Transcript UBM Asia (Thailand)

Opportunities and Threats in ASEAN exhibition
market
Jimé Essink, President & CEO of UBM Asia
TCEB Exhibition Forum 2011
Bangkok, 20 January 2011
Topics
•
•
•
•
•
Brief introduction on UBM Asia
Exhibition market worldwide and in Asia
Focus on SE Asia
Opportunities/Risks for Thailand
Discussion
UBM Asia offices
Turkey
Istanbul (21)
Beijing (20)
Korea
Seoul (8)
Japan
Tokyo (56)
China
Shanghai (197)
Hangzhou (59)
Chengdu (1)
India
Guangzhou (80)
New Delhi (17)
Taiwan
Taipei (9)
Hong Kong (178)
Mumbai (136)
Hyderabad (1)
Bangalore (6)
Thailand
Chennai (2)
Bangkok (41)
Singapore
Singapore (10)
More than 800 staff in 17 offices all over Asia
UBM Asia
3
UBM Asia: Leading B2B media operations
throughout the region
UBM Asia has subsidiaries in 10 countries and regions and organises events
in 25 cities.
•
•
Offices in Hong Kong, Shanghai, Beijing, Guangzhou, Hangzhou, Chengdu, Tokyo,
Seoul, Taipei, Singapore, Bangkok, Mumbai, New Delhi, Bangalore, Chennai,
Istanbul and New York
Over 800 staff
• 150 events (130 exhibitions)
• 34 publications
• 12 B2B vertical portals
• A million plus customers,
including exhibitors, visitors,
conference delegates,
advertisers, subscribers and
portal members
UBM Events
UBM
in Asia
4
History of UBM Asia
2010
Acquisition of Sign China & LED
1994
First establishment of UBM
Asia, with headquarters in
Hong Kong.
Combination of transfer of
pre-existing Asian B2B
exhibitions from parent
company and three
acquisitions: two leading
Asian exhibition organisers
and a publishing company, all
based in Hong Kong.
20012005
Acquisition of KSS, a
2007
leading Japanese B2B
publisher and exhibition
organiser by UBM Japan.
Acquisition of Japan
Jewellery Fair
Set up UBM China
(Guangzhou), the first
wholly-owned company in
China.
Through organic
growth and
acquisitions, UBM
Asia is long
established as the
leading commercial
exhibition organiser in
Asia, with related
publications and online media.
China and formed UBM
Trust in Guangzhou.
Acquisition of Children-BabyMaternity Products Expo and
set up UBM China
(Hangzhou) office
Acquisition of Istanbul Jewelry
Show and formed
UBM Rotaforte
Continuous organic growth and more than 50 new launches and acquisitions
1998
Acquisition of majority share of
Sinoexpo, the leading commercial
exhibition organiser in Shanghai.
UBM Sinoexpo continues to be
jointly run by UBM Asia and the
original owner.
1999-2000
Further acquisitions of
individual exhibitions by UBM
Sinoexpo in China followed,
such as Hotelex, a hotel
equipment exhibition, and
China Ceramic Fair, now part
of our Expo Build China.
2006
Acquisition of a majority
share, with our Italian
partner BolognaFiere, of
the Guangzhou Beauty
Expo.
Established a new
company in India, UBM
India.
2009
Acquisition of China
International Optoelectronic
Expo in Shenzhen, the
world’s largest
optoelectronic event
(now part of eMedia Asia, a
UBM JV)
UBM Asia
5
UBM Asia: Revenue development
300
241
250
US$'m
200
150
100
111
68
72
76
84
ACT01
ACT02
ACT03
155
160
ACT07
ACT08
173
182
124
92
50
0
ACT00
9/11
SARS
ACT04
ACT05
ACT06
Year
H1N1 Flu
ACT09
3QF10
BUD11
Global Recession
6
UBM Asia: Revenue by geographical region
100,000
80,000
US$'m
60,000
40,000
20,000
0
ACT05
ACT06
ACT07
ACT08
ACT09
3QF10
BUD11
Year
Hong Kong
China
Japan
India
SE - Asia
Others
7
UBM Asia: Top 20 events by revenue
Product
Sector
Net exhibition space
(SQM)
1
Hong Kong Jewellery & Gem Fair (September)
Fashion
62,722
2
Furniture China
Lifestyle
115,729
3
Cosmoprof Asia
Lifestyle
31,089
4
Marintec China (2009 biennial event)
Trade & Transportation
26,367
5
CPhI and P-MEC China
Ingredients
45,018
6
Hong Kong Jewellery & Gem Fair (June)
Fashion
24,210
7
CPhI and P-MEC India
Ingredients
24,096
8
APLF - Materials, Manufacturing & Technology
Fashion
12,145
9
Sign China
Other
30,927
10
APLF - Fashion Access, Spring
Fashion
9,673
11
Hotelex Shanghai
Lifestyle
30,838
12
All China Leather Exhibition
Fashion
10,281
13
Children-Baby-Maternity Products Expo
Lifestyle
25,645
14
Health Ingredients Japan
Ingredients
7,614
15
Asia's Fashion Jewellery & Accessories Fair (June)
Fashion
8,625
16
Sea Japan (biennial event)
Lifestyle
4,621
17
Tokyo Health Industry Show
Health
5,760
18
CPhI Japan
Ingredients
4,240
19
China International Boat Show
Lifestyle
9,707
20
Asia's Fashion Jewellery & Accessories Fair (September)
Fashion
6,183
UBM Asia
8
Global exhibitions: a $29 billion market
Exhibitions market by geography
$bn
Exhibitions market by operator
%
Events & venues
Events only
Asia is US$ 3.4 billion and only 12% of world market
9
Percentage of world GDP
Size of the exhibition business in Asia
Trade fair market by estimated revenues, 2009
Market
No. of exhibitions identified
Estimated annualised revenue
(US$ millions)
Annual revenue per fair
(US$ millions)
China
514
1,136.3
2.2
Hong Kong
Macau
88
15
331.4
24.5
3.7
1.6
Greater China
1,492.2
Japan
326
816.1
2.5
Korea
154
228.3
1.4
Australia
166
176.0
1.0
India
112
157.2
1.4
Thailand
75
149.4
2.0
Singapore
74
93.1
1.2
Taiwan
63
86.5
1.3
Malaysia
43
75.8
1.7
Indonesia
43
43.5
1.0
Vietnam
47
42.0
0.8
Pakistan
26
18.2
0.7
Philippines
36
15.8
0.4
1,782
3,394.1
1.9
Total
Total SE Asia is US$ 420m, 12.5% of total market. China is 33.5% and India is 5%.
Source: The Trade Fair Industry in Asia Report (6th Edition 2010) by Business Strategies Group
UBM Asia
11
Southeast Asia
Population (mn) : 593
GDP
: US$1.8 trillion (India is US$1.24 trillion)
GDP per capita : US$2,995
UBM Asia
12
Southeast Asia (ASEAN)
• 10 economies: Brunei, Cambodia, Indonesia, Laos, Malaysia,
Myanmar, the Philippines, Singapore, Thailand and Vietnam.
• Asean Economic Community (AEC): common market by 2015. Free
flow of goods, services, capital and people
• Free trade agreements with China and India
• Potential to develop SE Asia regional events
– More interest from international and local exhibitors
– More overseas visitors from SE Asia and outside SE Asia
• Which country in SE Asia is best placed to take advantage??
UBM Asia
13
Singapore
Population (mn) : 4.8
GDP
: US$181.9 bn
GDP per capita : US$37,600
14
Singapore market
• Mature market
• Moderate decline in 2008 and 2009, growth expectation in 2010 and
2011
• Limited home market, competition from Hong Kong and Bangkok
• The Sands Expo and Convention Center at Marina Bay Sands will
boost Singapore as a destination for conferences and exhibitions
• Singapore Tourism Board is very active in promoting the exhibition
industry
• No competition from government
• Excellent venues/infrastructure
15
Singapore: Top 6 exhibition organisers’ market share
Total market in 2009 (US$ million): 93
16
Malaysia
Population (mn) : 27
GDP
: US$193 bn
GDP per capita : US$7,029
17
Malaysian market
• Quite a mature market, sandwiched between Singapore and
Bangkok as stronger developed exhibition markets
• Small domestic market
• Good venues, but rather small (total 80,000 m2 gross versus
Thailand 200,000 m2)
• Good infrastructure and suppliers
• Associations play mostly a supportive role
• Government does not organise exhibitions
• Set up MyCEB (Malaysia Convention and Exhibition Bureau) to
coordinate MICE promotions:
– In 2009: incentive of US$28,000 per event > 300 foreign visitors
• International events in Malaysia > 500 foreign visitors are exempted
from profit tax!
18
Malaysia: Top 5 exhibition organisers' market share
14%
MES
MIFF
11%
Trade Link
ECMI
3%
3%
AMB Exhibition
Others
2%
67%
Total Gross Space Occupied: 467,500 sqm
The Philippines
Population (mn) : 91.9
GDP
: US$161 bn
GDP per capita : US$1,752
20
The Philippines market
• Small domestic market
• Limited venue space (Total 40,000m2 gross)
• Government (CITEM) is involved in organising trade shows: exportoriented but invite more and more local importers.
• CITEM subsidised, so price competition with commercial organisers
• No incentives from government
• Associations also organise events, mostly low prized
• Tedious process in clearing exhibition goods (Philippines is not a
member country of ATA Carnet)
• No international organisers, mostly local organisers focusing on
consumer events
21
The Philippines: Top 5 exhibition organisers' market share
(Mostly consumer shows)
13%
Global Link
Worldbex
11%
TIME
Premier Events Plus
CITEM
9%
57%
Others
5%
5%
Total Gross Space Occupied
Year 2009: 180,000 sqm
Vietnam
Population (mn) : 87.2
GDP
: US$90 bn
GDP per capita : US$1,032
23
Vietnam market
• Strong growth of economy, especially the manufacturing sector
• Limited venue space and rental prices are high (total 45,000m2
gross)
• License needed from Trade & Industry Department of the City, need
of a local partner
• No rules, so risk licenses for same sectors at the same time
• No government involvement in organising exhibitions, support is
only for overseas exhibitions
• Limited association involvement
• Low price of participation versus high costs
• Strong need for information, few quality trade shows
• Several international organisers are active in Vietnam
24
Vietnam: Top 5 exhibition organisers’ market share
5%
3%
IIR
3%
2%
2%
SES
Chanchao
Reed Tradex & Adsales
Top Repute
Other
85%
Total Gross Space Occupied: 282,500 sqm
Indonesia
Population (mn) : 237.5
GDP
: US$510.8 bn
GDP per capita : US$2,150
26
Indonesia market
• No internationa interest before: political instability and bombing
threat
• Change in political outlook
• Stable GDP growth (5%)
• Massive population: 240 million
• Two reasonably good venues in Jakarta: Jakarta Convention Center
(20K gross m2) and Jakarta International Expo (25K gross m2)
• At present: 51% by foreign-owned exhibition company (100%
foreign-owned was possible for a short period in 2010)
• Corruption issue is there, but not much worse than in some other
countries
• Exhibitions/face-to-face is important in Indonesian culture
• No involvement/competition from government or associations
• Mostly smaller local players
27
Indonesia: Top 5 exhibition organisers’ market share
Total market (US$ million): 43
28
Thailand
Population (mn) : 67
GDP
: US$273.2 bn
GDP per capita : US$4,080
29
Thailand market
• Large and growing domestic market, export-related manufacturing is
strong
• Excellent infrastructure: venues, airport, roads, hotels, contractors
• Attractive location: excellent price/quality
• TCEB plays an active role in promoting MICE: incentives for
bringing overseas exhibitors/visitors and “Better the Best Program”
• Limited competition from associations
• Government (DEP) is active in exhibitions for finished products with
subsidised rates. Competition with commercial organisers.
• Political instability: red/yellow conflict
30
Thailand : Top 6 exhibition organisers’ market share
DEP
REED
28%
UBM
44%
BES
NEO
TTF
2%
3%
Others
5%
6%
12%
Total Gross Space Occupied: 933,000 sqm
Thailand: Exhibition venues
4%
2%
3% 2%
IMPACT
7%
BITEC
QSNCC
Royal Paragon Hall
Central World
17%
PSUICC
PEACH
65%
Total Gross Space :
209,905 sqm
The Pride of Thailand
Going Green for the Future
10 - 25 November 2011
IMPACT Exhibition and Convention Center
BOI Fair 2011 Management: UBM Asia (Thailand)
Objectives:
• To celebrate special year for His Majesty (the King)
• To highlight the achievements of Thai industry and create a platform
to meet and do business
• To build confidence in Thailand’s economy with special attention to
society and natural environment
Size:
• Total exhibition space: 240,000 m2 gross
• Total visitors: Five Million over 15 days
34
Floor Plan
Perspective
Royal Pavilion
Activity Stage at Lakeside Area
BOI FAIR 2011 at Night
Key Exhibitors
Toyota Motor
Asian Honda Motor
Nissan Motor (Thailand)
General Motors Thailand
Mitsubishi Motors (Thailand)
Tri Petch Isuzu Sales
PTT Public Company
Panasonic Management
Thai Samsung
Sony Group Thailand
Hitachi Asia (Thailand)
LG Electronics (Thailand)
Toshiba Thailand
Double A 1991 PLC
Conclusions
• Thailand is very well placed to take a central role in ASEAN
exhibition market, IF:
– Politically stable
– Reduce activities of DEP
– Continuous promotion by TCEB
• Singapore is the most serious contender in the short term
• Indonesia could play an important role in the future
• Other SE countries are too small and/or there are too many
restrictions affecting them in playing a significant role
41
[email protected]