No. 1 Show Isn't Sitting On Its Laurels

Even Intl. CES has to work very hard to keep everybody satisfied

By Heidi Genoist -- Tradeshow Week, 1/22/2007

Las Vegas¡ªThink you'd like to trade places with managers of Intl. CES, the perennial No. 1 on the Tradeshow Week 200? You might want to think again. Running the biggest annual tradeshow in the United States isn't all fame and glory; it's also a lot of work keeping everyone happy.

"It's not a slam dunk," said Dan Cole, vice president of exhibitor services for the Consumer Electronics Assn., owner and operator of CES. "We're always working toward retention and growth. There's an assumption that we sell ourselves, but true salespeople don't listen to that."

As proof of that, a few notable absentees were back at this year's 1.8 million net square foot show, held Jan. 8¨C11 at the Las Vegas Convention Center and Sands Expo & Convention Center/Venetian Resort Hotel Casino.

IBM's widely publicized reappearance after 10 years off the showfloor was one example. The company had a 60¡ä¡Á60¡ä space toward the rear of the upper level of LVCC's South Hall, down the aisle from major competitor Hewlett-Packard.

IBM's return to the show was a calculated move, meant to demonstrate that the company has metamorphosed into a significant information technology developer, whose innovations are behind many popular consumer electronics brands.

"Look around you. There's no IBM product in this booth," said Charles Zinkowski, who heads global communications and media relations for the company's technology collaboration solutions division. Instead, he pointed out, were products made by clients using IBM technology.

In fact, the IBM exhibit was more of a partner pavilion. Separated into three areas ¡ª focusing on gaming, virtual and mobile electronics ¡ª the booth showcased products from big names like Microsoft, Nintendo and Sony, as well as lesser known makers of cellular handsets, medical devices, speech recognition equipment and karaoke machines.

"We're getting a lot of people saying, 'Wow, I didn't know you did that,'" Zinkowski said.

IBM has had some trouble keeping up with other IT giants like Intel and Apple in the consumer electronics space, but Zinkowski emphasized that his company hasn't "been gone; we just stopped doing this."

IBM went into the show with that idea in mind, he said: to remind people that the company was still around, but had evolved.

Zinkowski said the company would measure the return on its investment in terms of leads generated and awareness raised. High foot traffic through the booth and three fully booked conference rooms over the course of the four-day show promised good results, but Zinkowski said the company would take some time to evaluate its results before signing up for 2008.

"The show has changed a lot in the last 10 years, and so have we," he pointed out. "There are lots of people here now that weren't before."

Since the last time IBM exhibited in CES, computer tradeshow giant COMDEX has disappeared and the convergence of formerly distinct technologies is collapsing IT and consumer electronics into one industry.

Karen Chupka, the CEA's senior vice president of events and conferences, said "It's very nice to have IBM back."

She and her staff still visit a lot of companies personally, she said, and have kept in touch with IBM.

Also reappearing in this year's show was cell phone maker Nokia, which rented a massive space in the LVCC's Silver parking lot, and erected a huge tent in the shape of a cell phone with banners informing attendees that it was what the computer of the future would look like (their phones, not the giant inflatable booth).

On the opening day of the show, Nokia announced an expansion of its partnership with Yahoo! intended to make the Internet search engine's Go! for Mobile 2.0 available on all Nokia phones.

Developments in the consumer electronics industry, like this year's focus on mobile Internet, combine with innovations in the show to create a cycle of positive growth, Chupka explained. For instance, the government procurement section of the show (moved this year to the Hilton Las Vegas hotel, next to the LVCC), has been drawing more CIOs to the show. When exhibitors see there are more CIOs, they send a corresponding caliber of products and booth staff. Such products and salespeople, in turn, attract more high-level attendees.

"I think companies are also coming back because they're finding it hard to see visitors off site," Chupka said. The show consolidated all its components this year into the LVCC (with corresponding Hilton headquarters) and Sands/Venetian, moving high-performance audio out of Alexis Park Resort Hotel. Those exhibitors occupied a few floors of suites in the Venetian.

"With the Sands/Venetian, we have more variety in what we can offer people" she said. With various configurations of exhibit space, meeting space and hotel suites, it's easier to keep a larger number of companies happy.

Franklin Electronic Publishers was an example of a company that had stayed in the show, but for two years had been off the main floor and opted for a small meeting room instead. This year, it moved back onto the floor, also taking a 60¡ä¡Á60¡ä spot on the upper level of South Hall.

The company drew media attention with its new handheld Global Translator, which can translate 12,000 phrases and 400,000 words into 12 languages.

That, and several new products in its language education line, were what caused Franklin to return to the show, said spokeswoman Robin Kelman. She said the decision to exhibit again required a "much bigger investment, but it's worth it."

Franklin salesman Dave Faulkner said, "Monday was a crush," and Kelman added that salespeople were meeting with prospects in the booth non-stop.

The company has already signed up to exhibit again next year.

One company it's unlikely you'll see next ¡ª or any ¡ª year is Apple. IT blogs overflowed with entries about Steve Jobs stealing CES' thunder by unveiling the company's new iPhone and its new name (dropping "Computer") on Tuesday, Jan. 9, at the Macworld Conference & Expo/San Francisco at the Moscone Center.

But by Wednesday, exhibitors at CES seemed to have gotten over the flap.

Chupka said Apple representatives have told her in the past they would exhibit at CES if its dates weren't so close to Macworld's.