Creating a Meeting Workspace in Sharepoint 2010 using Outlook 2010

There is a very helpful video on YouTube whcih explains exactly what I am trying to do:

It works without a flaw for them. However, when I try to do it on my SP2010 site using Outlook 2010, I get the follwoing error:
Your attempt to add a meeting to meeting workspace could not be completed. The specified location is not a Meeting Workspace.'

The weird thing is, going through the YT example above, the meeting workspace is created on the SP site despite the fact that I get that error when doing it! However, none of the meeting invitees/attendees are there as per the example.

This is driving me nuts, as this would be a very helpful thing to have work in our Outlook/SP 2010 environment.
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Just to resume....
Following your Pictures, you create a sub-site "SalesMeeting" under has to be a meeting workspace needs permissions for site creation for your user.

So, if permissions are not the problem, check
a.) Check the site features (Site Action - Site Settings - Manage Site Features (Site Actions)
b.) Check the site collection features (Site Action - Site Settings - Site Collection Features (Site Collection Administrators)
c.) Check the site templates (Site Action - Site Settings - Page Layouts and Site Templates (Look and Feel) --> Meeting Workspace should not be disallowed.

If you go to Sites and Workspaces (Site Actions), do you see Meeting Workspaces?
If you there click on create, do you see templates for Meetings?

Have you tried to do the same when you are loged on as a user, which is site owner of the Sharepoint Site? Or when you add yourself temporarly as a site owner?
So, just tried it with my Sharepoint, worked out of the box.

What may influence the functionality:
1.) If you point to a existing Meeting Workspace, you need to create it first with one of the Meeting Workspace templates.

2.) If you create the workspace from Outlook,

a.) then the workspace is created as subsite of the URL, you provided in Outlook.
I.E: If you provide http://MySharePoint as the Meeting host, then the site will be created as
http://MySharePoint/ + Subject Name of the Meeting in Outlook.

b.) You need permissions on the Site, where you want to create the meeting subsite.
I.E. For the link in b.) you need site creation permissions on http://MySharePoint/

c.) Make sure, that a subsite doesn't exist with the same name. This is easily the case if you are using generic names like "Meeting" as Subjecxt in Outlook.

For all:
Go to the Sharepoint Site which you provided in Outlook. Select Site-Actions --> New Site and see, if you find Meeting Workspace templates there. You may try to create such a workspace manually to see, if you have permissions.
patkengroupAuthor Commented:
Thanks for the response. Labor Day got in the way, and I didn't back to this, so I apologize for being tardy.

I have tried it both of the ways you describe, with the results being the same each time. I've tried to create the meeting site first on the SP site, and then directly from Outlook. Same error message each time. I know my rights are sufficient as I am connecting to the SP site as the spadmin just to be sure.

I have attached a series of pictures to show the steps I am using, and the error message I get at the end.
patkengroupAuthor Commented:
Sorry it took me so long to get back, but this week it has been difficult to get back to my SP responsibilities. I will be working on this presently, and will let you know. Thanks for the follow-up
patkengroupAuthor Commented:
I could never get this to work. However, our organization has decided to move to a SP 2013 platform, so the question is not moot.
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