The rising cost of meetings prompted planners to rethink where to host events. Lower hotel fees and service fees in smaller cities are making once neglected destinations more attractive.
According to the 2025 CWT-GBTA Global Business Travel Forecast, the average daily fee for each conference attendee is expected to be $169, up from $162 in 2024. These fees include accommodation, food and beverage, AV, conference space, events, transportation and technology.
The broader economic situation is increasing pressure. JP Morgan Research now places the chances of a 2025 recession at 60%. New tariffs can raise prices across the board.
As budgets tighten, planners are attracting second- and third-tier cities where hotels and locations are significantly reduced.
“It’s not new, but economic headwinds are accelerating the shift,” said Mike Ferreira, founder of the conference. “Nickel and dim budgets in top cities are hurting the budget. Clients demand more cost-effective alternatives.”
His company increasingly recommends cities like Indianapolis, Detroit, Tempe, Salt Lake City, Kansas City and Frisco, Texas, which usually do not sacrifice service, offer strong airport access, short hotel transfer times and competitive prices.
Planners are still considering cities like Tulsa. “You can get more money in Tulsa. We offer a huge cost to competitive plans to maximize the efficiency and impact of a planner,” said Renee McKenney, Tulsa Regional Chamber, Tulsa Regional President and President of Tulsa Regional Tourism.
According to Cvent, the average house price is:
Tulsa Yes $91
Indianapolis: $119
Tempe: $129
Compare it:
Boston: $287
New York City: $266
Miami: $199
Smaller cities conduct large-scale meetings
To meet growing demand, many smaller cities are investing in meeting infrastructure.
- Tulsa has built a $390 million 650-room hotel that opened in 2029. The city said it lost 154 events in fiscal 2023-24 due to a lack of hotel inventory.
- Fort Lauderdale will open the Omni Fort Lauderdale Hotel by the end of 2025. It connects to Broward County Convention Center, which includes 120,000 square feet of flexible conference space and six dining options.
- Indianapolis expands the Indiana Convention Center by 143,500 square feet and adds a 50,000 square feet ballroom, and opens the 800-room Signia, which opened in Hilton in 2026.
- Detroit is building a 600-room JW Marriott hotel that is connected to the Huntington Square Convention Center via Skybridge. Completed in early 2027.
- Savannah completed a $276 million expansion in February, adding exhibition space and adding 40,000 square feet of banquet hall and 15 new conference rooms.
“We often hear from customers that their funds are more valuable after visiting live in mid-level cities,” Ferreira said. “The service is still great, but the budget is further developed.”
