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Tradeshow Teams: Associations Do More With Less

By Heidi Genoist -- Tradeshow Week, 8/21/2006

How many people does it take to produce a major exhibition? The answer depends, for one thing, on whether it's produced by a nonprofit or a for-profit organization.

Take, for instance, the near-1.2 million net square foot Intl. Manufacturing Technology Show, put on every other September at Chicago's McCormick Place by the Assn. for Manufacturing Technology.

Peter Eelman, AMT's vice president of exhibitions, says that, counting himself, seven full-time and one part-time staffers manage the show, which in 2004 drew 86,232 total attendees, including those from 1,819 exhibiting firms, putting it at No. 3 on the 2005 Tradeshow Week 200.

In contrast, there are more than 60 Advanstar Communications employees dedicated to producing MAGIC Marketplace, the largest for-profit-owned and -operated show in the country.

Right away the comparison gets complicated.

For one thing, MAGIC is semiannual. Its August and February editions at the Las Vegas Convention Center — Nos. 7 and 10 on the most recent TSW 200, respectively — each fill 900,000 to 950,000 net sq. ft., and draw nearly 100,000 attendees, including those from the 3,000 or so exhibiting companies.

In other words, MAGIC takes place four times for each staging of IMTS.

On the other hand, as Eelman noted, the AMT staff has a few things to do during its off-IMTS time. The association also produces four foreign shows, which he estimates occupy about 20 percent of the dedicated show management staff's time.

It's not the number of shows, it seems, but who's behind them that determines, to a large extent, how show management teams are structured.

Advanstar Communications is a $289 million, publicly held company with about 1,000 employees who produce 58 publications and 87 events.

AMT is a 350-member, nonprofit professional association founded more than 100 years ago by machine tool workers in New York City. It has 72 employees in offices in Beijing, Shanghai and Guangzhou, China, as well as Monterey, Mexico.

Advanstar's corporate infrastructure handles all the creative, IT, accounting, public relations and other services that support MAGIC, although the company does contract outside agencies for some marketing and travel services.

IMTS' show team also uses internal staff for creative, IT, accounting and so on, and contracts with an outside ad agency for some help.

So, what's the difference between for-profit and association management? Chuck Schwartz should know. He's chairman of ConvExx, which produces the Specialty Equipment Market Assn.'s SEMA Show through an unusually close partnership between a nonprofit and its contracted show manager.

"There's a lot more to producing a show than operations," Schwartz pointed out. "The market intelligence, the research, everything that needs to be done behind the scenes — they have access to that through an association."

AMT's Web site lists 18 employee contacts on its pages for manufacturing research and development, industry standards and regulations, and trends and statistics. The association also has divisions dedicated to business development and management.

Chris McCabe, recently hired by Advanstar as vice president and general manager of MAGIC Marketplace, said he thought there wasn't much difference between the way an association and a for-profit firm run an event. Each one was simply "trying to drive an experience for the customer," he said.

A factor that has hampered the growth of many association shows is the nonprofit management structure, with its sometimes cumbersome board of directors.

Eelman said he reports to AMT's president and, as a vice president, gives regular updates to the board on his division's activities. Although he doesn't "do anything major without consulting the board," he said it's an "open and healthy set-up" that gives him a lot of autonomy, relying mainly on the guidance of a show advisory committee, made up of IMTS exhibitors and AMT members.

McCabe reports to Laura McConnell, executive vice president of Advanstar's fashion group. His staff works on six-month cycles, starting the planning for each show a couple weeks after finishing the previous one. Although he doesn't have an advisory committee at the moment, he says, "That has always appealed to me. It's something I want to do going forward."

 

Best of Both Worlds

The Specialty Equipment Market Assn.'s SEMA Show, held each November in Las Vegas, enjoys the best of both the nonprofit and for-profit worlds.

Peter MacGillivray, SEMA vice president of marketing and communications, said the association's show department consists of five full-time staff members, including himself. In addition to SEMA Show, they produce four other events, splitting their time, he estimated about 50-50, between SEMA Show and everything else.

But counting those employees dedicated solely to events doesn't begin to paint a complete picture of who's behind SEMA Show, MacGillivray said. In addition to its accounting, IT, research and other support staff, the association's original equipment relations and publishing departments also contribute to the near-1.1 million net square foot exhibition that draws more than 2,000 exhibitors and 115,000 total attendees.

MacGillivray also manages a team of agencies: Motor Media for sponsorships, Marketing Design Group for advertising and ConvExx for show management.

"I serve as the liaison to SEMA — our goals, objectives, budgets — and they (ConvExx) are our experts we rely on to conduct essential functions such as the booth space draw, booth sales and the overall operations of the show," MacGillivray said.

Chuck Schwartz, chairman of ConvExx, said three of his 21 full-time staff members are devoted completely to the show, but "everybody works on SEMA" in one capacity, at one time, or another.

Both sides enjoy the arrangement. Schwartz said he likes being an independent operator, rather than an association employee, who "only knows that industry, that market, and lives in the vacuum of that event. We have the ability to reach out to other industries, peripheral areas, and it's much easier for us to see other things we can bring to the show from outside."

MacGillivray, meanwhile, enjoys the wealth of resources at his disposal within SEMA. "We look for the tradeshow to be an extension of our association," he said. "We look for opportunities to support association initiatives at our show, beyond the obvious."

So, who pays for it all? At between $20 and $30 per square foot (not including the sponsorship revenues that come from miles of car displays), the 1.2 million sq. ft. show pays for itself and more.

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