Brands & segments
MICE
Also written: meetings incentives conferences exhibitions
MICE represents the commercial group business segment encompassing Meetings, Incentives, Conferences, and Exhibitions. Distinct from transient leisure, this category relies on advance B2B contract bookings, dedicated function space, catering, and bulk room blocks, serving as a primary driver of non-rooms food and beverage revenue.
Formula
Total MICE Revenue = Room Block Revenue + F&B Spend + Space Rental Fees + Ancillary Services
How it is used
Sales and revenue teams target MICE business to secure base occupancy months or years in advance, mitigating seasonal dips in corporate and leisure travel. Evaluating MICE requests requires analyzing total revenue contribution—including function space rental, banquet spend, and audio-visual yield—against the displacement of higher-ADR transient rooms. Minimum catering spends, rigid cancellation penalties, and attrition clauses are standard contractual mechanisms used to protect yield.
Worked example
A property hosts a 3-day conference occupying 150 rooms per night at $200 ADR ($90,000 room revenue). The group spends $45,000 on banquet F&B, $15,000 on meeting room rental, and $10,000 on AV equipment. Total MICE revenue is $160,000, yielding a Total RevPAR significantly higher than the room-only ADR suggests.
Common mistake
Accepting large MICE groups without calculating transient displacement can depress overall RevPAR if peak market demand would have yielded higher room rates.