research
re trade shows really worth the investment? According to Exhibit Surveys Inc., the answer is still “yes.” Each year, the market-research firm polls attendees from more than 60 U.S. trade shows to determine the effectiveness of exhibit marketing and identify industry trends. The company’s 2008 Trade Show Trends report includes valuable information about exhibit performance, show-floor traffic, and trade show attendees — their buying power, purchase plans, and attendance habits — all broken down into four industry sectors: high tech, retail, medical, and manufacturing/industrial. While last year’s metrics may seem irrelevant given the shrinking show attendance and tumultuous economic uncertainty that has marked the first quarter of 2009, a casual look back at 2008 provides some necessary context. From a statistical standpoint, 2008 was similar to 2007. In fact, many of the metrics have held steady for the past few years with only slight, almost statistically insignificant fluctuations. For example, total buying plans and net buying influence have remained relatively unchanged over the past decade, indicating that trade shows consistently deliver qualified buyers who directly influence their organizations’ purchase of goods and services. In other words, 2008 was not a year of significant growth, but it wasn’t a year of significant decline either. The only noteworthy red flags came in the traffic density and cost-per-visitor-reached (CVR) metrics. While traffic density (a measure of the total number of attendees per 100 square feet of show-floor space) was down in every industry sector, the average CVR increased by 4 percent over 2007. Those results underscore a reality of rising costs and reduced attendance. On a positive note, the survey determined that 35 percent of attendees, on average, are first timers to any given trade show. That translates into a vital show-floor marketplace with new buyers continually in the mix, preventing shows from becoming stale opportunities with the same buyers from the same companies at the same shows year after year. Furthermore, 34 percent of attendees reported that their purchase intentions were more favorable after visiting companies’ exhibits on the trade show floor. Considering that most exhibitors are, ultimately, looking to inch attendees toward an actual purchase, this metric proves that trade shows have the potential to deliver the kind of measurable bottom-line results they’re after. The following information represents some of the highlights from this year’s report. For a complete list of the shows surveyed, visit www.ExhibitorWebLinks.com.
Net Buying Influence While some attendees simply come for the swag, the vast majority — about 81 percent on average — have the power to recommend or make final purchasing decisions. Statistics regarding net buying influence (NBI) have held steady for the past decade or so, averaging roughly 83 percent since 1998. All Shows 81% High Tech 79% Retail 82% Medical 77% Manufacturing/Industrial 79%	Total Buying Plans Unfortunately for exhibitors, decision-making power and the intent to purchase do not always go hand in hand. Total buying plans — the percentage of attendees who plan to buy within 12 months of a show — remained consistent with results from the past seven years, fl uctuating slightly from a low of 52 percent in 2006 and 2008 to a high of 55 percent in 2004 and 2007. All Shows 52% High Tech 46% Retail 67% Medical 51% Manufacturing/Industrial 40%
How Much for a Good Impression? Q. How much did exhibitors spend, on average, per attendee who entered their exhibits in 2008? A. $173 B. $165 C. $157 D. $134 Answer: They spent $165, up nearly 4 percent from 2007, when they spent an average of $159. Q. How much did exhibitors spend, on average, per attendee with whom a face-to-face conversation took place in their exhibits? A. $253 B. $271 C. $282 D. $245 Answer: Exhibitors spent $271, up $10 from 2006, when they spent an average of $261.
Traffic Density Trade shows in every sector saw fewer attendees per square foot in 2008 than in 2007, with the all-show average dipping ever so slightly from last year’s industry-wide traffic density of 2.3. To put this figure into perspective, the last time the industry saw an overall traffic density of 2.2 was back in 2004. And if the first quarter of 2009 is any indication, we can expect to see an even smaller figure when the 2009 attendance figures are tallied. All Shows 2.2 High Tech 2.9 Retail 1.7 Medical 1.6 Manufacturing/Industrial 1.9	Hours Spent Visiting Exhibits Attendees spent an average of 8.1 hours (per show) visiting exhibits in 2008. That result marks a slight decrease of roughly 2 percent from last year’s levels. The decrease is mainly attributable to a relatively signifi cant drop in the retail sector from an average of 10.5 hours per show in 2007 to just nine hours per show in 2008. The manufacturing/industrial sector is the only one to see an increase in the total number of hours spent visiting exhibits in 2008, with a slight uptick of approximately 6 percent.   Hours Days All Shows 8.1 2.3 High Tech 9.0 2.4 Retail 9.0 2.2 Medical 5.6 2.6 Manufacturing/Industrial 8.9 2.1
Top Trade Shows of 2008 HIGHEST NET BUYING INFLUENCE   National Automobile Dealers Association 98% The Rental Show 96% International Association of Assembly Managers 95% InfoComm 95% Sapphire Orlando 94% PhotoPlus Expo 94% National Association of Convenience Store Retailers 94% EXHIBITOR2008 92% North American Veterinary Conference 91% Special Libraries Association 90% National Safety Council 90%     HIGHEST TOTAL BUYING PLANS   PhotoPlus Expo 89% The Rental Show 86% National Automobile Dealers Association 78% International Builders’ Show 70% International Consumer Electronics Show 68% InfoComm 67% Photo Marketing Association 66% Mine Expo 65% MacWorld 63% EXHIBITOR2008 61%     HIGHEST TRAFFIC DENSITY   MacWorld 8.0 LinuxWorld 4.5 Photo Marketing Association 4.0 Cellular Telecommunications and Internet Association 3.9 InfoComm 3.8 International Consumer Electronics Show 3.2 RSA Conference 3.1 National Association of Broadcasters 2.9 National Restaurant Association 2.7 International Builders’ Show 2.6 American College of Cardiology 2.6 International Society of Automation Expo 2.6     MOST HOURS ATTENDEES SPENT VISITING EXHIBITS   International Consumer Electronics Show 15.7 National Association of Broadcasters 15.7 Con Expo-Con/Agg 13.8 InfoComm 13.7 The Rental Show 12.2 Mine Expo 12.2 International Builders’ Show 11.3 Photo Marketing Association 11.3 National Restaurant Association 10.7 National Automobile Dealers Association 10.6 National Business Aviation Association 10.5
Exhibit-Staff Performance When asked to rate the performance of exhibit staff, 93 percent of attendees described staffers as good, very good, or excellent — a figure that has remained almost identical for the past four years. Excellent     35% Very Good     32% Good     26% Fair     5% Poor     2%
ABOUT THE RESEARCH Ian K. Sequeira is the executive vice president at Red Bank, NJ-based Exhibit Surveys Inc., where he produces the company’s annual Trade Show Trends report. The 2008 results are based on audience surveys conducted at 61 shows. Each survey was administered by mail or online shortly after the show. In most cases, exhibit personnel were excluded from the sample. Response rates typically ranged from 10 to 39 percent. Visit www.ExhibitorWebLinks.com for a complete list of the trade shows surveyed.