As 2024 heralds record revenues for the global exhibition industry, the journey towards sustained growth is paved with significant challenges. The latest UFI Global Barometer reports not only celebrates triumphs but also illuminates critical hurdles that industry leaders must surmount.
by Roland Kümin* || 12 August 2024
Revealed by the recent UFI Global Barometer, 2024 is shaping up as a record-breaking year for the exhibition industry worldwide. Anticipating a 17% revenue growth this year, the sector continues to flourish post-pandemic. Kai Hattendorf, Managing Director and CEO at UFI, underscores this phenomenal growth as a testament to the industry's resilience and adaptability:
• 2023 and 2024 revenues expected to grow by 20% and 17% on average globally year on year
• 48% of companies plan to increase staff numbers in the coming 6 months
• 77% of companies plan to expand their scope of activities, and 43% declare an intention to expand into new countries and regions
• Adaptation of generative AI continues to take hold across the industry.
The results highlight that the exhibition industry will achieve record revenues globally in 2024, moving beyond the post-pandemic recovery that was achieved at the end of 2023 on average. 2023 and 2024 revenues are expected to grow by a respective 20% and 17% year on year.
«This edition of UFI’s Flagship Barometer Research confirms our early date from January that 2024 will be a record year for industry revenues globally. This edition shows how this growth translates into new jobs in our sector as well as in expansion plans from the majority of businesses – aiming both at new business activities as well as new geographies. Against a complex global backdrop, the global exhibition industry is bullish about its short and mid-term prospects”, comments Kai Hattendorf, Managing Director and CEO at UFI. (picture) |
Yet, these figures mask a complex narrative of economic recovery, technological advancements and regional disparities.
The Rapid Growth of the Asian Economies
Indeed, the robust growth in Asian economies drives these impressive figures. With countries like Malaysia and Thailand witnessing significant revenue spikes, Asia's pivotal role in the global exhibition landscape is unmistakable. Particularly, Vietnam emerges as a key market, its growth fueled by increased foreign investment and a burgeoning middle class. Nevertheless, this growth navigates a sea of global economic uncertainties, presenting both opportunities and challenges.
«The barometer also shows how 19 key exhibition markets and regions match up both against their respective regions and against the global averages. We have expanded this reporting further to make this data more easily accessible. There is no other research in this industry that allows for such level of comparison», Kai Hattendorf adds.
Generative AI Applications Aren’t Enough
While the adoption of generative AI is reshaping the industry, it isn't a panacea. To stay competitive, trade fairs must integrate more digital intelligence into every aspect of their operations. This involves a comprehensive digital strategy that enhances customer experience and operational efficiency, extending well beyond AI. I highlight in a recent article on smartville digital that the future of exhibitions should create environments where technology supports, rather than overshadows, human interactions. This approach was vividly demonstrated at IMEX America 2023, where the emphasis was on amplifying human connections through technology, ensuring that the essence of personal interaction remains central to the event experience.
Most critical Business Issues
Turning our attention to pressing concerns, the UFI study spotlights the most significant business issues today. The stability of local economies remains a paramount concern, shadowed closely by global economic trends and geopolitical tensions. For stakeholders looking to leverage the industry’s growth trajectory, prioritizing strategic planning and risk management is essential.
*Author Roland Kümin is a tech influencer, digital shaper and sales advisor in Zurich, Switzerland. He is an expert on the Asian, Vietnam and the global MICE economy. He lives in the Greater Zurich Area, Switzerland and Da Nang, Vietnam.
Beyond AI – A Call for More Digital Intelligence per m2
The New Digital Frontier: Today's rapidly evolving exhibition landscape demands more than just generative AI. Trade fairs must harness comprehensive digital intelligence to enhance visitor experiences and foster meaningful engagement.
Integrated Technology Solutions: Encompassing technologies like IoT, big data analytics, and augmented reality, digital intelligence creates immersive, personalized attendee experiences. Exhibitors can leverage these tools to gather real-time data, optimize booth layouts, and tailor interactions based on visitor profiles.
Enhanced Visitor Analytics: Advanced digital tools enable trade shows to transcend simple metrics, capturing nuanced insights into visitor behavior. This data empowers organizers to refine event designs, improve traffic flow, and maximize the effectiveness of every exhibition space.
Smart Exhibitor Strategies: Exhibitors must transcend flashy displays by implementing intelligent strategies that leverage digital touchpoints, such as interactive kiosks, digital signage, and mobile apps. These elements deliver targeted content and gather valuable feedback, transforming passive attendees into active participants.
The Role of Connectivity: Essential for these digital transformations, robust network infrastructure facilitates seamless interactions, allowing exhibitors to demonstrate products through virtual reality and live streaming, thus reaching global audiences.
Security and Privacy Concerns: As digital intelligence expands, so does the need for stringent data protection measures. Trade fair organizers must prioritize cybersecurity and compliance with privacy regulations to maintain trust.
Sustainability through Digitalization: Digital intelligence also promotes sustainability by reducing the need for physical materials and optimizing logistics, thus diminishing the environmental impact of trade fairs.
Asia-Pacific Market Highlights from UFI Global Barometer
Revenue Growth: The Asia-Pacific region saw a 24% revenue increase from 2022 to 2023, with a further 16% expected in 2024.
Workforce Expansion: Malaysia leads with 91% of companies planning to increase staff, reflecting robust growth and optimism.
Operational Increase: By the first half of 2025, 54% of companies in Asia-Pacific anticipate increased activity levels, with only 11% expecting normal operations, indicating a strong recovery trajectory.
Generative AI Adoption: The region shows a strong adoption of AI technologies, with 81% of companies recognizing its impact. Sales, marketing, customer relations (86%), research and development (73%), and event production (53%) are the primary areas of application.
Strategic Priorities: A significant 69% of companies are focused on developing new activities outside their current portfolios, emphasizing innovation and diversification.
Geopolitical and Economic Concerns: The state of the economy in home markets is the most pressing issue (23%), followed by global economic developments (19%) and geopolitical challenges (12%).
TAKE OUTS
The UFI Global Barometer heralds 2024 as a record year for the global exhibition industry (press release).
Vital to this success, Asia’s economic ascendance, especially Vietnam’s, underscores its critical role.
Despite the advancements in generative AI applications, trade fairs demand broader digital intelligence solutions.
Topping the list of concerns are economic stability and geopolitical challenges, which require astute strategic foresight.
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