Trade Show Executive's 2009 The World's Top Convention Centers

Trade Show Executive
2009 Directory of the World’s Top Convention Centers
Convention Centers 2009
A State of the Industry Report
by DARLENE GUDEA, VP/publisher & editor,
RENEE DIIULIO, senior editor, news & directories
and NICOLE BURNES, assistant editor
It seems it was just a short while ago
that the convention and exhibition
industry was enjoying its post-9/11
resurgence. But faced with the worst
economic downturn since the Great
Depression, that resurrection was
truncated too soon.
With their fortunes tied to the
industries they serve, events of all types
have suffered in varying degrees. Many
have seen losses in attendance, exhibitors
and net square footage, not just due to
the economy but also to such challenges
as the H1N1 virus (swine flu) and public
perception of events. The political
uproar over meetings and events has
resulted in cancellations that are being
felt particularly hard in some of the most
“appealing” destinations, such as Las
Vegas and Hawaii.
Most businesses are re-evaluating,
some are renegotiating and all are
tightening their belts. Show organizers are
in a position of power, but they should
also be prepared to give something
in return. Convention centers are
much more willing to negotiate – even
renegotiate – with clients and potential
clients who can offer repeat business.
Service and value, however, remain
unchanged. Show organizers still hold
high standards, and convention centers
still aim to deliver. “Show organizers are
looking for the same responsiveness in
terms of event coordination, but they
may have an overall keener focus on value
and what we’re delivering for the price,”
said Steve Ethier, executive director of
the Minneapolis Convention Center.
Subsequently, convention centers
continue to operate in a highly
competitive environment and must still
invest in marketing and improvement
efforts, including greening, while seeing
their budgets shrink. “Few buildings are
very happy with the business they have,”
said Richard Geyer, president and CEO
of the Wisconsin Center District, which
owns and operates Midwest Airlines
Center in Milwaukee, WI.
at the drawing board
Falling revenues pose a serious
challenge, and centers are looking to costcutting
measures as well as ancillary and
non-traditional sources of income to make
up the difference. Sponsorships, advertising,
short-term business and repeat business
represent many centers’ approaches.
Flexibility is key, for both centers and
organizers. “We look for ways together that
we can reduce their expenses and partner
with them,” said Mark Zimmerman, general
manager of Atlanta’s Georgia World
Congress Center (GWCC).
Many centers approach their
negotiations with show organizers as
partnerships. The current economic
situation has driven some show
organizers to seek renegotiation of
contracts, and centers have been willing
to talk. Ethier suggests organizers are
driven to return to the table, an unusual
move in the industry, by the drop in show
figures, impacting attendance, exhibit
space and demand for exhibitor services.
“We face the same economic
challenges that show organizers are
facing. Hopefully, they understand we can
be flexible to a point, and then we like to
see some sort of commitment on their
end to providing additional business in
the future,” said Ethier.
competition still tight
To make sure there is a future,
convention centers are willing to work
with show organizers to create a package
that will work. Many are reaching out
directly to shows’ clients to help.
The GWCC has designed fam
(familiarization) trips for both the
relevant media and exhibitor groups for
client shows. Those invited are hosted by
the center, permitting them to experience
the city and center directly. “We show
them and tell them all the things that are
going on in Atlanta and the convention
center, and we try to build interest
in those particular industries,” said
Zimmerman.
Of course, a city must have
something to show off when hosting a
fam trip or when making presentations
to organizers, and so destination-building
remains important. “If a city or a market
is going to invest in having a convention
center, then they will need to continue
to progress in terms of making that
destination more attractive. There are
many ways a city can undertake that
effort,” said Ethier.
Minneapolis is currently embarking
on a new branding initiative that will
be supported by market research. The
center is examining the current market to
determine which actions are a temporary
reaction to the economy and which
will become permanent trends. “What
does the future hold? How should we
respond? Our goal is to identify our
competitive edge,” said Ethier.
Budget constraints can create some
limitations on any center’s efforts to
improve, but today’s municipalities need
to show capabilities or progress in areas
of mass transportation, technology and
development. “If municipalities aren’t
investing in making their downtowns
and cities more vibrant, then clearly they
will not be in the game going forward,”
said Ethier.
1) McCormick Place, Chicago
2,600,000 sf
2) Orange County Convention Center,
Orlando
2,100,000 sf
3) Las Vegas Convention Center,
Las Vegas
1,984,755 sf
4) Georgia World Congress Center,
Atlanta
1,400,000 sf
5) Kentucky Exposition Center,
Louisville
1,100,000 sf
6) New Orleans Morial Convention Center,
New Orleans
1,100,000 sf
7) Reliant Park, Houston 1,056,213 sf
8) International (I-X) Center,
Cleveland
1,050,000 sf
9) Sands Expo & Convention Center/
The Venetian Resort Hotel Casino,
Las Vegas
1,040,600 sf
10) Dallas Convention Center,
Dallas
1,018,942 sf
Prime Exhibit Space at
Top Ten U.S. Facilities
Continued on page 14
Snapshot:
The Nation’s Top Ten Convention Centers
Listed by Square Feet of Prime Exhibit Space
June 2009
14,450,510 sf
Percent of Total SF of Prime
Exhibit Space at All U.S. Facilities 25.1%
10 Trade Show Executive Directory of the World’s Top Convention Centers www.TradeShowExecutive.com