Postponement or cancellation of exhibitions: Thoughts and opportunities for export enterprises

Currently, the market is affected by the pandemic, with delayed resumption of work, challenges in workplace safety, short-term business volume reduction, and various uncertain market factors, all of which have brought severe challenges to many industries, with the exhibition industry bearing the brunt.

What can an exhibition bring to a company?

1. Participating in exhibitions is a good opportunity to seize the market after the pandemic.

First, facing the national economic reshuffle brought by the pandemic, it brings both opportunities and challenges to enterprises. According to reliable sources, major brand exhibitors from first-tier domestic exhibitions have expanded their exhibition areas and increased publicity efforts during this pandemic prevention and control period, aiming to immediately occupy the "stagnant" and "blank" market once the pandemic is fully over. With some small businesses falling, this reshuffle will be an opportune time for large enterprises to increase market penetration and seize market share.

2. New products at exhibitions are a shot in the arm for the market.

Secondly, due to its special position in the industry chain, the exhibition industry has a strong leading and driving role for manufacturing enterprises. From the perspective of the correlation between the exhibition industry and enterprises, exhibitions are at the forefront of enterprise production. Among them, exhibitions play a role in new product display and as an industry barometer, which has crucial influence on product research and development and expanding sales channels. In the months when the entire country was shut down due to the pandemic, the market urgently needs more new and eye-catching products to lead. The new products brought by exhibitions are exactly the shot in the arm for the market. Only by seizing this opportunity can enterprises quickly open up the market after the industry reshuffle.

3.  Participating in exhibitions is a good platform for personnel communication and networking after the pandemic.

Of course, the exhibition industry is a platform with high interaction of human flow, logistics, information flow, and capital flow. When upstream raw material suppliers are shut down or go out of business, and downstream stores are pre-cooled or closed, how to connect upstream and downstream relationships and find new partners is a problem faced by all enterprises. Participating in exhibitions, therefore, becomes a very important platform for personnel communication and establishing connections. The more the pandemic cuts off human connections, the more the exhibition can demonstrate its superiority in establishing face-to-face communication between people. After the pandemic is completely over, the exhibition industry will bring important upstream and downstream contacts to various production enterprises, and it is believed that the exhibition industry will burst forth with vitality.

As the global pandemic escalates, about 500 international exhibitions worldwide have decided to postpone or cancel.

How does the postponement or cancellation of exhibitions affect businesses?

I. Significant decline in corporate transaction volume

In previous years, exhibitions were a key channel for companies to connect with distributors for orders. A large number of orders were signed during exhibitions, and new technologies would also be promoted at exhibitions, eventually being conveyed to the market and purchased and used by consumers. Currently, the postponement of exhibitions will delay the signing of orders, which will also prevent distributors from understanding new technologies and purchasing new products in advance, unlike previous years.

II. Delays in corporate production plans

Generally, companies would start production of new technologies in advance according to previous years' schedules. However, since new technologies cannot be promoted, companies cannot continue mass production of new products, which will lead to a longer capacity ramp-up time. In addition, companies used to sign orders at exhibitions to recover funds, and due to the postponement of exhibitions, financial pressure will also increase.

III. Impact on distributors

In previous years, new products would have been released and launched by this stage, and distributors would have had ample time to prepare sales strategies and marketing plans. This year, due to the postponement or cancellation of exhibitions, the launch of new products will be further delayed. In previous years, inventory was ample and cost prices were relatively low, allowing distributors to prepare more sales promotions for everyone, which may not be achievable this year due to the pandemic and exhibition postponements.

How should companies respond?

I. Actively adapt and re-plan

This sudden pandemic has disrupted companies' normal business plans, but crises also contain new opportunities. Company executives need to thoroughly study the new changes and opportunities brought by the pandemic, develop new growth points after the pandemic ends, explore innovations in corporate organizational forms, and comprehensively enhance the company's core competitiveness. After the pandemic ends, exhibitions may experience concentrated and overlapping dates. At this point, participating in every exhibition individually is unrealistic; companies can selectively focus on a few important exhibitions. It is recommended to start researching industry exhibitions for the second half of the year in the first half of the year, to seize popular spots and gain an early advantage.

II. Strengthen customer service

At this time, companies need to reasonably categorize customers and communicate with them targetedly and correctly, so that the company can reduce losses and impacts during this crisis.

• Contact all customers to inform them about the arrangements for exhibition postponements; and emphasize the protective measures and production capacity adjustment methods taken by the company during the pandemic, shaping the image of a "safe, hygienic, quality-assured, quantity-guaranteed, and on-time delivery" supplier in the minds of customers;

• For existing customers who have made transactions, small gifts or small red packets can be sent as a simple greeting to maintain close communication with customers and jointly develop annual procurement plans and production arrangements;

• For new customers who have not yet made transactions, first understand their procurement needs, emphasizing the measures taken by the company in response to the pandemic during this period, striving to get customers to list the company as one of their partners after the exhibition or through on-site inspection;

• For customers who placed orders before the year and are awaiting production or shipment, proactively explain the relevant production and logistics situations, and negotiate the best solution with the customer to minimize losses;

• Adjust and optimize pending promotion plans and strategies timely based on market feedback and needs from various types of customers.

III. Strengthen online promotion and operation

The postponement of exhibitions in the first half of 2020 is a foregone conclusion. Companies must not sit idly by; they must take the initiative. Some regular brand operation work and pre-exhibition preparations can still be continued and optimized, allowing companies to seize market vitality and initiative.

• Conduct hot product pre-sale promotions: Maintain close online contact with customers in various regions, and companies can pre-heat and promote their hot products or arrange pre-sales, letting customers know about the company's dynamics and allowing them to place orders in advance based on market demand;

• Fully prepare for exhibition-related matters: Companies can utilize more time to fully prepare for exhibition-related matters, such as organizing market information and product procurement needs feedback from customers in various regions, timely optimizing and upgrading technologies for new products or new exhibition products, thereby launching more innovative products that meet market demand and user needs;

• Operate WeChat, websites, and mini-programs effectively: Based on perfecting corporate information, timely update various publicity platforms such as WeChat, websites, and mini-programs, upload corporate-related product introductions, service cases, corporate news, and other dynamics to establish a good external brand image.

IV. Participating in an exhibition is one of the most efficient marketing methods, creating excellent business opportunities for you.

1. Exhibitions can showcase a company's strength and image. Many potential customers can be met at exhibitions, which provide exhibitors with an opportunity to demonstrate their capabilities in front of competitors.

2. There are many ways to sell products; some focus on online marketing, others on offline marketing. Nowadays, carrying products door-to-door is rare. Exhibitions allow you to bring your products for face-to-face interaction with potential customers on-site, demonstrating products and experiencing services in the best way.

3. Acquiring cooperative customers at a low cost: participating in exhibitions is the most effective way. Surveys show that the average cost of contacting customers through exhibitions is only 10% of the cost of other methods, allowing for the acquaintance of a large number of potential customers.

4. At exhibitions, exhibitors can effectively negotiate with customers and build good relationships. This can be achieved by warmly welcoming customers, providing them with the latest product information, offering gifts, and providing one-on-one service.

5. Exhibitions offer an invaluable opportunity to analyze competitors. Information on products, prices, and marketing strategies provided by competitors can be utilized to help formulate a company's short-term and long-term plans.

6. Product and service market research: Exhibitions provide an excellent opportunity for market research. If an exhibitor is considering launching a new product or service, they can survey visitors at the exhibition to understand their requirements regarding price, features, quality, and service.