SPONSORED BY
Continued from page 22
Jack Chalden ASSOCIATE
The Augusta Group
A Welcome New Recovery Dynamic "Modest but steady event performance across most sec- tors thus far in 2012 illustrate the value and reliance on the face-to-face business experience. Tose positive results also reflect a welcome new recovery dynamic: event producers are now beginning to lead rather than follow the economic recovery process. However, as underscored by some of my TSE Exposition Forecasting Board colleagues, unprecedented global and domestic dynamics continue to impact and
threaten sustained recovery. On the domestic front, election uncertainty, gov- ernment debate rather than solutions, job creation, housing/construction issues, energy challenges, ongoing security threats and now some serious Supreme Court deliberations impact confidence and creativeinvestment. Add the impact of the many global issues and challenges that now directly affect our recovery and the months ahead will be full of uncertainty. A flat 2012 may be a blessing."
spectacular to behold in recent years," he noted. "Te driving force was relentless cost-cutting. Plants were closed, budgets slashed and millions of workers were let go. Remaining employees worked harder to keep up, resulting in significant increases in productivity. Lower costs and higher productivity resulted in sharply rising earnings in spite of the anemic economic recovery," he pointed out.
Rising payrolls, along with high energy costs and
softening productivity, mean shrinking profit margins.
I'm unsure whether there will be enough demand to
offset those rising costs. Frank Chow, CHIEF ECONOMIST, TSE
Tat virtuous cycle may be ending, he
Chris Brown EXECUTIVE VP
National Association of Broadcasters
Pat Fallon
VP OF BUSINESS DEVELOPMENT
CompuSystems, Inc.
Joseph V. Popolo, Jr. CEO
Freeman
Steve Moster PRESIDENT
Global Experience Specialists (GES)
Lindgren-Garnett REGIONAL VP
Shura Global Spectrum
Terence Donnelly VP OF SALES
Experient Gary Sain
PRESIDENT & CEO Visit Orlando
Steve Carey DEPUTY EXECUTIVE
DIRECTOR National Truck
Equipment Association T&S; Forecasting Board on the Road Again
Meet the members as they bring you up-to-date forecasts and trends at: h Trade Show Executive's 5th Annual Gold 100 Awards & Summit, October 3-5, The Ritz-Carlton, Washington, DC
said. "Te areas where costs can be cut have been thoroughly exploited. And now payroll costs are rising again and productivity is soſtening," he has found. Te former can be seen in the impressive big jump in employment over the last four months, while recent reports indicate productivity is slowing toward normal. "Rising payrolls, along with high energy costs and soſtening productivity, mean shrinking profit margins," Chow said. "I'm unsure whether there will be enough demand for companies to raise prices enough to offset those rising costs due to the ongoing deleveraging by consumers and the slowing global economy." Chow believes a strong relationship ex-
ists between corporate profits and overall trade show performance. He advised trade show executives to pay closer attention to the reporting of First Quarter earnings. "Many corporations issue early warnings and lower guidelines if they expect to miss forecasts. Hopefully, my fears are un- founded, but I wanted to give our readers advance notice that this bears consider- ation as we plan ahead," he said. TSE
www.TradeShowExecutive.com | April 2012 25