The Third-Tier Advantage

 

 

 

 

 

 

 

 

 

 

Eight ways third-tier cities can compete with their top-tier rivals by leveraging their affordability, accessibility and unique offerings.

Why consider a third-tier city over a first-tier destination for your next event? Third-tier cities would say that they offer unique advantages for groups — affordability, distinct local experiences and a more relaxed environment — that may not be as easy to find in a larger, first-tier destination.

As Brian Ambuehl, Director of Sales with Visit Greensboro, N.C., said during a Global Meeting Industry Day (GMID) online session on April 3, “Planners look to the larger metro areas because they have everything they need. The smaller third-tier cities have that as well.” He added, “As DMOs it’s our job to correct some of the misconceptions that planners have.”

Here are some of the key advantages third-tier cities offer for meeting and event planners.

  1. Lower costs across the board. Third-tier cities provide significant cost advantages in terms of hotel and other venue meeting space fees, hotel room rates, transportation costs and overall event expenses when compared to first-tier cities like New York or Los Angeles. Also, as Nicole Olivares, CMP, CSO with Visit Corpus Christi said in the GMID presentation, they’re eager to offer incentives to land your business. “Corpus Christi has some pretty healthy incentive funds … to give them more bang for their buck.” She added, “All of our downtown hotels provide complimentary airport transportation.” Some third-tier cities offer other additional perks such as complimentary Wi-Fi, free parking and bundled services to reduce overall expenses.
  2. Compact and walkable layouts. These cities often have compact downtown areas with venues, hotels, and restaurants within walking distance. This reduces the need for costly ground transportation. For example, Raleigh, N.C., offers a walkable downtown area with affordable dining and entertainment options near convention centers.
  3. Large convention facilities. While not all third-tier cities have convention facilities that rival those of larger destinations, some do. For example, Greensboro’s convention center, with 250,000 square feet of meeting space, is the largest between Washington, D.C., and Atlanta, said Ambuehl — it boasts 11,000 hotel rooms citywide to accommodate attendees for larger conventions. Beyond convention centers, some third-tier cities have other large spaces you can tap. For example, the Thunder Ridge Nature Arena, just 20 minutes from Branson, Mo., is an outdoor arena that can seat 18,000. “We’re so fortunate to have this Red Rocks-style amphitheater,” said Reed Warner, DOS and Operations, Explore Branson, during the GMID session.
  4. Unique and authentic local experiences. Third-tier cities provide authentic local experiences that can enhance attendee satisfaction without adding significant costs. For example, depending on the time of year, your group may be able to catch the baby sea turtle release at the Padre Island National Seashore — the longest stretch of undeveloped barrier island in the world, said Corpus Christi’s Olivares. Cities like Columbia, S.C., also offer unique venues such as minor league stadiums for creative event settings. “We can call on our relationships to do something outside the box, whether it’s renting a beautiful ranch or doing a block party,” said Branson’s Warner.
  5. Community engagement. Smaller cities often foster a sense of community and connection, allowing groups to engage with local businesses, artisans or cultural organizations in meaningful ways.
  6. Historic charm. Not all third-tier cities are historic, but even those without a specific claim to historic fame often feature historic architecture and preserved buildings that can serve as unique venues for events that may not be available in the high-rise world of most larger cities. Event organizers also have lots of opportunities to try unconventional venues — such as renovated industrial spaces or minor league stadiums — that may not be available or affordable in larger cities.
  7. Less congestion and smaller crowds. Shorter commute times and less traffic mean attendees spend more time engaging in the event rather than navigating the city — something especially key for regional meetings or others with a high drive-in attendance.
  8. Accessibility. While they may lack large international airports, third-tier cities often have regional airports or are located within driving distance of larger hubs, making them accessible without the logistical challenges of navigating busy metropolitan areas. And some are easily accessible from larger airport hubs. For example, said Greensboro’s Ambuehl in the GMID session, “In Greensboro we have an international airport, serviced by all the major airlines, and you’re 15 minutes away from any hotels in the city. Also, we’re within a 10-hour drive of 60 percent of the U.S. population.” Corpus Christi’s Olivares pointed out that her city’s airport is only 12 minutes from downtown.
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Some tips and strategies for those looking to take their meetings to third-tier destinations:

  • Go regional. Instead of hosting one large national event, consider breaking up that one large event into multiple regional meetings in third-tier cities. That way, you can save on air travel while maintaining connectivity through video conferencing technology.
  • Negotiate perks. Third-tier cities tend to be very competitive and want to work with planners to land their business. Don’t be afraid to negotiate for extras such as discounted room blocks, free meeting space with catering packages, or waived resort fees.
  • Go local with vendors. You can both save costs and support the local economy by partnering with local catering, entertainment and transportation vendors.
  • Focus on accessibility. If your chosen third-tier city has an airport close to the downtown area — think Corpus Christi’s airport, just 12 minutes from downtown — let attendees know that the destination is just a short trip from the airport, saving them time and money.
  • Highlight value over prestige. While the allure of a first-tier city is strong, especially for event organizers’ decision-makers, be sure to let them know that your third-tier choice is not only going to cost less, but it also can provide an enhanced attendee experience.

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