Budget Guidelines for Trade Show Marketing
B'techa didn't know - Trade shows are the second largest
expenditure of corporate marketing dollars in the US. Only
the field salesperson costs a company more.
How much of that money is wasted? Oodles - if you don't
know what you're doing and how to track it.
Clients often ask, "How much does it cost to do a trade
show?" It can be a little or a lot. Remember - a tabletop
show at a Chamber of Commerce networking event will cost
you significantly less than a 10-day international event, but
these EIGHT major components are good guidelines in
budgeting.
1. The Rent on your Space - The only constant in trade
shows is the real estate -that piece of gray concrete you
rent. Some shows are priced by a flat fee. Most are priced
according to a square foot (sq. meter) standard for the
show. Generally, it's 10sq ft or 3sq meters (about 100 sq.
feet). Prices will range from $10-$100/sq ft, or $1,000 to
$10,000 per space. Check your calculations carefully.
2. On-floor Expenses - Anything that requires labor or
utilities for your exhibit. This includes all labor (i.e. - I&D
installation and dismantling - to setup and tear-down your
exhibit) and utilities - electricity, gas, water, compressed air,
etc.
3. Your Exhibit, Graphics and Accessories - All of the
physical parts of your exhibit, including design fees and
production, and crating.
4. Freight and Drayage - These can be confusing terms, so
here is the easy way to remember. Freight is how your
exhibit gets from anywhere (your office, warehouse or
another show) to the current show's loading dock. You can
put it in a car, send it by plane, ship, bus or truck. Drayage,
on the other hand, has a very specific meaning. It is only the
movement of your exhibit from the loading dock to your
exhibit space and back to the loading dock. Then "freight"
takes it from the loading dock to its next destination.
Drayage can be the most expensive word you don't know.
5. The Cost of Your Time - If you weren't at the show, what
would you be doing? Consider there are now three
workloads you carry when you exhibit
* the work you are doing at the show (booth duty, seminars,
networking, meeting with clients, etc.)
* the work you have at your office - if you're not there, who is
doing your work?
* the Internet work - I'm seeing more people spending
hours after the show making doing business via email and
cell phones..
6. The Costs of Travel and Entertainment - From the time
you leave until the time you return, you're spending money.
Keep careful track of T&E expenses for you and your staff.
7. Promotions and Advertising BEFORE the Show - The
really smart exhibitors know that trade shows are not
isolated marketing events, but part of a continuum of sales
and marketing. For example, your ad in the trade publication
for the three months prior to the show may be part of your
general advertising budget or a special ad just to announce
your attendance at the show. In this category include
premiums, show specials, ad specialities (giveaways),
dealer incentives and other promotions.
8. Promotions and Advertising AFTER the Show - Here's a
scary thought. EIGHTY PERCENT (80%) of leads aren't
followed up. Forget the advertising and promotions, just
send a simple Thank You note within a week of the show.
Follow-up with phones calls, appointments and whatever
else in normal in your sales cycle.
All of these eight items cost you money, but the most
expensive is #8 - if you don't consider your sales cycle and
follow-up properly - then #1 through #7 are wasted.
Julia O'Connor - Speaker, Author, Consultant - writes about
practical aspects of trade shows. As president of Trade
Show Training, inc,, now celebrating its 10th year, she
works with companies in a variety of industries to improve
their bottom line and marketing opportunities at trade
shows.
http://www.TradeShowTraining.com -- 800-355-3910