^{April 2003}

Show managers shift attention to attendees

Though metrics are down, positive signs point to progress for those willing to focus

By Barbara Axelson

So attendance at your show is down, huh? Join the club. Though some industries are doing well — and as goes the health of an industry, so too goes the health of its shows — most attendance numbers are down. In fact, most all attendance metrics are off — net buying influences, total buying plans, traffic density and average hours on the show floor. But how much of this simply mirrors the current economy, and how much is a troublesome harbinger of things to come?

Not to worry, says Skip Cox, President and COO of Red Bank, NJ-based Exhibit Surveys Inc. Yes, the number of attendees with plans to make a purchase in the next 12 months has fallen from 62 percent in 1998 to 53 percent in 2001 — but this is still a healthy percentage. “Where else can companies find one out of every two people ready to buy?” he asks.

Cox points to a much more important issue — that of the perceived value of the face-to-face marketing medium. In a new study conducted by Exhibit Surveys for the Center for Exhibition Industry Research (CEIR), 35 percent of attendees see exhibitions becoming more valuable in the next two years, while only 9 percent see them becoming less valuable. And 76 percent rate face-to-face with potential new vendors “very” or “extremely” important. “The value numbers are strong on all sides,” says Cox. “As long as we have that perceived value, we have a place to grow. Of course, we still have to provide the value.” 
(See “The value of exhibitions to attendees”.)

Show value. Show fit. These are the themes sweeping the industry. And though no one would deny their importance, as long as exhibitors judge shows based onattendance numbers, there will continue to be a disconnect between what should get attention and 
what actually does. Attendance, at least at this point, is still a numbers game.

External pressures

Few can deny that the focus of our industry has shifted from exhibitors to attendees — a trend that will no doubt continue as it becomes increasingly more difficult to find and vie for the attention of these attendees. “The universe of buyers in many industries is shrinking because of consolidation,” says Cox. “Changing channels of distribution, key account status and preferred vendor relationships are all affecting attendance.” (See “Business environment changes and their implications forevents”.)

Business travel is still slumping, influenced more now by economic trends than threats of terror. If the economy picks up, businesses are likely to loosen the purse strings. But increased terrorist threats and the possibility of war with Iraq maketravelers reticent.

The National Business Travel Association (NBTA) found in a recent survey that 39 percent of companies have taken a second look at what travel plans are vital to business goals, and which are non-essential since Sept. 11. Some companies are even capping the number of employees who may attend a single event. “Companies have been forced to make tough decisions regarding their travel budgets over the past year,” says NBTA President Kevin Iwamoto. “While travel is still an essential part of doing business, economic conditions must improve before corporations are willing to return to previous spending levels.” 

Marketing trends

A recent study, “Inside the Storm: Facing the Challenges to Tradeshow Attendance,” conducted by the Frost Miller Group and Jacobs Jenner & Kent, is perhaps one of the most comprehensive new tools we have for trending and predicting industry marketing practices. Among the findings:

• Association shows aren’t placing the same emphasis on marketing as their independent counterparts. Independent organizers have increased their marketing budgets 57 percent in the last three years, while only one-fourth of association shows have increased their budgets — and another one-fourth have actually decreased attendance spending. 

• Attracting first-time attendees, increasing response rates from marketing efforts and capturing the attention of prospective attendees are seen as the biggest challenges to overcome in the next few years. (See “Show managers’ most serious marketingchallenges”.)

• Print advertising is still the dominant form of trade show marketing, although e-mail marketing might soon be trending higher.

• To improve marketing efforts, expect to see more emphasis placed on better overall strategies, an increased use of marketing technology tools, more attendee/audience research and more marketing integration.

Exhibitions are still vital tools to meet attendees’ needs, says Doug Ducate, President of CEIR. “The myth the Face-to-Face study removed is what, in the last few years, many of us believed were the reasons attendance was changing — the Web, broadband, wireless, email. At the end of the day, put aside all the economic factors and you come back to the last vestige of face-to-face marketing. Unless we, as a people, change dramatically, we all want to know with whom we’re doing business and to have a face-to-face buying process.” 


Barbara Axelson is a Chicago-based trade show consultant and freelance writer. She may be reached atbaxelson@aol.com