versus remittance outflows spending associated with events at
DIRECT: 59,365
based on the type of employment profiles specific to the Dubai ecosystem, in DWTC. Additionally, when compared to
GROSS VALUE ADDED IN 2017
each sector. Accordingly, coefficient factor to each source of the expenditure is MILLIONS, AED the employment at DWTC, for every
used as the multiplier factor to determine the total output values. DWTC employee, roughly 58 additional
jobs were sustained in other parts of
In 2017, 103 large-scale events at DWTC supported
The Total Economic Output across the Dubai economy created by events at INDUCED
Dubai’s economy during 2017 as a result 84,226 jobs in Dubai with disposable household income
DWTC in 2017 amounted to AED 22.5Bn (USD 6.1Bn). It is insightful to note that 1,718
of the value generated by business amounting to AED 4.1Bn
this value is 4.3 times the sales generated within the MICE sector. In other
events.
words, when attendees to events at DWTC spend 1 AED within the MICE sector, INDIRECT TOTAL
it creates 4.3 AED in sales value for the wider Dubai economy. 1,750
12,747
GROSS VALUE ADDED (GVA) DIRECT
9,279
DWTC is estimated to have generated AED 12.7Bn (USD 3.5Bn) in total Gross
Value Added to Dubai’s economy which represents the portion retained within
the city’s GDP after any outflows of the revenues generated for exports,
remittances etc. This is further broken down into:

Direct Value Added amounting to AED 9.3Bn (USD 2.5Bn) representing the value
retained from the incurred incremental expenditures by international and local
attendees (organisers, exhibitors and visitors) that totalled AED 16.0Bn (USD
4.4Bn). This value reflects approximately 42% leakage on spends incurred
within the MICE sector and the associated Travel and Tourism goods and Nearly 57% of the Total
services. Economic Output (AED
Indirect Value Added reflecting production-induced impact is estimated at AED
22.5Bn) is retained in
1.7Bn (USD 477MM) with an additional Induced Value Added of AED 1.7Bn (USD Dubai, adding AED 12.7Bn
468MM) from consumption-induced effects, therefore resulting in a 37% to the local economy
addition to Direct Value Added

TOTAL DIRECT
ECONOMIC OUTPUT GROSS VALUE ADDED ECONOMIC OUTPUT DIRECT VALUE ADDED

22.5Bn AED
57%
RETAINED
12.7Bn AED 16.0Bn AED
58%
RETAINED
9.3Bn AED

10 11 11
IMPACT ENHANCEMENT
In addition to the core Economic Impact metrics discussed in the earlier segment, the study provides pertinent insights on the Region
levers that drive incremental value. To be able to grow the economic activity and outputs generated by the events at DWTC for %
• Average days of stay in Dubai attendees
Dubai’s economy and sustainably enhance contribution levels to the GDP, it is critical to understand these drivers further: # Companions per 10 attendees
# Attendees extend their stay

Europe EEurope CAsia Asia Pacific


1. International attendees spend 9 times more on average per event, than locally based • 4.9 days • 5.3 days • 5.2 days

attendees: 2 companions 4 companions 3 companions


4 in 10 attendees 5 in 10 attendees  5 in 10 attendees
42% of the 2.6MM attendees to Large-scale Events in 2017 were from overseas but were responsible for generating 75% at
AED 12.0Bn (USD 3.3Bn) of the overall direct spend. Whereas the local attendees accounted for 58% of the attendance and
were responsible for just 25% of Direct Spend of AED 4.0Bn (USD 1.1Bn).

This wide gap in spending levels between the two attendee segments is driven by two primary factors:
North America
A. Higher Daily Spend: Mainly attributable to travel and accommodation related needs of foreign travellers. Some other
expenses may be incurred by both types of attendees but they are only considered to be ‘incremental’ value to the
• 5.8 days 24% 4%
2 companions
3% 6%
economy if spent by the incoming international attendees or if incurred by local attendees specifically for business 7 in 10 attendees
networking purposes triggered by the event.

As such, an international attendee requires a wider array of services and goods from his/her decision to travel to Dubai MENA 18% 22% 12% 4% South Eastern Asia
for an event at DWTC until their exit from the country which is not required by a local resident. • 5.0 days
3 companions • 5.4 days
> Retail, Personal Entertainment and Food & Beverage related expenses (only if outside of the main event) are 5 in 10 attendees 2 companions
considered for international attendees but not for UAE-based attendees as it would have been incurred regardless of 5% 4 in 10 attendees
the occurrence of the specific business event. 1% 1%
> Expenses that are largely common to all attendees relate to Event Delivery and Participation, Local Transport and for
Business Entertainment. South America Africa GCC I Subcontinent Oceania
As a result, the DWTC driven ‘per-day (per diem) spend’ of an international attendee is 4.4 times that of a local attendee, • 7.3 days • 5.5 days • 3.9 days • 5.4 days • 6.6 days

averaging at AED 1,341 (USD 365), compared to only AED 303 (USD 83) for a local attendee. 5 companions 4 companions 3 companions 3 companions 4 companions
6 in 10 attendees 7 in 10 attendees 3 in 10 attendees 5 in 10 attendees 7 in 10 attendees
B. Longer Stay and Companions: Driven by the tendency of foreign travellers to be in Dubai for the entire duration of the
event and to occasionally travel with companions, extending their stay for leisure, pre or post the event.

> Resident UAE visitors have a propensity to attend intermittent days of a 4-5 day event rather than through the entire
2. Event-scale drives international attractiveness ECONOMIC OUTPUT BY EVENT SIZE
period and the ‘companion’ effect is not applicable to this segment.
and higher GDP impact:
> Survey results suggests roughly 0.20 companions per international attendee per event with an average stay in Dubai
Successful events within DWTC’s calendar attract high attendance and MEGA EVENTS GROSS VALUE ADDED
of 5.0 visit days per event. Whereas, a local attendee visits for an average of 2.4 days per event.
consequently grow in scale (event-days). OVERSEAS
Taking the above into consideration, this creates an even wider delta in contribution from international attendees, with an ATTENDEES
>> Mega-Events with over 30,000 attendees per event – 21 events with
average spend of AED 6,705 (USD 1,827) as against an average AED 727 (USD 198) spent by a local attendee per event at 43%
21 8.6Bn AED
average show duration of 4.2 days, attracted 43% international
DWTC.
participation and are responsible for 67% (AED 8.6Bn) of the Gross
Value Added to the economy. EVENTS
PER EVENT SPEND
>> Medium-scale Events with 10,000-29,999 attendees per event – 35
events with average show duration of 3.5 days, attracted 38%
OVERSEAS ATTENDEE Bus. Entertainment / 8%
international participation and are responsible for 22% (AED 2.8Bn) of
MEDIUM EVENTS
Personal Ancillary /13%
Personal Basic /16% 4.4X 6,705 AED
the Gross Value Added to the economy. OVERSEAS
ATTENDEES
>> Small-scale Events with 2,000-10,000 attendees per event – 47 events
38%
Accommodation /63%

1,341 AED 5.0 DAYS


9X
with average show duration of 3.0 days, attracted 39% international
participation and are responsible for 11% (AED 1.3Bn) of the Gross
Value Added to the economy.
35
EVENTS 2.8Bn AED
AVERAGE SPEND PER DAY AVERAGE LENGTH OF STAY IN DUBAI
High levels of international attendance with longer event durations that
encourage more visit-days in Dubai, directly increases foreign spend within SMALL EVENTS
LOCAL ATTENDEE Personal Basic /67% the domestic economy and positively influences the impact generated. OVERSEAS
Bus. Entertainment /33% ATTENDEES
39%
303 AED 2.4 DAYS 727AED A Mega-Event creates 6.5 times more impact than a
Small-scale Event and 3 times more impact than a
47
EVENTS
1.3 Bn AED
AVERAGE SPEND PER DAY AVERAGE VISIT DAYS AVERAGE SPEND PER SHOW Medium-scale Event

12 13
IMPACT COMPARISON
3. Events in dominant sectors account for higher contribution:
Significance of the sector to a global and regional audience has the ability to deliver high quality of participation. This study
identified 6 key sectors that: When compared to the similar study conducted in 2015, a healthy growth is observed KEY PERFORMANCE
across the core Economic Impact metrics:
>> Accounted for 68% (AED 8.6Bn) of the Gross Value Added to the economy.
METRICS 2017 vs. 2015
>> The Economic Output increased from AED 20.9Bn in 2015 to AED 22.5Bn in 2017
>> The combined value-added
>> Attracted 56% (1.5MM) of total attendees from 103 large-scale events and international attendees from key sectors accounted for
>> Gross Value Added (GVA) to the Dubai economy by the events held at DWTC impact of events at DWTC
65% of all international attendees in 2017.
amounted to AED 12.7Bn, contributing 3.3% to Dubai’s GDP in 2017 vs. AED and supporting business
>> High level of international attendance for events in 6 core sectors created 2.4 times more impact than the events in other 12.0Bn in 2015 i.e. contributing 3.1% to Dubai’s GDP in 2015. increased to AED 12.7Bn in
sectors 2017 - 6% increase over
>> The 103 events at DWTC supported 84,226 jobs in Dubai vs. 80,460 jobs
2015.
INDUSTRY PERFORMANCE supported by 104 events at DWTC in 2015. Consequently, increase in number of
jobs supported by events at DWTC, lead to increase in disposable income >> This resulted in increased
HEALTHCARE, amounting to AED 4.1Bn in 2017 vs. 3.8Bn in 2015. jobs in Dubai; increased by
6 key sectors MEDICAL & SCIENCE Primary drivers for growth:
5% to 84,226 in 2017 when
compared to 2015.
accounted for 68% ATTENDEES: 411,972

(AED 8.6Bn) of the 18% 58% INTERNATIONAL


GVA: 2.4BN AED
>> 103 large-scale events in 2017 reported growth in Exhibitors in comparison to
>> Added jobs at DWTC and
OTHERS 2015:
Gross Value Added supporting business fuelled

to the economy.
32% GVA >> 7% increase in total companies exhibiting at DWTC growth in disposable

12.7BN AED
FOOD, HOTEL >> 13% increase in international exhibiting companies income; AED 4.1Bn in 2017
15% & CATERING >> 20% increase in Exhibition Staff – 7% increase over 2015.
ATTENDEES: 325,438
51% INTERNATIONAL >> In 2017, increased number of exhibiting companies boosted venue occupancy in >> 103 large-scale events held
GVA: 1.9BN AED
6% terms of SQM Days (increased by 15% in 2017 vs. 2015) and thereby increased at DWTC in 2017 amounted
12% spend on MICE activities i.e. exhibition space, exhibiting stand etc. which to a AED 22.5Bn in Total
8% 8% resulted in 24% increase in spend on MICE Business Services in 2017 vs. 2015. Output - 8% increase over
AUTOMOTIVE
Increased venue capacity with the opening of 3 new halls (Zabeel Halls 4, 5 & 6) 2015.
& TRANSPORT
ATTENDEES: 235,826 was utilised to meet the increased demand generated in 2017.
57% INTERNATIONAL
GVA: 1.5BN AED >> Top sectors with relevance to global and regional audience attracted more attendees and boost highest growth in GVA
contribution in 2017 vs. 2015

ENERGY & INFORMATION BUILDING CONSTRUCTION >> Healthcare, Medical & Science: With most number of events (18 events) Healthcare sector remains a top
contributor with AED 2.4Bn of GVA, a 8% increase since 2015 and 33% more attendees
ENVIRONMENT TECHNOLOGY & FACILITY MANAGEMENT
ATTENDEES: 120,827 ATTENDEES: 221,574 ATTENDEES: 147,268 >> Food, Hotel & Catering: The second largest contributor with AED 1.9Bn of GVA, a 19% increase since 2015 and 20%
47% INTERNATIONAL 31% INTERNATIONAL 50% INTERNATIONAL more attendees
GVA: 0.8BN AED GVA: 1.0BN AED GVA: 1.0BN AED
>> Automotive & Transport: Contributes AED 1.5Bn of GVA, a 62% increase since 2015 and 30% more attendees
>> Energy & Environment: Contributes AED 0.8Bn of GVA, a 58% increase since 2015 and 11% more attendees

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GLOSSARY OF TERMS
GLOSSARY TERM DESCRIPTION

Adjacent Sectors Hotels & Restaurants, Retail/Recreation, Air & Ground Transport, Government,
Business Services.

Attendees Represents the total participants to the events.

Direct Impact/ The changes in economic activity during the first round of spending. For MICE, this
Direct Output involves the impacts on the MICE industry (businesses selling directly to
attendees).

Full Time Equivalent (FTE) This is the preferred measure of employment. It adjusts the headcount employment
Job in a company by equating two part time employees to one full time. Thus two part
times equal one FTE.

Gross Domestic Product (GDP) A basic measure of a country’s overall economic health. As an aggregate measure
of production, GDP is equal to the sum of the Gross Value Added of all residential
units (i.e. industries) engaged in production, plus any taxes, and minus any
subsidies, on products not included in the value of their outputs.

Gross Value Added (GVA) A measure of the value of goods and services produced in a business, an area, an
industry or a sector of an economy. GVA can be defined as the value of output less
the value of intermediate consumption. It is analogous to GDP.
Direct, Indirect and Induced GVA refers to value added retained in the economy as a
result of the Direct, Indirect and Induced Output respectively.

Impact Assessment Estimates the impact of spend by event attendees at DWTC on the region’s
economy. Impact analysis typically includes only the spending of event attendees
which includes Organisers, Exhibitors, Visitors/Delegates

Incremental Spend Refers the tendency to spend income on consumer goods i.e. the fraction of income
spent on additional consumption.

Indirect Impact The changes in sales, income, or employment within the economy in backward-
linked industries supplying goods and services to MICE businesses.

Induced Impact The increased sales within the economy from household spending of the income
earned in MICE and supporting industries. Employees in MICE and supporting
industries spend the income they earn on housing, utilities, groceries, and other
consumer goods and services. This generates sales, income, and employment
throughout the region’s economy.

Input-Output (I/O) Model Table Shows the major spend flows from point of “final demand”; intermediate spending
patterns (the supply chain); how much of that spend stays within the economy; and
the distribution of income between employment incomes and other income (mainly
profits). In essence, an Input-Output Model is a table which shows who buys what
from whom in the economy. Dubai World Trade Centre connects people, products and ideas from around the globe
through our year-round calendar of international trade fairs, blockbuster consumer
Large-scale Events Events held at DWTC with 2,000+ participants. shows and prestigious international conferences. We have played a pivotal role in the
MICE Meetings, Incentives, Conferences and Exhibitions. growth of international trade for the Middle East, ever since our inauguration in 1979.
Then, it was through the landmark 39-storey Sheikh Rashid Tower. Today we are the
Multipliers Multipliers capture the size of the secondary effects in a given economy, generally region’s largest purpose-built complex for events and exhibitions.
as a ratio of the total change in economic activity to the direct change. Multipliers
may be expressed as ratios of sales, income or employment, or as ratios of total
income or employment changes relative to direct sales. Multipliers express the
degree of interdependency between sectors in a region’s economy and therefore The epicentre for business tourism in the region, we power the MICE sector through our
vary considerably across regions and sectors. size, resources, diversity of calendar and scale of events. As well as connecting people
through the events we host, we play a major role within Dubai’s economy, attracting
SQM Days Venue occupancy in Square Metre (SQM) for the event duration (Days) revenue for the city’s attractions, restaurants and hotels. We continue to be driven by
our role, not just in Dubai’s past but also in its future and to challenge ourselves to
Total Impact/
Aggregate sum of Direct, Indirect and Induced Impacts. create even better experiences for our clients, exhibitors and visitors.
Total Economic Output

For more information about this report, please contact: research.co@dwtc.com

www.dwtc.com

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