AUMA Autumn Press Conference
- German trade fairs continue to expand in 2008
- Trade fair business expected to slow down in 2009
- AUMA-MesseTrend 2009: face-to-face communications increased market share
1.12.2008 Despite a considerable slowdown in the economy, German trade fairs continued to expand in 2008. An initial assessment by AUMA indicates that, in comparison with previous events, exhibitor and visitor numbers at the 153 international trade fairs increased by 2 %; the amount of rented space rose by 1.5 %. These figures represented less growth than in 2007, but in the face of a difficult overall situation they were satisfying, said Hans-Joachim Boekstegers, Chairman of the Association of the German Trade Fair Industry (AUMA), speaking at the association’s Annual Press Conference on 18 November 2008 in Berlin.
Overall, AUMA anticipates the following figures for international trade fairs in 2008: 179,000 exhibitors, 10.3 million visitors and close to 7 million m˛ of rented space.
In 2007, the number of exhibitors increased by 3.8 %, rented stand space even rose by 4.6 %. However, at the end of 2007 the signs were already pointing to an economic downturn, so that companies’ trade fair plans have been less ambitious. The heavy losses on the stock markets have had no direct impact on trade fair business. However, according to the chairman of AUMA, the crisis of confidence affecting the financial markets was beginning to leave its mark on the economy and consequently on trade fair business.
Boekstegers: “The best way to pre-empt a possible crisis of confidence is by a strong market presence, by communicating and by demonstrating one’s qualities. Traditionally, these are the defining aspects of participation at a fair.“ Naturally, the economic downturn meant that companies were having to save money. But most of them would be wise enough not to seriously cut back on taking part in fairs, since ultimately their aim was to stabilise business by maintaining existing customers and gaining new ones.
He added that no doubt trade fair business would slow down in 2009, particularly in the latter half of the year, but that looking at the year as a whole, steady results should be possible in the exhibition industry. A large number of stands were already booked for the first six months of 2009, and to date organisers had received only a few cancellations. However, businesses exhibiting at trade fairs would be examining their participation at fairs even more closely.
He noted that the current situation bore no comparison with the sharp decline in trade fair business between 2001 and 2002, when numerous companies disappeared from the market after the end of the new economy boom, causing a sudden and significant drop in the number of potential exhibitors. That was unlikely to happen now, even if bankruptcies were to increase.
Trade fair trends in 2009
In 2009 and 2010, German companies in the business-to-business sector who exhibit at trade fairs are again aiming to invest around 40 % of their communications budget in trade fairs. These are the findings of a survey entitled “AUMA-MesseTrend”, a representative poll of 500 German exhibitors between 30 September and 20 October 2008.
In recent years, in relation to several other available options, trade fairs have increased their market share as a means of communication. For companies exhibiting at trade fairs, advertising in trade publications and direct mailing have become less important.
Whereas 59 % of exhibitors considered advertising important or very important in 2004, only 49 % thought so in 2008. In the case of direct mailing the respective figures were 62 % in 2004, and only 53 % in 2008.
Ratings for sales forces have remained steady, at around 75 %. 81 % of those polled currently consider trade fairs to be important or very important (2004: 76 %). According to the chairman of AUMA, in the B2B sector genuine face-to-face talks are becoming increasingly important.
34 % of exhibitors from Germany are aiming to spend more on trade fairs, with only 19 % considering spending less. The reason frequently quoted was higher participation costs, due mainly to the rising cost of energy and raw materials. In particular companies exhibiting capital goods aim to spend more on trade fairs. 39 % intend to increase their budget, and 20 % aim to spend less. Furthermore, larger companies intend to increase their trade fair budgets more than small companies.
Overall, in 2009 and 2010, companies exhibiting at trade fairs plan to spend EUR 386,400 on taking part in fairs, close to 1 % more than during the last two years. In the future, as in the past, companies will be spending 80 % of these budgets on trade fairs at home.
However, in relation to the number of exhibitors, there will be a slight drop in participation at domestic fairs. 16 % plan to take part in more trade fairs at home, 18 % in less events. Boekstegers: “Companies exhibiting consumer goods in particular are aiming to increase their involvement in trade fairs abroad. However, they still have much to do to catch up. To date, exhibitors of consumer goods have been organising 80 % of their participations at home, with only 50 % of companies exhibiting capital goods doing the same.
Looking ahead to the next five years, 18 % of those companies who take part in trade fairs regard them as becoming more important, 19 % see trade fairs becoming less important, and 63 % expect nothing to change.
AUMA to examine the overall economic impact of trade fairs
AUMA has commissioned the Ifo Institute to carry out a survey examining the overall economic impact of taking part in trade fairs. It is almost ten years since a similar survey last took place. The objective is to determine levels of direct spending by exhibitors and visitors, the overall economic impact on production and jobs, and a breakdown of the cost of taking part in trade fairs in Germany. Furthermore, AUMA plans to carry out a survey in 2009 that will examine participation by German exhibitors at trade fairs which target the general public.
Trend 2009 Development (eps, 1 MB)
Trend 2009 Investiments (eps, 1,2 MB)
Trend 2009 Communication Mix (eps, 1,3 MB)
Trend 2009 Future relevance (eps, 800 KB)
Development 2008 (eps, 1,3 MB)
Press contact:
Harald Koetter, phone: +49/30/24 000140, fax: +49/30/24 000340, email: h.koetter@auma.de
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Copyright © 2008 AUMA_ Ausstellungs und MesseAusschuss der Deutschen Wirtschaft e.V.Last update: 12/2008
