Utah Throws Outdoor Retailer Some Rope

Show organizers: Is your marketing budget too low? Are you having trouble finding one more cent to reallocate from operations? Try asking the state for money. It worked for Nielsen Business Media's Outdoor Retailer Summer Market.

In May, the Salt Lake Convention & Visitors Bureau applied for funding that the Utah Governor's Office of Economic Development distributes as an incentive to jump-start economic opportunities in the state.

"We applied for those funds for a new venue with Outdoor Retailer, an expansion of the current show," said CVB President Scott Beck. The CVB presented a three-year marketing plan for OR's growth, and received $250,000 from the governor's office.

It's a one-time grant, which Salt Lake and OR will use for "a joint marketing campaign to promote the new show," Beck said.

The "new show" is a pavilion concept that Nielsen's OR team is developing for launch at the 2008 Summer Market. Tentatively dubbed the sourcing and design center, it will formalize the growing sector of exhibitors that provide the fabric, fiber, insulation, inseam tape, zippers and other materials used to make outdoor gear and clothing.

Kenji Haroutunian, appointed OR show director two months ago, said the plan was to begin marketing the sourcing and design center at the upcoming Summer Market, Aug. 9–12 at the Salt Palace Convention Center.

Just one year ago, Salt Lake completed an expansion of Salt Palace to accommodate the rapidly growing OR. Haroutunian said the Summer Market had already maxed out the expanded facility. The August show is expected to span 429,000 net square feet with 1,035 exhibits, compared with 403,383 net sq. ft. and 971 exhibitors last year.

The state funding continues Salt Lake's efforts to hold onto the show as it grows.

The SLCVB has contracted space at the privately owned Energy Solutions Arena (home of the Utah Jazz) for the new section of the show. According to preliminary plans, the design center would begin at the back of the existing showfloor in Salt Palace and link to the arena across the street, where there would be exhibits, seminars, clinics and other activities about product innovation.

In addition to promoting attendance, the state funding also will go toward connecting the two buildings and getting show participants used to the dual-facility layout, Beck said. A mid-block crossing, signs, street painting and tours of the arena during this summer's show are examples of activities the CVB is planning.

OR Winter Market, the second half in the OR semiannual duo, will not expand to the arena. Its sourcing and design component will remain on the existing showfloor.

Beck acknowledged that a CVB seeking outside funding for a show was an unusual move. "I think it defines our relationship with OR," he said. "We have a convention center that's in the top 10 in terms of size, and that's a little awkward for a city our size."

Frank Hugelmeyer, president of the Outdoor Industry Assn., which sponsors OR, said he was very pleased with the creativity Salt Lake has shown in accommodating the show's growth.

"They're very open to working with us and continuing to make Salt Lake the absolute mecca for celebrating the outdoor lifestyle and culture, as well as the products and activities that go with it," he said.

Asked about long-term solutions for growth, Haroutunian said: "That's a good question. If it continues to grow at the pace it has, we'll be in deep trouble in terms of space ... We're working closely with the OIA to determine what the best thing is for the market. We don't want to grow beyond reason and collapse like a Super Show (the now-defunct sporting goods event)."

As for the necessary infrastructure — namely, hotel rooms — to support the show, Beck said the greater Salt Lake area could still handle it for now. "We think supply and demand will be the best way to manage that," he added. "We have the hottest economy and the lowest unemployment rate in the country, and all that usually translates into more hotel rooms as well."