Building Product Manufacturers Evaluate Tradeshow Benefits

Tradeshow strategy is an important and costly element of the marketing mix.

Are massive industry tradeshows running out of steam across all industries?  Does the cost for manufacturers to exhibit in national tradeshows outweigh the benefits?  Is it unrealistic for customers or prospects to travel across the United States for national shows due to cost?  Is it time for supporters and sponsors to shift their thinking to regional events where costs can be managed for the exhibitor and attendance can be increased for the attendee?

Building Product manufacturers hear the statistics, attendee registration is up!  Exhibitor attendance is as strong as ever!  Historically the International Builders Show (IBS) (sponsored by the National Association of Home Builders) is the can’t miss event of the year for building product manufacturers.Since 2014, the International Builders Show has been co-located with the Kitchen & Bath Industry Show as Design & Construction Week, produced by NAHB and NKBA. The combined footprint connects residential building and kitchen and bath categories across adjacent halls, drawing cross-over traffic and broadening product discovery for attendees.  However, despite the buzz, attendees cannot afford the cost to attend to realize the benefits.

Across multiple industries, manufacturers are opting out of annual tradeshow participation for many reasons:

• Exhibit Space Cost
• Exhibit Labor Cost
• Travel
• Attendance
• Customer Entertainment

Total these items and it is not cost effective for international companies to participate in events that were one time “can’t miss”.

However, the benefits cannot be ignored, tradeshows provide exhibitors the following items from a recent whitepaper from the Business Marketing Association (BMA):

• They provide the best opportunity to see exactly what a product looks like
• They provide the best opportunity to evaluate how a product works
• They are the easiest way to evaluate competitive products
• They are the most convenient way to find out who makes the types of products wanted
• Exhibitors say trade shows are more effective than other marketing tools in two primary areas:
  • Meeting objective
    • Generating sales leads
    • Taking orders
    • Introducing new products and services
    • Promoting brand image
    • Promoting company awareness
    • Entering new markets
• Cost effective to reach targeted audiences

At major U.S. shows, electronic lead retrieval via rented scanners or approved mobile apps is standard, tightening data capture and post-show follow-up for exhibitors. Official show apps also provide floor maps, session planning, and alerts, reducing friction for attendees and helping staff schedule meetings and demos on site.
The answer may be regional events, hosted throughout the United States, providing educational opportunities as well as product exhibits to a regional audience.  The benefits are undeniable, but it’s up to each CMO to evaluate whether a national tradeshow will provide the ROI needed to justify the expense.

Sources and Additional Articles

• Click on the following link for the BMA White Paper – Tradeshows: An Important Medium for the Marketing Message (login required)
• Business Marketing Association
• International Builders Show
• Top 10 Building Products Industry Follows Worth Your Time