News Feature
International shows will take longer
to recover says UFI study
The latest UFI Global Exhibition Barometer indicates
a business restart beginning, but 44% of exhibition
companies have ceased investing and a majority think we
will be looking at fewer international exhibitions in the future
Results from the global association of
the exhibition industry, UFI’s latest,
biannual Global Exhibition Barometer
research shows that, after monthly
activities dropped sharply everywhere
in the world, the exhibition industry is
gradually starting up again.
However, revenues for 2020 are
expected to represent 39% of the 2019
figure and 44% of companies say they
have stopped all investments.
Although the report highlights the
severe impact of the Covid-19 pandemic
on the exhibition industry worldwide,
the mood is not dampened entirely
and the latest Barometer finds a large
majority of the industry believes the
sector will come back quickly.
It is a sector that is already morphing
fast. The shift to digital is evidenced
by every second company reporting
increased investments related to
digitalisation.
‘No activity’ 73% in April and May
For those wanting to drill down further,
the Global Barometer this time delivers
dedicated profiles for 25 markets and
regions. Whereas, globally, 85% of
companies surveyed declared their
overall level of activity was “normal”
in January, the figure quickly dropped
to 15% in March, reaching between 5%
and 6% in April, May and June. For
both April and May, 73% of companies
worldwide declared “no activity”. With
a majority of companies expecting local
and national exhibitions to open again
during the second half of 2020, activity
is expected to slowly increase, and two
companies out of three project at least
a “reduced” level of activity in the last
quarter of 2020.
International exhibitions not to reopen until
2021
In all regions, a majority of companies
believe that exhibitions with an
international scope will not open until
2021. Globally, revenues for the first
half of 2020 dropped by two-thirds
on average, compared with the same
period last year.
In terms of profits, strong levels of
performance were reached in 2019, with
45% of companies declaring an increase
of more than 10% when compared
to 2018. The sharp drop in revenues
that occurred in 2020 has led to a loss
for 39% of companies, and only 7%
currently expect a stable or increased
profit for 2020.
Investments in diversity and sustainability
drop
Under half of the companies that
participated in the research say they
have stopped all of their investments,
yet, at the same time, 50% say they are
increasing investments in digitalisation
Situation of industry operations for the 1st half of 2020 and
current predictions for the 2st half of 2020
I don’t
know
No
activity
Reduced
Normal
8
7
85
Jan
12
19
69
Feb
36
49
15
73
22
73
22
programmes.
By comparison, investments have
decreased or been stopped for 55% of
companies in programmes related to
diversity, and 54% in those related to
sustainability.
Trends
The survey also tackles trends likely to
drive the format of exhibitions. Global
results indicate that 57% are confident
that “Covid-19 confirms the value of
face-to-face events”, anticipating that
the sector will bounce back quickly,
whereas 31% are “not sure” and 12%
are “not sure at all” or “disagree
completely”.
Kai Hattendorf, UFI managing
director and CEO says: “On the back
of an exceptional year in 2019, we are
now seeing an unprecedented drop in
revenues around the world. While the
industry remains confident that it will
bounce back, everyone is aware that
this crisis will lead to major changes
in the way exhibitions are produced,
especially with a push towards more
digital elements before, during, and
between events.”
Size and scope
This survey, carried out in June,
includes data from a record 459
companies in 62 countries and regions
and delivers outlooks and analysis for
20 countries and regions: Argentina,
65
29
5 5 6 6 9
8
34
Mar Apr May June July Aug Sep Oct Nov Dec
13
51 41
36
19
21 9 7
41
19
24 25 25
42 39
25
29
10
36
28
10 — September