Who's On First?

An examination of booth assignment systems

By Jenny Tesar

"Me first! Me first!" shout the children, jostling one another to be the first in line. The teacher trying to instill a sense of order and fair play, tells them to line up in the order of their surnames. Judi Adams loves this solution but Hank Zullo pouts.

Sound familiar? That childhood tendency to demand "me first!" dies hard, especially among exhibitors faced with choosing space in an upcoming show. Each wants his or her first choice. Show managers emulate the teacher, establishing rules of the game. But like the teacher, they're faced with exhibitors who love the system and others who consider it unfair.

Is there a perfect solution? No. To paraphrase Abe Lincoln, you can please some of the people some of the time, but you can't please all of the people all of the time. You can, however, ensure that the system you use to assign booth space is rational, workable... and legal. You can also ensure that the system helps you meet other objectives, such as increasing association memberships or encouraging exhibiters to increase the amount of space they take.

Rules of the game
"Who's on first" depends upon which system is used by the show manager to assign booth space. Three basic systems exist:

• First-come, first-served: The company whose application arrives in the show manager's office first, gets first choice on space.
• Lottery: Company names are placed in a drum, and the first name drawn gets first choice.
• Priority points: Each company accrues points based on such factors as the number of years it has exhibited and the amount of space it has taken. The company with the most points gets first choice.

Like most aviation shows, there are two types of space at the Helicopter Association show. In addition to typical booths, there is a special area for aircraft and other large equipment. Space in this area is chosen in a separate lottery. "It used to be that this space was assigned according to the lottery numbers used for the conventional booth spaces, but I changed it last year, so that people who need less than 1,600 square feet have an equal chance of getting prime locations in the equipment area," explains Exposition Manager Alec Dickey.

In 1989, the Helicopter Association held the lottery during its show, but this year the lottery was held later, and witnessed by members of the manufacturer's committee. "There's always a cry, 'let us come to the lottery,"' says Dickey. "But it wasn't a success when we tried it in 1989. There was no arguing or disputes, but it really didn't make any difference that exhibitors were standing in the room. Assigning the booths takes several days, particularly because the space requests of the larger exhibitors oftentimes necessitate considerable rearrangement of the floorplan. I wouldn't mind if people watched, but it just takes so long."

Rewarding the heavy hitters
Allowing current and long-time exhibitors first choice in space assignments for next year's show is one way of rewarding loyalty -- an important objective for many show managers. "We give one point for each booth space they purchase, and one point for each year they have exhibited," says Patricia Monahan, Exhibit Coordinator for the American Dental Association. "Usually, we have two rounds of assignments. The first round encompasses all those companies whose applications come in by the deadline published in our prospectus. Those companies are arranged in point order. If two companies have the same number of points, the one whose application was received first gets precedence. A second round of space assignments takes place about two weeks after the first round. Later, it's first-come, first-served."

Rewarding longevity doesn't always help smaller exhibitors however, if priority points are also given for the amount of space taken. A new, large company can quickly amass high point totals which will overshadow a small, long-time supporter. The National Shooting Sports Foundation resolved this problem by guaranteeing that any exhibitor who has been in the SHOT show everv year since its inception will always be among the first 20 percent to choose space. "A small exhibitor like/ us -- we take a 10 x 10 each year -- can't accumulate points as rapidly as some of the giant firms that came after us," says Dick Miranda, President of Adstar. "This protects us. It shows a gratitude to the original exhibitors who helped get the show started.

"Booth selection for next year's SHOT show begins at this year's show, at 8:00 one morning. Without the special provision, we'd be choosing space about noon. Instead, we're in about 9:00 a.m."

Double play
Priority points can be used to reward a broad variety of exhibitor activities, thereby helping a show organizer to meet not only space sales objectives but also other objectives: building association membership, increasing ad sales in a trade publication, even fund-raising. The American Academy of Dermatology assigns points based on three factors. One point is given for each year the firm has exhibited, one point for each 10 x 10 space taken and up to ten points for financial contributions to the academy's educational programs. Exhibitors can also earn points for exhibiting at the academy's summer show. "Points are accumulated for ten years only," says Cheryl Nordstedt, the academy's Director of Meetings and Conventions. "For example, in 1990, a company that has been exhibiting with us for 20 or 30 years can only count its involvement during the past 10 years. After this year's show, we add the 1990 points and eliminate those from 1980.

"Any company that does not exhibit with us for three years is dropped from the inventory and loses all its priority points. At the present time we are probably carrying close to 400 companies with priority points." Unlike many show managers, who use spreadsheets and other computer programs to tally priority points, Nordstedt continues to do the job manually. "It's just a matter of flipping pages and writing in numbers, so I don't know that it would be a whole lot quicker if done on the computer," she says.

"The system I use has two important objectives," explains Eric Casey, Director of Marketing for the National Association of Federal Credit Unions. "One, it rewards people who have been loyal to the association and have exhibited on a regular basis. Two, it tries to encourage exhibitors to increase their space." Casey uses a priority point system based on an exhibitor's booth purchases over the past three years. The system is weighted in favor of more recent space purchases.

As in most credit union shows, exhibitors tend to buy one, two or three booth spaces. As Casey determines priority points for next year's show he assigns 200 points for each booth space taken in this year's show, 150 per booth in the 1989 show and 100 points per booth in the 1988 show. For example, a data processing firm took one space in 1988, two in 1989 and three this year, garnering 100 + 300 + 600 points, for a total of 1,000 priority points. As a result, the company has moved up very quickly in the selection process. Three years ago they ranked around 50th. This year they were close to first.

Moving to a new ballpark
Some show organizers have found that changing their show's location provides an opportunity for changing space assignment systems. The National Association of Home Builders changes show locations every three or four years. For the first year in a new city, booths are assigned on a first-come, first-served basis. For subsequent years in that city, the exhibitor has the right to the previous year's space as long as the application form, accompanied by a 20 percent deposit, is received by show management before the published deadline.

The National Office Products Association has held its national show in Chicago for more than 20 years. Next year, they'll be in Atlanta. "Moving the show is the perfect opportunity, and our Board of Directors is going to be seriously considering changes in our system," Says Juliet Shagoury, NOPA's Exhibitor Coordinator. "We'll have two front rows instead of one, which means we can more easily change a lot of those traditional positions that companies have had."

Arbitrary decisions
Show managers stress the importance of including an explanation of their selection process in their show prospectuses. They point out that show organizers protect themselves legally only if the information is available to all exhibitors and the process is administered consistently. An important part of that information is a statement indicating that show management retains the final say on which space will be assigned to a particular company. For instance, information sent out by the Helicopter Association states: "Every effort is made to accommodate each applicant's preferred location. However, the HAI reserves the right to assign space subject to such parameters as booth size and design, and relationship to similar exhibits."

A similar caveat is issued by the National Association of Federal Credit Unions. "You have to have such a statement," says Casey. "For example, I can't put a group of data processing companies right next to one another. If by chance they all requested adjacent space, none of them would be happy with such an arrangement."

Gary Gervais, owner of American Expositions, the management organization for the New England Beauty Expo, explains that the 14 members of The New England Beauty Distributors Association, which sponsors the show, choose their space first, on a lottery basis. Other exhibitors are then assigned space on a first-come, first-served basis. "These people receive a floorplan that has X's on all the spaces chosen by the association members. They send in a contract listing ten booth choices. It's rare that a firm doesn't get one of its choices, or that two firms ask for the same space for their second choice. But if we cannot give a company one of its choices, for whatever reason, then the decision becomes ours. We can put them anywhere. However, they don't have to agree to it. They can back out of the show entirely and get back their deposit."

Veteran exhibitors tend to accept -- or at least cope with -- any system. Sal Cavallaro, Assistant Manager of Marketing Support Programs at United Technology, points out that: "Our divisions have either created their industries or were among the founders of those industries: Carrier in the air conditioning market, Pratt & Whitney in aircraft engines, Sikorsky in helicopters, etc. So we have an advantage in shows where seniority means something. But my major concern is that the rules are spelled out and that they are enforced equally."

Rookies are another matter. "Most exhibitors who have been with us for a number of years understand our system and don't have any complaints," says Nordstedt. "We sometimes have problems with new exhibiting companies, who look at a very prodigious task of rising to the top. They feel that they are being discriminated against because they are new. I explain that while it may seem unfair to them, there should be some reward for fidelity and support. The reward is to be among the first to be able to select exhibit space. We understand a new company's feelings, but if they stick around and support the academy, they'll become one of the old boys -- and then they'll love the system!"

Bases loaded
It's a common situation: The exhibit manager for ABC Corporation failed to send in his space request on time. Now he wants you to give him the space he had last year. "I may say that I'll talk to the exhibitor who bought the booth and see if I can work out a better fit for them in another location," says Paul Newdick, President of Showcase Marketing, Ltd. But generally this isn't successful, so Newdick must remind the ABC executive of the rules of the game. Showcase Marketing produces two consumer home shows each year, one in the spring, the second in the fall. After each show the exhibitors receive a contract stamped in red: "Do it now! Your option to re-book last year's space will expire 60 days from this contract date. Important!" After 60 days it's open season on the booths, with assignments made on a first-come, first-served basis.

"Within those 60 days," says Newdick, "my sales staff is aggressively telephoning exhibitors, not only to book them into the upcoming seasonal show, but to remind them that they have only three or four weeks left to re-book.

"We've used this system for years, so exhibitors can't say they don't know it. And once we have a contract with another firm we really can't do much without opening ourselves up to legal problems. But some people always try to wheel and deal."

Added pressure to give special consideration may come from board members and association executives. This seems to occur more frequently among shows sponsored by medical associations, perhaps because physicians, who are members of the associations, often have dual loyalties, acting as advisors or consultants to the medical companies that comprise the exhibitor pool.

Though show managers are willing to be as helpful as possible in such situations, they stress that playing by the rules is essential. Nordstedt recently dealt with a company that had exhibited with the American Academy of Dermatology for many years, yet had failed to get its application for this year's show in before the deadline. When it finally arrived, there was no more space available in the show. "We've had lots of conversations with the poor woman, who swears she's going to lose her job," says Nordstedt. "All we can say is that we can't kick someone else out to get her in. But sure enough, I got a call from a doctor yesterday who's involved with this company, asking 'what can we do?' I told him there's nothing that can be done, but he thought that if he talked to me there might be a way around the problem."

Perhaps by the time you read this, Nordstedt will have found a happy solution to this particular problem. But like all show managers, she'll be focusing forward, on new crises. Baseball Hall-of-Famer Bill McKechnie might have been speaking for show managers when he spoke of the life of a baseball manager: "You can't even celebrate a victory. If you win today, you must start worrying about tomorrow. If you win a pennant, you start worrying about the World Series. As soon as that's over, you start worrying about next season.

Sidebar

Surveying the PlayersThe National Association of Exposition Managers has conducted several surveys that cover the subject of space allocation. The most recent survey, published in 1988, was answered by 608 members. Some findings:

Eighty-seven percent of the respondents indicated they have a formal booth space allocation system.

The five most important elements used in space allocation systems, in order of importance, were (1) continuous years exhibiting, (2) previous year exhibitor with automatic hold on same space, (3) first-come, first-served by receipt date of application, (4) total amount of space used, (5) preference to association members.

Thirty-seven percent of the respondents said they advise exhibitors about the booth space allocation system via a letter which accompanies the space application; 28 percent have the information in the space contract, 15 percent use a special bulletin, 7 percent cover it in an addendum to the space contract and 13 percent don't publicize their system.

Seventy-nine percent of those answering the survey require exhibitors to submit a deposit with their space application. Forty-eight percent said the deposit represents 50 percent of the space rental charge, 26 percent said it represents up to 25 percent, 17 percent said it represent between 25 and 49 percent of total space charges and 9 percent said their deposits represent more than 50 percent of the total booth cost.

Thirteen percent of all respondents have a booth relocation refund provision in their contract if relocation is not acceptable to the exhibitor; 87 percent do not.