Decrease of quality space in Kyiv means conferences move out of Kyiv.

Last years have seen a jump in the number of conference halls in Kyiv and other cities in Ukraine, but demand continues to far outstrip supply. As a consequence, conference managers often find it difficult to balance price and value when organizing big events.

Experts note that the problem exists because conference halls are only available at two extreme ends of the market –luxurious halls with high levels of service or cheap, Soviet-era premises. The demand is, by contrast, primarily for quality, middle-rate locations.

The opening of several 4- and 5-star hotels in the capital of Ukraine and other major cities has contributed to a growth in the number of upscale conference halls. InterContinental, Hyatt, Radisson SAS, Opera and Riviera in Kyiv, Donbas Palace in Donetsk and Opera in Lviv all have conference halls.

"Generally, the conditions for organizing events do lag behind neighbours, such as Poland and Russia, but the gap is closing," admitted Stephen Butler, managing director for Ukraine at Adam Smith Conferences.

The rate of conference halls and their levels of service are improving as more conference venues and hotels open and enter the market, mentioned Butler.

But despite the growth, competition among expensive conference halls is still not sufficient to bring the price down significantly, according to conference organizers.

Simultaneously, middle-class conference halls were hardest hit by the economic downturn as clients' budgets decreased, forcing service operators, event managers and contractors to drop their prices.

"Generally, every large hall can be transformed into a conference hall, but additional efforts are needed sary to equip it," admitted Andriy Tkachenko, marketing director of S&T Global Service.

Specially trained personnel, state-of-the-art equipment, catering and Wi-Fi coverage are must have for today, and, indeed, comfortable locations. Conference halls in newly built hotels and business centres in large cities meet all of these requirements the best. Meanwhile, in small cities there are only Soviet-era leftovers.

According to specialists, real change on the market of conference halls will happen only when separate convention centres are built with a variety of rooms for small and big groups of people. By now, halls for fewer than 100 people are the easiest to find, and there are also many available halls for up to 200 people. Housings for events with more than 200 participants are the most difficult to find, especially when meetings need to be held in several rooms simultaneously.

Adam Smith Conferences' Butler dded that, unlike Poland and Russia, Ukraine isn't suffering from "conference fatigue," where businessmen and politicians are tired of attending conferences. This makes the market ripe for development. "More events in the future will increase competition. Conference venues and hotels will raise their game," he mentioned.