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The Trade Show Exhibitors Association has formulated positions on may areas of concern to exhibitors. In formally stating these views and opening dialogue with other elements within the industry, TSEA strives to bring about changes in the industry that will be beneficial to all. These positions outline major concerns of exhibitors and offer suggested operating policies to help alleviate problems which have a profound impact on the effectiveness of the exposition medium.
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Directly or indirectly, the exhibitor is the primary customer of most suppliers to the trade show industry. For exposition management, service contractors, exhibit designers and builders, transportation companies and many other suppliers of a wide range of goods and services, the exhibitor is the major source of revenue .In an increasingly customer-driven global economy, the exposition industry has been slow to acknowledge the increasing role exhibitors must play in determining both the type and quality of goods and services purchased. While it is not our intent to dictate to suppliers how they must conduct their businesses, it is our role to communicate widely held beliefs and concerns on behalf of their customer, the exhibitor.
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To allow all potential exhibitors sufficient lead time in planning show participation, exposition management should, whenever possible, provide a prospectus one year in advance, providing adequate time for exhibitors to examine the prospectus and obtain additional information about the exposition prior to space purchase deadlines. The prospectus should include:
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- Exposition name
- Exposition dates
- Exposition location
- Space application
- Exposition sponsor
- Exposition management
- Projected attendance
- Past attendance statistics
- Availability of audit or verification
- Exhibit hours
- Registration fees
- Standard booth sizes
- Floor plan
- Space rates
- Exhibit services included in space cost
- Deposit amount/schedule
- Cancellation rebate policy
- Specific space assignment procedure used
- Application deadline
- Acceptance policy
- Policy concerning exhibitor-selected contractors
- Installation dates and times
- Dismantle dates and times
- Exhibit dimension limitations
- Space contract, stating terms and conditions
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TSEA discourages the contracting of space for shows held annually more than one year in advance. This practice forces the exhibitor to commit before evaluation of the current show can occur. Exhibitors should have the right to examine verified attendance figures, measure show results and establish budgets prior to a commitment. Contracting space more than one year in advance prevents this and handicaps the exhibitor’s marketing plans.
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To provide a sound basis for considering participation in specific exhibitions, exhibition management should provide all prospective exhibitors with audited attendance information regarding past shows. This information should include, whenever possible:
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- Number of verified attendees, both paid and non-paid
- Number of exhibitor personnel, both paid and non-paid
- Analysis of attendance by business and profession
- Analysis of attendance by job title or function
- Analysis of attendance by geography
- Report on net square feet of exhibit space, both paid and non-paid
- Report on total number of exhibiting companies, both paid and non-paid
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Audits of exhibition attendance and demographic information should adhere to the generally accepted auditing standards as defined by the Statements on Auditing Standards issued by the American Institute of Certified Public Accountings (AICPA). Audits should be census-based, and provide an independent, unbiased appraisal of an exhibition producer’s attendance and demographic claims. An audit should include an analytical review, systems validation and data confirmation. The auditor must be an independent entity to the extent that there can be no vested interest in the audit results.
If an exhibition organizer chooses not to conduct an audit, at the very least the organizer should provide the above information, with the data being verified by a disinterested third party.
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Space allocation policies should embody a reasonable priority system that is consistent from year to year, fair to all exhibitors, and which imposes no undue hardship on potential space buyers. In addition to factors that may apply to a specific exposition, the priority system should be based on:
(a) Association membership in sponsoring organization.
(b) Number of years exhibiting.
(c) Adherence to schedules and publicized cut-off dates for receipt of space applications.
(d) Earliest date space application is received by exposition management for new exhibitors.
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Recognizing the need to provide both exhibitors and exposition managers with equitable terms for space payments, exhibitors have found the following examples of payment schedules for booth space to be generally acceptable:
(a) A small percentage of total booth cost when the contract is submitted by the exhibitor, contingent upon a satisfactory booth assignment.
(b) A second similar payment of a percentage of the total booth cost at some point prior to the exposition’s opening.
(c) A third and final payment representing the balance due of the total booth cost at some point prior to the exposition’s opening
(d) With the exception of biennial and triennial shows, payment for space should not be required more than one year in advance of show dates. All initial payments on contracts signed more than one year in advance of show dates should be only a small percentage of total booth price.
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Recognizing the need to provide both exhibitors and exposition managers with equitable conditions regarding exposition or space cancellations and refunds, exhibitors have found the following examples of contract terms to be workable:
(a) Exposition management should establish a refund schedule which provides decreasing percentage refunds of exhibit rental payments already made by exhibitors. The schedule should be incremental and should provide for a refund of a greater percentage of payments before the exposition, reflecting the lower expenses incurred by exposition management when cancellation takes place early.
(b) In the event the exposition is canceled due to reasons beyond the control of the exposition manager (or sponsor), monies already paid should be refunded to exhibitors on a prorata basis after legitimate expenses incurred by the exposition manager (or sponsor) through the date of cancellation have been covered.
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Booth relocation policy should give the exposition manager the right to relocate exhibitors in comparable spaces other than those specified by the exhibitor if deemed advisable and in the best interests of the exposition. However, the exhibitors affected must be notified in writing as soon as possible prior to the opening of the exposition and must be given the option of selecting a larger or smaller space, if available, or to cancel and receive a full refund of all payments made in the event the relocation is not acceptable.
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To provide equitable treatment as to liability for all concerned, the following conditions should apply:
(a) The owners of the exposition premises should pro-vide their own insurance to cover loss or damage to the premises due to fire and/or extended-coverage perils.
(b) All exposition contracts should be written to limit the exhibitor’s individual and collective liability only to their own negligent acts and not the negligent acts of others.
(c) The owners of the premises, who have insurance on the premises, should obtain from their insurance company a "Waiver of Subrogation," as to the exhibitor, for any loss or damage due to fire and/or extended-coverage perils.
(d) All contractors and suppliers providing services on the premises should be required to furnish proof-of-insurance to the exposition manager (or sponsor) before being allowed access to the exposition floor.
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To provide exhibitors with comprehensive and timely data, exposition managers should, whenever possible, make available to exhibitors a registration list containing names, company affiliations, addresses and phone and fax numbers, and email addresses of attendees as soon as possible following the exposition.
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To provide maximum exposure of all exhibits, the majority of exposition hours should be scheduled to avoid conflicting with other programs. Exposition management should publish an accurate printed program, which includes:
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- General show information
- Exposition dates
- Exposition hours
- List of speakers for educational sessions
- Schedule of all social events, seminars, spouses’ program, speeches, etc.
- Floor plan of the exposition
- List of exhibitors with booth numbers and product descriptions
- Access rules
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- Admission fees
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To give all exhibitors an active voice in their exposition participation, exposition managers (or sponsors) should establish an exhibitors’ committee composed of representatives from both large and small exhibitors, and/or an exhibitors’ meeting during the show, and/or provide exhibitor representation on the governing body of the exposition. Exposition managers (or sponsors) should also publicize the names and addresses of these exhibitor representatives.
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Exposition management may choose to select one or more companies to provide services, such as general contractors for labor, decorating and freight handling, photographers, cleaning services, plant rental companies, shippers, and others, as "official" suppliers for their designated exposition. In accepting the position of "official" supplier, these chosen companies have the support of exposition management and are given exhibitor lists for solicitation purposes.
Some exhibitors may prefer to use contractors other than those selected by exposition management for installation and dismantle labor and other services. These exhibitor-appointed contractors (EACs) are an established and integral part of the industry and the exhibiting company’s success. Show organizers should not adopt any rules or impose any fees that would impede exhibiting companies’ ability to use EACs. Specifically, not only should show rules allow the use of EAC’s, but they also should not impose any constraints on the use of EACs. Further, show organizers should not charge fees to allow EACs to support their exhibitor clients. While TSEA acknowledges that some minor administrative costs may result from EAC participation, it believes these costs are more than adequately covered by the space rental rate and should not be passed on to EACs and/or exhibiting companies as additional fees. In such cases, the following should apply:
(a) The exhibitor should:
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- Notify the exposition management of their intent to use a contractor not designated "official" no less than 15 days in advance of the exposition dates, but shall not be required to make such a designation more than 30 days in advance of the show dates.
- Provide in a timely manner all information requested by the exposition management, such as contractor names and contracts, and on-site representatives.
- Notify selected suppliers of all dates, schedules, show rules and any other information necessary to the suppliers performance.
- Arrange with the exposition management for pro-per credentialing of all non-official suppliers.
- Abide by all rules and regulations set forth by exposition management in the interest of all.
- Cooperate with the official service contractor in matters of freight handling and crate removal, keeping the aisles surrounding the booth clear of obstructions.
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(b) The non-official supplier should:
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- Have a true and valid order for service from the exhibitor prior to move-in date.
- Provide a certificate of insurance and other credentials as required.
- Provide names of full-time and temporary employees to exposition management for proper credentialing.
- Follow all rules and regulations as set forth by exposition management, as well as rules governing local labor.
- Limit solicitations for future business to contacts off the show floor.
- Cooperate with the official service contractor to ensure an orderly move-in and move-out.
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(c) The official supplier should: Offer good service and a fair price to all exhibitors.
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- Provide names of full-time and temporary employees to exposition management for proper credentialing.
- Observe all rules and regulations as set forth by exposition management, as well as rules governing local labor.
- Cooperate with exposition management, exhibitors and non-official suppliers to ensure a smooth move-in and move-out.
- Not solicit business from exhibitors who have placed an order with an exhibitor supplier.
- Avoid any appearance of coercion in solicitations to exhibitors.
- Honor all orders for service that comply with exposition rules given by exhibitors to exhibitor contractors.
- Not arbitrarily select alternate suppliers for services when a supplier has been selected by the exhibitor.
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(d) The exposition management should: Assume full responsibility for the exposition, negotiating contracts and agreements with consideration for their impact upon exhibitors.
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- Review all materials and forms utilized by official suppliers for clarity and adherence to stated rules.
- Act as liaison between exhibitors and the official contractor to resolve any problems that may arise.
- Assist and cooperate with exhibitor contractors to resolve any problems that occur.
- Provide information service kits or planning manuals to exhibitor suppliers when requested by exhibitors
- Provide reasonable working conditions for exhibitor suppliers, including designated work areas for service desks.
- Provide proper credentials for exhibitor contractors as requested by exhibitors.
- Apply exposition rules equitably to all suppliers.
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Some facilities, exposition management firms and official contractors have adopted terms by which any supplier who wishes to work within the facility or exposition must pay a percentage of revenue to access the facility or exposition. While exhibitors cannot control private agreements between two parties, it becomes of concern to them when these hidden costs are passed on in the form of higher drayage or labor rates or other surcharges.
Facility management, exposition management and others involved in this practice are strongly urged to abolish it, setting prices fairly to reflect actual costs for services.
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Some exposition managers and some facilities in which expositions are held form, or have in effect, agreements by which one supplier is given exclusive rights to provide goods or services for a given exposition, or for all expositions held in a given facility. Typical examples of such agreements are: catering, drayage, electrical, water, gas and security. TSEA realizes that such arrangements exist, and that these arrangements may be mandated to both facilities and exposition management by legislation or contractual agreements.
However, when safety or security is not an issue, or when a facility is not obligated by contractual agreement, TSEA is opposed to the imposition of exclusive contracts and urges all facilities, exposition management and contractors to follow a policy of free enterprise, giving access to all qualified suppliers.
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In recent years, drayage costs have dramatically, and sometimes inexplicably, increased. Additionally, drayage contractors often add extra charges for van line shipments above whatever charges ordinarily would apply to common carrier shipments. TSEA firmly opposes any such charges imposed solely on the basis of the type of carrier delivering the materials. Reasonable extra charges imposed by drayage contractors for loose, non-palletized and hard-to-handle materials, irrespective of how shipped, are not objectionable. However, extra charges levied on crated van line shipments that differ in no significant way from crated common carrier shipments are unwarranted. Exhibitors, recognizing the need for some fluctuation in costs depending on site, type of freight handled, and scheduling, expect the following:
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- Unjustified van line surcharges are unfair. They discriminate against van line carriers and impose extra costs on exhibitors who ship via van line carriers. Such unfair practices should be eliminated from the exhibit industry.
- Drayage costs should be based on actual costs of providing service, with reasonable profit margins.
- The official contractor should provide qualified labor, trained in handling exhibit properties and delicate products.
- Inbound drayage charges should be based on actual weight of the shipment(s). The carrier is ultimately responsible for providing this weight.
- Outbound drayage charges should be adjusted to reflect items consumed during the show (i.e., literature, giveaways), providing the shipper turns in a corrected bill-of-lading, showing the reduced actual weight.
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TSEA believes that all persons involved in the exhibit industry should strive to maintain a safe environment for exhibitors, labor and, most important, exposition attendees. An exposition can present various hazardous situations, especially during set-up and teardown. It is the responsibility of all exhibitors, designers, builders, contractors, laborers, attendees and their respective employees and agents to ensure their own safety and the safety of those around them. TSEA encourages the following safety related precautions:
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- Exhibitors should ensure that all booth personnel are briefed on safety in the exhibit booth, their products and in the exhibit hall. For example, they should be aware of the location of the nearest emergency exits from the exposition facility.
- Exposition managers should establish, publicize and enforce a set of safety regulations which take into account the unique features of each event and facility.
- All craftpersons involved with exhibits should per-form their duties in a professional manner to ensure the safety of themselves and others.
- Facility managers should develop rules and guide-lines which promote safety in their venues, taking into account the unique features of trade shows and the specific facility.
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TSEA also recognizes that the design and construction of exhibits has the potential for creating hazardous conditions and is therefore a particularly important area for safety guidelines. TSEA recommends that:
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- All materials used to construct an exhibit should conform to stringent building and safety code requirements for non-flammability, tensile strength and appropriateness of application.
- Design plans for multiple-story exhibits should be reviewed and signed by a structural engineer, attesting to the appropriateness of the design for its intended use.
- A set of design plans for an exhibit should be available to exposition management before erection in a given trade show. In addition, the plans should be available for inspection by exposition management, the installation/dismantling contractor, exhibitor, exhibit builder, facility manager or governmental authority during erection, dismantle and while on exhibit.
- Exposition management should establish clear, well-publicized standards for construction and installation of hanging signs, taking into account the specific conditions present in the particular facility in which the exposition will be held.
- Installation contractors should ensure that individual craftpersons assigned to exhibit erection or hanging sign installation have the skill and experience necessary to perform the tasks safely.
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It is advisable to erect a multi-story exhibit previous to installation on the exposition floor. However, such pre-installation erection should be at the discretion and expense of the builder, except when ordered by the exhibitor.
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Multiple story exhibits are a reality in the exposition industry. Their existence in an exposition adds to the professional appearance and importance of the exposition. They allow exhibitors to more effectively present their products and services to attendees.An increasing number of exposition managers have begun imposing surcharges on exhibitors who use space above a given "single story". Such charges are counter to the long-standing tradition that the exhibitor’s space rental includes all area to the height restriction of the exposition.
Multiple-story surcharges penalize companies with large exhibits because of the base space required to mount such displays.
Moreover, these surcharges are simply a means of escalating income because there are no incremental costs to exposition management for such exhibits.
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Charges for services rendered to exposition management, such as aisle carpet, signs, registration areas, and other extras that make the exposition more appealing to exhibitors and attendees alike, should be set fairly to reflect actual costs, should be prorated on an equitable basis to all exhibiting companies, and should not be "hidden" in costs for other services.
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An exhibition is a classic example of synergy, where the whole is greater than the sum of its parts. The success of an exhibition is the result of the mutual, cooperative and coordinated efforts of the show organizer, exhibiting companies, attendees, labor, and allied industries. Companies that choose not to exhibit obviously do not contribute to that synergy, and should not be allowed to benefit from it. In fact, when non-exhibiting companies choose to conduct events, host hospitality functions, and/or hold other meetings in ways that take advantage of, and that compete with, the exhibition, those companies are acting to the real detriment of exhibition management, exhibiting companies, attendees, and all others who have invested resources to create the exhibition. This practice, often referred to as “outboarding,” detracts from exhibitors and should be strongly discouraged. Companies that participate in outboarding seek to take attendees away from the exhibition and try to take advantage of an audience, and a synergy, that they have done nothing to create. Simply stated, outboarding undermines the exhibition, and hurts all who participate in the exhibition.
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Copyright Trade Show Exhibitors Association, McCormick Place, 2301 S. Lake Shore Dr., Suite 1005, Chicago, IL 60616
Phone 312.842.TSEA, Fax 312.842.8744, e-mail tsea@tsea.org
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