Internet, globalization will impact show business
What are the most important current trends in the world of trade and consumer shows - and how will those trends affect the future of the business? How will shows change and evolve over the course of the next decade? Will they become more or less important within the corporate marketing mix, as the Internet assumes a larger role as a vehicle for customer contact?
Maybe we're just in a pre-millennial sort of mood, but for this special report, we asked a number of exposition experts to ponder these sweeping questions. Their responses appear below.
All interviews by Bernadette Johnson.
Jennifer Sickinger
Show Manager, Reed Exhibitions, Toronto
Sickinger, who is also president of the Canadian Association of Exposition Managers, says many in the trade and consumer show business perceive the Internet as a growing threat. And with good reason, she adds.
"There are exhibitors and attendees out there who believe anything can be done on the Internet," she says. "It's a challenge for us, as trade show producers, to convince [both] sets of clients they need the show."
Virtual shows and online seminars can complement a trade or consumer show, Sickinger argues. But ultimately, there is no substitute for actually experiencing an exhibitor's product on the show floor.
Barry Siskind
President, International Training & Management,
Caledon, Ont.
Globalization is by far the most important trend in this $2-billion-plus industry, says Siskind, a leading consultant on trade and consumer shows. In the quest to expand their customer base, exhibitors today worry little about geography when deciding which shows to enter.
Exhibitors are also becoming more sophisticated in their approaches, he says. Indeed, current research suggests that companies now allocate more of their budgets to trade and consumer shows than to any other marketing tool, with the exception of direct sales.
While virtual trade shows are the subject of much discussion nowadays, Siskind says Internet-based activities cannot replace the kind of face-to-face interaction that takes place at a show.
"When television first came out, we assumed it would end the movie business," he says. "Then it was VCRs that threatened the movie business. Just like the movies, trade shows are here to stay. We just have to adjust."
Jim Ross
Vice-President and Sales Manager,
Designage Industries,
Markham, Ont.
The cost of participating in trade and consumer shows continues to climb, says Ross, whose company designs exhibits and displays. Exhibitor budgets, however, have not kept pace.
Part of the problem, he contends, is that advertising managers really don't understand this medium the way they do magazines or television. As a result, it tends to get left until last when they do their yearly planning.
"There really haven't been budget increases in quite a few years," he says. "And yet clients want more and more, for the same number of dollars they were spending 10 years ago. So we've got to be very creative."
Jon Denman
President,
Denex Group,
Halifax
The ongoing mergers and acquisitions trend is beginning to take its toll on the exposition industry, Denman says.
The more companies consolidate and centralize their operations, he explains, the fewer people they have staffing regional branches, and the less likely they are to commit to participation in regional shows.
Part of the problem, Denman argues, is that the exposition industry hasn't done a convincing job of demonstrating the return on investment that show participation delivers.
Show management companies like Denex must find ways to adapt to the changing environment, he says. An example: Denex is scaling down the full-scale graphics industry trade show that it manages to a conference-format event, with tabletop displays instead of booths. The result? Less equipment for exhibitors to lug around, and less of a staffing and time commitment.
Scott Sillcox
President,
Maple Leaf Productions,
Unionville, Ont.
Sillcox foresees a 5-10% reduction in the number of shows in Canada over the next several years.
Canadian shows simply aren't drawing the kinds of numbers they used to, he says - in part because more and more people are attending the larger U.S. shows instead. "Everybody's time is tight, and they feel it could be better spent going to the biggest show, where they can see the widest variety of products and services."
Traditionally, the opportunity to place orders was one of the prime reasons to attend a show. But Sillcox says much less buying now takes place at shows - which means that show managers must find other bases on which to promote participation.
"Ultimately, if I could grab an exhibitor by the collar, I'd say, 'Just show new products, and don't judge a show's success by the number of orders you took. There are a lot of other measures in addition to sales that you should factor in [to determine] whether a show is important to you.'"
Steve Nichols
President,
Creative Show Productions, Toronto
Nichols, for one, doesn't share Sillcox's pessimism. Thanks to a buoyant economy, he contends, the exposition industry is actually in a growth mode. For example, the Motivational Marketing Expo, which his company manages, has seen a 25-30% increase in participation this year.
While many industry players view the Internet as the enemy, Nichols says it represents an excellent tool for promoting shows. "The Internet is just another medium that can be used, like an advertising page in a magazine," he says.
Elizabeth McCullough
General Manager, Trade Shows,
Canadian Institute of Plumbing and Heating,
Toronto, Ont.
Trade shows used to be promoted as an opportunity to see new product, McCullough says. But thanks to the Internet, customers can now do that without even leaving their desks. That's why many shows, including those run by CIPH, now also offer extensive educational conference programs and other ancillary activities.
"To get people to commit to being out of the office for a day or more, you need to provide more than just exhibits," she says.
In the past, business people typically attended five shows a year; today, few attend more than one. So show managers need to do a better job of promoting their events. "That's the reality," McCullough says. "It's a constant challenge."
Ron Gooch
National General Manager,
ExpoSystems Canada,
Scarborough, Ont.
The glory days of "the good old '80s," when exhibitors spent big money on trade and consumer shows, are long gone, according to Gooch. These days, many large corporations are in fact opting to rent exhibits, rather than having them custom-built.
In the long run, Gooch says, shows will assume greater importance among marketers. The more the industry matures, he explains, the better it will become at demonstrating the kind of return on investment that shows deliver.
Elen Steinberg
President,
Show Promotions & Personnel, Toronto
Fragmentation of the market is the most important current trend in the trade and consumer show business, Steinberg says. Shows are becoming increasingly segmented and targeted, with the result that both exhibitors and show managers feel that their money is being better spent.
Expositions remain a significant part of the average company's marketing mix, she says. But show managers must constantly be rejuvenating their events if the industry is to remain vital.
"One thing [they] should look toward is providing some entertainment value," Steinberg says. "You need to make it a real event that people want to come to."
Also in this report:
- Making the most of the trade show forum: It's not enough just to have a booth - you've got to leverage all the communication opportunities p.25
Comments
Magazine
July 2010
In our Fall TV issue, we take our annual look at the nets' new shows with feedback from media buyers, announce the shortlists for Agency and Media Agency of the Year and meet Robb Hadley, P&G's brand manager of male grooming.






