October 2006
Marketwatch: Site Selection
Lack of attendance draw is the No. 1 reason shows leave a city

By Danica Tormohlen

Besides regular rotation, lack of attendance draw is the most critical factor for leaving a city, according to the 125 show organizers who responded to an online survey conducted by EXPO Magazine and Exhibit Surveys Inc. in August 2006. But it’s not the most critical when choosing a location. In fact, show organizers ranked potential attendance draw third as the most critical factor for selecting a location. Size of exhibit hall ranked No. 1, and geographic location ranked No. 2.

On average, shows begin the site selection process 4.1 years out, and contracts/agreements are signed 3.8 years out. Not surprisingly, association shows take more lead time than for-profit shows. Association shows begin the site selection process 5.5 years out and sign contracts 3.8 years out. For-profit shows begin the site selection process 2.8 years out and sign contracts 2.3 years out.

The most popular region for conventions and trade shows is the South Atlantic (64 percent of respondents hold/or plan to hold events there), followed by the Pacific region (59 percent), the Mountain region (51 percent) and the East North Central region (48 percent). (See map for states included these regions.) 

Frequency of changing locations
• Trade association/society —
Other – 5%
Every two to three years – 6%
Every year in a specific rotation – 19%
Always in the same city – 34%
Every year to a different location (no set pattern) – 35%
• For-profit show producer —
Every two to three years – 9%
Other – 14%
Every year to a different location (no set pattern) – 16%
Every year in a specific rotation – 20%
Always in the same city – 41%

What research is done
What research is done for rejected recommendations
• Trade association/society —
Magazine editorial research – 14%
Ask for feedback from attendees – 14%
Ask for feedback from exhibitors – 14%
Visit the CVBs/convention centers and hotels' Web sites – 29%
Ask for feedback from other event planners – 29%
Put out an RFP for cities to answer – 43%
Other – 43%
Call the CVBs/convention centers and hotels for packages of information – 57%
Site inspections – 71%
• For-profit show producer —
Magazine editorial research – 14%
Ask for feedback from other event planners – 29%
Visit the CVBs/convention centers and hotels' Web sites – 43%
Ask for feedback from attendees – 43%
Put out an RFP for cities to answer – 43%
Site inspections – 86%
Ask for feedback from exhibitors – 86%
Call the CVBs/convention centers and hotels for packages of information – 100%

First step in process to change location
• Trade association/society —
Narrow to geographic region – 31%
Narrow to group of cities – 69%
• For-profit show producer —
Narrow to geographic region – 44%
Narrow to group of cities – 56%

Who makes site selection decisions
Who narrows to region
• Trade association/society —
Respondent – 35%
Immediate supervisor – 18%
Committee or board of directors – 29%
Other – 18%
• For-profit show producer —
Respondent – 50%
Immediate supervisor – 10%
Committee or board of directors – 40%

Who narrows to cities
• Trade association/society —
Respondent – 27%
Immediate supervisor – 5%
Committee or board of directors – 54%
Other – 14%
• For-profit show producer —
Respondent – 36%
Immediate supervisor – 4%
Committee or board of directors – 32%
Other – 28%

How the final decision is made
How the final location decision is made
• Trade association/society —
Respondent decides city, facility and hotels – 19%
Respondent recommends city, facility and hotels to immediate supervisor – 16%
Respondent recommends city, facility and hotels to board or committee – 31%
Respondent decides city and facility but someone else decides hotel – 5%
Other – 29%
• For-profit show producer —
Respondent decides city, facility and hotels – 36%
Respondent recommends city, facility and hotels to immediate supervisor – 27%
Respondent recommends city, facility and hotels to board or committee – 31%
Respondent decides city and facility but someone else decides hotel – 6%
Other – 2%

Lead time for site selection process
• Trade association/society —
1 year – 2%
2 years – 19%
3-5 years – 39%
6-10 years – 32%
More than 10 years – 9%
• For-profit show producer —
1 year – 35%
2 years – 27%
3-5 years – 31%
6-10 years – 6%
More than 10 years – 2%

Lead time for site to approval
• Trade association/society —
1 year – 9%
2 years – 10%
3-5 years – 34%
6-10 years – 22%
More than 10 years – 5%
Not applicable – 19%
• For-profit show producer —
1 year – 27%
2 years – 22%
3-5 years – 16%
6-10 years – 12%
Not applicable – 24%

Lead time to contract for site
• Trade association/society —
1 year – 16%
2 years – 29%
3-5 years – 34%
6-10 years – 19%
More than 10 years – 2%
• For-profit show producer —
1 year – 52%
2 years – 19%
3-5 years – 26%
6-10 years – 2%
More than 10 years – 2%

Three most critical site selection criteria
• Trade association/society —
Size of exhibit hall – 63%
Geographic location – 51%
Number of meeting rooms – 30%
• For-profit show producer —
Size of exhibit hall – 62%
Geographic location – 55%
Potential attendance draw from city or region – 40%

Three critical factors in leaving a location
• Trade association/society —
Event outgrew size of exhibit hall – 41%
Lack of attendance draw from city or region – 37%
Labor issues/costs – 26%
• For-profit show producer —
Lack of attendance draw from city or region – 56%
Labor issues/costs – 33%
Exhibitor complaints – 25%

Profile of survey respondents
Organization type
• Trade association/society — 50%
• For-profit show producer — 46%

Total gross revenue
• Trade association/society —
$500,000 or less – 19%
$500,001-$1,000,000 – 6%
$1,000,001-$2,000,000 – 14%
$2,000,001-$3,000,000 – 11%
$3,000,001-$5,000,000 – 8%
More than $5,000,000 – 41%
• For-profit show producer —
$500,000 or less – 18%
$500,001-$1,000,000 – 23%
$1,000,001-$2,000,000 – 14%
$2,000,001-$3,000,000 – 11%
$3,000,001-$5,000,000 – 5%
More than $5,000,000 – 30%

Required exhibit space (square feet)
• Trade association/society —
Less than 25,000 – 13%
25,001 to 50,000 – 16%
50,001 to 100,000 – 15%
100,001 to 250,000 – 19%
250,001 to 500,000 – 19%
More than 500,000 – 18%
• For-profit show producer —
Less than 25,000 – 14%
25,001 to 50,000 – 16%
50,001 to 100,000 – 16%
100,001 to 250,000 – 21%
250,001 to 500,000 – 9%
More than 500,000 – 25%

Types of events produced
• Trade association/society —
Conventions with trade shows – 75%
Conventions without trade shows – 17%
Trade shows with no convention – 22%
Meetings/conferences – 68%
Corporate events – 10%
Consumer exhibitions – 6%
• For-profit show producer —
Conventions with trade shows – 66%
Conventions without trade shows – 21%
Trade shows with no convention – 45%
Meetings/conferences – 45%
Corporate events – 9%
Consumer exhibitions – 22%

Number of events produced
• Trade association/society —
Conventions with trade shows – 4.0
Conventions without trade shows – 3.9
Trade shows with no convention – 8.1
Meetings/conferences – 35.4
Corporate events – 13.7
Consumer exhibitions – 1.0
• For-profit show producer —
Conventions with trade shows – 13.9
Conventions without trade shows – 8.3
Trade shows with no convention – 15.3
Meetings/conferences – 39.8
Corporate events – 4.4
Consumer exhibitions – 3.1

Room nights at largest show
• Trade association/society —
Less than 500 – 10%
500 to 2,000 – 24%
2,001 to 5,000 – 15%
5,001 to 10,000 – 23%
More than 10,000 – 29%
• For-profit show producer —
Less than 500 – 26%
500 to 2,000 – 33%
2,001 to 5,000 – 11%
5,001 to 10,000 – 17%
More than 10,000 – 13%