Exhibition Industry Day

"government policy in strengthen exhibition industry in Thailand versus

economic crisis and current competition"

Presented by Mrs. Supawan TeeraratDate: 14 August 2009

‘Exhibition Day 2009’

Agenda1. Outlook of exhibition industry in 2009

• What happen in the exhibition world

• What is the positioning of exhibition in Thailand

2. Research findings as source of direction for 2010

• Effect from economic crisis

• Exhibition Trend 2010

• Where we are so far

3. TCEB’s strategic direction for 2010

4. EMD

5. Our team

The growth in venue space between 2006 and 2010 (13% worldwide) varies from one region to another. “Asia & Pacific” shows the highest increase (+25%), as shown in chart below

Asia Pacific

Global Trend

THE US

EUROPE

• Highly competitive

• Consolidation trend

• A declined in no. of trade fair

• More fragmented than the European market

• Focus on domestic market

• Fair ground capacity is less than 1/3 of the European’s

Source: L’Union des Foires Internationales (UFI)

Trend in Asia - CHINA

One of the biggest consumer market in the world

Strong production market

One third of the total exhibition capacity is located in South East

Overcapacity of fair ground (approx. 2.4 mil. sqm)


Trend in Asia - Japan

The biggest economy in Asia

The second largest fair ground capacity in Asia

Japan’s trade fair market is relatively unknown

Most of the Japanese fairs are domestic fairs


Trend in Asia - Korea

Focus on specialized fairs e.g. logistics, bio & nano technology

Fair ground capacity of 130,000 – 140,000 sqm.

A strong focus on technology and industry products


Trend in Asia - Hong Kong & Macau

The development of sourcing fairs for Asian consumer products

Regional trade hub for consumer products

Direct access to Chinese customers

About the same size of fair ground capacity as Korea

The Venetian: Well-established business model

Gambling + Exhibition business

HON

G K

ON

GHO

NG

KO

NG

MA

CA

UM

AC

AU


Trend in Asia - India

Severe under-capacity of Exhibition facility

Some of the Indian business is being exported to the Middle East

Becoming an extremely strong player gradually from government expansion projects and supports


Trend in Asia - Vietnam

Strongest growth in South East Asia

A rising star in both tourism & MICE

Capacity is around 10,000 sqm.

Expected to become a strong competitor due to its strong GDP growth & growing purchasing power .


Trend in Asia - Singapore

The unchallenged focal point and hub for trade in the ‘80s & ’90s

Focusing on the IT and telecommunications business

The new Marina Bay Sand Resort - an additional 100,000 sqm.

With 125,000 sqm. of exhibition space


Effect from current economic crisis?

Middle East/Africa showed less effect from the decrease in space sales and attendees, while APAC had the most effect on decrease in space sold and attendees

Q: for shows occurring between 1 October 2008 – 31 March 2009,Did your organization experience a decrease in space sales in B2B shows?

• 68% of World trade shows during crisis decrease in space sold

• Asia Pacific has the highest decreasing in space sold of at least 5-10%

Q: Did you experience any decrease in visitors/attendees for these B2B Shows

• 62% of World trade shows effecting in decreasing number of in visitors.

• Asia Pacific has the highest decreasing in number of visitors of at least 5-10%

What about the exhibition trends?

Exhibition - Trend

1

2

3

4

5Governments taking more Governments taking more

interest in Exhibitionsinterest in Exhibitions

Shifting business model e.g. Shifting business model e.g. strategic partnerships strategic partnerships

formationformation

Niche and boutique events Niche and boutique events enjoying growthenjoying growth

Growth markets influencing Growth markets influencing destination choicesdestination choices

Content, content & Content, content & content!content!

Highly specialized but global events perceived as the business model of the future i.e. Bio industry

Trade fair trend in EU still perceived as effective marketing tools for B2B

Internet and attending trade fairs are the major tools for visitors to seek for product information – they finds the synergy between using internet and visiting trade fair to gain product information

“Where are we so far….”

ASEAN Country

No. of venues,

end 2009

Total venue space(m2) end 2009

Estimated net area sold (m2)

2008

Estimated annualised

revenue(US$) 2008

No. of exhibitions

2008

Thailand 7 209,905 448,750 145,262,000 71

Singapore 4 203,600 229,250 85,878,000 69

Malaysia 4 71,292 223,250 73,388,000 47

Vietnam 4 33,793 140,750 41,639,250 47

Indonesia 3 31,656 161,000 43,131,500 41

Philippines 1 8,300 80,500 15,565,000 35

Source: BSG Research & Analysis

Summary of ASEAN Trade Fair Markets, 2008

Thailand’s exhibition industry in 2008 is still remained ranking the first in ASEAN in terms of; number of exhibition identified - reached 71 trade show, estimated annual size – covered 448,750 sqm., average size per fair – covered 6,320 sqm and the estimated annualized revenues of US$ 145,262,000.

Exhibition 2004 2005 2006 2007 2008

Number of Exhibitions 65 56 69 63 71

Estimated Annualised Revenue (Million USD)

- 67 111 117 145

Average Revenue per Fair (USD) - 1,194,460 1,604,663 1,854,571 2,045,944

Exhibition Venues 4 4 5 5 7

Venue Space in sqm 131,102 191,322 199,122 199,622 209,905

Net Area Sold in sqm 211,750 274,250 380,500 373,750 448,750

Source: BSG Research & Analysis

Exhibition Trend in Thailand from 2004-2008

Since 2004, there was a promising growth of at least 2 digits for number of exhibition and revenue from space sold regardless of economic and political issues in the country

Country Identity Country Identity –– Target GroupTarget Group

0.010.020.030.040.050.060.070.080.0

%

TH SING MAL HK

• Among the 4 countries, Thailand would be most chosen as a MICE destination in terms of its hospitality of people and value for money respectively.

• Singapore won in terms of safety, international standards, and professionalism., all of which Thailand still lacks.

Source of InformationSource of Information

Inter

net

Wor

ds of

mou

th

News

pape

rs

MICE

mag

azine

s

Busin

ess m

agaz

ines

Telev

ision

Radio

Poste

rs/B

roch

ures

Tran

sit m

edia

Outdo

or m

edia

Even

ts/Ex

hibitio

ns/

Fairs

About ThailandIn general

Most PreferredInternet 76.2%

%

0.020.040.060.080.0

100.0%

• Internet is the most popular source of information among E customers and visitors.

Inter

net

Wor

ds of

mou

th

News

pape

rs

MICE

mag

azine

s

Busin

ess m

agaz

ines

Telev

ision

Radio

Poste

rs/B

roch

ures

Tran

sit m

edia

Outdo

or m

edia

Even

ts/Ex

hibitio

ns/

Fairs

About ThailandIn general

Most Preferred

Internet 68.5%

%

0.020.040.060.080.0

100.0

Direct Customers

Visitors

Overall Image RatingOverall Image Rating

7.328.26 8.16

6.71 5.95

0.00

2.00

4.00

6.00

8.00

10.00

TH (n:85) SG (n: 93) HK (n:96) ML (n:76) VN (n: 66)

Avg: 7.39

ó Singapore has the highest overall image rating, followed by Hong Kong that are above the industry average

ó The E is inclined to have a more positive view towards Singapore’s imageó Among the E customer groups, Thailand fell to the third rank after Hong Kong

6.827.99 7.55

6.685.50

0.002.00

4.006.008.00

10.00

TH (n:165) SG (n:167) HK (n:165) ML (n:157) VN (n:119)

Avg: 6.99

Direct Customers Visitors

Satisfaction towards DestinationSatisfaction towards Destination

8.08 8.048.30

7.23

6.50

6.006.406.807.207.608.008.40


AVG: 7.71

+0.45 +0.41 +0.67 -0.40 -1.13

• Among the E customers, Hong Kong (mean score: 8.30), Thailand (mean score: 8.08), and Singapore (mean score: 8.04) have satisfaction scores higher than average.

Direct Customers Visitors

• Only Singapore and Hong Kong have satisfaction scores above industry average.

7.51 7.98 7.896.58 6.67

0.002.004.006.008.00

10.00


AVG:7.61

2nd phase1st phase

International standardsProfessionalismInfrastructureValue for moneyHospitality of peopleSafetyProximity/AccessibilityBusiness opportunities (for “E” only)

Our personnel are service-minded. We provide good hospitality.We are a value-for-money destination.We provide a green MICE destinationWe have a variety of services.We are warm & friendly.We are casual & relaxed

What we really have

International standardsProfessionalismInfrastructureSafetyProximity/Accessibility

HKSG

SG

SGHK

Save DestinationVariety of servicesGreen & sustainable destinationCSR-focusedLively & energeticCalm & composedMeeting International Standard

Sustainable Society

What we have to be

What we have to be

Suggesting Framework for Thailand brand value proposition

Strategic Direction 2010

Government PolicyA Boost To The Economy

“MICE Sector is One of The Key Growth Drivers”

Boost confidence of foreign tourists and implement Boost confidence of foreign tourists and implement measures to stimulate tourismmeasures to stimulate tourism

Develop standards for tourism services by setting up Develop standards for tourism services by setting up standards for tourismstandards for tourism--related businessesrelated businesses

Promote Thailand as a worldPromote Thailand as a world--class tourism hub, class tourism hub, especially its readiness to serve as especially its readiness to serve as a centre for a centre for international conferences, exhibitionsinternational conferences, exhibitions and medical and medical tourismtourism

112233

Role of TCEB

1 •• Bring in more revenues to ThailandBring in more revenues to Thailand

•• Support the private sector in winning more Support the private sector in winning more

international event to Thailandinternational event to Thailand

CHAMPIONCHAMPION

•• Foster business & industry growthFoster business & industry growth

•• Capability developmentCapability development

•• Public & private coordination and Public & private coordination and

partnership for a smooth executionpartnership for a smooth execution

TCEB is Thailand’s version of Convention and Visitor Bureaux (CVBs) that

exist in all major countries around the world

2 PROMOTERPROMOTER

3 DEVELOPERDEVELOPER

4 FACILITATORFACILITATOR

•• Promote Thailand as a worldPromote Thailand as a world--class destination for class destination for

international and domestic MICE eventsinternational and domestic MICE events

TCEB STRATEGY TEMPLEThailand

to be globally preferred MICE destination in Asia

• Develop staff capability to be world-class• Improve financial processes• Deploy technology for operational efficiency

Strengthen

Thai Team

collabora-tion

Strengthen

industry

through

Intelligence

/Training/

Education/

Certificate

DEVELOP

• To enhance economic impact of the MICE industry to the Thai economy• To create sustainable competitiveness for Thailand’s MICE industry to be able to compete

efficiently and effectively in an international arena

PROMOTE

Market

Thailand as

World-class

MICE

Destination

Promote

Domestic

MICE

WIN

THAILAND CONVENTION & EXHIBITION BUREAU

Transform TCEB into

acquisition mode – Win

more business &

support private sector

to win bids

Boost

revenue from

visitors

Strategic approach

FocusFocus

Retain existing

customers

Retain existing

customers

OnlineOnline

Focus activities highlight and markets

•Online media•Internet & website•Social networking

Proactive support & services

1

2

3

Thailand Maximize

Int’l marketing road showASEAN, India, China,Japan, Korea, Indonesia

Sales Visit – One on one

Regional Champion Shows

MICE Education / Train the Trainer

Highlight of Marketing Campaign 2010

Supporting World Expo in Shanghai 2010

Host of Ufi Asia 2010

1

129musers in

North America

30musers in Middle

East

155m users in Europe

166musers in Asia Pacific

Source: comScore Media Metrix, Worldwide, Average Quarterly, Q4/07

9musers in Thailand

Online Marketing Campaign

Target 459 million impression via Google ads by:-World wide approach-Country approach-Key word approach

2

Online Marketing Strategy

Worldwide approach

Country approach

Keyword approach

Google-based advertising

Bangkok, the exhibition city of ASEAN

Market access to Indo-China

World class exhibition venues

Professional service providers

World renown hospitality

Value for money

Strong Industry cluster

Campaign No. of Impressions

No. of Clicks No. of Enquiries

Worldwide 600,000 12,000 Need to Discuss

Country-based(Asean)

400,000 8,000Need to Discuss

Keywords-based 200,000 4,000Need to Discuss

Total 1,200,000 24,000 Need to Discuss

Reported by Google Reported by GG Analytic

Enquiries Submission Report by TCEB

Expected Results in Expected Results in 6 6 monthsmonths

*Statistic can be changed up/down, depend on keyword changing

Thailand Thailand MaximiseMaximiseGrowing your exhibition Growing your exhibition inThailandinThailand

Delegate: Visitors/

Exhibitors

Extra night , Extra smile

Group: Trade promotion/Trade

Associations

100 A-HeadFinancial

Marketing Promotion

One Stop Services

Site inspections

NEW

OrganizerVisitor Promotion

Exhibition Promotion3

Module 4: 29 March – 3 April 2010

Advanced Studies in Exhibition Management II

On-site Seminar (45 hrs)

Module 1: 23 - 28 November 2009

Basics in Exhibition Management IOn-site Seminar (45 hrs)

Module 3: 1 February – 28 March 2010

Advanced Studies in Exhibition Management II

E-Learning Seminar (30 hrs)

Module 2: 30 November 2009 – 31 January 2010

Basics in Exhibition Management II

E-Learning Seminar (30 hrs)

EMD Programme

All subjects will be taught by a selection of experienced international teachers.

*Module 1 will take place at Westin Grande Sukhumvit Bangkok

• TEA/TICA members are subsidized to 80% of the full package price

• Deadline for registration: 15th October, 2009

Exhibition Team

• Markets covers:

• Singapore, Malaysia

• Vietnam, the Philippines

• Myanmar

• Germany

Business Business Development TEAM 1

• Markets covers:

• Hong Kong, Korea

• China, Korea, Japan

• India

Business Development TEAM 2

• Marketing strategy

• IMC

• PR

• Trade show

• Special projects

Strategic & Marketing team

Supawan TeeraratSupawan TeeraratExhibition DirectorExhibition Director

Ms. Kanokporn Damrongkul

(Oui)

Ms. Suratsa Thongmee(Kra-tig)

Our Team

Ms. Jutarat Apiwattanikul

(Joy)

Business Development

TEAM 1


TEAM 2

Strategic & Marketing

Our Team Business Development

TEAM 1


TEAM 2


Mr. Narindej Thaveesangpanich

Ms. NawapornRojarayanont

Ms. UthaiwanKittichanmetee

Our Team Business Development

TEAM 1


TEAM 2


Mrs. Jaruwan Suwannasat(Rose)

Ms. ProudmaneeSangsri(Proud)

Mr. Watchara Kongphalanon

(Louis)

Thank You