April 2006
EXPO Exclusive Report: Annual Attendee Marketing Survey
Attendee Marketing: What Works Now
Shows with increasing attendance are spending more on marketing and investing more in relationship marketing, exhibitor-sponsored programs and direct mail than shows with declining attendance.
By Danica Tormohlen
Ninety-four percent of show organizers report attendance at their shows is either holding steady or on the rise, and after three years of solid growth, show organizers are increasingly focusing their attention on attracting first-time attendees, according to the fourth annual AttendTrend® survey of trade show organizers conducted by the Frost Miller Group and Jacobs Jenner & Kent.
“My feeling is the industry has rebounded from the lows on 9/11,” says Bob James, Managing Director for the Frost Miller Group, a Bethesda, MD-based ad agency that specializes in trade show marketing. “The top challenge has evolved. In 2001, the top challenge was getting attendees’ attention, then it was low response rates. In 2003, it was attracting international buyers. In 2004, it was reaching VIPs/power buyers. Now show organizers are asking ‘How we can grow?’ And most shows aren’t going to grow if they don’t bring in first-timers. They’ve got to grow their customer base.”
First-time attendees are clearly the audience that represents the biggest growth area for shows, says Wayne Jacobs, President of Jacobs Jenner & Kent, a full-service marketing and research firm based in Baltimore. “In the next three to five years, a large percentage of Baby Boomers are going to be retiring,” he says. “There’s going to be a void of experience, and corporations are going to be filling these positions with new people. Shows are going to need to educate these prospective attendees on the value of shows.”
The annual AttendTrend survey, a study of attendance marketing best practices, is conducted by telephone and surveys 500 major show organizers throughout North America in December. The 2005 survey explored not only attendance growth trends, but also how marketers are promoting shows to attendees, as well as how they think about marketing within their organizations.
Marketing budgets on the rise
Nearly half of shows (49 percent) increased their marketing budgets in 2005, up from 39 percent of shows in 2004. “Part of the increase is probably due to rising postage costs for direct mail,” says James. “But it’s also a reflection of the importance of marketing in driving attendance.”
In addition, shows are continuing to invest more in relationship marketing and value-added programs. Not surprising, more than half of shows (51 percent) offer continuing education. The most noticeable increases:
• 37 percent of shows offer matchmaking services, up from 28 percent in 2004.
• 30 percent of shows offer money-back guarantees, compared with 19 percent in 2004.
• 32 percent of shows offer gifts/premium incentives, up from 16 percent in 2004.
Increasing reliance on e-mail
Shows are using more e-mail, and they’re spending more on it. E-mail was the marketing tool most used by show organizers in 2005, compared with Web advertising in 2004. In addition, 86 percent of respondents increased their reliance on e-mail in the last 12 months.
But is it the most effective way to communicate with prospective attendees? Not according to numerous b-to-b marketing and e-mail studies. Open rates and clickthroughs continue to decline. At the same time, spam blockers get more and more sophisticated. “Most shows are probably increasing their reliance on e-mail because it’s inexpensive, but I can almost guarantee you that it’s not as effective as direct mail,” says James. “That’s why tracking is so important.”
One-quarter of show organizers report they don’t use e-mail metrics or tracking tools. In addition, more than half (55 percent) never or infrequently test e-lists that they rent or purchase. “Bottom line: if you’re going to use it, make an investment and watch it,” says James.
Growing vs. shrinking shows
Shows with increasing attendance are spending more on marketing. In fact, more than half (51 percent) of organizers whose shows grew in the past year also increased their attendance marketing budgets. In contrast, more than two-thirds of shows whose attendance declined in the past year decreased their attendee marketing spend.
“Declining shows are cutting spending,” says James. “As a result, they’re sending out one direct mail piece much closer to the show.” Seventy-eight percent of growing shows market 6-12+ months out, while 30 percent of shrinking shows are marketing
1-3+ months out.
Shows with increasing attendance are also spending more per attendee on marketing. In 2005, growing shows spent an average of $29.80 per attendee on marketing vs. $17.75 for shrinking shows.
Danica Tormohlen, Editor of EXPO, has worked at the publication for 12 years. In 2005, Tormohlen won Folio's Eddie Award for editorial excellence and min’s B-to-B Best Web Site Redesign. She can be reached at 913-344-1303 or dtormohlen@ascendmedia.com.
1. Increasing first-time attendees
2. Increasing international attendees
3. Reaching VlPs/power buyers
4. Increasing overall response rates
5. Getting attendees’ attention
6. Reaching buying teams
7. Increasing qualified attendees
8. Increasing repeat attendees
9. Converting pre-registrations to verified registrants
10. Persuading attendees to travel after 9/11
E-mail marketing goals
For purposes of attendance promotion, how do you use e-mail? Is your goal:
| |
2004
Yes |
2005
Yes |
| To communicate with pre-registered attendees |
50% |
38% |
| To generate new leads from “prospecting” lists |
56% |
30% |
| To produce pre-registration by past attendees and “hot” lists |
60% |
52% |
| To communicate with attendees and generate leads |
62% |
82% |
| To communicate with attendees and produce pre-registrations |
72% |
80% |
| To generate leads and produce pre-registrations |
74% |
80% |
E-mail list sources
Do you barter, rent or purchase e-mail lists?
| |
2004 |
2005 |
| Rent |
42% |
40% |
| Use own database |
31% |
15% |
| Purchase |
18% |
44% |
| Barter |
9% |
53% |
Spending on e-mail lists
If you rent or purchase e-lists, what is your approximate annual expenditure?
Testing e-mail lists
If you rent or purchase e-lists, do you also test e-lists with any frequency?
E-mail formats
What e-mail formats do you typically use?
| |
2004 |
2005 |
| Text Only |
19% |
12% |
| HTML |
25% |
39% |
| Both |
44% |
36% |
| Text or HTML enhanced with rich media |
4% |
13% |
| All of the above |
8% |
21% |
E-mail metrics
What e-mail metrics or tracking tools do you use to measure response?
| |
2004 |
2005 |
| Web traffic reports generated in-house |
54% |
55% |
| Web traffic reports generated by registration firm, Web hosting firm, ASP, etc. |
29% |
33% |
| E-mail analytics reports generated by registration firm or outside e-mail service providers |
29% |
18% |
| Other method |
2% |
7% |
| Do not track response |
17% |
25% |
Key takeaways
1. Most shows (82%) use e-mail to communicate with attendees and generate leads, while only 38% use e-mail to communicate with pre-registered attendees.
2. More than half of shows (53%) bartered for e-mail lists in 2005, up from 9% in 2004.
3. 44% of shows purchased lists in 2005, up from 18% in 2004.
4. Shows are spending more on e-mail lists in 2006. In fact, 72% of shows spent $10,000-$100,000 on e-mail lists in 2005.
5. More than half of shows (55%) never or infrequently test e-mail lists that they rent or purchase.
6. 25% of show organizers don’t track e-mail response.
Attendance growth trends
Thinking of all the shows for which you are responsible, which of the following statements best describes their attendance in the past year?
Budget trends
Compared to last year, has your marketing budget:
Most-used marketing tools
How often do you use each of the marketing vehicles (5-point scale, 5 = 5 times+, 3 = 3-4 times, 1 = 1-3 times):
| |
2003 |
2004 |
2005 |
| Direct mail |
3.85 |
3.68 |
2.33 |
| E-mail |
3.57 |
4.54 |
3.69 |
| Web advertising |
2.97 |
4.66 |
3.34 |
| Print advertising |
3.56 |
4.39 |
3.51 |
| Exhibitor sponsored promotions |
2.97 |
4.05 |
3.37 |
| Special promotions/programs |
2.82 |
3.75 |
2.90 |
| Public relations (Relationship marketing) |
2.57 |
4.46 |
3.20 |
| Radio/TV |
2.30 |
3.50 |
2.15 |
Most-effective marketing tools
How effective is each vehicle in attracting attendees to your shows, using a scale of five to one with five for extremely effective and one not at all effective.
| |
2004 |
2005 |
| Direct mail |
3.45 |
4.14 |
| E-mail |
3.26 |
3.88 |
| Print advertising |
3.43 |
3.48 |
| Web advertising |
2.94 |
3.20 |
| Exhibitor-sponsored promotions |
3.02 |
3.18 |
| Public relations |
3.49 |
3.04 |
| Special promotions/programs |
3.08 |
2.87 |
| Radio/TV |
2.52 |
2.16 |
Marketing trends
During the past 12 months, have you increased or decreased your reliance on these marketing tools:
| |
Increased Reliance 2005 |
| E-mail marketing |
86% |
| Advertising |
64% |
| Relationship marketing |
59% |
| Marketing research |
58% |
| Web advertising |
56% |
| Exhibitor-sponsored promotions |
55% |
| Direct mail |
54% |
| Public relations |
46% |
| Telemarketing |
46% |
| Special promotions/discounts |
44% |
| Targeted (database) marketing |
38% |
| Outside marketing firms |
12% |
| List brokers |
8% |
Motivating factors
What promise do you find best motivates the attendees you want to come to your show?
1. New products
2. Networking
3. Seminars/conference sessions
4. Current suppliers
5. New suppliers
Key takeaways
1. In 2005, show organizers report that increasing first-time attendees was the greatest marketing challenge, compared with reaching VIPs/power buyers in 2004.
2. Most shows — 94 % — report attendance at their shows is either holding steady or on the rise.
3. Nearly half of shows increased their marketing budgets.
4. Marketing and promotion costs range from $18-$79 per attendee.
5. E-mail was the marketing tool most used by show organizers in 2005, compared with Web advertising in 2004.
6. Show organizers rank direct mail as the most effective marketing tool, although they report using less direct mail in 2005 than in 2004.
7. 86% of shows increased their reliance on e-mail marketing in 2005.
8. Show organizers report that new products are the No. 1 motivating factor for attendees to come the show.
Find additional exclusive Web-only research from this study, including:
• Top marketing goals for shows
As you try to improve your trade show marketing, how much emphasis do you place on each of the following, using a 5-point scale with five for very much emphasis to one for no emphasis?
| |
2003 |
2004 |
2005 |
| Better overall strategy |
3.97 |
3.99 |
4.18 |
| Better understanding of attendees/audience research |
3.87 |
3.93 |
4.12 |
| Better marketing technology/tools |
3.87 |
3.57 |
3.85 |
| Increased funds for marketing |
3.48 |
3.51 |
3.62 |
| Better marketing integration |
3.61 |
3.44 |
3.84 |
| Better creative design |
3.72 |
3.40 |
3.57 |
| Better cooperation from exhibitors |
3.59 |
3.31 |
3.55 |
| Better inside expertise |
3.54 |
3.28 |
3.74 |
| Better e-marketing |
3.80 |
3.26 |
3.77 |
| Better cooperation from trade magazine publishers |
3.41 |
3.26 |
3.09 |
| Faster process |
3.33 |
3.17 |
3.25 |
| An industry-wide awareness campaign |
3.52 |
3.13 |
3.52 |
| New lists/list sources |
3.36 |
3.09 |
3.29 |
| Better outside expertise |
2.85 |
2.94 |
3.02 |
• Marketing practices by show growth
During the past 12 months, have you increased or decreased your reliance on these marketing tools:
| |
Growing Marketing Budget |
Shrinking Marketing Budget |
| E-mail marketing |
82% |
85% |
| Advertising |
59% |
77% |
| Relationship marketing |
69% |
52% |
| Marketing research |
69% |
44% |
| Web advertising |
61% |
54% |
| Exhibitor sponsored promotions |
59% |
46% |
| Direct mail |
57% |
47% |
| Public relations |
49% |
46% |
| Telemarketing |
45% |
43% |
| Special promotions/discounts |
54% |
44% |
| Targeted (database) marketing |
52% |
31% |
| Outside marketing firms |
48% |
30% |
| List brokers |
18% |
8% |
• Marketing budgets by show growth
Budgets for growing vs. shrinking shows
2005 UPDATEShows
| |
Shows Grown |
Shows The Same |
Shows Shrunk |
| Budget grown |
51% |
34% |
15% |
| Stayed the same |
45% |
38% |
17% |
| Budget shrunk |
4% |
28% |
68% |
• Cost per attendee by show growth
Average marketing cost per attendee for growing show
2004 -- $32.10
2005 -- $29.80
Average marketing cost per attendee for shrinking show
2004 -- $18.10
2005 -- $17.75
• Marketing mix by show growth
Marketing vehicles used by growing shows vs. shrinking shows
Growing Shows
| |
2004 |
2005 |
| Direct mail |
3.64 |
3.45 |
| E-mail |
4.49 |
3.72 |
| Web advertising |
4.72 |
3.43 |
| Print advertising |
4.27 |
3.54 |
| Exhibitor sponsored promotions |
4.00 |
3.44 |
| Special promotions/programs |
3.69 |
2.98 |
| Public relations (Relationship marketing) |
4.50 |
3.31 |
| Radio/TV |
3.45 |
2.22 |
Shrinking Shows
| |
2004 |
2005 |
| Direct mail |
4.00 |
3.08 |
| E-mail |
4.00 |
3.62 |
| Web advertising |
4.75 |
3.15 |
| Print advertising |
4.75 |
3.38 |
| Exhibitor sponsored promotions |
4.00 |
3.40 |
| Special promotions/programs |
3.50 |
2.70 |
| Public relations (Relationship marketing) |
3.00 |
3.00 |
| Radio/TV |
- |
2.00 |
• Using blogs for marketing
Blogs are a relatively new marketing tool. Do you:
| |
Yes |
No |
| Currently use a blog to promote your events to attendees |
12% |
88% |
| Plan to introduce a blog for this purpose in the next 12 months |
17% |
83% |
| Have no plans to use blogs for attendance promotions |
12% |
88% |
Most shows are not embracing blogs as an attendance marketing tool.
If blogs are used, how would you rate the effectiveness of a blog as a promotional tool, using a scale between five extremely effective to one not at all effective. 2.64 Mean
If you’re not planning to use blogs, why are you not planned to introduce a blog as a promotional tool?
Do not believe they will benefit us/haven’t proven themselves -- 63%
Do not know what they are -- 21%
Have not used it, not a priority, or not in the budget -- 16%
• E-mail formats used
What e-mail formats do you typically use?
| |
2004 |
2005 |
| Text Only |
19% |
12% |
| HTML |
25% |
39% |
| Both |
44% |
36% |
| Text or HTML enhanced with rich media |
4% |
13% |
| All of the above |
8% |
21% |
• Relationship marketing and value-added programs
What promise do you find best motivates the attendees you want to come to your show?
| |
2003 First |
2004 First |
2005 First |
| New products |
67% |
71% |
68% |
| Networking |
51% |
24% |
48% |
| Seminars/conference sessions |
44% |
14% |
46% |
| New suppliers |
44% |
10% |
23% |
| Current suppliers |
33% |
8% |
41% |
| Brand names |
- |
2% |
- |
| Past experience |
- |
2% |
- |
| Exhibitors |
- |
2% |
12% |
| Education |
8% |
2% |
- |
| Discounts |
- |
- |
8% |
| Other |
15% |
- |
- |
• Marketing schedule
How soon before a show do you begin its marketing campaign?
| |
2003 |
2004 |
2005 |
| 18+ months |
15% |
10% |
8% |
| 12+ months |
53% |
36% |
40% |
| 6+ months |
20% |
31% |
38% |
| 3+ months |
5% |
10% |
7% |
| 1+ month |
7% |
13% |
7% |
• Attendees most difficult to attract
What types of attendees are the most difficult to bring to your shows? Second most difficult?
Most Difficult
| |
2003 |
2004 |
2005 |
| VlPs/power buyers |
63% |
42% |
42% |
| First-time attendees |
46% |
24% |
40% |
| Senior level decision-makers |
43% |
13% |
32% |
| Buying teams |
46% |
20% |
25% |
| International attendees |
54% |
13% |
25% |
| Qualified attendees |
37% |
18% |
22% |
| Attendees outside of the event's immediate geographic area |
43% |
7% |
22% |
| Repeat attendees |
34% |
13% |
5% | |
