CEIR Index Report: Trade Show Industry Growth Streak Continues for 12th Consecutive Quarter
August 18, 2013
The Center for Exhibition Industry Research’s latest Index Report for the second quarter was just released, and the good news is for the 12th consecutive quarter, the trade show industry continues to grow, though that growth has slowed.
Year-over-year growth increased 1.2 percent overall, which is down slightly, 0.3 percent, compared with the second quarter of last year.
The growth also lagged behind that of the GDP numbers in the second quarter that saw a 1.4 percent increase.
"Overall, the second-quarter results continue on a positive upswing, and they confirm that the exhibition industry has effectively weathered the recession and is a valuable business practice, despite ongoing uncertainty from lawmakers in Washington," said CEIR’s economist Allen Shaw, Ph.D., chief economist for Global Economic Consulting Associates.
Sequestration and cutbacks in government attendance at shows resulted in a 10-percent decline in Government sector shows’ overall metrics in the second quarter of 2013.
On the other hand, there were several other sectors that saw positive numbers, such as Professional Business Services, increasing 3.9 percent, Raw Materials and Science, increasing 3.9 percent, and Food, increasing 3.4 percent.
One of the food shows that saw good numbers was the National Confectioners Association’s Sweets & Snacks Expo, held May 21-23 at Chicago’s McCormick Place.
The show not only snagged a 10-percent increase in attendees, but also the number of new exhibitors rose 17 percent and the showfloor grew 9 percent, compared with the 2012 event.
According to CEIR economists, the biggest surprise was with the Building, Construction, Home and Repair sector, which declined by 1.8 percent, even though real estate construction had a strong rebound during the same period.
The CEIR Index measures year-over-year changes in four key metrics to determine overall performance: Net Square Feet of Exhibit Space Sold; Professional Attendance; Number of Exhibiting Companies; and Gross Revenue.
The strongest metric in the second quarter was Professional Attendance, which jumped 3.9 percent, the biggest gain since the first quarter of 2012. This increase was a percentage point higher than the 2.9 percent increase last year.
Real Revenues showed a slight increase as well, 1.4 percent, but were down, compared with 2.0 percent during the same time in 2012.
Net Square Feet was flat this quarter and down from a 1.0 increase in the second quarter of last year.
Finally, Exhibitors declined by 0.5 percent, compared with a 0.1 percent increase that was seen during the same time last year.
As for future growth, CEIR predicts this year will remain flat and 2014 will pick up momentum again.
Partner Voices
MGM Resorts is committed to fostering an inclusive and diverse culture, not just among employees and guests but also within its supply chain. The company prioritizes procuring goods and services from businesses owned by minorities, women, veterans, people with disabilities, LGBTQ individuals and those facing economic disadvantages. This commitment is integral to MGM Resorts' global procurement strategy.
Through its voluntary supplier diversity program, MGM Resorts actively identifies and connects certified diverse-owned suppliers to opportunities within its supply chain. The company is on track to spend at least 15% of its biddable procurement with diverse-owned businesses by 2025, demonstrating that supplier diversity is not only a social responsibility but also a strategic business imperative.
Supplier diversity isn’t just the right thing to do – it’s good for business. A diverse supply chain allows access to a broader range of perspectives and experience, helping to drive innovation, entrepreneurship and resilience, while strengthening communities. At MGM Resorts, engaging diverse suppliers ensures best-in-class experiences for guests and clients. Supplier diversity ensures a more resilient supply chain while supporting economic development in the communities in which it operates.
The impact of MGM Resorts' supplier diversity initiatives is significant. In 2023, these efforts supported over 3,500 jobs across more than 30 states, contributed over $214 million in income for diverse-owned businesses and generated more than $62 million in tax revenue. The story extends beyond the numbers – it reflects the tangible benefits brought to small and diverse-owned businesses, fostering economic empowerment in their communities.
MGM Resorts also supports the development and business skills of diverse-owned businesses through investment, mentorship and education. Through the MGM Resorts Supplier Diversity Mentorship Program, the company identifies, mentors and develops diverse-owned businesses to fill its future pipeline, while providing businesses with tools and resources to empower and uplift. Since 2017, the program has successfully graduated 105 diverse-owned businesses and is on track to achieve its goal of 150 graduates by 2025.
MGM Resorts’ commitment to supplier diversity not only enhances its business operations but also plays a crucial role in uplifting communities and fostering economic development. This approach reinforces the idea that diversity is a powerful driver of innovation and resilience, benefiting both the company and the wider community.
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