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Reinvent Your Tradeshow: Nurture Your Exhibitors for Success

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Reinvent Your Tradeshow: Nurture Your Exhibitors for Success

  1. 1. Reinvent Your Tradeshow: Nurture Your Exhibitors for Success Terry Arth Susan Schwartz Sam Lippman
  2. 2. Introductions <ul><li>Terry Arth, CMP , Vice President, Meetings & International Programs, National Association Chain Drug Stores (NACDS) </li></ul><ul><li>Susan Schwartz , CEM, President, ConvExx and Show Manager, SEMA </li></ul><ul><li>Sam Lippman , President, Integrated Show Management & Marketing (ISM) and producer ECEF and Large Show Roundtable </li></ul>
  3. 3. Introductions <ul><li>Responsibility </li></ul><ul><li>Show and Meeting Management </li></ul><ul><li>Contractor/Supplier </li></ul><ul><li>Hotel/venue/destination </li></ul><ul><li>Experience </li></ul><ul><li>2 years or less </li></ul><ul><li>3 to 6 </li></ul><ul><li>7 to 14 </li></ul><ul><li>15 to 25 </li></ul><ul><li>Over 25 years </li></ul>
  4. 4. Where We are Today <ul><li>2010 – year two of the Great Recession </li></ul><ul><li>In 18 months U. S. household wealth down 20% </li></ul><ul><li>1 in 7 Americans employed by city & state governments – many almost bankrupt </li></ul><ul><li>Residential & commercial real estate excesses </li></ul><ul><li>Xmas Day – more Kindle than paper books sold </li></ul><ul><li>iPhone – instant information, networking and purchases </li></ul>
  5. 5. Center for Exhibition Industry Research (CEIR)
  6. 6. Center for Exhibition Industry Research (CEIR)
  7. 7. <ul><li>All titles, CMOs especially, believe tradeshow organizers should be held very accountable for audience quality </li></ul>From Stein/Rogan – BPA Worldwide Exhibitor ROI Research Survey Future of Tradeshows
  8. 8. If your show’s total revenue is down, when do you expect it to rebound?* <ul><li>January 2010 </li></ul><ul><li>July 2010 </li></ul><ul><li>January 2011 </li></ul><ul><li>July 2011 </li></ul><ul><li>January 2012 </li></ul><ul><li>Never </li></ul>* Asked of 180 executives at ECEF 2009 Future of Tradeshows 0
  9. 9. Exhibitions in the U.S.A. <ul><li>CEIR Index – companies, NSF and attendance down </li></ul><ul><li>Sponsorship revenue down </li></ul><ul><li>August 2008 to 2009 – overseas travel down 26% </li></ul><ul><li>CFO’s and Procurement buying marketing services </li></ul><ul><li>Media companies with too much debt </li></ul><ul><li>Green/carbon offsets </li></ul><ul><li>Less freight = less $ for GSC </li></ul><ul><li>Fewer/cheaper rooms = less $ for CVB’s </li></ul><ul><li>Venues under increasing pressure to book events </li></ul><ul><li>TSEA, HCEA, CEMA = exhibitors’ voice </li></ul>
  10. 10. Exhibitors in the U. S. <ul><li>Budget flat or decreasing </li></ul><ul><li>Quarterly approval of budgets </li></ul><ul><li>Greater emphasis on ROI </li></ul><ul><li>Changing from “buying concrete” to demanding customized, integrated opportunities </li></ul>
  11. 11. <ul><li>Questions? </li></ul>
  12. 12. Adding Value to a Super Show - SEMA Susan Schwartz President, ConvExx Show Manager, SEMA
  13. 13. It’s Not Business As Usual <ul><li>Walk in Your Customers’ Shoes </li></ul><ul><li>Just because it is, doesn’t mean it should be or can be anymore </li></ul>
  14. 14. It’s Not Business As Usual <ul><li>What are the Hot Buttons? </li></ul><ul><ul><li>Finding New Customers </li></ul></ul><ul><ul><li>Contractors and Pricing </li></ul></ul><ul><ul><li>Association Outreach </li></ul></ul>
  15. 15. New Customers <ul><li>Matchmaking </li></ul><ul><li>1,000 Guaranteed Leads </li></ul><ul><li>New Markets </li></ul>
  16. 16. Contractors & Pricing <ul><li>Exhibitor Value Packages </li></ul><ul><li>1,000 lbs complimentary material handling </li></ul><ul><li>Special deals from every contractor </li></ul><ul><li>Hotel prices </li></ul><ul><li>Transportation prices </li></ul>
  17. 17. Association Outreach <ul><li>Exhibitor Appreciation Party </li></ul><ul><li>Appreciation Gift Cards </li></ul><ul><li>Extra Seniority </li></ul><ul><li>Payment Plans </li></ul><ul><li>No price break vs. price break </li></ul>
  18. 18. <ul><li>Questions? </li></ul>
  19. 19. Creating Value for an Industry Terry Arth Vice President, Meetings & International Programs National Association of Chain Drug Stores (NACDS)
  20. 20. How We Got There <ul><li>Cash Cow </li></ul><ul><li>1992 – 2000 Received an additional $1M net revenue annually from Cash Cow, half from price increases, half from growth. </li></ul><ul><li>1992 – Competitor develops comprehensive hosted buyer program based upon the 60/60 model. 60 manufacturers matched with 60 buyers with guaranteed 20 minute appointments plus follow up notes for each meeting. </li></ul><ul><li>2000 – The Mt. Everest of profit is achieved </li></ul>
  21. 21. Cash Cow
  22. 22. How We Got There <ul><li>Declining Cash Cow </li></ul><ul><li>2000 – The Mt. Everest of profit is achieved </li></ul><ul><li>2001 – Outside competitor produces 30 events per year with net profits averaging 20 – 30%. </li></ul><ul><li>2001 - 2009 the decline begins in earnest as the following graph shows in detail. </li></ul>
  23. 23. Declining Cash Cow
  24. 24. Our Response! <ul><li>2001 – 2004 Re-energized exhibit and buyer advisory boards, verified outcomes with outside consultants, achieved senior management buy-in for hosted buyer program. </li></ul><ul><li>2004 - “Meet the Market” launched, our hosted buyer program that guarantees up to 10,000 appointments in one 8 hour day for small to medium sized manufacturers. </li></ul>
  25. 28. Buyer Appointment Schedule 11:42 am – 11:52 am LELO, Inc. 11:54 am – 12:04 pm First Quality 12:06 pm – 12:52 pm Lunch
  26. 29. Exhibitor Appointment Schedule 10:54 am – 11:04 am CVS 6,200 Stores 11:06 am – 11:16 am Kerr Drug 97 Stores 11:18 am – 11:28 am Navarro 32 Stores
  27. 30. Results! <ul><li>2004 – 2009 “MTM” grows from 50 hosted buyers to 350 (approximately 300 of our exhibiting companies currently participate in this program) </li></ul><ul><li>2009 and beyond? “Meet the Buyer”, designed for large manufacturers and buyers, successfully beta tested in 2008 and 2009 on two of or our large events. </li></ul>
  28. 31. Results! <ul><li>Best practices from Declining Cash Cow implemented across all events have helped improve bottom line performance. </li></ul><ul><li>Smaller events are used as laboratories were new ideas are tested and refined for larger events. </li></ul>
  29. 32. Rising Star 1
  30. 33. Rising Star 2
  31. 34. Declining Cash Cow + Rising Stars 1 & 2 = Time to figure out our next move!
  32. 35. What Does the Future Hold? <ul><li>Will the big box tradeshow concept of the 80’s & 90’s survive? </li></ul><ul><li>Will hosted buyer programs be the norm? </li></ul><ul><li>What is the next generation of events and will we be ready for it? </li></ul>
  33. 36. 80+ Events Per Year International for Profit Competition “ The easyFair concept gets back to trade show basics – but in the modern context”.
  34. 37. “ Efficient Collaborative Retail Marketing (ECRM) provides Business Solutions by integrating Process, Vision and Technology. Comprised of category & season specific Efficient Program Planning Sessions (EPPS), ECRM is helping retailers and manufacturers improve sales, reduce expense, and go to market faster and more efficiently”. Domestic for Profit Competition 50+ Events Per Year
  35. 38. What are you doing differently now - externally - to strengthen your show?* <ul><li>Pr oviding executive attendees with personalized programs </li></ul><ul><li>Outsourcing more in-house projects /procedures to improve results </li></ul><ul><li>Changing the for mat of your show (hours, days, co-location) </li></ul><ul><li>Using the web to increase the “duration” of your event </li></ul>Future of Tradeshows * Asked of 180 executives at ECEF 2009 0
  36. 39. What’s Next? <ul><li>Show Producers – charge per NSF or for _______? </li></ul><ul><li>General Service Contractors – how to diversify from drayage? </li></ul><ul><li>Exhibitors – more vocal and signing up/paying later – our response? </li></ul><ul><li>Venues/Cities – the German model? </li></ul>
  37. 40. <ul><li>Questions? </li></ul>