Face-to-Face Report : December 2009
Landmark Study Confirms Power of Face-to-Face in Driving Businesses’ Bottom Line
During economically challenging times and in the glare of scrutiny on corporate travel, what do businesses gain by investing in face-to-face meetings and participating in conferences and trade shows?
New research conducted by global research firm Oxford Economics has answered that question, establishing the first clear link between business travel and business growth. According to its recent study, “The Return on Investment of U.S. Business Travel,” for every dollar invested in business travel, companies experience an average $12.50 in increased revenue and $3.80 in new profits.
The results of Oxford Economics’ comprehensive analysis, which covered 14 economic sectors over a span of 13 years, show a robust and irrefutable relationship between a company’s investment in business travel – including internal meetings, trade shows, conferences, etc. – and its profitability.
Among the study’s other key findings:
- Business executives estimate that 28% of current business would be lost without in-person meetings.
- More than half of business travelers stated that 5-20% of their company’s new customers were the result of trade show participation.
- Business executives estimate that roughly 40% of their prospective customers are converted to new customers with an in-person meeting compared to 16% without such a meeting.
Click here to access the study and gain additional insights into how a company’s participation in face-to-face events is inextricably linked to its profits and growth.
(Study featured with permission from the U.S. Travel Association.)
Members: Have You Requested Your FREE CEIR Research Yet?
As one of ABM’s ongoing initiatives to deliver valuable products and services to its members participating in the events space, the Association has partnered with the Center for Exhibition Industry Research (CEIR) to provide ABM members with important, timely information on the world of face-to-face – all at no cost.
ABM members from around the globe continue to take advantage of this exclusive opportunity … Have you?
Some of the top-requested reports include:
- The Power of Exhibitions in the 21st Century, which offers a wealth of insight into how new generations of attendees want to connect, learn and network at events;
- Effective Methods for Visitor Promotion, which analyzes the most and least effective tools for attracting visitors and reveals the average spending on pre- and post-exhibition promotion;
- The Spend Decision, which evaluates the behaviors and opinions of marketing executives at mid to large sized organizations that use b-to-b exhibitions in their marketing mix;
- and many more!
Contact Kate Patton with your request(s), and the research will be e-mailed to you directly.
Key B-to-B Media Platforms Continue to be Impacted by Economy
In first three quarters of 2009, trade show revenue declines 19.2%,
digital revenue declines 3.0%, print revenue declines 25.7%
The Center for Exhibition Industry Research (CEIR) recently announced that preliminary data collected annually for its CEIR Index report for the third quarter of 2009 revealed that the exhibition industry experienced an overall decline of 13.5% when compared to the same quarter of 2008. These third quarter results mark a 2.6% decrease in performance compared to the second quarter of 2009.
While the Index data for the third quarter of 2009 does convey declines in all four metrics of measurement, attendance continued to fare relatively well, with only a 2.5% drop in reported figures. The third quarter 2009 metrics are Net Square Feet (-16.2%); Revenue (-22.0%); Professional Attendance (-2.5%); and Number of Exhibiting Companies (-13.4%).
ABM followed CEIR’s announcement with its third quarter Business Information Network (BIN) Report, which includes digital b-to-b spending in addition to print advertising and trade show expenditures.
ABM announced that, during Q3 2009, revenues continued to decline for each of the three b-to-b media platforms at approximately the same rate they had declined during the first half of the year. Total b-to-b spending after the first three quarters of 2009 (tradeshows, print, digital) was $15.1 billion, reflecting a decline of 19.3% versus the same period in 2008.
RATE OF DECLINE:
|First Half 2009||Q3 2009|
SHARE OF B-TO-B REVENUE IN FIRST THREE QUARTERS:
About Inquiry Management Systems (IMS):
With offices in Toronto, New York and London, IMS has served magazine publishing professionals since 1979. Over 1,400 magazine titles utilize its array of products that help sell additional pages of advertising, increase lead results for advertisers, and produce creative Web solutions.
For 30 years, CEIR has been highlighting the importance of exhibitions in today's business environment. Its goal is to promote the image, value and growth of exhibitions. This is accomplished through producing primary research studies that prove the effectiveness and efficiency of exhibitions as a marketing medium.
As an objective measure of the annual performance of the exhibition industry, The CEIR Index provides exhibition industry performance across 11 key industry sectors: Professional Business Services; Consumer and Retail Trade; Sports and Entertainment; Food; Government; Building and Construction; Industrial and Manufacturing; Communications and Information Technology; Medical and Health Care; Raw Materials and Science; and Transportation.
Digital revenue sources include: ABM members, PricewaterhouseCoopers/IAB, eMarketer, and Outsell Inc.
SAVE THE DATE: ABM’s 2010 Events Summit Comes to NYC on March 24
All-new half-day program to focus on virtual event models
Building upon the overwhelming positive response and success of ABM’s Virtual Events Workshop (view it on-demand here), which kicked off the Association’s Executive Forum last month, the 2010 ABM Events Summit will further delve into virtual event models on March 24, 2010, during an all-new half-day program in New York City.
While the Workshop defined opportunities for executing virtual events in the b-to-b industry, the 2010 Summit will offer insights and tips for utilizing a combination of virtual and face-to-face event models to maximize your profitability. The Summit will take virtual events to the next level, giving you an in-depth look into how to use various tools and technologies to extend the reach and impact of your face-to-face events.
Stay tuned to ABM’s Face-to-Face Report for the full agenda and speaker line-up. In the meantime, tune in to ABM’s latest virtual event, Digital Media Solutions for Publishers, next Wednesday, December 16, at 2:00 PM EST. ABM has partnered with TV Worldwide and its TV Mainstream Internet TV channel to produce a special webcast featuring digital media technologies, business models and tips that will help members produce and distribute revenue-generating digital media content.
Learn How to Craft an Events Strategy that Blends Online, In-Person Elements
Through a new partnership with Vital Business Media’s eMedia Vitals, an online publication covering e-media strategies, ABM is proud to deliver the “ABM Vital Guide,” a weekly newsletter containing high-quality, actionable content on the hottest digital media trends affecting the b-to-b industry.
Each week, the ABM Vital Guide will tackle one specific digital media trend or product with the potential to dramatically influence members’ digital revenues. A recent issue provided resources to help marketing, sales and editorial teams improve the impact of a publication's events. Whether you're hosting b-to-b webinars, virtual trade shows or breakfasts for local residents, a blend of in-person and digital elements will help you create a winning formula.
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