Concerns about cost are nothing new, but the current uncertainty leads event marketers to prioritize their expectations with ‘cost-cutting’ tactics. Instead of panicking about the expense of a new exhibit, first consider:
- Exhibit Cost Insights: Only 45-50% of budgets are allocated to design and build; the rest goes toward show services and association general contractor fees.
- Sustainability Matters: Material choices, especially flooring and graphics, are driven by cost and environmental considerations. Environmental concerns are key to brand reputation and don’t need to add extra costs.
- Strategic Goals Overlooked: Procurement now influences exhibit decisions, sidelining marketing input and reducing strategic alignment. Ensure all stakeholders are aligned with the budget.
- Having a clear go-to-market strategy with defined objectives and stakeholder buy-in is a major budget saver.
Typically, 45-50% of an exhibit budget is allocated to design and construction, while the remaining funds are used for show services and other expenses such as shipping, transportation, drayage, general contractor fees, labor, rigging, and lighting. Overhead rigging is a major cost driver due to labor and often inefficient execution, but there are alternative ways to achieve the desired brand impact with your audience. If your goal is a strong brand identity, you can achieve this without rigging. Building a foundation for a unified identity across your organization is both effective and more cost-efficient. Discuss this option with your design team. Consider how attendees will approach your exhibit—how they will see and perceive your brand and messaging in the exhibition hall, down the aisle, or next to a competitor. Answering these questions helps your design team create an effective 3D environment aligned with your brand’s communication goals, ultimately saving money on redesigns.
Then there is lighting, a critical part of your exhibit’s appearance. Don’t think you can get the same effect with basic hall lighting. Know which expense will create an impact. Lighting design shouldn’t be an option. There are cost-effective ways to incorporate lighting into your design. Let your exhibit design/build agency work with lighting companies to optimize the budget effectively.
When planning the architectural elements for your exhibit, consider using or renting aluminum extruded wall panel systems combined with custom-built components to save costs by speeding up assembly and reducing labor expenses. Most of these systems allow panel insets to be integrated to customize the space. These insets can be made from nearly anything but typically include a printed graphic on Sintra® or recyclable paperboard. You can also opt for an SEG fabric graphic that features campaign artwork or a graphic design element; either works. Aluminum extruded wall panels offer a highly versatile, affordable structural solution.
If sustainability is a priority for your organization, let your exhibit design/build agency guide material choices, especially for flooring and graphics, as these affect both cost and environmental impact.
Our industry is making significant progress toward greater sustainability. Carpet is sometimes viewed as problematic because of how it’s manufactured, how long it can be reused, and how it can be recycled before reaching the end of its life. Some flooring companies are exploring ways to recycle carpet. Some are leading the industry by developing carpet recycling programs within the exhibit industry and encouraging customers to reuse carpet. Others are finding ways to make flooring materials more environmentally friendly overall. That said, carpeting typically costs less than elevated floors, such as those used worldwide. However, with proper planning, you can choose alternatives to carpet in your design and find ways to offset the costs.
Graphics are another area where sustainable thinking is important. Printing graphics on solid substrates like Sintra® or corrugated paperboard is easier to recycle than those made with fabric, which often end up in landfills despite their potential reuse as stuffing. LED graphics remain expensive due to rental and labor costs, so static graphics are usually a better choice for smaller budgets. LED walls and tile walls are costly because you’re paying not only for the technology rental but also for the labor involved. The EDPA (Experiential Designers and Producers Association) provides industry resources, including a unique exhibit industry sustainability guideline available for download.
The exhibit and event marketing industry is experiencing cautious changes, with complex organizational structures and shifts in talent affecting strategy and execution. A major issue is that procurement now influences exhibit budgets, reducing marketing’s input. Cost-cutting efforts must be balanced with strategic exhibit goals, which are often overlooked by procurement-led teams that lack an understanding of omni-channel marketing.
Over the past five years, we have seen procurement increasingly influencing exhibit decisions with less involvement from marketing, which hampers strategic alignment. Working with procurement requires clearly defining the goals of exhibiting: exhibits should be designed to meet the audience and event objectives, whether to generate leads or foster customer relationships. A lack of strategy results in exhibits that merely display brand logos without integrated pre- and post-event engagement plans. Newer, less experienced procurement teams focus on cost over strategic event goals. This shift results in fewer integrated marketing plans and poorer return on investment in face-to-face marketing. People who lack a background don’t understand that, in general, companies exhibit to fill their sales pipeline. Deep experience in omni-channel marketing is needed to restore strategic alignment in face-to-face marketing programs that could include exhibits, conferences, and brand activations.
Finally, there are operational challenges, such as staff turnover, which affect project continuity. The industry currently faces a talent gap. During the 2020 shutdown, many experienced and skilled individuals retired or left the trade show industry for other jobs. When live events resumed, there were many new job opportunities for those seeking change, but positions at all levels come with a steep learning curve. The Education and Workforce Development Federation found that about 40% of the current trade show workforce has 3 years of experience or less.
A final note on how to maximize your exhibit budgets. Start by developing a realistic budget that outlines key need categories. Establish clear goals and objectives with all your internal stakeholders—be specific about your expected outcomes; in other words, align expectations, then communicate them to your exhibit design and build team. They understand what is feasible and what might strain your budget. Regular communication throughout the design and build process will keep everyone aligned, especially when multiple agencies are involved. This approach will help minimize the risk of “redesigns” that can ultimately inflate costs.
Empower your exhibit design and build agency to take the lead in being responsible stewards of your exhibit budget. They will collaborate with you to provide recommendations in areas you have identified as crucial for your exhibit’s ROI.