The (trade) show must go on

OK, Las Vegas. Denial and anger got your local economy nowhere fast.

It's time for bargaining.

At least that's how they see it over at Exhibitor 2009, a trade show for the beleaguered convention and trade show industry.

With Las Vegas in general and trade shows in particular bearing the brunt of a brutal recession, the event at the Mandalay Bay Convention Center is an unlikely venue for optimism.

But that was the mood Tuesday among many on the show floor, even though about 10 percent to 13 percent fewer attendees are expected compared to last year's event.

"If you don't go out and look at opportunities, they are not going to come to you," said Dee Silfies, chief learning strategist for Exhibitor Conferences, the organizer of the event. "Then competitors would have an opportunity to be in front of (your) customers, plus (you) wouldn't get any new business."

Nowhere is more attuned to the trade show and convention business than Las Vegas.

About 15 percent of the more than 30 million people who visit annually do so for a trade show, convention or some form of business. And the typical business guest contributes nearly twice as much to the local economy as the average tourist.

Silfies and several others at the show say they're well aware trade show and convention business is down by double-digit percentages.

And there is less money in the business today than during the dearly departed boom time.

Those who are still in the game, though, are finding customers to be more dedicated, suppliers more flexible and the overall cost of doing business lower.

What that means in real life for people in the industry is a conscious effort to move less freight, fewer browsers and more serious buyers at events, cheaper hotels and dramatically better service in hotels -- where they spend much of their work time.

"It is so much nicer to do business this way," she said.

Silfies, a longtime business visitor, said 2009 was the first time a Las Vegas bellhop thanked her for her business and invited her back. Also, low room rates allowed her to upgrade from Mandalay Bay to The Hotel.

Both experiences enhanced her trip.

"I don't remember that ever happening in 20 years," she said. "That happened in other cities but never happened in Las Vegas."

Elliot Kohn, chief operating officer of Kubik, a Canada-based exhibit builder, said he's spending time during the recession trying to strengthen relationships with old customers while seeking out new ones.

"I refuse to look at today's situation and see it as a negative," Kohn said. "We are being very aggressive."

One way Kohn is reaching out to customers is by helping them cut costs without sacrificing opportunity.

He's helping them create smaller trade-show booths that require less rental space on show floors and encouraging them to use low-cost electronic marketing in advance of events so they can make the most of time at the show.

Kohn said he reduced his own cost to attend the Exhibitor event by 50 percent to about $40,000 by using locally produced props to cut down on transportation costs, renting a smaller space at the convention center and through getting lower-priced hotel rooms.

"It just means you are going to be slightly smaller," he said. "There is nothing wrong with that."

Others are viewing the downturn as motivation to seek new ways of doing business.

Organizers of the show said they had more than 80 new exhibitors at the event, suggesting there are companies looking to compete for the business of folks in the trade show industry.

One of the newcomers at Exhibitor 2009 was Hooters Hotel in Las Vegas.

Sales manager Matthew Lamos said the 696-room, off-Strip property doesn't have space to compete for conventions held at major resorts.

But management decided to attend the show because attendees tend to be frequent Las Vegas business travelers who might prefer to rent a room or hold a meeting at Hooters.

Lamos said because of its size, the hotel has always had to be flexible to be competitive.

Since business started waning in Las Vegas, he said flexibility is even more important. The property has hosted weddings, military events, small high-tech meetings and after-hours parties for businesses.

"If they have a meeting, we'll take it," he said.

Hooters was the only hotel exhibiting at the event, meaning from Sunday through Thursday, the final day of Exhibitor, Lamos and his staff will have unobstructed access to an estimated 6,000 Las Vegas business travelers.

"We thought about backing out," Lamos said, adding he's glad the hotel went through with the show. "On just the first day, we got so many great leads."

Contact reporter Benjamin Spillman at bspillman@reviewjournal.com or 702-477-3861.