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Return on Investment. Return on Investment means simply that visitors are actually ... Euro of 100.000 Euro ? Your bank suggest investment of 10.000 Euro ...
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Slide 1:Committed to exhibitor succes ! ROI = visitor investments / m2
Slide 2:Return on Investment
Return on Investment means simply that visitors are actually changing their investment / purchase behaviour as a direct result of the fair: Buying faster Buying later (as result of new information) Buying more (as result of new perspective) Buying unexpected (as result of inspiration) Buying cheaper (as result of special fair pricing) Change of company (as result of fair competition)
Slide 3:follow up strategy visitors
Investment behaviour in time 3 maanden 3 maanden complex Operational Strategic simple Twi Light Zone 40% faster 20% slow down 60% later
Slide 4:Mass & Marketing Psychology
probability marketing on calculated risk analyses Individual behaviour = difficult to predict Mass behaviour = relative easy to predict Financial investment behaviour= relative predictable Risk analysis = normal business (insurance companies) Using information as indicator to predict behaviour
Slide 5:Kahneman :triggermechanism(canadion psychology won Nobelprice economy 2002)
essential choice : 80.000 Euro of 100.000 Euro ? Your bank suggest investment of 10.000 Euro 100% certain profit : 80.000 Euro or 80% chance on 100.000 Euro or a big loss ? 20% more profit is not worth the risc Profit optimalisation
Slide 6:Kahneman triggermechanism
essential choice: 80.000 Euro of 100.000 Euro ? Your laywer suggest a court to earn Your 100.000 Euro which customer don’t want to pay : 100% certain settlement with customer on 80.000 Euro or 80% chance the court will get you your 100.000 Euro Loss reduction: 20% loss is worth the risc
Slide 7:Triggermechanism
essential choices: companies invest faster (intuition) by noticing the competition is getting ahead and they are less willing to invest to gain advantage on the competition Less willing to invest to gain a better position investment to prevent loss position !
Slide 8:Triggermechanism to start the engine
Sign : special trade fair offer Sign : This machine is sold Sign : Latest investments relations Sign : You are behind the rest Sign : 30% of the visiting companies will be dead next year !
Slide 9:Mass & Marketing Psychology
1) Gravitation of mass psychology 2) VNU leadmarketing: psychology & predictable mass behaviour 3) Using marketing formulas for critical mass
Slide 10:Controls on critical indicators
probability marketing on mass behaviour At what point critical mass behaviour starts ? 1) Visitor Density 150 visitors/1000 m2/ 1 hour ! # visitors * # visitinghours = 0,15 # m2 * # opening hours 2) Buyers density : Critical percentage “buyers” (vs “orientation”) in combination with critical number of stand visits 3) Visitor network density of buyers; purchasers and directors must have visible contact with competition
Slide 11:Visitor animo test & critical density
Visitor animo testing : willing to come & willing to invest ? At what point in time we know we will reach critical density? 6 months before the fair we have a first indication 10% accurate (Note: three different independent indicators must correlate!) 3 months before the fair we have a probability at 5% accurate
? We know # visitors We know # stand visits We know WHICH stands are succesfull We know WHO gets the appointment (leads) Probability on behaviour Weten hoeveel bezoekers er komen Weten hoeveel stands worden bezocht Weten WELKE stands worden bezocht Weten met WIE vervolgafspraken (leads) worden gemaakt 20.000 visitors 200.000 visits Full STANDS 20.000 leads News, Deals, Network Probability of behaviourSlide 14:VNU leadmarketing: 3x3=9 principe
full stand = minimum 1,5 relation /m2 stand : 1) full stand: 3 x more new contacts ! (full café draws the visitor) 2) Full stand : 3 x more appointments (= leads) ! (customers are reference for prospects) 3) Full stand : quality new contacts rated 2 x higher ! (interest level deeper) VNU Leadmarketing = a full and extensive exhibitor marketing training program with Web tools, individual servicecalls, detailled email information, warning program, strategic and psychological training
25 leads 192 leadsSlide 16:VNU Exhibitions
Lead Calculator Input based on 3 types statistics Input based on market research (animotest) Input based on average fair statistics Input based on visitor behaviour last edition Prognoses realistic targets based on good fair strategy # Conversations / m2 # Stand personel (staff) / m2 Follow up targets/ m2 Investment prognoses / m2
Slide 20:VNU Exhibitions
SWOT (Strong / Weak) analysis Comparison with other exhibitors Location advise combined with FLOORMANAGER Profile Indicator Lead maxi miser Strategy man Magazine player Organiser Team player
Slide 22:Investment animo:3 month follow up ROI / M2
National Tradefairs: Hout 20.000 m2 40.000.000 Euro ESEF &Techni-Show 40.000 m2 80.000.000 Euro Industrial Week 50.000 m2 100.000.000 Euro Average ROI / 3 month : 2000 Euro m2 ROI in 3 months : 500 Euro/m2 passive exhibitor 2000 Euro/m2 average exhibitor 5000 Euro/m2 active exhibitor ROI in 6 month can DOUBLE !!
Slide 23:Visiting companies Techni-Show
After 6 month a second follow up research 47% visited TS met investment - or purchase plans 40% increases investment plans as result of fair visit 24% visitors gets new investment plans as result of fair visit
Slide 24:6 months after fair
Visiting companies after 6 months: 27% has placed orders with exhibitors 25% has placed orders with companies they have met on TS 53% of the investing companies appoves the statement that the visiting the fair has contributed to the choice they made to select the best company to invest 25% of the companies is after 6 month still negotiating with or has placed orders with exhibitors
Slide 25:Purchase matrix & follow up strategy
Division of visitor investments per category / time 17% 32% 27% 3 months 16% 3 months complex Operational Strategic simple
Slide 26:Cummulative investments visitors Techni-Show 2004
Slide 27:Conclusions
Investment versus oriëntatie effect: National technical tradefairs have a bigger and longer investment impact than we expected Competition : position exhibitor versus non-exhibitor: with equal offer the visitor gives preverence to the exhibitor ! Follow up sales effect & Return on investment period Trade fair advantage as sales argument last a least 6 month Business versus “just a day out of office” Over 50% of the visiting companies is doing business
Slide 28:Is investment behaviour predictable ?
In our opinion mass behaviour is predictable and information can be used as indicator for Return on investment With critical information on : - Marketposition of tradefair (critical brand awareness ) - Marketbehaviour of visitors (marketresearch before & after) - Marketbehaviour of exhibitors (VNU leadmarketing program) - And….mass psychology (studies on group behaviour & financial behaviour)
Slide 29:We make your fair profitable !