Are you sharing a market space with a competitor that's... well, how to put this without getting sued... probably not conforming to what we believe to be ideal industry standards?
Well, Hanley-Wood is. At least now they are.
Hanley-Wood bought StonExpo a couple of weeks ago. The show was formerly owned by the Marble Institute of America and the StonExpo Federation. Under the sale agreement, both parties will continue as sponsors for StonExpo for the next 45 years.
But that's just the headline. The back story is much more interesting.
The MIA had been taking a bit of a beating lately from a handful of exhibitors of stone fabricating equipment who recently formed an association called NASMA or the North American Stone Manufacturers Association. The NASMA folks were backing the fledgling ITSS (International Tile and Stone Shows) vs. StonExpo and indeed some had reduced their space in StonExpo from large booths to small.
But that's not the interesting part. Nor is the likelihood that MIA could have sold the show last year for a greater multiple but didn't because its board thought that to be a silly idea (we have good sources for this).
Rather, the interesting part is why StonExpo and Hanley-Wood may face an uphill battle: The sheer outrageousness of its competitor.
Following are some claims that the ITSS team makes on its website and in the large number of emails it sends to prospective attendees. The claims are taken directly from their emails.
Claim #1:
ITSS - Las Vegas & ITSS - Miami are the only shows to be endorsed by NASMA - the North American Stone Machinery Association represents 90% of the world's fabrication equipment companies.
I gave up searching for a NASMA web site after not seeing them in the first 300 listings of "NASMA" Google search. But I did find stone machinery associations in Italy (a couple), Spain (a lot), Turkey, India... well, just about everywhere they mine stone. So that 90% figure certainly appears to be horsebleep.
But why believe my opinion. Here's an actual North American exhibitor of stone products who says ITSS is fabricating claims.
Which I guess also disproves Claim #2:
ITSS Expos gets 90% of all the stone machinery companies in the world to exhibit!
Claim #3
ITSS is the fastest growing trade show in the world!
Go apply for Tradeshow Week's Fastest 50 and let us know how you do. If you even make the list, I'll apologize publicly.
Claim #4:
ITSS Expos is a pure selling show with no distracting ceremonies or seminars!
That was from an email ITSS sent in December 2003. And it was a major selling point. Up until this past show when, you guessed it, ITSS began offering seminars, using many of the same speakers as Surfaces and Coverings and StonExpo. Gee, wonder why?
ITSS also makes claims about its attendance (10,000 at their most recent show when exhibitors and others in the know put the figure at considerably less than that, with some estimates being only 1/3 of claimed attendance). ITSS also claimed 8,000 (or 9,000 depending on what email you read) for their summer show at Javits and got perhaps 1,500 according to editors and exhibitors in attendance who commented to me. And that's with admitting the regular public.
ITSS also has an interesting way of rationalizing they're the #1 show - they put all of their annual events together and count it as one show in terms of square feet and total attendance.
Despite the creative math, all the ITSS events combined are still not as big as Coverings. If ITSS claims their New York show was around 110,000 net sf and supposing their Miami show is the same, that would mean their Las Vegas event would have to be 300,000 nsf to have all three equal Coverings. And that's just not the case.
It's disappointing when editors in the stone and flooring publications don't call ITSS out on the claims they make. But as it turns out, ITSS buys many of the ads it places. It doesn't barter. So I guess cash does buy goodwill from editors.
Final note: At this point, Hanley-Wood as said that StonExpo will continue to run in the Fall and not as part of Surfaces. Which makes sense in that StonExpo has traditionally been more an event for fabricators than it has for flooring dealers. But that may change. Meantime, MIA is also continuing to support Coverings, which is how it should be. We believe that we'll eventually see only two very large flooring shows that co-exist, Surfaces in Vegas and Coverings in Orlando (although the latter may be going to Chicago on occasion) with everyone else only signficant on a local level.
In what is one of the the show industry's stranger oddities, although it would appear the two giant shows overlap significantly in exhibitor base, especially as Surfaces has moved from a carpet show into a broader flooring event (Coverings is only tile and stone), the two really don't compete. One does not steal exhibitors from the other. Just about all exhibitors do only one of the two - whichever is closest to their regional customer base - both, or none.
Too bad it's not that way for all shows. It would be a friendlier world in which to do business.
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