Phyllis Peterson: A Dealmaker for Dealmakers

The Intl. Council of Shopping Centers is about to make a big move. After years of finagling and preparing, ICSC Spring Convention, Leasing Mall & Trade Expo will expand to the Las Vegas Convention Center's South Hall May 20-23.

Leasing Mall, the bulk of the show, will grow 21 percent in size to 969,000 net sq. ft. The trade expo will grow 38 percent to 62,000 net sq. ft.

But the move will also uproot some firms that have had their exhibits in Central Hall since the early '80s.

It takes a soft touch to persuade such clients – real estate and developer types that care a lot about their image – to change location, location, location.

That's where Phyllis Peterson, ICSC's director of leasing and deal-making, comes in.

Peterson went to work in ICSC's public relations department 29 years ago. After a stint doing the council's magazine ad sales, she moved to the Leasing Mall, where for the last 25 years most of the deals between U.S. mall owners, developers and potential tenants have been done. There, mentored by Marvin Morrison, senior staff vice president of programs and services, Peterson found her niche.

After two decades of working with Leasing Mall customers, she gets almost choked up talking about them.

This devotion was reflected in a recent conversation Peterson had with Tradeshow Week Senior Editor Heidi Genoist.

Question: How did you come to be manager of the ICSC Leasing Mall?

Answer: (About 1982) John Reardon, our second president, approached me. They had been reorganizing the whole Leasing Mall area, and looking to expand. They were looking at using the convention center in total, and my mentor, Marvin (Morrison), couldn't do it by himself. John said, "You know all these people because you've been selling ads to them and their secretaries" (who, at the time, were putting the booths together). So I went over to Marvin in 1982, and we've been doing the show together ever since.

Q: Your title is director of leasing and deal-making, which is not your typical show manager's title.

A: That's correct. Usually, you're tradeshow director or something. Me, it's director of leasing and deal-making because of the Leasing Mall, and I do two others: the New York Idea Exchange, and Deal Making, the only standalone deal-making (event) ICSC produces, in Chicago.

Q: Your show is No. 15 on the most recent Tradeshow Week 200, yet you manage it with a team of only three people, including yourself. How do you do it?

A: Organization and communication. You know, in this industry if you're not organized, forget it. Greg (Jira, manager of trade expositions) and Marvin and I are within a triangle of offices, and we communicate constantly, not only among ourselves but to the exhibitors. I have an assistant, Jason Dolphin, and he's basically the guy who answers a thousand questions a day from people, and this year more than ever.

Q: The show has seen strong growth the last few years. What's been driving it?

A: It's a lot of things. Retail has been very good the past three to four years. There aren't a lot of new malls being built, but there's a lot of new concepts in retail coming on board. To meet these, you have to kind of think outside the box as to where you put them. The big buzzword right now is "mixed-use." A few years ago it was "power center" and "lifestyle center." There's a store for everything you need.

Q: Anything inherent to the show that keeps it strong?

A: The show has always had a phenomenal reputation. It's not a pipe-and-drape. Our people are like stage people; it's all about image and location to them. They have this in their business world every day. I'm dealing with leasing people. That translates into the show. When the convention center has other associations come in to look at shows, they tell them to look at ours.

Q: You're making a big move this year, expanding the show into the LVCC South Hall for its first full-facility staging. How did that come about?

A: We began our plans 18 months ago, in March of '05, once we found out South 3 and 4 were available. As we got into leasing the '06 show, we realized there'd be a major wait list, and our president didn't want members shut out because we didn't have space for them to do business. So, he put it to us to get more space, asked how we'd do it and let people know we had it.

Q: So, how did you do it?

A: After the close of the '06 show, we began in earnest our preparations for '07. We began to build a model of the convention center. We thought about how we'd lease it and what we needed to do to make it a full-facility show that people traveled and went through without a problem.

I've spoken to some of the other large organizers, NAB (Natl. Assn. of Broadcasters), ConvExx, and they told me to put our best product – in our case, retailers – in the most remote part of the hall, so people would walk the show to get there. That philosophy hadn't changed since we moved into North Hall in '99!

Q: When did you get the rest of South Hall?

A: In January of this year, we got S1 and 2 when Waste Management gave those up. So, we've been working very hard for 18 months on this show.

Q: What has that involved?

A: We had to relocate all the retailers from Central to North Hall, and I did that one-on-one with all those exhibitors. I worked on it all summer. The companies that were displaced because of the new location of registration and the new finance court, we worked all fall on that. And in between, we worked with everyone who didn't have an issue, just went into their space, and helped people who'd always wanted more space get that.

Q: What did you do to mitigate confusion?

A: In '06, everyone went home with a CD and a map of the '07 show, so they'd be aware of the changes that were going to be occurring. We spent a lot of time perfecting the model, and we had it in the grand lobby of the '06 show. We had a video and put it in every kit. Everyone was knowledgeable about what was going on.

Q: Last year, I spoke with some of your exhibitors, who said they were reluctant to move out of the spots they'd held for 20 years. Have you had resistance?

A: People said that to us. Some retailers said that. I said, "Everyone's going as a group." I didn't force them into a space. We allowed them to make a selection. No one was forced. Everyone chose where they wanted to be. They realized this was for the good of the industry. Our people have been receptive to change, more so than a lot of other associations.

Q: Were there other challenges?

A: Now that we're virtually a full-facility user, we're looking at the expense. Whoever thought of more carpet, more walls? When you do this, your budget expands big time. That was a challenge.

We had to really rethink and work with both our architects – we have an architectural firm that designs the show – on the most efficient use of materials, the best look for the show without going crazy. We worked with GES, and they brought some new walls in for us. We worked with them on pricing and amortization. Again, everyone worked with us. People have a commitment to this show.

Q: What do you hope will be the payoff?

A: I think people are going out with a lot of appointments. It's three full days of Leasing Mall, and if they come away having done deals and been productive in their business, I'm happy because I did my job.

People say, "Great show, Phyllis." That means a lot.

Q: This year's show is making a statement about eco-friendly practices in retail development. Is that attitude extending to the production of the show itself?

A: Way before Leonardo DiCaprio was on the cover of Vanity Fair, John Bucksbaum, the CEO of General Growth Properties, and our president, Mike Kerchevel, were into green.

We've always recycled our carpet. We use our carpet four years in a row. We're using recyclable products in our kits. We have recycled paper for everything we print this year. We have specialized bins for badge holders or anything (attendees) want to discard. We have special bins we use, and the maintenance people take them to the areas where they need to go to be recycled.

Q: People often tell me it's hard to produce an environmentally friendly tradeshow – particularly in Las Vegas. Would you agree?

A: Every time they're putting in new carpet, that's not smart. We've been using our vinyl directional signs since 2002. Our Green Zone is totally recycled and recyclable. We have special flooring there, so we can show we put some thought into it. Anybody can do that.

Q: Several local suppliers have told me that ICSC is one of their favorite shows, because it generates so much revenue. Why is that?

A: I don't think our members overspend. I think what they do is appreciate good service. A lot of our members came up through (the school of) hard knocks. They understand what a dollar is. They're not snotty. They're very polite to wait staff, cab drivers, teamsters. And, yeah, they tend to tip for service. They're very customer-oriented. When they see someone do a good job, they recognize that.

Q: What percentage of the association's revenue comes from the annual show?

A: I believe at one time, this department, not just this show, but the trade expo and leasing/deal-making department, brought in about a quarter of the budget.

Q: What do you think is the biggest challenge association show managers face today?

A: There are several. One is maintaining a good customer base. As you know there are a lot of shows that aren't as fortunate as we are and have gone away for one reason or another.

One of the biggest things is the quality of the people that you hire to produce a show. A lot of the legends are going away. You have to find new legends to put in those positions, and sometimes that's not easy.

Another is making sure also, going forward, as you look at the green initiative, see what you can do to help. Use your carpet for four years. Reuse your signs.

Q: Any particular challenges for managers in Las Vegas?

A: I've always thought Vegas was a very easy town to work in and work with. The challenges are going to come in when the expansion begins on the center, yet again. They haven't been real specific about when it's starting, what's going to be involved. I don't know if I'm going to have S2 and 3 next year. That's a concern.

Q: What do you think is the biggest issue for the tradeshow industry as a whole?

A: The amount of money that exhibitors have to spend. The drayage, the freight, on a show of this size, is astronomical. I think that's going to be a problem. As we go forward, there will be a lot of challenges that, right now, are sort of underlying but will explode over the next couple of years, and a lot of them will have to do with the cost of producing a show.

Q: How do you think these challenges could be overcome?

A: I think you have to work with your vendors, earn their trust and then work with them on the costs to find ways to make producing the show easier for everyone. We don't take anything without reviewing it and seeing if there have been jumps. I talk to people. Sometimes they can do something about it before it goes into the kit.

Q: After 30 years with ICSC, it must be tough to imagine doing anything else. Do you think about what's next?

A: Yes, I do, actually. I always wanted to write children's books. I'm a journalist by trade, and I've always wanted to do that. I can't see leaving the (show organizing) industry, though, so I think that's always going to be something I do. Even if it's for my church or my women's club, it's something I'll always do. This job is close to my heart. I grew up in this industry, and I'm close to these exhibitors.