November/December 1996

Enlisting Government Support

U.S. Department Of Commerce programs unite international buyers and sellers

If you're hoping to attract U.S. exhibitors to an overseas event or bring qualified international buyers to your domestic show, Uncle Sam wants you. Enlist with the U.S. Government's Trade Fair Certification and International Buyer Programs and watch public enterprise in action.

The U.S. Department of Commerce (DOC) offers specialized programs to independent and association show organizers who want to expand their international reach. Services include helping U.S. organizations attract foreign buyers to their events, assisting international exhibitors that participate in domestic trade shows, and enhancing international marketing efforts. Here's a guide to what's available, who to contact and how to qualify.

Trade Fair Certification
U.S. Department of Commerce
14th & Constitution Ave., N.W.
Room 2116
Washington, DC 20230
(202) 482-2525
Fax: (202) 482-0872
Developed to promote exports of U.S. products and services abroad, the DOC's Trade Fair Certification program endorses independent and association show organizers who manage and organize overseas events. The certification can help attract more exhibitors, provide additional support and value-added services for exhibitors, and promote the event through a variety of publications and sources.

Which shows qualify for certification? Any show with a U.S. Pavilion or other international event that can commit to attracting at least 10 U.S. exhibiting companies, has a U.S. office or agent, and has taken place at least once before. "We're looking for a strong track record from the U.S. show organizer and the foreign show organizer," says Bill Corfitzen, International Trade Specialist for the DOC's Trade Fair Certification. "We're looking for good people producing good shows."

According to DOC, certification is the department's official recognition that a trade fair organizer is qualified to organize and manage U.S. exhibitions at a foreign show. Each year the DOC reviews about 60 applications and chooses 35 to 40 shows to certify. That number varies from year to year based on the number of shows that DOC staff can adequately promote.

Applications must be submitted to the DOC nine months to one year before the show to allow for proper promotion. Applications can be submitted yearly, and there is no limit on the number of times your show can be certified. Generally, the department chooses shows with the highest export potential, but this is not always the case. The application packet contains 23 questions, which may change slightly from year to year. Besides all of the logistical and basic show information, show organizers must also provide samples of promotional materials, a profile of potential foreign attendees and an outline of their promotional campaign in foreign markets. "It's just like finding a job and putting together a resume," Corfitzen says. "It's tough, and your competition's tough."

First-time applicants should expect to spend about two days filling out the packet. But once it's complete, the application doesn't take long to resubmit the following year. According to Jerry Kallman Sr., President of Waldwick, NJ-based Kallman & Associates, whose company serves as U.S. agent to several overseas events, the foreign show organizer will often fill out much of the paperwork.

Full government force
Before being chosen, show organizers are required to commit to organizing a minimum of 10 U.S. exhibitors and to providing the DOC with booth space on site. In addition, a $1,500 fee is assessed to cover promotion cost. "For that fee, you get the full force of the U.S. Government behind your show," Corfitzen says.

The DOC assigns a Project Officer in Washington, DC, to coordinate support for the event. Then, the DOC's Commercial Service provides you with a logo and certificate for use in promotional materials, the latest market research compiled by overseas commercial specialists, a detailed announcement to all Commercial Service District Offices, and potential exhibitor contacts from its database of more than 35,000 companies.

The event is listed in the National Trade Data Bank, an on-line database of world trade information; the Export Promotion Calendar, a calendar that is published quarterly by the Commerce Department; Commerce Department publications such as Business America, a monthly which features international trade and is distributed to about 13,000 readers, and Commercial News USA, a 10 times-a-year publication distributed to 140,000 business readers in 155 countries; and cooperating private-sector publications such as the Journal of Commerce, a daily commerce newsletter with a weekly section on trade fair certification events.

On site, a DOC Commercial Specialist from the U.S. embassy or consulate will arrange the exhibitors for a briefing before the show and give one-on-one export counseling on marketing conditions, local business practices and government services. Also, the specialist can arrange a U.S. exhibitor reception or a ceremony with senior U.S. diplomats or officials. "We're pinching the budget pretty hard," Corfitzen says. "Sometimes we have the money to cover it, but more often than not, the show organizer picks up the tab. It's very easy to have cost overrun."

Why certify?
One first-time program participant said she was not impressed by the DOC's promotions. She was expecting more pre-show promotion, but admitted that she was unclear about what to expect. She did commend the on-site U.S. embassy representative as knowledgeable and helpful to exhibitors.

"We don't know if it's really worth the fee," she says. "But any time you get a stamp of approval, it's helpful. Is it just superficial? If we got one more exhibitor because of it, then it was definitely worth it." Although she was not entirely satisfied with her first-time experience, she said the show may participate in the program again.

"The primary reason we certify a show is because of the on-site services available to exhibitors," says Kathy Donnelly, Managing Director for Concord, MA-based Concord Expo Group, a U.S. and Canadian representative for foreign trade shows. "Our business is to take care of exhibitors' needs, and the DOC can help exhibitors do business in that market. If it helps the exhibitors have a better experience, then the more returning exhibitors we'll have."

Two of Concord's pavilion's are certified for fiscal 1997: IKK '96, a refrigeration and air conditioning show; and IWA '97, a hunting and sporting goods show. Both are held in Nuremberg, Germany. Donnelly and Kallman report that some shows they represent are willing to pay for the certification, but on other shows they've had to pay for the certification themselves.

"The government has a lot to offer," Donnelly says. "With all of its embassies and consulates throughout the world, it has the resources available in each of those markets. Why try to re-invent the wheel?"

Planning is key
DOC representatives and experienced show organizers agree that you've got to plan. Although the DOC provides support, it's the show organizer's job to optimize that support by outlining a plan of action and following up.

"We have found the program helpful, but it depends on the enthusiasm you can generate in the post," says Kallman, whose company has four certified events in fiscal 1997. Some posts and commercial specialists are better than others. It depends on your show's industry and whether there is a specialist designated who is familiar with your industry. For example, at ISPO '96, a sporting equipment and clothing show held in Munich, the consulate representative is "the sporting goods guy in Germany." Kallman says the rep knows all of the key buyers and has lists of contacts for everyone in the industry.

"You need to go in there with a clear-cut plan for how they can help you," he says. "After years of experience with certification, we realize you can't expect much if you go in there with undefined plans or objectives."

What kind of plan? It depends on the market and the commercial specialist. "Each situation can have a slightly different plan, but the goal is always to help exhibitors," he says.

International Buyer Program
U.S. Department of Commerce
14th & Constitution Ave., N.W.
Room 2116
Washington, DC 20230
(202) 482-0148
Fax: (202) 482-0115
The Commerce Department offers the International Buyer Program (IBP), formerly known as the Foreign Buyer Program, to domestic show organizers who want to increase international attendance. Like Trade Fair Certification, IBP focuses on shows that feature U.S. products and services with high export potential. The program brings delegations of international attendees to the show, assists both exhibitors and attendees on site, and facilitates overseas attendance promotion campaigns.

Many shows are eligible -- particularly shows with growing international attendance and whose exhibitors are interested in expanding into international markets. According to the DOC, it chooses shows that are recognized "as the leading event for the promotion of that industry's products and services and as a showplace for the latest technology or services in that industry." Show selection is based on export potential, international interest, scope of the show, stature of the show, exhibitor interest, overseas marketing, logistics and cooperation.

Each year the DOC selects more than 20 U.S. trade shows to promote through the DOC global network of offices -- with more than 70 Commercial Service offices in the United States and more than 130 offices worldwide. Once again, the number chosen is dependent on the workload of DOC staff.

The application packet contains 18 questions about the show's history and statistics, as well as some targeted questions about your show's international expectations. Shows are selected two years in advance so that the DOC has adequate time to recruit attendees. The application deadline is usually the first week of August, and shows are chosen according to the government's fiscal year, October to October. Shows must complete an application each year, and most shows participate two consecutive years and are not eligible the third year.

Stamp of approval
Once a show is chosen, the Commerce Department sends a cable to all of its Commercial Service offices and U.S. embassies and consulates. "The International Buyer Program is a core program at the posts," says Frances Lee, an International Trade Specialist for IBP. "Once they are notified, and if the market is identified as a key export market, they have a mandate to promote the event and escort a delegation. Qualified buyers and prospective representatives and distributors are recruited from all over the world to travel to the show."

IBP participants are required to pay a $6,000 fee to cover promotional and administrative costs for shows that are five days or less. An $8,000 fee is requested for shows that run longer than five days. "The $6,000 fee pays for worldwide promotion of their event," says Lee. "Nowhere else could they get that kind of promotion for that price."

Tracy Amara, Buyer Programs Director for the Sporting Goods Manufacturers Association's The Super Show, points out another advantage. "The business people in those markets see that it's a credible show. That's a key part of what you're getting for your money -- a stamp of approval in foreign markets."

But show organizers also have to take into account the costs associated with meeting the DOC requirements. "The fee is only the tip of the iceberg in what you invest," say Jerry Goldsmith, Vice President of Marketing for the American Association for Clinical Chemistry (AACC). "There are extensive costs in terms of international distribution of information and supporting the activities at the show." But, he adds, "It's worthwhile because it adds value for exhibitors. And it's hard enough to attract exhibitors these days."

Show requirements
The show is required to provide a space on site for an International Business Center (IBC), which must be located close to the registration area. Complimentary housing for the IBC staff, which usually includes three DOC representatives, and overseas Commercial Service staff who bring delegations of at least 15 international attendees must also be provided.

Other requirements include producing and distributing a multilingual promotional brochure in four or more languages at least six months prior to the show. Also, the show organizer must design a program to increase individual and group international attendance. For example, competitive travel packages, international receptions, waived or reduced registration fees for embassy delegations, etc. -- often this issue is addressed during the application process.

Additional costs will also be incurred to set up a separate international registration system. This ensures that the DOC will have access to all international attendee data, as well as ease international registration. Attendees are asked to fill out product interest cards.

"We like to capture the product interest information from the international attendees when they register, so that exhibitors can get matched up with qualified buyers," Lee says. "There is usually lots of activity in the International Business Center after the second day of the show. Exhibitors look over the product interest cards and try to meet potential customers." Exhibitors can contact the delegation leader to set up a meeting with the prospect.

Before the delegation is brought over, the Commercial Service leader briefs the buyers about the show, gives them a list of exhibitors, talks about the products available and tries to find out as much as possible about their product interest. They not only prepare the delegation but also follow up after the show.

The commercial specialist is usually a native of the country with expertise in a particular industry. These specialists are your advocate in that market. They may solicit ads in trade or association publications, meet with associations and give member presentations about your show, promote your show at local events, send announcements to local media and provide you with up-to-date market research.

"Some are more gung-ho than others," Amara says. "You have to get them excited about your show. The commercial specialists know the movers of the products in their market."

Show organizers must also publish and distribute Export Interest Directories, similar to show directories but they are specifically targeted to international-buyer needs. "Export Interest Directories not only identify the exhibitors who want to export, but also identify the products they want to promote and what markets they want to promote to," says Lee. "And attendees use them to map out who they want to see on the show floor." Given to all international attendees at registration and sent to all DOC Commercial Service offices abroad after the show, these directories can range from laser-printed copies to four-color books with paid advertising.

International Business Centers are staffed with expert trade professionals and at least one interpreter who can speak five to seven languages. The interpreter is paid by the show organizer. IBCs must also have a lounge area, two to three conference rooms and a business center for DOC employees.

In return, the DOC will provide a full-page ad in Commercial News USA, as well as regional and embassy commercial newsletters. Also, the DOC will send a letter or fax to all U.S. exhibitors at least one month before the show to promote the IBC and the benefits of the IBP.

On site, the DOC will provide a project manager to oversee the IBC and to match international visitors with U.S. exhibitors, a Commercial Trade Specialist who will provide export counseling to exhibitors, and at least one other Commercial Service staff person to assist international buyers.

Quality and quantity
"After joining the program, our international attendance has continued to rise," says Joe Loggia, President of MAGIC International, an apparel and accessories trade show. "Our international representation has gone up from 77 to 95 countries. It's an economic way to expand your presence globally."

The AACC's Goldsmith has also seen dramatic results. "In three years, not only have we doubled our international attendance, but also the quality of the people who are coming from overseas has improved," he says.

"We are seeing more distributors and other resellers. Instead of getting one person who will buy a system for his hospital, we are getting someone who will buy 50 systems and sell them to many hospitals in that country," he explains. "It makes our exhibitors very happy. It's great for the small- and mid-sized companies, which make up a bulk of our exhibitors. It saves them a lot of time in international distribution. We look at it as a value-added service for exhibitors."

Both Loggia and Amara have permanently implemented many of the program requirements into their shows. "Even when we aren't part of the program, we still offer an international business center," says Loggia of MAGIC International.

Amara says The Super Show has made the Export Interest Directory concept a standard component of its show directory. "We list all of the exhibitors who have a foreign interest and what geographic region they are interested in," she says. "It's good for exhibitors, and with the international scope of the manufacturing industry, it's just good business." Also, regardless of whether their show is an IBP participant, she sends show information and promotional materials to all posts.

"We see it as an extension of our marketing arm," she says. "We don't have the luxury of a full-time staff to focus on international attendance. This program allows you to reach markets that you may not be reaching and reach more qualified buyers."

Amara adds: "The bottom line is, you have to work together with the DOC. Being cooperative with your contact is key. You have to be proactive, aggressive and responsive."


Sidebar: 1997 Trade Fair Certification Shows

Netcom '96, Moscow, Comtek International
Globaltronics '96, Suntec City, Singapore, Reed Exhibition Cos.
IKK '96, Nuremberg, Germany, Concord Expo Group
IPA '96, Paris, IMEX Management Inc.
Euro Blech '96, Hannover, Germany, Hannover Fairs USA Inc.
Made in USA--SAITEX, Johannesburg, South Africa, The U.S. Export Council
FISA '96, Santiago, Chile, ShoWorks Inc.
PT/Expo Comm China '96, Beijing, E.J. Krause & Associates Inc.
Emballage '96, Paris, IMEX Management Inc.
New Earth '96, Osaka, Japan, International Access Corportation
ProPak China '96, Beijing, IMEX Management Inc.
International Software Exhibition, Guangzhou, China, CATE Development Inc.
Communications India '96, New Delhi, India,Telecommunications Industry Association
Inter Comm '97, Vancouver, Canada, Horizon House Publications
HOSTEX '97, Johannesburg, South Africa, Reed Exhibition Cos.
IWA '97, Nuremberg, Germany, Concord Expo Group
Middle East International Leisure Expo '97, Dubai, United Arab Emirates, Global Business Services
IDEX '97, Abu Dhabi, United Arab Emirates, American Aerospace Industries Inc.
Golf Asia '97, Singapore, Interport Ltd.
Petro Vietnam '97, Ho Chi Minh City, Vietnam, Reed Exhibition Cos.
Intermat '97, Paris, Construction Industry Manufacturers Association
Consumerexpo Kazakstan '97, Almaty, Kazakstan, TNT Productions
CEBIT Hannover '97, Hannover, Germany, Hannover Fairs USA Inc.
Exposalud '97, Santiago, Chile, ShoWorks Inc.
Imdex Europe '97, Greenwich, United Kingdom, American Aerospace Industries Inc.
Tokyo Motor Show '97, Tokyo, Atlantic Trade Pavilions


Sidebar: 1997 International Buyer Program Shows

    • Speciality Equipment Market Association/Auto International, sponsored by Speciality Equipment Market Association and Auto International Association, produced by Epic Enterprises/PGI
    • International Autobody Congress & Exposition, sponsored by the Automotive Service Association and produced by Precision Planning & Sales
    • medTRADE '96/National Home Health Care Exposition, sponsored and produced by SEMCO Productions
    • PACK EXPO '96, sponsored and produced by the Packaging Machinery Manufacturers Institute
    • COMDEX/Fall '96, sponsored and produced by SOFTBANK COMDEX Inc.
    • World Energy Engineering
    • Congress, sponsored and produced by the Association of Energy Engineers
    • Greater New York Dental Meeting, sponsored by the First and Second Dental Society and produced by the Greater New York Dental Meeting
    • The Builder's Show, sponsored and produced by the National Association of Home Builders
    • ProMat '97, sponsored and produced by the Material Handling Industry of America
    • The Super Show '97, sponsored by the Sporting Goods Manufacturers Assocation and produced by Communication & Show Management Inc.
    • MAGIC International, sponsored and produced by MAGIC International
    • International Franchise Exposition, sponsored by the International Franchise Association and produced by Blenheim Group USA
    • National Association of Broadcasters Convention & International Exposition, sponsored and produced by the National Association of Broadcasters
    • Offshore Technology Conference, sponsored by 12 organizations and produced by the Society of Petroleum Engineers
    • The 78th Annual National Restaurant Association Restaurant/Hotel-Motel Show, sponsored and produced by the National Restaurant Association
    • SUPERCOMM '97 with ICA Expo, sponsored by the Telecommunications Industry Association and produced by E.J. Krause & Associates Inc.
    • PC EXPO in New York, sponsored and produced by Blenheim Group USA
    • NPE '97, sponsored by the Society of The Plastics Industry Inc. and produced by Hall-Erickson Inc.
    • National Sporting Goods Association World Sports Expo '97, sponsored and produced by the National Sporting Goods Association
    • 49th Annual Meeting and Clinical Laboratory Exposition of the American Association for Clinical Chemistry, sponsored and produced by the American Association for Clinical Chemistry
    • Hardware Industry Week, held in conjunction with the National Hardware Show, sponsored and produced by the American Hardware Manufacturers Association
    • PRINT 97, sponsored and produced by the Graphic Arts Show Co.
    • Personal Communications Showcase, sponsored and produced by the Personal Communications Industry Association



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