PANJIm: For quite some time now, Goa has emerged as a popular MICE (Meetings, Incentives, Conventions, and Exhibitions) destination. Thanks to the number of state of the art business hotels situated all across Goa following which the state has witnessed a corporate-oriented segment, involving obligatory (or non-discretionary) travel.
The number of corporate events has increased manifold in the state and the state is also well-known as a marriage destination. However, with the announcement of banning Rs 500 and Rs 1000 notes by PM Narendra Modi on November 8 to counter black money, Goa’s fate as a popular wedding destination is set to be “sacrificed” at the altar of demonetisation!
Wedding planners in the state like many others in several sectors have reacted to the current crisis situation.
Their reticence may be understandable given that the MICE industry in the state is conservatively estimated to be around Rs 500 cores, a number that no one disputes. However, the number of marriage planners in the state is disputed but all agreed that there was good business for everyone. Post-November 8, the scene has changed slightly.
Archana khadye, accounts director of Alicia Purple, an event agency based in Mumbai, said they planned weddings for clients based in Mumbai but wanted an experience in Goa. Budgets, she said, could vary anywhere between a few lakhs to around Rs 20 lakhs. The demonetisation move had affected business. She said, “Middle class families don’t seem to have ready cash and budgets have been reduced. People are spending judiciously.” A sentiment shared by another wedding planner in the state who did not want to come on record. He said, “We organise weddings with a budget of minimum of Rs 40 lakhs. We get our clients from all over the country and Dubai and even Europe. The weddings by parties from Delhi and Kolkata have run in to problems as many are unable to access their funds in the banks and we as wedding planners are not accepting the Rs 500 and Rs 1000 notes. Weddings have not been cancelled but parties have curtailed their expenditure”. He added even if they had the money, they were not interested in paying cheque as they could come under the I-T radar.
Sherwin D’souza, a wedding planner in Goa said his business had not been affected because the weddings being conducted now were planned 5 or 6 months in advance. Payments, he said were all made and the only problem was the payment of labourers working on the site. He said the effects of this policy would be felt during the next season when plans would be made in March, April or May. He said, “No one wants to accept the old notes. We are accepting cheques.” Many wedding planners usually charge a management fee which could be anything between 12% or 15% of the total budget or if the budget is tiny then a flat fee is negotiated.
Sherwin said his agency was involved in 80 weddings either organising it in its entirety or handling a part of it. This usually happened when the agency was based in Mumbai and needed locals on ground assistance.
A man striking a contrarian note was Jerry Pinto of Buzz Events who expressed his happiness at the move by the government. Jerry said, “ We are not facing any problems, the weddings have been conducted smoothly. Some guests cancelled because of a paucity of liquid cash otherwise we are happy. No one we are talking to for business has hinted at cancelling or cutting back on expenditure. I am very clear. All our payments are made through cheques. We now have a centralised labour contractor to whom we pay by cheque. He then makes the necessary payments”.
Shyam Haridas of Funky Heads said clients were now relooking at budgets and slashing it since liquid cash is scarce. Goa still maintained its appeal and domestic and international clients were interested in having their weddings here. The effects of the move he believed would be realised from January.
Five-star properties in the state were not keen on answering queries though an executive at one property said they were not facing any problems since payments were usually done by cheque.
Perhaps the nature of the wedding planning business can be gauged by the response of the planner who was not keen on coming on record when he said, “We are Indians and we will find a way to play with the system. In the new year, I am sure a system will evolve and the budgets will go back to the old levels. Weddings are an integral part of our culture and it is an opportunity to show off one‘s wealth.”
