Exhibitions aplenty but where are the visitors headed?

e know there are too many exhibitions, but there is money to be made in this business. The problem is that the sheer number of exhibitions is outstripping the ability of exhibitors – and the customers – to service them all. Several organisers bid for the same exhibitors and customers and this fragments both exhibitor and visitor numbers.

The situation has gotten to the point where many larger players have full time staff dedicated to designing, setting up and manning exhibition stands. Most companies have products that are used in many different trades and industries but cannot afford the time or expense to exhibit at all of them. As a result many of the smaller and often more innovative companies are out of the loop because they are too busy developing and supplying their products to spend time at an exhibition stand waiting for that one big customer to be there on the day. This also holds true for the customer – many do not have the time or the inclination to go more than one or two shows a year. A rationalisation is inevitable since a continued run of over-hyped and under-attended exhibitions has the potential to subdue both exhibitor and visitor numbers. We may see a trend toward smaller more localised customer focused events.

Trade vs consumer

Visitors to trade exhibitions tend to be results oriented and attend exhibitions because they have specific needs. They will spend their limited time and money looking for ways to make their work easier or more profitable. In my opinion, exhibitions should be about establishing and maintaining business relationships. Customers do not really care whether the machine is the biggest or the latest model. They want to know if it will do the job, if it is dependable, if it is cost effective, that the exhibitor will be able to provide ongoing support and most importantly that can trust the company to be fair in future dealings.

Consumer events like motor shows, boat displays and home electronic exhibitions are just that – shows attended by the general public who often have no defined reason to attend other than the entertainment value and the wow factor. People go to these shows to see the latest, the biggest and the fastest. Spending is discretional and often one off.

Customer focus

There is often a disconnect between marketing staff and their customers. Some focus on trying to second guess what their competitors are doing, rather than paying attention to what it is their customers want. Exhibiting companies need to understand the specific needs of their customers and then be able to offer specific solutions. This is the same whether you are selling a lawn mower or a bulldozer. Customers are focused on performance not hype.

Marketers also need to be aware of who the customers really are. Do they want to speak to the accountant or the operator? Is it the man with the shirt and tie? The woman pushing the stroller? Or the guy in the safety vest? Any or all of these can be the one who makes the decision or influences the one making it. Also suppliers should be aware of the customer’s purchasing practices and timing. Do they buy on a replacement schedule or because they have just won a big tender? In any event customers buy when they need to not when it is convenient for the supplier. This makes it even more important to have face-to-face time.

Local Government purchasing trends

Gone are the days when the Council’s Chief Engineers and their Plant Committee brought their cheque books with them and sales were made on the spot. Legislation and probity issues have mandated open tendering processes. Before making their final decision, the engineer will now routinely seek the input of operational staff. The decision makers will now include works officers, parks superintendents, plant operators, and mechanics. Yesterday’s tyre kicker may well be the operator or mechanic whose insightful observations turn the final purchase decision one way or the other. With the advent of joint purchasing and servicing agreements by some of the Regional Organisations of Councils, these decisions could affect multiple plant purchases over a number of years.

Purchasing timetable

By late May, council budgets for the following year are locked in and CivEnEx provides an opportunity to assess all current models before finalising tender documents. Having said that, the lack of instant sales is certainly no indication of failure. With councils and government departments now planning three-, five- and 10-year replacement programs there are many instances where equipment is sighted for the first time at CivEnEx and earmarked for purchase some years ahead. Exhibitors may indeed make a sale but may not see the results for some years and suppliers with a long term outlook will reap the benefits.

Chris Little is Executive Manager, Institute of Public Works Engineering, NSW.

Source: Construction Contractor