Food Shows Make Their Mark

By Maria Nemeth-Ek

While direct mail, advertising and the Internet are useful ways to promote your products to potential buyers, it’s important to pay attention to the fundamentals. One of the most efficient and cost-effective ways to up your visibility in foreign markets is to exhibit at a trade show.

After all, marketing through trade shows allows vendors to adapt quickly to changing market conditions. Sellers can focus sales efforts on the most promising markets. They can move toward a regional or even a continental focus to marketing efforts, which gives them more opportunities than a single country.

The U.S. agricultural exporter has an experienced group of allies to lighten the trade show load. FAS’ Trade Show Office works with agricultural trade specialists in over 30 countries to research promising markets. The Trade Show Office selects and organizes events in the most promising prospective markets, with an eye to expanding market opportunities and maximizing exposure for U.S. companies and products.

Each year, there are a number of lessons learned. FAS research shows that:

• Regional shows draw more participants.
• Specialized seafood, pet food, natural foods, food ingredients, and private label shows are doing well. These shows have both loyal long-time and new time-pressed customers.
• The virtual show idea helps companies in efficient planning and preparation.
• E-commerce is still not used across the board in international food and agricultural trade transactions, but will catch on in the not-too-distant future. Buyers in Asia and South America seem likely to adapt quickly to the process.

Big Estimate for ‘98

In 1998, 1,074 U.S. companies participated in 29 endorsed or sponsored shows in 22 countries, up 25 percent from 1997. Not only did these companies estimate their immediate, onsite sales at $22.4 million, but they projected 10 times that value in subsequent sales during the 12 following months.

Although the 12-month projections were down nearly one-quarter from 1997, sellers made 11,774 serious contacts with buyers and potential future buyers.

Three of the World’s Top Shows

Food & Hotel Asia ‘98 was remarkably successful, tallying the largest participation in the show’s decade-long history.

Despite Southeast Asia’s regional economic troubles, the U.S. Pavilion had 58 exhibitors who projected a whopping $5.5 million in sales in the 12 months following the show. The show had over 27, 000 visitors.

Thirty-five percent of the U.S. companies at the pavilion had not participated in the show before. Best-selling products included strawberry-chocolate-vanilla bars, caffeinated water, instant soups and sorbets. One big draw at Food & Hotel Asia ‘98 was Chef Paul Prudhomme. Like his company’s products, Chef Prudhomme added spice and color to the show. U.S. Ambassador Steven J. Green, a former business executive, toured through the show and opened a supermarket promotional event held at the time of the show.

With its time-honored orientation toward consumers and farmers, Polagra is the largest agricultural and food show in Poland and Eastern Europe. Nevertheless, the show is gradually evolving to service the commercial sector. U.S. Pavilion participants forecast $4.76 million worth of sales for the 12 months following the show.

FAS has been building up the U.S. presence here over the past three years. With 12 companies exhibiting in 1998, FAS put together its largest contingent ever at this show.

U.S. beef steaks, tripe, grapefruit, ice cream, almonds and sunflower snacks attracted the most interest. Poland is the second largest market for U.S. tripe, following Mexico.

Paris is home for SIAL (Salon International d’Alimentation), the second-largest food show in Europe, held biennially. SIAL ‘98 marked its largest U.S. presence to date, with 140 exhibitors and over $33 million in projected sales.

Convenience foods and items such as cotton candy, thaw-n-serve cookies, carrot cakes, honey barbecue pretzels, almonds, beef, corn dogs, salad dressings and flavored rice were among the most popular items.

Award-winning novelties included aerosol cheese, shrimp scampi gourmet pizza, chocolate milk drinks, veggie nuggets, no-bake cheese cake mix, and coffee flavoring tablets. Native American Products–a first-time exhibitor–had a highly successful display of smoked salmon, olive oil and herbal teas.

7 Reasons To Get Out There and Participate

1. International trade shows are "one-stop shops" which provide high visibility to
   U.S. companies.
2. Trade shows allow U.S. exhibitors to analyze the local market and observe
   their competition.
3. Trade shows are among the most cost effective and efficient marketing tool available
   to exporters.
4. Trade shows provide in-country market research.
5. Trade shows provide opportunities for product testing.
6. Trade shows give you face-to-face contact with buyers.
7. Trade shows offer opportunities to meet important distributors and agents.

USDA- Sponsored and Endorsed Shows

During 2000-01, the FAS Trade Show office will research and select over 30 overseas trade shows for FAS endorsement or sponsorship. FAS promotes two different types of shows. In addition, USDA staff from Washington, DC and the local U.S. Embassy are on hand to provide support to U.S. exhibitors. USDA has recourse over sample product shipment, by the contract freight forwarder.

USDA-Sponsored Shows:

USDA is involved in all aspects of show management for this group of shows.
In addition, it provides such services as:

• assistance in sample product shipment;
• rental of floor space;
• booth design/layout;
• marketing the show to potential exhibitor via mass mailing,
  invitations to special events
• printing of show directory
• hotel reservations for show participants

USDA-Endorsed Show:

These are shows for which USDA works in partnership with show organizers to
create U.S. Pavilions and negotiates services that meet established standards,
USDA services include:

• marketing
• direct mailings of advertising materials
• market information
• guidance to U.S. firms
• referrals to show organizers
• on-site assistance
• pre-show promotion
• invitations to potential buyers

There’s Always Something New

In 1998, FAS tested the concept of an American Café in selected shows. It’s an ideal forum for smaller companies that might not otherwise exhibit to send their samples and show them in an informal setting. Behind the scenes, lead forms and buyer interests are collected and later passed back to exporters for action.

The Café is a useful and economic first step for small companies unable to rent a booth at the show. Eighteen companies showcased products at the American Café of the Food and Hotel Africa ‘98–enabling it to become a major attraction at the U.S. Pavilion. Impressed with its pulling power, the Trade Show Office intends to offer this program to smaller companies in the future.

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The author is the USDA Trade Show Leader. Tel.: (202) 720-3623; Fax: (202) 690-4374; E-Mail: nemeth@fas.usda.gov 

Last modified: Thursday, October 14, 2004 PM