COVID-19’s Impact on U.S. B2B Exhibitions Is Accelerating, Says CEIR Survey

July 9, 2020

During its June 30 webinar, “June 2020 Update on Impact of COVID-19 on U.S. B2B Exhibition Organizations,” the Center for Exhibition Industry Research released the results of its latest poll that tracks the coronavirus’s effect on the U.S. B2B exhibition industry. 

Fielded June 9-21, the survey invited U.S. B2B exhibition executives who oversee events that are run or managed by their organizations to respond. A total of 169 executives participated, similar to the participation level in CEIR’s April survey, which included a sample of 164 executives. Qualified members of IAEE and SISO, as well as TSNN subscribers, participated in the June poll.

According to the survey, show organizers are doing all that they can to defend the health of their organizations while serving their communities’ needs in the midst of this crisis. However, the persistence of COVID-19 and the uncertainty of whether events can take place in their scheduled destinations are forcing more and more organizers to either postpone their events to late 2020/early 2021 or cancel them entirely.

“This trend is devastating to an industry that contributed over $101 billion to the U.S. GDP last year,” said Cathy Breden, CEO of CEIR.

Rate of Cancellations and Postponements

CEIR

According to CEIR Vice President of Research Nancy Drapeau, the top two reasons for these postponements and cancellations speak to the chaos of the current situation in the U.S.

“Seventy-four percent of those forced to cancel say the lack of clarity in knowing whether large group meetings will be allowed to take place at the scheduled time due to state and local lockdown orders prompted them to this decision,” she explained. IMTS, which was scheduled to take place in Chicago, is a prime example of this.

Sixty-nine percent of organizers attribute the persistence of corporate no-travel policies and the impact they might have on participation levels as a reason for foregoing a 2020 in-person event, Drapeau said.

The Big Shift to Digital Continues

CEIR

How show organizers are transforming their face-to-face events to either virtual or hybrid options was a big point of focus explored during the webinar. According to show organizers surveyed:

  • 63 percent of organizers who have postponed events are adding a hybrid or virtual component to their future events
  • 44 percent are giving attendees the option to attend in-person or virtually
  • 44 percent have a virtual event backup plan in case they are forced to cancel a face-to-face event at the last minute
  • Among organizers forced to cancel their 2020 events, 81 percent have shifted to digital versus 69 percent in CEIR’s April survey. Since that time, the shift to virtual trade shows has increased from 15 percent to 41 percent.

The June survey also profiled data on gross revenues retained and gained through efforts to move participants of cancelled events to digital options or other face-to-face events offered by a given organizer. Additionally, it explored the revenue outlook for virtual events, including whether organizers were charging fees to attend and seeking revenues via sponsorship and virtual booth sales. Lastly, tactics and strategies that show executives are planning to undertake moving forward in a post-COVID world were covered.

To download the full webinar presentation and survey results, go here

CEIR’s next COVID-19-related webinar will take place July 15. During this free event, which will be moderated by Breden, CEIR Economist Dr. Allen Shaw will update his perspective on COVID-19’s impact on the U.S. economy and B2B exhibition industry. Click here to register.

   

Don’t miss any event-related news: Sign up for our weekly e-newsletter HERE and engage with us on Twitter, Facebook, LinkedIn and Instagram!

Add new comment

Partner Voices
Less than six months ago, Lisa Messina joined the Las Vegas Convention and Visitors Authority (LVCVA) as the first-ever chief sales officer after leading the sales team at Caesars Entertainment. A 12-year Las Vegas resident, Messina is a graduate of Cornell University’s School of Hotel Administration and serves on MPI International’s board of directors. TSNN had a chance to catch up with this dynamic leader and talk to her about her vision for the new role, current shifts in the trade show industry, creating more diversity and equity within the organization, and advice to future female leaders. Lisa Messina, Chief Sales Officer, LVCVA With Las Vegas becoming The Greatest Arena on EarthTM, what are some of the things you’re most excited about in your role? Our team was at The Big Game’s handoff ceremony earlier this month, and I couldn’t help but think, “We’re going to crush it next year!”  These high-profile events and venues not only drive excitement, but also provide unmatched opportunities for event planners. Allegiant Stadium hosts events from 10 to 65,000 people and offers on-field experiences. Formula 1 Grand Prix will take place in Las Vegas in November, after the year-one F1 race, the four-story paddock building will be available for buyouts and will also offer daily ride-along experiences that will be available for groups. And, of course, the MSG Sphere officially announced that it will open in September, ahead of schedule, with a U2 residency. It’s going to be the most technologically advanced venue as far as lighting, sound, feel, and even scent, and it will be available for buyouts and next-level sponsorships inside and outside. There’s no ceiling to what you can do when you’re doing events in Las Vegas.  Allegiant Stadium As the trade show and convention business returns to the pre-pandemic levels, what shifts are you noticing and how do you think they will impact the industry going forward? Our trade show organizers are very focused on driving customer experience. Most of our organizers are reporting stronger exhibitor numbers and increased numbers of new exhibitors, with trade shows proving to be almost or above 2019 levels. Now our organizers are really doubling down on driving attendance and focusing on the data to provide that individualized, customized experience to help attendees meet their goals and get the best value. Some companies continue to be cautiously optimistic with their organizational spend when it comes to sending attendees, but I think it will continue to improve. As the U.S. Travel Association makes more progress on the U.S. visa situation, we also expect a growing influx of international attendees. What are some innovative ways the LVCVA helps trade show and convention organizers deliver the most value for their events? We focus on customer experience in the same way that trade show organizers are thinking about it. We got rave reviews with the West Hall Expansion of the Las Vegas Convention Center (LVCC), so over the next two years, we will be renovating the North and the Central halls, which will include not just the same look and feel, but also the digital experiences that can be leveraged for branding and sponsorship opportunities.  Vegas Loop, the underground transportation system designed by The Boring Company, is also a way we have enhanced the customer experience. Vegas Loop at the LVCC has transported more than 900,000 convention attendees across the campus since its 2021 launch. Last summer, Resorts World and The Boring Company opened the first resort stop at the Resorts World Las Vegas , with plans to expand throughout the resort corridor, including downtown Las Vegas, Allegiant Stadium and Harry Reid International Airport. The LVCVA also purchased the Las Vegas Monorail in 2020, the 3.9-mile-long elevated transportation system that connects eight resorts directly to the convention center campus. This is the only rail system in the world that integrates fares directly into show badges and registration. For trade show organizers, these transportation options mean saving time, money and effort when it comes to moving groups from the hotels to LVCC and around the city. Also, the more we can focus on building the infrastructure around the convention center, the more it supports the customer experience and ultimately supports our trade show organizers. Scheduled to debut in Q4, Fontainebleau Las Vegas will offer 3,700 hotel rooms and 550,000 square feet of meeting and convention space next to LVCC.  What are some of the plans for advancing DEI (diversity, equity and inclusion) within your organization? We’re currently partnering with instead of working with a leading consulting firm, to lay the foundation and create a solid DEI plan and be the leader when it comes to DEI initiatives. The heart of that journey with the consulting firm is also talking to our customers about their strategic approaches to DEI and driving innovation in this space.  What are your favorite ways to recharge? My husband and I have an RV and we’re outdoorsy people. So, while we have over 150,000 world-class hotel rooms and renowned restaurants right outside our doorstep, one of my favorite things to do is get out to Red Rock Canyon, the Valley of Fire, and Lake Mead. Five of the top national parks are within a three-hour drive from Las Vegas, so there’s a lot you can do. We love balancing the energy of Las Vegas with nature, and we’re noticing that a lot of attendees add activities off the Strip when they come here.  Valley of Fire What advice would you give to women following leadership paths in destination marketing? I think it’s about being laser-focused on what you want to accomplish; building a team around you that lifts you and helps you achieve your goals; and being humble and realizing that you do it as a group. No one gets this done alone. Thankfully, there are a lot of women in leadership in this organization, in our customers’ organizations, and in this city that we can be really proud of. We’re a formidable force that is making things happen.   This interview has been edited and condensed. This article is exclusively sponsored by the Las Vegas Convention & Visitors Authority. For more information, visit HERE.