How Large Show Attendees & How Large Show Attendees & Exhibitors are ChangingExhibitors are Changing
Large Show Roundtable • San Diego 2008
Michael Hughes
Associate Publisher & Director of Research Services
Themes
• AttendeesAttendees
• Exhibitors Exhibitors
• International International
• Growth & OutlookGrowth & Outlook
AttendeesAttendees
How Attendees are Changing at Large Shows
• Committing closer to the show dates. Not staying as long. Better informed before the show.
• More competition for time and resources.
• Demographic changes. Boomers retiring; Generation X and Y emerging.
• “Attendees today are more specialized.”
• Placing increased importance on value and education.
Source: Tradeshow Week Research
Exhibitors on Today’s Attendees
Attendees arefact-finding Attendees are
there foreducation
Attendees aredecision-makersand are ready to
buy
76%
44%
35%
0%
10%
20%
30%
40%
50%
60%
70%
80%
Buyers are sizing-up and comparing booth staff “behind the brands”.
How Important is “Extending the Relationship” After the Event? How well is this done?
Extremely important
Done "Very Well"
87%
11%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
Source: Tradeshow Week, SISO & JEGI
DISCONNECT
How Show Producers Extend the Relationship with Attendees and Exhibitors Year-Round
Source: Tradeshow Week, SISO & JEGI
E-NewsletterMagazine
Exh-ProductSearch Social Media
Network BlogsRSS
78%
54%
34%
29%
24%
12%0%
10%
20%
30%
40%
50%
60%
70%
80%
Web & Digital Media Challenges & Opportunities
Challenges: • Compelling content• Driving traffic • Determining ROI; revenue/cost model• Sufficient resources: time, people, budget
Opportunities:Opportunities:• Booth sales; registration • Building deeper relationships with community• Effective matchmaking and social networking• New revenue streams and partnerships• Targeting new participants
Source: Tradeshow Week, SISO & JEGI
ExhibitorsExhibitors
80% of exhibitors say:
““The job is The job is getting more getting more
complex.”complex.”
How Exhibitors Select Events Today
DemographicsTradition
Competitorsthere Lead
gathering opp. Attendance#'s ROI-ROO opp.
70%
60%
55%
45%43%
36%
0%
10%
20%
30%
40%
50%
60%
70%
80%
Exhibitors need more attendee data; this is much more important than perceived ROI-ROO
Source: Tradeshow Week Research
Source: Tradeshow Week Research – survey of corporate exhibitors
More Pressureto Track ROI Do You Track
ROI?
73%
35%
0%
10%
20%
30%
40%
50%
60%
70%
80%
Is there more pressure to prove ROI? Yes, we track ROI?
DISCONNECT
Source: Tradeshow Week Research
Events % ofTotal
MarketingBudget
Total Sales %Resulting from
Events
31.4%
13.7%
0.0%
5.0%
10.0%
15.0%
20.0%
25.0%
30.0%
35.0%
Event cost as % of total marketing budget? Estimated total sales resulting from events.
• Other TSW surveys have found this % closer to 20%.
DISCONNECT
Source: Tradeshow Week Research
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
8 9 10 = Highest Value
Top 3 Box: Based on a 10 point scale: 10 = Highest Value; 1 = Lowest
87%
72%
63%
41%
36%31%
16%14%
4%
51%
Perceived Value of Marketing Media
DISCONNECTThis is a survey of exhibitors. ABM has surveyed higher-level marketers
and events have scored #1.
Exhibitor Survey Question: Have any event marketing funds
been shifted to other marketing mediums in 2007?
Source: Tradeshow Week Research – survey of exhibitors
The Web is the Primary Competitor
36%
64%
Yes
No/Don't Know
Which mediums received shifted event marketing funds?
1. Web Site and Email Marketing 79%
2. Direct Mail and Catalogs 26%
2. Trade Magazines 26%
4. Sales Force 21%
4. Telemarketing 21%
ExhibitionsHigher ROI Private
EventsHigher ROI
Same ROI
34%
28%
38%
0%
5%
10%
15%
20%
25%
30%
35%
40%
Source: Tradeshow Week Research
Do Exhibitions or Private, Corporate Events Provider Higher ROI?
MoreFewer
Same Number
31%
12%
56%
0%
10%
20%
30%
40%
50%
60%
Source: Tradeshow Week Research
Plans to Participate in Non-Traditional Events in Next Two Years?
Source: Tradeshow Week Research
Increased Tradeshows;
Decreased Corporate, 19%
No Change, 68%
Increased Corporate; Decreased
Tradeshows, 13%
Has Corporate Event vs. Tradeshow Budget Allocation Changed?
Source: Tradeshow Week Research – survey of show managers
Training is"Very
Important" or"Important"
Do YouProvide
Training?
77%
35%
0%
10%
20%
30%
40%
50%
60%
70%
80%
Show Producers: How important is exhibitor training? Yes, we provide training?
DISCONNECT
InternationalInternational
Over the Next Five Years, U.S. Show Producers Would Like To…
Source: Tradeshow Week Research
43% 43%
24%
8%
0%
5%
10%
15%
20%
25%
30%
35%
40%
45%
Organize showsoutside the US-
Canada
Include moreoverseas pavilions in
domestic shows
Work as a partnerwith overseas
organizer
Organize pavilion(s)of US exhibitors in
foreign shows
International Markets of Most Interest• China, and other Asia • Dubai• India• Other Middle East• Eastern Europe • Canada, Mexico and Other Latin America
% of Large U.S. Show Organizers with International Events vs. % of U.S. Exhibitors Going Overseas
Large US Shows w/ Intl.
US Exhibitors w/ Intl.
20%
31%
0%
5%
10%
15%
20%
25%
30%
35%
Source: Tradeshow Week Research – U.S. exhibitors that exhibited in at least one show overseas in 2007
DISCONNECTThe average for all show
producers is 15%.
Growth & OutlookGrowth & Outlook
Source: Tradeshow Week 200
3.2%
2.6%
1.5% 1.4%
3.5%3.1%
0.0%
0.5%
1.0%
1.5%
2.0%
2.5%
3.0%
3.5%
NSF ExCos Attend
Tradeshow Week 200 Growth 2005 and 2006
Source: Tradeshow Week Research – 75 large shows held in 2007 with 2006 comparison
3.1%
1.4%
2.9%
0.0%
0.5%
1.0%
1.5%
2.0%
2.5%
3.0%
3.5%
NSF ExCos Attend
2007 Preliminary Growth Rates: Large Shows in Sectors Represented by LSR January 2008 Participants
NSF ExCos AttendAmusement & Entertainment 5.8% 3.8% 8.4%
Automotive & Trucking -3.2% -3.5% 0.4%
Aviation 1.0% 1.7% -5.8%
Beauty & Hair Care 10.6% 13.7% 3.0%
Building & Construction 3.8% -0.8% 0.3%
Graphics and Printing 5.0% 0.1% 1.4%
Hobbies & Crafts -1.7% -6.0% 8.4%
Source: Tradeshow Week Research – 75 large shows held in 2007 with 2006 comparison
2007 Preliminary Growth Rates: Large Shows in Sectors Represented by LSR January 2008 Participants
Slide #1 of 2.
NSF ExCos AttendInformation Technology 5.1% 2.9% -1.9%
Manufacturing & Industrial 1.7% -0.2% 1.8%
Media 3.5% 4.8% 29.9%
Medical & Health Care 1.9% 0.1% 5.6%
Retail 1.8% 3.2% 1.5%
Safety & Security 6.9% 6.5% 3.1%
Source: Tradeshow Week Research – 75 large shows held in 2007 with 2006 comparison
2007 Preliminary Growth Rates: Large Shows in Sectors Represented by LSR January 2008 Participants, cont.
Slide #2 of 2.
Slowdown1 – 2 Years
Expansion3 – 4 Years
Peak
Recovery2 – 3 Years
Where is industry in the cycle today?
Exhibition Industry Growth Cycle
Recovery:• Attendance grows faster than net square footage• Slow merger and acquisitions market• Negative national and local press
Expansion:• First attendance grows faster than net square
footage, then at about the same rate• Strong corporate travel and meeting spending• Hotel rates rise• More business-to-business events launched• Positive press – “events are back”
Peak:• Net square footage grows increasingly faster than
attendance• Strong exhibition and event mergers and
acquisitions• Strong corporate travel and meeting spending• Harder to launch business-to-business events• Strong convention hotel development
Slowdown:• Net square footage demand increases faster than
slowing attendance growth• Marginal new shows cancelled or postponed
Source: Tradeshow Week Research
Key Economic Indicators
• Corporate Profits
• Consumer Spending
• Unemployment
• Hotel Occupancy and RevPar
• Corporate Meetings
• Public Companies in Your Industries; Public Companies in the Exhibition/Events Industry
Today’s Positive Economic Factors
• International Growth and Weak Dollar
• Slowing M&A Environment, Reduces Consolidation
• Show Management Pricing Power
• “Still-buoyant lodging sector” (Financial Times, November 29th)
• Marketers are in Turmoil; Hard to Reach Buyers
• Significant Change Driving Attendance, Education Needs
Q&AQ&A
About Michael Hughes
• Associate Publisher & Director of Research Services, Tradeshow Week
• As head of Tradeshow Week Research, Michael produces proprietary research, consulting and marketing projects for leading exhibition industry organizations around the world. He works closely with exhibition industry leaders, corporate exhibitors, entrepreneurs, investors and real estate developers to provide strategic information, analysis and recommendations. His client’s include nearly all industry leaders in every segment of the industry as well as leaders in the investment and consulting community. Michael is frequently quoted by major newspapers and national magazines such as The Chicago Tribune; The Los Angeles Times; Newsweek; The New York Times; and The Wall Street Journal. In January of 2003, he was selected as a “Person to Watch” by min’s btob newsletter. Since 1999, Michael has been a presenter at over 70 industry conferences and meetings. He is also the research director and editor of Tradeshow Week’s syndicated Executive Outlook research surveys, and he writes Tradeshow Week’s “Industry Analysis” column and blog.
• Tel: (480) 483-4471• Email [email protected]
• www.tradeshowweek.com/customresearch
• Associate Publisher & Director of Research Services, Tradeshow Week
• As head of Tradeshow Week Research, Michael produces proprietary research, consulting and marketing projects for leading exhibition industry organizations around the world. He works closely with exhibition industry leaders, corporate exhibitors, entrepreneurs, investors and real estate developers to provide strategic information, analysis and recommendations. His client’s include nearly all industry leaders in every segment of the industry as well as leaders in the investment and consulting community. Michael is frequently quoted by major newspapers and national magazines such as The Chicago Tribune; The Los Angeles Times; Newsweek; The New York Times; and The Wall Street Journal. In January of 2003, he was selected as a “Person to Watch” by min’s btob newsletter. Since 1999, Michael has been a presenter at over 70 industry conferences and meetings. He is also the research director and editor of Tradeshow Week’s syndicated Executive Outlook research surveys, and he writes Tradeshow Week’s “Industry Analysis” column and blog.
• Tel: (480) 483-4471• Email [email protected]
• www.tradeshowweek.com/customresearch
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