The Challenges Faced By The Indian Exhibition Industry?

India’s economy, which is expanding at a rapid pace, is the world’s seventh-largest nominal GDP economy and the world’s third-largest purchasing power parity economy. As a result, the Indian exhibition business is one of the sectors aspiring to gain from the situation.

After China and Japan, India’s exhibition business is Asia’s third-largest market. Exhibitions in the country were rated 13th in the world in 2016, according to the International Exhibition Industry Association (IEIA). The group states that the exhibition sector in India is increasing at an annual pace of 8.3%, which is faster than the country’s GDP.

Local industry associations estimate that the yearly direct expenditure of the Indian exhibition industry is about $3.7 billion, which equates to over US$44.5 billion in sales. In addition to the B2B and B2C exhibitions, more than 750 trade fairs are held each year. International organisers are responsible for 24% of these exhibitions, while domestic organisers, the government, and trade organisations are responsible for the balance.

Reforms Introduced

Many show planners have found India to have a challenging environment to conduct business in. The World Bank had it classified as the 130th most difficult country to do business in just a year ago. Foreign direct investment (FDI) in the country has been problematic due to a lack of government support for the industry and a lack of world-class venues. 

In 2006, UBM India started its adventure in India. Over the past few years, it has hosted over 25 large-scale exhibitions, 40 conferences, and seven industry awards across the country each year. It has a broad range of influence.

Challenges

COVID-19 has had a significant impact on India’s exhibition business. The lockdown has resulted in a loss of Rs 3,570 crore. In light of the uncertain future of trade exhibitions, all of them were cancelled or postponed until the latter half of 2020. Trade fairs, on the other hand, are hardy. 

The exhibition sector faces a number of major issues. Since the government has yet to recognise the industry, it is doomed to be disorganised save for a few major companies. Aside from that, India has a shortage of world-class exposition facilities and hence is unable to host large-scale events. The ability to extend exhibitions to larger sizes and give greater value to exhibitors rests squarely in the hands of those who provide the venues. New, spacious, and well-equipped convention centres have been a priority for the government, and UBM has been working hard to make sure that happens.

Face-to-face engagement with current and future customers still takes precedence over displays of manufacturing or innovation at these locations’ shows, which are still largely transactional in nature. When organising a show in India, pricing is an important consideration because the country is a fragmented market with price disparities between the organised and unorganised sectors. However, the situation is improving to bridge these gaps due to an increase in consolidations.

How to Overcome These Challenges?

As a result of COVID-19, here are some ways in which the exhibition sector can respond.

E-commerce

Many small businesses benefit from the trade show industry’s assistance and growth. Trade is facilitated for these small enterprises through exhibitions, which allow them to reach a wider audience. The organisers can offer these things in the virtual world if social distance standards are in place. To sell their goods, the organisers can use an e-commerce strategy or partner with current service providers.

Marketing

As a result of the lockdown, many people have decided to stay indoors. This has resulted in a dramatic increase in the use of digital media. In order to keep their customers informed and involved, the organisers must use blogs, videos, and social media to post regular updates on the problem and solicit suggestions from them.

It is impossible to recover the money that you have lost, but you can replace the clients you have lost. Digital marketing can play a significant part if a strategy is implemented to sell products online or trade fairs are authorised with restrictions.

Occupational Safety and Health

Global healthcare systems have been destroyed by the COVID-19 epidemic. If trade exhibits are allowed to resume after the lockdown, it is critical that all essential safeguards be taken to prevent the virus from spreading further within the community. To avoid the human touch, manual processes such as ticketing, payment of money, and product booking should be performed online. Hand sanitizers should be kept on hand at all times. The trade fair must be restricted to a particular number of people in order to prevent overcrowding.

The health and safety checklist should include a wide range of considerations. However, the exhibition sector must demonstrate that with the use of technology and strategic planning, we can have human engagement while still adhering to all safety regulations.

Virtual Exhibitions

Businesses mostly use trade fairs to display and market their wares and services. Visitors have the option to purchase any items they’re interested in. Because of social distancing and limits on large gatherings, virtual exhibitions are a viable option. Using social media would be the most cost-effective approach to organising them.

You can have a succession of various product segments with their photographs, videos, and descriptions on your social network handles, as well as all the necessary information. Visitors can choose the things they want to purchase and reserve them. Customers will be more likely to interact with the company online, reducing the need for face-to-face interaction. The merchandise can then be delivered to the organisers’ homes.

Conclusion

With a young population, a half-billion-strong middle class with purchasing power, and an economy that is growing at 8%, India has a robust democracy. However, the exhibition sector in India must be viewed in the context of other high-growth potential emerging markets, such as China, in order to understand its potential.