With the Society of Incentive & Travel Executives and the industry it serves both undergoing significant changes, the incoming president of the association plans to inaugurate programs spurring membership and continue to try and prove to corporations that, even in uncertain economic times, incentive travel should play a part in motivation programs.
Bill Vastine, executive vice president of Arlington, Texas-based incentive travel and performance improvement firm Galactic Ltd., will begin his one-year term as SITE president at the association's annual international conference next month in Seattle. Vastine succeeds Marriott International incentive sales executive Peggy Whitman.
The succession is the first since the association in March changed the style in which it is managed for the first time in more than 20 years. Following the resignation of SITE CEO Jill Harrington in December 2001, the association decided to cease operating as a standalone entity and turn day-to-day management to association management firm Smith, Bucklin & Associates, with Brenda Anderson serving as executive director.
"It's a major change, but it brings us the technology and support to improve our infrastructure," Vastine said. "Our accounting and technological systems will jump to where they need to be. We needed an executive director, someone who knows how to manage an association. It's more important than having industry experience, because we can teach them about the industry, but without that other knowledge, they can't help the organization."
SITE has spent much of the past year developing its network of chapters, creating a council that coordinates and shares educational information around the world. Vastine credited Whitman for the initiative, and said he intended to continue that effort and expand the amount of educational offerings for individual members.
"That's where everything really starts: the educational programs, the seminars, the workshops," Vastine said.
Membership has slipped a bit during the past two years, Vastine said, due primarily to fallout from economic woes and Sept. 11, as well as a number of members declining to renew due to job changes.
Vastine is confident that trend will reverse itself next year, prompted by further emphasis on communicating the association's mission and beliefs to corporations worldwide and developing a plan using incentives to spur membership levels.
"We have to tell our story loud and clear to the industry," Vastine said. "And we'll unveil soon a membership incentive program. It's too early for details, but, surprise, we'll use incentives."
Key to the whole operation, though, is the further acceptance of incentive travel at a time when the economy remains soft, corporate earnings remain shaky and the threat of military action in the Middle East hangs over the industry. Vastine, though, is optimistic and vows to continue to spread the incentive gospel.
"At our company, we have seen continued interest in incentives and clients are still building programs, but many budgets have been cut—from $1 million to $800,000, for example," Vastine said. "But once people realize what powerful management tools incentives are—it's like dope—you can't get rid of them."
The slow economy, Vastine said, is actually a selling point for the use of corporate incentive travel programs.
"The slowdown makes incentives more powerful because they're more cost-efficient than cash," he said. "And you have to keep your employees revved up and motivated."
The international situation, though, could be more problematic. The use of incentive travel certainly slowed after last year's terror attacks and many industry veterans point to heavy cutbacks during the 1991 war with Iraq, a situation that could repeat itself.
"I wish I had a crystal ball, but I just don't know," said Vastine on the prospects for the industry during wartime. "I'm inclined to believe that it will make people careful where they go but not to quit using incentive travel. That's just a guess, though."
Galactic handles all aspects of performance improvement, including the use of incentive merchandise. Though the use of cash as an incentive is an anathema to SITE's mission, merchandise need not be, Vastine said, and correctly applied, can be an effective complement to incentive travel.
"We are still heavily travel-oriented," Vastine said. "People are enthusiastic about travel and looking at 2004 and 2005 already. But we do use merchandise to complement and augment incentive travel. It depends on the individual company, but there are a lot of different tools to use. They can be useful, depending on the customer's needs."