While aspects of the face-to-face marketing industry – which includes trade shows, special events, meetings, conventions, and the related travel & hospitality - have all felt the effects of budget cuts in the past year, there is plenty of justification to continue this type of highly effective marketing.
According to a recent survey of Fortune 1,000 Chief Marketing Officers, meetings and events provide the highest return on investment of any marketing channel. According to a recent study by CEIR, the Center for Exhibit Industry Research, exhibitions and events remained at the top of MarCom spending, accounting for 20% of the budget despite reductions in overall marketing spending.
Still, as a result of the downturn, exhibition budgets for 2009 are down by 17% and an equal 17% of exhibitors have reported that they will participate in fewer shows in 2009. The US Travel Association estimates that 200,000 travel related jobs were lost in 2008 and expect another 247,000 to be lost in 2009 According to the results of a Meetings and Conventions magazine, 52% of respondents claim that the economic downturn has influenced their company’s decision to hold events.
So why should companies still exhibit during an economic downturn?
To Close Deals & Sell More Product – Why would you want to shut off a stream of revenue when every bit counts? Studies have shown that sustained marketing during a recession yields higher sales in the short term. And market share increases accomplished in while weathering a recession are often maintained or expanded during the recovery and subsequent boom years.
To Remain “Top of Mind” for Prospects and Existing Customers – Let them know that your company is still strong, or maybe even take this opportunity to kick it up a notch and stake your claim to the top player position in your niche.
To Take Advantage of Less a Crowded Space – Perhaps your company can secure more prominent booth space that may have been vacated by the competition. And with fewer exhibitors, there will be less noise, allowing your message get through and resonate longer with attendees and the media.
To Make High Quality Connections – Although the industry has seen a drop in the number of total show attendees and the sizes of booth spaces have been reduced, the QUALITY of the visitor now is much better. Companies may no longer be sending 25 reps to a conference or industry expo, now it’s maybe 10 or 12 – but those that they are being sent are the key decision makers and top representatives of companies you are looking to connect with. While companies are watching travel and entertainment expenses, they still feel that it’s important for their staff to stay connected, stay current on emerging trends in their industry, and to participate in education opportunities typically offered in conjunction with trade shows and other events.
Face-to-Face marketing experiences are personal, sensorial, tactile, emotional, and tangible. No alternate or surrogate for that kind of direct contact exists.

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