Carpet Down, Phones Up
Annual furniture rate survey implies some major price changes
By Rachelle Crum -- Tradeshow Week, 9/25/2006
The average price of carpet is down, and the average cost of renting a cell phone from a supplier is dramatically up, according to Tradeshow Week's 35th annual survey of furniture and accessory rates.
These two categories represent some of the most drastic changes since 2005, when the price of carpet rose and telecom equipment costs dropped.
According to the survey, the average cost of carpet is down in all three categories ¡ª standard carpet (9¡ä¡Á10¡ä), standard carpet (cut and laid, per square foot) and premium carpet per square foot ¡ª by 6.3 percent, 13.7 percent and 8.6 percent, respectively. This year, cell phone rental has an average price of $31.33 per day, up 269 percent from $8.50 in 2005.
Some general service contractors say they are not witnessing the changes in carpet pricing that the survey indicates.
The Expo Group President and CEO Ray Pekowski said, "To say carpet prices are going down is unrealistic."
Jeff Quade, executive vice president of sales and marketing for GES Exposition Services, had a similar response.
"I'm surprised by the decline in carpet pricing," he said. "Carpet costs from our suppliers continue to climb and have not decreased."
Average prices in the survey rose in 16 categories, dropped in 11 categories and stayed the same in one category.
The survey is designed to help exhibitors prepare realistic budgets. TSW compiles it using information solicited in the spring and summer of each year from show managers, general service contractors and venues. When available, discount rates are calculated in averages.
A show's size and complexity, time of year, required service level, distance from a warehouse and need for subcontractors all impact furniture and accessory pricing.
Quade added of the overall survey results, "I'm surprised at the tremendous increase in certain items. Typically, in the same markets we are seeing price increases in the range of 3 percent to 5 percent on same items delivered to shows being held in the same venues."
