Convention Crashing or Smart Business
A couple weeks ago I came across an interesting article in the NY Times about outboarding, or more commonly referred as convention crashing. This is basically where companies take advantage of the traffic generated by trade shows by marketing themselves in a nearby hotel or meeting space. By doing so they avoid the costly expense of purchasing floor space, exhibit properties, show services, etc. Most of the people interviewed in the NY Times article made no effort to conceal their nasty feelings about outboarders (Please note that my intention with this blog isn’t to endorse any particular belief over another).
Why I find this subject so interesting is because of the timing. I recently got back from a trip to Barcelona for Mobile World Congress, where one of the biggest players in mobile technology, Nokia, shifted its trade show strategy and hosted its own private event in a facility that was a few blocks from the convention center. Before you go forming opinions about this understand that Nokia was at the show just not in the traditional sense of that many were accustomed to, with a presence in Halls 6 and 8. You can read how they addressed this issue in a February 14 post to Nokia Conversations, its official blog site. There is also a great video below where its event manager explains that Nokia’s shift was in response to its needs outgrowing the ability of the convention center.
I happen to agree with their move because from our side of the business, it makes sense and doesn’t cut our side out from the game. It’s an event, you still need a design team, planners, catering, etc. to make it successful. And Nokia puts on a great show — one that I admittedly would love to be apart of somehow.
On the other side of the outboarding argument, I can understand how the association and other exhibitors would take an issue with this type of a strategy. I guess what I’d like to hear are your opinions on the subject. Do a little research on the Nokia example and tell me whether you think what they did was just good business or if it falls under the category of crashing.
Do you even find this subject interesting?
As always great post Josh and I hope to see a lot of comments from both show organizers and exhibitors. Personally I don’t see anything wrong with what Nokia has done on the surface. They did exhibit at the show so were not strictly riding on the shows coattails. I’d love to find out more about how the show organizers felt. Also, did Nokia involve them in their plans to have an off-site location. I think communication is key and something like this can actually enhance the show.
As an organizer I would love to hear ideas like this from my vendors. If I keep an open mind I can work with them to find ways this kind of thing can enhance the event overall. I would ask them to do what they can to promote the overall show and their presence there along with promoting their off-site activities. Perhaps they are bringing something to the table the organizer could not afford to do or have the resources to carry it out. Like the concert Nokia had arranged. People don’t go back home and say I went to this great concert Nokia put on while I was in Barcelona…they are saying, When I was at Mobile World Congress this year I went to a fantastic concert that Nokia sponsored…I can’t wait to go again next year!
Tracie, thanks for the great feedback! I think the Nokia example doesn’t fit squarely into the broader conversation about outboarding. They clearly took the necessary steps to ensure that they didn’t step on any toes, or shoot themselves in the foot by hosting an offsite event at MWC. A bigger question is whether this will be a trend that exhibitors in other industries will adopt at future events….
Coming from a tradeshow production and convention hotel background, the usual reason that exhibitors wanted to outboard (they finally gave it a name!) was to circumvent the costs of exhibiting at the show itself. That is definitely not the case here for Nokia. I have to agree with Traci in that show producers need to keep an open mind and somehow meld these shows-within-shows to create an even greater event.
I think my greatest concern is over actual show attendance. Tradeshows live and die on attendance volume. How will these outboard events affect the actual show floor traffic? Should separate attendance stats be collected for the outboard event? Does that skew the true attendance picture?
The other concern deals with marketing. The problem here is that the outboard event is unlikely to promote attendance at the actual show itself, especially if they are staging a event-a-palooza! Anti-climactic for sure. Should the show producer integrate the outboard event into show promotions? What should they charge for co-promoting?
The other question which needs to be answered is were these events being held during regular show hours or before/after? Appears that Nokia did token exhibits at the actual show. Exhibitors should be allowed–even encouraged–to host whatever lavish events they want during off hours.
A bigger problem comes in with those who are not exhibiting at the actual show walking the show floor and inviting attendees to the outboard event whether it is during or after show hours. That behavior needs to be quickly curtailed with dismissal from the show floor. Period. That amounts to stealing marketing dollars from the show producers.
Heidi, I think you’re touching on an interesting point and that is, what can trade show organizers do to get out in front of the issue. The key here is communication and creating a plan that is beneficial for all parties involved. But it’s easier said than done. There is so much money tied up in these events and so many cooks in the kitchen that it’s hard to not to alienate a group of exhibitors over something like this. It’s has to be a win-win for everyone before you’ll see much cross promotion. What do you think?
Totally agree about creating a win-win scenario for everyone. Some of the problem is related to the facility and show floor limitations in some venues. Maybe offering an off-site option could be an option. That way the show doesn’t lose revenues, but offers exhibitors expanded opportunities. I think Traci’s suggestion of keeping an open mind will help some of these new ideas surface. Thanks for the great discussion!
Wonderful conversation! It’s hard to fault companies that are looking for new ways to creatively engage their prospects.
In the traditional tradeshow format, a well designed booth was the only way an organization could (excuse the term) think outside the box and creatively engage attendees. What outboarding provides is a cost effective blank canvas in many ways. Nokia did a great job of blending obligation and new ideas, however, I think they were looking to appease the tradeshow with obligatory attendance, not truly be a part of the show.
What if the tradeshow organizers looked at this as an evolution and looked for ways to engage this process of outboarding and make it a part of their model?
The music industry has been facing a similar problem with digital music vs. traditional production methods. Digital music distribution and file sharing have been fought for years unsuccessfully. The music companies that have figured out ways to adopt and adapt are the ones succeeding in today’s market. How similar is this to our world of tradeshows and events?
I agree with Mark’s comments; when such trends like these start to move, fighting them with rules and regulations ends up hurting both parties in the long run. I’m not exactly sure how organizers could engage or take advantage of this evolution, but the outboarders are definitely identifying a need and finding their own way to fill it.
I’ve seen similar patterns at recent shows where formerly big exhibitors have gone to using a smaller booth at the show and offering invitations to off-site events, ranging from smaller customer meetings to larger showrooms of even their own local facilities.