Rising Costs and Exhibitor Mistrust: A Wake-Up Call for Event Organizers
The latest research from The Exhibitor Advocate and EVOLIO Marketing paints a sobering picture of the current state of the event industry.
The report, The State of the Event Industry: From the Perspective of Exhibit and Event Marketers, highlights critical challenges facing exhibitors, organizers, and service suppliers. Rising costs and strained exhibitor-organizer relationships threaten revenue and the long-term sustainability of the industry, according to the research.
Key Findings Event Organizers Need to Know
1. Cost Concerns Are Skyrocketing
- 88% of exhibit marketers list budget management as their top challenge.
- The primary culprit? Show services costs, cited by 82% of respondents.
2. Flat Budgets for 2025
- Over half (57%) of companies predict no budget increase for 2025, while 18% foresee cuts.
- Exhibitors plan to offset rising costs by reducing booth sizes, show participation, and sponsorship spending.
3. Eroding Trust
- Nearly half of exhibitors express a lack of trust in show organizers, emphasizing the need for more transparency and collaboration.
Implications for Organizers
These findings indicate a pivotal moment for show organizers. Without action to address exhibitors' cost concerns, organizers risk losing revenue and long-term loyalty. Jessica Sibila, executive director of The Exhibitor Advocate, warned, “The math simply doesn’t work anymore. Show organizers who take the lead in negotiating fair costs and transparent pricing models will gain a competitive edge.”
Joe Federbush, President of EVOLIO Marketing, underscored the need for collaboration: “This is an opportunity to enhance event value, strengthen exhibitor relationships, and secure revenue growth.”
We reached out to a number of exhibitors for comment, but none wanted to go on the record.
Recommendations for Organizers
To navigate these challenges, the report urges organizers to:
- Collaborate with exhibitors: Foster partnerships to understand and address cost concerns.
- Negotiate with suppliers: Advocate for fair pricing models that align with exhibitor budgets.
- Promote transparency: Build trust by offering clear, predictable pricing structures.
Methodology
An online survey was conducted in July through September 2024. Survey invitations were emailed to U.S.-based exhibit and event marketers, and the survey link was posted on the Instagram and LinkedIn social media pages for The Exhibitor Advocate, a nonprofit association dedicated to trade show exhibitor success, and EVOLIO Marketing, which provides data-driven solutions and analysis for events. Completed surveys were submitted by 171, with a +/-7% margin of error at a 95% confidence level.
Want to know more
The complete report, available for free download, provides detailed strategies to enhance collaboration and improve industry outcomes. To access the full findings, visit The Exhibitor Advocate.
Join Sibila and Federbush for a deep dive into the findings from the new report during a free webinar at 1 p.m. ET on Tuesday, Jan. 14. Register here.
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