A vast ecosystem of small business owners has been heavily impacted by the continued lockdown: caterers, entertainment professionals, florists, decorators and more, all barely subsisting on state subsidies.
National conferences – once the bread and butter of these small businesses – have been cancelled for several months, leaving the industry with a cumbersome present and an uncertain future.
IBISWorld – a company that has provided market research for over half a century – recently estimated that the events industry contributes over $8.8 billion a year to the economy, 56 per cent of which is derived from private parties, and a further 44 per cent from seminars and corporate conferences.
The Australian states subjected to the most severe COVID-19 restrictions, namely Victoria, New South Wales and Queensland, accounted for 80 per cent of the entire industry.
The manager of Victoria Functions in Brunswick, Maria Stamelos, discussed her business’s losses.
“We’ve lost about 70 per cent of our work, mostly because people knew that they couldn’t book,” she said.
“Even when we reopened and functions were booked, they were cancelled because we went back into lockdown.”
Many organisers of interstate corporate events would book Stamelos’ business to cater for their meetings or seminars, due to the wide range of dietary options she offers.
“Our café is totally gluten free, and we’re accredited with Coeliac Australia,” she continued.
“We’ve lost corporate events related to interstate tourism.
“We no longer have expectations of the future because there’s too much uncertainty.
“The next reopening will simply depend on how many guests we’re able to accommodate.”
Meanwhile, the Victorian government has announced a new program to provide additional support for state-owned businesses.
Managed by the Melbourne Convention Bureau and Business Events Victoria, the fund will provide up to $115,000 to small business owners who plan to host conventions, trade shows, workshops and seminars by December 31, 2023.
So far, the two institutions have approved 73 events, which are predicted to bring in $102 million in economic growth for the state.
One of the last events held at Victoria Functions before the lockdown
Melbourne has always been a favourite destination for prestigious conferences, thanks to its suitable infrastructure, quality accommodation and accessible public transport.
Before the pandemic emerged, visitors from every state in Australia came to Victoria for professional commitments, which gave a financial boost to restaurants, bars and shops in the area.
The absence of interstate visitors has been felt acutely by small businesses, such as the owners of the historic Melrose Reception Centre in Tullamarine, which is managed by brothers John and Paul Toscano, under the direction of their father, Domenico.
While many other sectors have been able to transition online, this has not been a viable solution for the private events industry.
“We’ve lost 248 events over the course of the lockdown; 2020 was a very tough year,” John Toscano said.
“We often work with Victorian schools, and we were forced to cancel 48 debutante balls; that’s 650 students who’ve had to cancel their celebrations twice in the last two years.
“As we’re so close to Melbourne airport, we used to have many companies from other states because we’re so accessible.
“Our rooms were booked out for weeks in advance, for conventions and seminars; now they’re all cancelled.”
Every year, the Melrose Reception Centre used to host up to 900 guests for a Christmas lunch on December 25.
The staff are trying to stay motivated, despite the many problems faced by the company.
The managers of the business have decided to utilise the food purchased for the cancelled events, cooking and packaging up to $20,000 of food supplies and personally delivering them to homeless shelters such as St Mary’s House of Welcome and Sisters of Charity.
“At the moment, we’re hoping the state government will allow us to host at least one person per four square metres,” John said.
“It would be great for us, because our rooms are very large.”
The last debutante ball to be held at the Melrose Reception Centre prior to the pandemic
The owner and manager of Aurora Receptions in East Brunswick, Laura Ghattas, has over 30 years’ of experience in the private events sector.
She has decided not to accept any bookings in October, November or December, until she can be sure that she will be able to host more than 100 people.
“We’ve cancelled 15 events this year,” Ghattas said.
“The food had been purchased, the staff had been paid and we had to cancel everything within 24 hours.
“We can’t go back to work with the capacity limits set by the state roadmap; it’s not enough.
“We’ll go back to work when we’re really sure we won’t have to close again.”
