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Trade Fair and its Relevance
to Market Promotion for Micro and Small Enterprises (MSEs)  top

Promotion, being one of the components of the marketing mix is comprised of different elements. Although products can be boosted through different types of promotional activities, trade fair is an important tool, as it involves face-to-face communication.

It is a means of displaying products to persuade and remind prospective buyers about the enterprise. A trade fair requires careful planning and systematic decision-making, since direct contact with consumers is involved. Trade fairs are highly competitive. Therefore, trade fair organizers have to be experts and strategic planners to pursue the lead. Promotion by means of trade fairs is effective because it is not only useful for promoting established companies, but also for newcomers. However, it cannot be expected that during the show a large pile of orders will be generated. 

Trade fairs are very relevant for the promotion of Micro and Small Enterprises (MSEs). Some practical points are provided below:

• If a customer gets to know the MSEs' products by means of publicity or any other advertisement activity, and then again sees the products at a trade fair it will help him to attain more information on the product and will create a good product awareness.

• Arrangements to distribute trade and industrial journals as well as other printed documents can be done during the trade fair because they are good promotional tools. MSEs can use advantage of trade fairs to survey the latest product lines, mixes and designs of competitors.

• Trade fairs open doors to building future relationships with current and new customers. Trade fairs not only create the opportunity for MSEs to meet customers, it also paves the road for them to meet representatives from the media and press. This is a good opportunity, due to the fact that there are few chances for MSEs to meet the press in other occasions.

• Buyers who get the opportunity of seeing the MSEs' products at the trade fair are more likely to respond to follow-up calls from MSEs, compared to those not seeing the products at a trade fair. Besides, during the trade fair market research can also be carried out. This can help the MSEs create a basis for future market studies and planning. Carrying out market research during trade fairs may seem to be expensive, but it is far less costly than running research activities as compared to other occasions. The research at trade fairs can focus on studying:

  • the demand situation of the specific planned exhibits;

  • the main consumers within the trade;

  • the existing price level.

Types of Trade Fairs  top

There are several types of trade fairs. They can be classified as:

Major General Trade Fairs  top

This trade fair category exhibits all types of consumer and industrial commodities. They are open to the general public, with the visitors being regional, national or international. When exhibiting in major general trade fairs it is difficult to attract worthwhile target visitors, although the number of visitors is huge. 

Major Specialized Trade Fair  top

This type of trade fair is specialized in terms of the involved sectors. Examples of such sectors could be the leather sector, the handicraft sector, the textile sector, or the wood sector. However, the degree of specialization varies. This type of trade fair is primarily for business exhibitors from various levels of trade and industry. It attracts large number of business people, specifically concerned with the trade shows area of specialization. The exhibitor can be sure that a large portion of business people will be at the fair. For new companies entering these fairs, it can offer the best opportunity to find large buyers, distributors and retailers. 

Consumer Fairs  top

These are general trade fairs in terms of products to be exhibited and the interest of the visitors. The primary visitor is the general public who may come from the nearby regions. Some 'consumer fairs' specialize in food products, beverages, shoes, etc.

Consumer fairs are more appropriate for companies that are already established, with distributors and identified products that have already found their way into retail shops.

Guide for Trade Fair Organizers and Participants  top

Participating in trade fairs is a valuable tool in attaining information on competition, carrying out market research as well as reaching end users and retailers. It has the advantage of attracting publicity via media and the press through conveying announcements connected to the presentation of the business and its products.

The decision to participate in a trade fair should not be due to the fact that other MSEs are exhibiting; this decision rather has to be based on the individual company’s specific needs. Participating in a trade fair requires a lot of time and is very costly. Nevertheless, the costs can be offset, mainly due to the large coverage of customers, if appropriately handled.

Procedures for planning, conducting and managing trade fairs on the part of trade fair organizers as well as business operators are outlined below.
 

Setting Objectives top

Trade fair organizers: before planning to organize a trade fair or entering into a show, trade fair organizers have to be able to set clear objectives. The nature of the enterprises and their marketing problems should shape the specific objectives that the show should try to achieve at the trade fair.

Business operators: if they are looking to contact specific buyers, then exhibiting would be an expensive venture. If their objective is to undertake market research activities, then carrying out market research would probably be more effective and less expensive to realise. That is why the objective for a business operator in participating in a trade fair should generally revolve around building future relationships with current and potential customers.
 

Getting Information top

Trade fair organizers should collect all the necessary information ahead of time for effective planning. The number of MSEs that are to participate in the planned fair has to be known in advance and is also necessary to know the types of products that are to be displayed in the fair.

All the above-mentioned information serves as a basis for planning and should be done in the early stages of preparing for the fair.
 

Overall Operational Planning top

For trade fair organizers careful planning is vital because trade fairs involve many details. If the exhibition is not well planned and all the details are not realised on time, it can end in embarrassing confusion and the costs will be much higher than anticipated. The operational planning of a trade fair should include the following issues:

• one person should be made responsible for the entire operation as a coordinator or project manager;

• each task and responsibility has to be clearly identified;

• a working plan has to be drawn up in detail as per the table shown below:

Finally, based on the type of products to be exhibited the layout of the fair and the stand can be properly planned. In addition, the organizers need to plan how to control the admission of visitors and exhibits.
 

Budgeting top

Information 

A detailed budget should be drawn up immediately after the decision to organize a trade fair is made. Although it may be difficult to decide on the exact budget, it is necessary to have detailed information and quotations regarding the overall accrued costs. Cost estimates should therefore be obtained on time. It is safer to add 10 % for contingencies to the estimate. 

Major Cost Items

Some of the cost factors are outlined below:

Staff Planning top

Temporary staff has to be recruited. The function of the staff can be seen as follows:

• coordination of the trade fair;

• stand designing;

• registering;

• taking care of communications;

• controlling passes;

• cleaning;

• taking care of security.

All staff members have to be thoroughly briefed before the show starts on issues like:

• the objectives of the fair;

• their duties;

• the products of the exhibitors;

• rules of the trade fair.
   

Strategic Stand Location  top

Choosing an appropriate stand location is a major factor involved in trade fair planning. When choosing a stand location it is important that the following key elements be considered:

• strong negotiation with the trade fair organizers long before the trade fair starts;

• choose an area in one of the busiest sites;

• situate the stand in an area where residents can flow through freely;

• situate the stand in a location where it can easily be found by visitors;

• design the stand so that it can be seen from different focal points.

A poorly located stand can discourage visitors to see the displayed products.

However, the exhibitors may sometimes be limited to choosing from among given halls for reasons such as:

• the area may be divided according to the type of product;

• the location may also be assigned according to industry
  or category of company.
   

Stand Design and Construction  top

A trade fair has to be physically attractive. The furnishing and decorations of the stand have to be suitable and adequate. Paying due consideration to the budget of micro and small enterprises, the stand should perform vital functions such as:

• displaying the products appropriately;

• attracting the attention of visitors;

• providing physical conditions for briefing exhibitionists and demonstrating products;

• creating good flows of traffic;

• creating enough space between one exhibitor and the other, in order to make sure that one stand is not sandwiched between others.
   

Transportation  top

On the opening day of some domestic fairs, it can also be observed that in certain cases, there are empty stands with embarrassed staff around. Such incidents underline the need for careful planning and preparation, especially for transporting the products and promotional materials to the trade show in time.

• Each transported case should be correctly marked to avoid mishaps during transportation and to assign it to the right stand. If and when necessary, adequate insurance coverage should be made.
   

Briefing exhibitors  top

The number of micro and small enterprises that are to participate in the exhibition has to be based on the available space and the type of fair.

• Non-cooperating exhibitors need special attention because they may not be ready with the products on time or they may not follow the rules of the fair. A meeting with the exhibitors is therefore very important.

• Exhibitors should be encouraged to keep their display area tidy and clean.

Untidy areas with ashtrays, empty coffee and tea cups around create a poor impression.

• At times it has been noted that some frictions arise between competing exhibitors, especially if they are not well oriented. Therefore, extra effort should be made by the organizers to encourage cooperation among each other and to instruct them to observe and adhere to the rules of the game.

• Participating in a trade show is critical for promotion reasons. The micro and small enterprises need to prepare suitable exhibits and make their stands attractive. The booth should be attended at all times.

An empty booth gives the customer the impression that the company is also careless in the firm. Besides, if the booth is not properly attended, then it is waste of time and money to participate in a trade fair anyhow. 
 

Promotion top

Planning a special promotional program for the trade fair is necessary. With their expertise in publicity and market knowledge, organizers can effectively and fully play an additional promotional role during the show.

a. Printed materials. Printed materials have a vital role to play before, during and after the fair. They inform visitors and journalists of what is to be seen at each stand and stimulate interest.After the fair printed materials serve as references and reminders. The cover of the leaflet should feature both the name of the exhibiting group and that of the organizers. It should clearly specify the date of the fair as well as its location. Because printed documents are expensive they should not be wasted and their supply should be controlled, so as to let them last throughout the duration of the fair. A leaflet that captures the facts listed below is of much help:

• the description of the exhibits;

• the full address and telephone number of participants.

b. Press coverage. Press coverage is a valuable promotional tool because it can attract important visitors who may not have been included in the mailing or telephone list. If the placement of professional publicity is expensive or not feasible, the organizer of a joint participation can carry out some public relation activities himself. Finally, essential members of the press release or media community could be invited to a reception along with important business contacts. 

c. Advertisement. If the budget allows, the placement of a full page advertisement in a special business journal can be effective. Such advertisements can be placed in the Ethiopian Herald and/or the 'Addis Zemen' or on TV programs, such as the program ''Our Economy".

d.  Posters. Placing posters and other means of advertisements within the trade fair premises can also be worthwhile to consider.
 

Closing top

When the fair comes to an end the organizers should perform the following activities in collaboration with the exhibiting MSEs:

• register items to be returned to respective company;

• remove the exhibits from the racks;

• dismantle the stand safely and without destroying the stand materials;

• holding a reception on the closing day or early to facilitate contacts between exhibitors and potential customers and other stakeholders. Such occasions can attract some non-government organisations to pledge sponsorships for MSEs in other similar fairs in future;

• sending out press releases is a helpful promotional activity. Hence, in the case of press releases for the media, the MSEs should be prepared and organized to be able to state the positive results of the participation.

For MSEs to attain good press results, they should be prepared with the points that the enterprises want the audience to know and to be informed about. 

Follow-up  top

Making contacts at a trade fair is only the start of a process that may lead to sales. Some follow-up plans will be mentioned below: The starting points for follow-ups are elements, such as:

• the basic collected information;

• the discussion that took place during the show;

• the nature of fair visitors' interest.

In order to facilitate for a follow-up, simple data and analysis sheets can be prepared. If it is not possible to prepare such formats, a note-book or a register can do the job.

Carrying out follow-up activities has a certain purpose. All those ideas and comments given by trade fair visitors are of importance. Therefore, collect all the necessary data and elaborate the analysis.

Immediately after the trade fair closes visitors can be called: the names of those who showed interest for the products can be listed and consequently transferred to the sales forces for follow-up activities.

The best way to undertake follow-up activities would be to do this using exhibitors themselves. However, the organizer should also carry out some follow-up activities with the exhibiting MSEs.

Unless contacts that are made during the trade fair are followed up, all the efforts that went into exhibiting may end up being entirely fruitless.

Follow-up activities should not be postponed. Any promise given during the fair has to be kept.

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