Event firm expects slowdown
The third and fourth quarters of the year will be a tough period for the trade exhibition business due to rising oil prices, according to NCC Exhibition Organiser Co Ltd (NEO), the event organiser for Queen Sirikit National Convention Centre.
If higher oil prices affect NEO's business in the third quarter, NEO has forecasted a 5-10 per cent decrease in yield this year compared to last year's highly profitable performance, according to Ladda Mongkolchaivivat, general manager of NEO. NEO will arrange three events in the second half of the year: Pet Expo Thailand, Health, Beauty and Diet Festival and Thailand Bestbuys. The company has already set space rental fees and other fees related to the trade exhibitions. Yet, to maintain good relationships between NEO and its customers, it will absorb all of its increasing expenses and won't raise its fees, she said. The company is, however, concerned about the number of visitors the fairs will bring, Ladda said, because consumers have been tightening their belts. They may not be willing to pay to travel to the exhibitions if the events don't match their needs, unlike their usual easy-going behaviour in the past. Although it hasn't seen any obvious drop yet, NEO has noticed the negative effects on the trade exhibition business since early this year in the form of fewer purchases by attendees. The next two events on the company's schedule are the Thailand Travel & Dive Expo on May 18-21 and the Wedding Fair on May 25-28. Ladda isn't worried about the success of the Wedding Fair because marriage usually has nothing to do with the economic situation. Rather, she worries about the Thailand Travel & Diving Expo because it targets high-end consumers, and diving equipment is considered a luxury item. However, to keep its overall performance strong, the company also relies on organising international trade exhibitions. NEO is conducting joint projects with partners in Vietnam, China, and India to arrange International Livestock and Dairy Expos and expects to become the top event organiser in the livestock and dairy industry within five years. The company is also exploring consumer and leisure trade exhibitions overseas and is looking for a partner with which to arrange other shows in the Indochina region. Nitida Asawanipont The Nation
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