Readers Speak: Gas Price Hikes: No Sweat

Gary Tufel -- Tradeshow Week, 6/12/2006

With gas prices at an all-time high, some motorists are beginning to cut back on driving. Contributing Editor Gary Tufel asked consumer show producers whether those skyrocketing gas prices have had any impact on their businesses, as sensitive as they are to attendance levels.

"In general, any change in the economy and the way people spend their money affects our shows, but most people aren't driving that far to get to the shows. Gas prices do affect their buying patterns though.

"At our RV shows, buyers may be thinking about taking shorter trips. Our home and garden shows haven't seen much change, although attendees may make smaller purchases. And customers at our auto shows may want cars that are a little more fuel-savvy."

Mike Wilbraham , Vice president, Showspan

"We do not believe that gas prices will affect our drive-in attendance now or in the future. Our shows are luxury shows; in other words, not necessities. Therefore, the demographic of people targeted are those with disposable income and are the least affected by gas prices."

Chip Hart , CEO, Hart Productions

"The basics of the consumer show business remain the same. We must continue to offer the best value to the consumer for their time and money. While high gas prices do factor into the equation, it is competition for the consumer's time that is our greatest challenge. We know that we must deliver on the value proposition for both their time and their investment.

"We have been successful offering deeper admission discounts to select audiences and on weekdays. We have also increased our efforts to retain our base of consumer show attendees from year to year. We believe that these strategies and creating must-see opportunities will greatly minimize, if not eliminate, any attendance decreases due to higher gas prices."

Jeff Haughton , President, Industrial Expositions

"Many factors concern us regarding consumer show attendance. The price of gas is not at the top of the list; however, it is a valid concern. We are more interested in addressing the problems of competing events — whether they're shows or non-shows — Internet advertising versus conventional advertising, and changing weather patterns."

Catherine MacNutt , Marketing and operations manager, Master Promotions

"Here in New Jersey, it's a strange market with no mass transit as such to any convention centers except Atlantic City. About 50 percent of attendees come to that by train. But most here don't drive any farther than 40 miles for our shows.

"A show we did in Colorado, though, brought people in all the way from Kansas. There's no effect from gas prices here. Our RV and boat shows in the fall may feel some effect, but that would be from the price of running RVs and boats. However, those who can afford RVs and boats can also afford high gas prices."

Jim McLaughlin Jr. , President, MAC Events

"I am responsible for two shows, one at Olympic Stadium in Montreal held in early March and one in Quebec City at the end of March. In 2006, we did not see a big change at the box office, about 1,000 less in Montreal and about 200 fewer in Quebec City. But the sales on-site were about $6 million less than last year.

"Next year, we will give a good discount on admission to the show after 5 p.m., as we lose a lot of visitors in the evening."

Serge Villemure , Executive director, Recreational Vehicle Dealer Assn. of Quebec

"I have not had an issue with the inflated gas prices on attendance at my shows. At least in the Midwest, the consumer that would attend shows has not slowed down on their driving anywhere. They are still coming to shows."

Karen Tejera , Owner, Fort Wayne (Ind.) Shows

"We are not terribly concerned about the gas prices. We believe that the price of gas is artificially high and will remain so during the summer months while consumer consumption is high.

"By November, when our 2007 show takes place, we expect the prices to drop back to somewhere around $2.30 per gallon. This is higher than we have been used to over the years, but we think this will be the new normal. Last summer prices went up significantly and dropped by fall."

James R. Hammond , Executive director, Puget Sound Automobile Dealers Assn.; Seattle Intl. Auto Show

"It didn't affect our attendance this year at all, but in March (when the show took place) gas prices were lower than they are now. People will find money for the recreational dollar, and they aren't coming from long distances anyway. If it's a good show, people will still come. Gas prices are not a factor."

Blaine Woit , Manager, Fraser Valley (British Columbia) Boat & Sportsman's Show

"I don't think it has an impact for us. Our attendance comes from within the community, not from far away. The maximum drive is probably 45 minutes at most. The impact of fuel prices might have affected travel shows, which were greatly affected by 9/11, but the travel industry and its shows are coming back."

Julie Geistlinger , Owner, Fresno (Calif.) Home Shows