Is Trade Show Marketing a Cost-Effective Marketing Strategy

Over the years there has been a revolution in marketing strategies. Traditional methods of marketing are quickly losing their relevance in the modern world. Trade shows have been around for a long time despite their costly nature. This said they play a significant role in a firm in terms of clientele turn over from marketing. An example of this is with furniture. Exhibitions on furniture to hire or buy provide for potential turn over in revenues from sales. However, with the increase in internet coverage all over the world, dynamics in marketing are changing thanks to advancements in technology. This article will try to determine the profitability of trade shows and give a verdict on if they are a cost-effective means of marketing or not.

Trade Show Cost

In recent years, the cost of trade shows has increased considerably, mainly due to alternatives to marketing owing to a reduction in the number of exhibitors hence the rise in prices. The company organizing the event has to pay for its expenses and th/ey do this by hosting exhibitions for clients. Therefore, if there are a few clients, these costs are generally higher as compared to when there are numerous clients.

Depending on the sector, the cost of exhibitions and trade shows vary significantly. The goal, however, is to increase sales and profitability of a firm through the exhibitions. The question of whether trade shows are cost-effective marketing strategies, therefore, depends on the profitability of a firm. Say the cost of trade shows is significantly higher compared to other marketing alternatives. However, they yield a lot of revenue over time as compared to other alternatives. In this case, it is advisable to go with trade shows.

The Footfall

One of the main reasons for reductions in exhibitions is a steady decline in footfall in exhibitions. This said the number of people taking part in the exhibition may vary depending on the type of exhibition. A lot of modern companies still do exhibitions when launching a new product into the market. Most of these companies are mainly in the automobile, phone or any other industry with a tangible good. It may be counter-intuitive to have exhibitions in this day and age owing to thousands of social media platforms and fast internet speeds. Sharing on these platforms is cheaper and reaches a wider audience than the exhibitions.

So why do modern firms still go for exhibitions? The answer is simple to capitalize on the footfall involved in such events. An example is the automobile industry. While not most potential buyers will attend the launch of a new model in the automobile industry, a lot of photographers, car magazines and enthusiasts will flock to such exhibitions. The chain of events that follow, eventually lead to marketing of the products to a wide audience of potential buyers. Clients who couldn’t attend the exhibitions can view the reviews of the product launched from their favourite magazines and on social media platforms. Therefore, if exhibitions work in such a way that they generate more revenue for a firm through such means, it is definitely worth every penny.

The Relevance of Trade Shows

Despite the costly nature of trade shows and exhibitions, some companies generate a significant portion of revenue thanks to exhibitions. This said most are looking for more cost-effective and commercially viable solutions.

An example of these is search engine marketing. Instead of your potential buyers having to travel to your exhibition and go through the hustle of having a one-on-one experience with you, they can simply search for what exactly they want from you. This not only provides for a higher potential in buyer turn over but is also cheaper for both parties. This, however, denies the seller direct feedback from the buyer and also the interaction with buyers which is supported by exhibitions.

Trade shows when run exclusively in marketing for an organization may not be cost-effective. This is because there are more cost-efficient methods of marketing today which are also very effective. This said the power of trade shows cannot be undermined as it is with trade shows that some of the other marketing strategies are established. An example of this is photos and videos of an exhibition posted online as a marketing strategy. Without the trade shows, there wouldn’t be any content to post online for the wider audience. Therefore, trade shows need to run concurrently with other marketing strategies to fully capitalize on marketing efforts.

Despite the costly nature of trade shows and exhibitions, some companies generate a significant portion of revenue thanks to exhibitions. This said most are looking for more cost-effective and commercially viable solutions.

An example of these is search engine marketing. Instead of your potential buyers having to travel to your exhibition and go through the hustle of having a one-on-one experience with you, they can simply search for what exactly they want from you. This not only provides for a higher potential in buyer turn over but is also cheaper for both parties. This, however, denies the seller direct feedback from the buyer and also the interaction with buyers which is supported by exhibitions.

Trade shows when run exclusively in marketing for an organization may not be cost-effective. This is because there are more cost-efficient methods of marketing today which are also very effective. This said the power of trade shows cannot be undermined as it is with trade shows that some of the other marketing strategies are established. An example of this is photos and videos of an exhibition posted online as a marketing strategy. Without the trade shows, there wouldn’t be any content to post online for the wider audience. Therefore, trade shows need to run concurrently with other marketing strategies to fully capitalize on marketing efforts.