July/August 2002
Trimming expenses

Keep exhibitors committed by helping them budget wisely

By Heather Kirkwood

When exhibitors are facing mandates to keep spending under control, how can show managers help them stick with their budgets? “The biggest thing show managers can do is help exhibitors key into deadlines that can save them money,” says Michael Bandy, President of the Trade Show Exhibitors Association(TSEA).

Exhibitor manuals are full of deadlines, such as when freight must arrive at the warehouse or when show management must receive press releases for its pre-show publicity effort. Deadline reminders are especially important for new exhibitors. Many exhibitors who travel frequently prefer e-mail reminders over snail mail.

Bob Thomas, proprietor of Exhibit Management Inc., a consulting company for exhibitors, says good training about the exhibiting process can save new exhibitors money. Many incidentals a first-timer might not think of ratchet up costs.

Experienced exhibitors can offer advice, such as designing a pre-wired booth or signage that can be hung onsite without help. Some shows have set up mentoring programs for new exhibitors, while others tap their exhibitor advisory councils to identify expense-inflating issues.

It’s important for show management to get involved, even if many of the cost-saving strategies have nothing to do with show management decisions. Every city has its own union rules, fire codes or other issues that might impact the advice exhibitors give one another. Show management can help keep the advice accurate. 

Thomas also says show managers need a better idea of how exhibitors budget. Shipping makes up 9 percent of the average exhibitor’s budget, according to Exhibitor Magazine’s reader survey, yet exhibitors say costs vary so widely it’s difficult to know what to expect. A few shows have experimented with establishing flat rates for shipping so exhibitors can budget morereliably; however, some smaller exhibitors are concerned that such trends will force them to carry a larger share of costs. 

Many shows require deposits on exhibit space 12 to 16 months out, which exhibitors say can be problematic if their funds are approved on an annual basis. They say deposits often are due before exhibitors can fully plan their expenses or make the case for the expenditures to their bosses. 

While show management can’t give away the store, keeping exhibitors in mind when negotiating vendor contracts is another way shows can become more budget-friendly. If management negotiates a break on the decorating bill, for example, how does that impact exhibitors’ costs? Show services such as drayage, electrical set-up or cleaning make up 12 percent of an exhibitor’s budget, according to Exhibitor Magazine.

Heather Kirkwood is Senior Editor of EXPO Magazine. She can be reached at 
hkirkwood@expoweb.com.

• Know when exhibitors get approval on their budgets, and help them identify as many fixed costs as possible. 
• Help experienced and novice exhibitors network. Encourage the old pros to share their best cost-cutting ideas. Consider putting out a best tips sheet. 
• Help exhibitors stay on top of deadlines that will earn them discounts or save them money. Publish a vital deadlines sheet, and send e-mail reminders. 
• Look for little ideas to help exhibitors at the show, such as coupons to local eateries or a list of nearby resources, such as office supply stores.