Remain Competitive in Global Exhibitions

Fu Bingbing

Messe Düsseldorf is among the most successful trade fair companies worldwide and organizes 20 leading international trade fairs – at its own 613，000 sqm exhibition centre in Germany as well as 75 events abroad. The global network of the group encompasses 77 foreign representatives for 141 countries –including 7 international subsidiaries. Honored to have Wolfram N. Diener， president & CEO of Messe Düsseldorf joint us for our today’s interview to share his insights into the dynamic industry recovery.

“Messe Düsseldorf is traditionally an economically strong and highly profitable enterprise that closed 2019 with sales up by one third to 344 million Euros and a return on sales of 14.8 percent. Thus Messe Düsseldorf was well prepared in view of the effects of the Covid pandemic： After two years of postponements， cancellations and high losses we are now on the path of recovery. We are experiencing a successful restart and expect a result around the break-even point for the current business year. In 2021， we already succeeded in halving our losses. There is also a positive trend in equity capital ratio. It has been possible to achieve a slight increase to 63.6% which reflects our financial stability. Efficient cost management and initial successes obtained in new business development form a solid foundation for the future years.” says Wolfram N. Diener

“The increasing number of events around the globe shows that we are in a sustainable restart – despite recurring Covid herds worldwide. In Germany in particular， a large number of trade fairs is currently being held. In 2024， according to the International Monetary Fund， four Asian nations – China， India， Japan and Indonesia – will join the U.S. as the five countries with the largest GDP. The numerous dynamic growth markets in Asia， but also in Latin America， the Middle East and Africa， with their high investment requirements， are leading to the emergence of regional trade shows worldwide. In order to strengthen our leading international market position， we are establishing or acquiring new events in all these world regions. In this way， we open up new markets for our customers and attract new exhibitors and visitors to the Düsseldorf home base.”adds Wolfram N. Diener.

Wolfram N. Diener tells the reporter that he witnessed the growth of the Chinese exhibition industry from a very early stage and he was able to contribute to its success story for more than 20 years. In 1997， he relocated to Hong Kong as Managing Director for Operations in China and Asia at Messe Frankfurt. Four years later， appointed Managing Director of the Shanghai New International Expo Centre （SNIEC） in 2001. Here he had his first contact with Messe Düsseldorf， which was still a shareholder of the SNIEC. In 2005， he moved to the Venetian Macau and Marina Bay Sands Singapore for six years as Vice President， where responsible for the congress and exhibition business as well as hotel logistics. From 2011 to 2018， as a Member of the Management Board of UBM Asia – now Informa Markets –responsible for trade fairs in China as well as jewellery and gemstone fairs worldwide incl. print and digital media.

“China indisputably maintains its position as the leading trade fair center in Asia by investing billions of euros in infrastructure and in the construction and expansion of exhibition centers. Especially in cities such as Beijing and Shanghai， the professionalism of trade fair organizers is high， mainly because of the numerous international cooperations. As an international exhibition company， as we are， you need to be active in China. We are represented here by two subsidiaries： For 23 years， Messe Düsseldorf China has been promoting the international growth of Chinese companies and is bringing them to Messe Düsseldorf events around the globe. In 2009， Messe Düsseldorf Shanghai was founded， which organizes its own trade fairs in China. We have successful partnerships with many Chinese associations and friends. Today， China represents our largest foreign market.” says Wolfram N. Diener.

Recent experience shows： The trade show of the future will continue to be a physical exhibition. However， extended into the digital world. Covid has shown us the possibilities and advantages of digital communication， but also the high value of personal encounters. This is particularly important in business to build trust between business partners. According to a survey by the German trade fair association AUMA， 84% of exhibiting companies lacked networking with visitors and other exhibitors during Covid. 76% criticized the lack of opportunities to attract new customers. This results in lost business opportunities. 40% of exhibitors experienced economic losses due to Covid-related cancelled trade shows. Hybrid trade fairs bring the greatest possible benefit by uniting both sides， the physical and the digital.“Even before Covid， we added digital services to our trade fairs – e.g. trade show apps， interactive hall maps and digital signage. During Covid， more focus has been placed on digital participation at trade shows – including more sophisticated exhibitor profiles， streaming and on-demand videos of our live program， and digital networking. This allows people to participate without being there in person – and our exhibitors can reach more potential customers. Together， they form a community that can be active 365 days a year. Digital events between physical trade shows keep the industry active and get in the mood for the world’s leading trade shows as industry highlights. Purely digital trade shows have not proven to be beneficial – neither for our customers nor for us from a sales perspective. It’s all about the mix. It consolidates the leading position of Düsseldorf’s leading world trade shows as the central communication and information platform for their respective industries – during the times of the physical trade shows and throughout the year.” says Wolfram N. Diener.

“We need to stay relevant to our customers. In other words， we have to address the topics and issues that are important to them. To be present in the markets that are relevant for them. And we must continue to develop our trade shows in line with the times – with more digital elements， an attractive live program， a forward-looking environment， and a high quality of stay. To remain competitive in the international trade show world， for example， we have defined seven strategic fields： Global business development， new development of trade show themes and services， strengthening of sales， digital transformation， corporate culture， trade show center of the future， and structural and process optimization.”

Wolfram N. Diener states that initial successes include new trade shows in Düsseldorf and around the world. Messe Düsseldorf has entered into a partnership with the Association for Uncrewed Vehicle Systems International（AUVSI） in Washington， D.C.， the world’s largest association for the promotion of autonomous systems and robotics. Through our subsidiary Messe Düsseldorf North America （MDNA）， we have secured access to a promising field that offers enormous growth potential. Every year AUVSI organises XPONENTIAL， the world’s leading trade show and conference for uncrewed and autonomous systems across ground， maritime， and air domains. MDNA has acquired 60% of the brand rights. With this strategic investment， we are underlining the demands we put on ourselves to further develop our portfolio in the interests of our customers and to enter promising markets of the future.

In addition， two new events in Düsseldorf in 2022 will focus on the energy transition： decarbXpo （Expo for Decarbonised Industries > ENERGY STORAGE） will expand the existing energy storage trade fair to include technologies for CO2 reduction. It is joined by Solar Solutions， a new guest event for solar energy. All these initiatives help to overcome the pandemic effects and secure the future of the company.