Trade Show Industry Growth Dips First Time in 25 Consecutive Quarters

February 27, 2017

The Center for Industry Research released its latest CEIR Total Index Report that indicated growth of the trade show industry declined during the fourth quarter of 2016.

Driven by a 1.8 percent drop in real revenues, the performance of the industry posted a modest year-on-year decline of 0.4 percent, after 25 consecutive quarters of year-on-year growth.

"The decline was a temporal set back as economic fundamentals still point to moderate growth for the exhibition industry" said CEIR Economist Allen Shaw, Ph.D., chief economist for Global Economic Consulting Associates.

The dip occurred only in three sectors: Industrial/Heavy Machinery and Finished Business Inputs, Raw Materials and Science and Consumer Goods and Retail Trade.

“We are hopeful this is a temporary downturn and the industry will rebound in Q1 2017,” said CEIR Foundation CEO Cathy Breden, CMP, CAE. “We look forward to the release of the CEIR Index Report in early April which will provide an overall view of 2016 performance and a forecast for 2017-2019.”

In sharp contrast, Building, Construction, Home & Repair, Communications and Information Technology, Food, and Sporting Goods, Travel, and Amusement all registered robust year-on-year gains.

All exhibition metrics in the fourth quarter posted negative year-on-year losses, except net square feet which gained 1.3 percent.

Real revenues (nominal revenues adjusted for inflation) posted the largest decline of 1.8 percent, whereas exhibitors and attendees declined 0.8 percent and 0.6 percent, respectively.

The exhibition performance varied substantially by industry in 2016. The best performing sectors were Food and Building, Construction, Home and Repair, which gained 5.8 percent and 5.2 percent, respectively.

On the other end of the spectrum, the weakest sector was Raw Materials and Science, in which the index declined by 7.3 percent.

As mentioned previously, this sector has been plagued by weakness in oil prices that led to declining investment and production levels; however, prices and investment recently have begun to recover.

The Industrial/Heavy Machinery and Finished Business Inputs sector registered the second largest decline of 4.5 percent, which could just be a correction after a whopping 11.0 percent jump in 2015.

Add new comment

Partner Voices
One of the most iconic names on the Las Vegas Strip just got an upgrade. Mandalay Bay has everything that your business needs from a refreshed convention space designed to inspire productivity and creativity, to an impressive selection of world-class restaurants and amenities. If you're looking for a venue that's both inviting and innovative, you have to be here. New Wave Experiences Mandalay Bay continues to invest in a new wave of enhancements both in the convention space and within the resort as a whole. New restaurant openings including Orla by Michael Mina, drawing inspiration from the award-winning chef’s childhood in Egypt and with flavors and décor inspired by the spices found in markets common to coastal Mediterranean towns, as well as Caramá by Wolfgang Puck, bringing the essence of Italy and spirit of Wolfgang into one concept, are recent additions. The Four Seasons Hotel Las Vegas also experienced a recent remodel of all 424 rooms. Swingers, a high-end, adults-only golf and entertainment concept will debut in Fall 2024. Enhanced Technology Creating a truly effective conference venue requires careful thought into what a business needs: the right technology, capacity, and inspiration to bring ideas to the next level. As part of the resort’s refresh, Mandalay Bay implemented state-of-the-art technology upgrades, installing cutting-edge Cat6A Ethernet cabling throughout the convention center. This advancement doubles the frequency of data transmission, enabling lightning-fast speeds up to 9400% faster. The convention center now boasts 11 dynamic digital walls, spanning up to 24' x 13', strategically positioned for brand placements, sponsorships and targeted event messaging. Additionally, attendees can benefit from 20 double-sided 55" mobile flexible display units, facilitating effortless navigation to meeting rooms and events. RFID locks were installed on all meeting room doors, and over 200 motion detection cameras have been placed throughout the space. Refreshing New Design & Fine Art The newly remodeled convention space provides a bright and vibrant atmosphere that complements Mandalay Bay's tropical-inspired brand. Featuring white-washed walls and ceilings adorned with bold floral patterns in cerulean and coral tones, the space is complemented by warm walnut accent walls. In addition to the redesign of all pre-function spaces, meeting rooms and ballrooms, Mandalay Bay's 1 million square feet of exhibit space has undergone a rejuvenation, including new paint, covered pillars and relocated strobe lights. Sustainable Spectacles Mandalay Bay is committed to Focused on What Matters and creating more responsible meetings. Refillable water stations all available around the resort, cutting unnecessary plastic usage from single-use bottles. The Mandalay Bay campus’ recent upgrades represent a bold step forward in redefining the Las Vegas experience. With a focus on innovation, sustainability, and unparalleled service, Mandalay Bay sets a new standard for excellence in business hospitality. Whether you're seeking cutting-edge conference facilities, world-class dining options, or simply a luxurious retreat, an unparalleled meeting experience awaits.