Managing Costs: Louisville Among Most Affordable Title

By Rachel Wimberly -- Tradeshow Week, 9/4/2006

Besides the reasonable hotel rates, $73.52 for a night in a mid-range hotel, and manageable restaurant prices (according to a survey of the federal government's per diem rates), what really cinched the deal for Louisville, Ky.'s ranking as one of the most affordable medium-sized city in which to hold a tradeshow were its labor rates, including a mere $38.50 an hour for general labor.

"We are thrilled to be selected" as one of this year's most affordable destination for conventions and tradeshows, said James T. Wood, president and CEO of the Greater Louisville Convention & Visitors Bureau. "The Kentucky Intl. Convention Center and its management team have done an excellent job in keeping costs in line."

Tradeshow Week editors made their determination of affordability after examining hotel room rates from more than 150 cities, combined with drayage costs and restaurant prices.

The KICC is non-union and, though it allows other service contractors to work at the facility, there are state employees available at a typically much lower rate.

"That's what gives it a competitive edge," Wood added.

When Vicki Carr, meeting planner for the Natl. AfterSchool Assn. Conference, helped choose the KICC as the site for the group's 2006 event, she said she was pleasantly surprised by the prices.

"Overall, the costs were reasonable and good," she said. "I think there was value for every dollar that was spent."

The conference drew more than 3,000 association members to a 150,000 net square foot showfloor. Carr is currently planning next year's conference at the Phoenix Convention Center, which also makes non-union labor available. However, she said, she's already experiencing some "sticker shock."

"Louisville has a strong partnership attitude, and it showed on the pricing, because they recognized our budget constraints," Carr said. "I can't afford a union city. My exhibitors aren't Nike, they're things like Pins R Us."

Tom Zimmerman, vice president of the KICC, said the facility hosts close to 40 events a year and is on track to hit $50 million in bookings by the end of 2006.

He wasn't surprised at all to find out Louisville was ranked as one of the most affordable tradeshow cities in the United States.

"It makes sense based on what I've seen in the market," he said. "It's possible here to not spend an inordinate amount of money and have a quality tradeshow."

The city boasts 17,000 hotel rooms in the metropolitan area, 2,500 of which are connected to the KICC by enclosed skywalks.

Just a block away is a new entertainment district, Fourth Street Live!, with restaurants and nightclubs. Other attractions, such as the Louisville Slugger Museum & Factory and the new Muhammad Ali Center, are within walking distance. The city is most famous for hosting the Kentucky Derby at Churchill Downs.

Louisville is also home to a much larger venue, the Kentucky Exposition Center, which has 1.3 million sq. ft. of exhibit space.