The relevance of the analyzed issue is caused by the growth of the international trade in the intensity of business travel services, including in the field of the congress and exhibition business, which necessitates the formation of the effective management model of business travel services at the destination level. The purpose of the article is to substantiate the formation algorithm of the cluster development strategy of tourism and the development of organizational functioning models of the congress and exhibition cluster in the destination. The leading approach to the study of this issue is the method of modeling, which allowed considering the practice of clusters functioning as a sequence of stages of its formation and development, taking into account the resource potential of destinations. Results: the article presents a stepwise algorithm for creating the congress and exhibition cluster in the destination and proves the fundamental organizational model for its functioning in the business tourism market; isolates and systematized criteria and indicators for assessing the contribution of participants of the tourism cluster in the destination development. The contents of this article may be useful for researchers, interested in the use of the cluster approach in the services sector, as well as to regional authorities, responsible for the development of tourism

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