Weekly Newsletter
Bangkok, 9th September: The Thai Exhibition Association (TEA) has announced plans to partner with VNU Asia Pacific to organise a series of webinars designed to connect Thai exhibition organisers and related parties.
Read MoreAustralia, 10th September: The Australian government announced plans to inject A$50 million (US$36 million) into its business events industry. The Business Events Council of Australia (BECA) welcomed the announcement, which it said would support the restart of business events across the country.
Read MoreShare price movement
Read MoreThe U.S. and Taiwan are talking up the opportunity to decouple from China and move supply chains away from China. Given that the U.S.-China trade is valued at US$740 billion, that is going to be a monumental task.
Cosmoprof will go all-digital next month. Apparently, Alibaba has been selected as the digital partner of “WeCosmoprof.”
TCEB has unveiled a new support scheme to help organisers of international tradeshows in Thailand get back to business “in the wake of COVID-19.” Not sure that it is behind us yet, but BSG applaud’s TCEB enthusiasm and optimism.
Hong Kong, 3rd September: The Hong Kong Trade Development Council (HKTDC) announced its Hong Kong Book Fair, and Hong Kong Sports & Leisure Expo will be rescheduled. The new dates are 16th to 22nd December 2020 at the Hong Kong Convention and Exhibition Centre (HKCEC).
The Book Fair and the Sports & Leisure Expo were originally scheduled from 15th to 21st July. The events were postponed due to the so-called third wave of COVID-19 infections in Hong Kong. Local exhibitors’ participation fees will be fully subsidised up to HK$100,000 per local exhibitor at the rescheduled fairs, and the HKTDC will support exhibitors through various other discounts.
Singapore, 7th September: The Singapore Tourism Board (STB) announced that it would allow business events of up to 250 attendees. The STB will begin accepting applications from organisers as of 1st October 2020.
In addition to limiting events to 250 attendees, organisers will have to demonstrate their ability to implement safe management measures that meet the required STB health and safety outcomes.
China, 1st September: In more positive news, Tarsus Group, an international B2B media group, has recently concluded six exhibitions in China, featuring almost 4,000 exhibitors and more than 220,000 visitors.
The six exhibitions were: Automotive Aftermarket Industry and Tuning Fair (AAITF), SIUF The International Brand Underwear Fair, the Zhengzhou Medical and Dental Fair, the West China Dental Show, Hometex, the Home Furnishing Expo and, Guangzhou Prolight + Sound, occupied an exhibition area of 380,000 m2.
Hong Kong, 9th September: This week, Global Sources announced the cancellation of the Global Sources 2020 Fall Show series due to the travel and quarantine issues restrictions related to the COVID-19 pandemic.
The shows that have been cancelled include: Global Sources Consumer Electronics, Global Sources Mobile Electronics, Global Sources Smart Home & Appliances, Global Sources Home & Kitchen, Tech Gifts Show, and Global Sources Lifestyle x Fashion. As a result of this development, Global Sources is upgrading and modifying its website, Global Sources Online.
Figure 1: BSG B2B Media Index vs. All Tracked B2B Stocks (price movement over past 12 months)
Figure 2: BSG B2B Media Index vs. All Tracked B2B Stocks (price movement since January 2020)
Paris/London, 27th August: Last week, UFI, The Global Association of the Exhibition Industry released new research as part of its “Global Recovery Project” which is a collaborative effort between UFI and live events research specialist, Explori. The research shows that visitors and exhibitors overwhelmingly prefer live events, but that digital event elements have a role to play in serving segments of the audience going forward.
The study compiled more than 9,000 responses from 30 countries. It was conducted by Explori in partnership with UFI and supported by SISO, the Society for Independent Show Organizers.
Shenzhen/Chengdu, 1st September: Co-organized by Informa Markets, BolognaFiere and Shanghai Baiwen Exhibition Company, the inaugural South China Beauty Expo (SCBE) was held at the Shenzhen Convention & Exhibition Center (SZCEC) concluding on 1st August 2020. The event featured more than 800 brands and exhibitors.
Occupying an exhibition area of 22,500 m2, the organiser notes that SCBE provides new industry information, leading industry solutions and creative content to participants. Approximately 20,000 professional visitors attended. Key participant categories included wholesale agents, retailers, beauty salons and nail salons, cross-border e-commerce platforms, social e-commerce platforms and manufacturers.
Hong Kong, 31st August: SEEC Media Group, a Hong Kong-listed media company, recently announced its financial results for the first half of 2020. Revenues in the six-month period were just US$4.8 million, an increase of 3.7% year-on-year. The company reduced its loss from US$6.5 million in the first half of the previous year, down to US$4.4 million in the first half of 2020.
Provision of advertising services was its largest source of income, amounting to US$1.7 million, which represents 35% of SEEC’s total revenues. This segment dropped 8.3% year-on-year. The next largest segment, money-lending business, generated revenues of just over US$1 million and accounted for 22% of total revenues. This business segment grew 27% compared to the previous year.
Nanjing, 27th August: Last week, Shenzhen-listed Focus Technology, which owns and operates B2B trading platform, Made-in-China.com, announced its financial results for the six months ended 30th June 2020. Revenues were US$75 million, a year-on-year increase of 10%.
However, net income in the first half dropped 57% compared with the previous year, down to US$6.7 million. Diluted earnings per share in the first six months of 2020 were RMB 0.16 (US$0.023). The company attributed the increase to higher membership fees collected and income from its value-added services in the period.
Ruth Stevens, a Business Information Industry Association (BIIA) director, offers her take on the best marketing strategies for businesses adapting to life without events.
The SCMP reports that 140 companies have registered for the Hong Kong Book Fair, which has been postponed from its original dates in July to December. Last year the fair attracted 680 exhibitors.
At the other end of the spectrum is the annual China International Fair for Trade in Services (CIFTIS), which organisers anticipate will attract more than 100,000 visitors.
China’s president Xi Jinping is expected to speak at the opening on Friday as China attempts to showcase its economic recovery from COVID-19.
China’s economy is expected to grow by 1.7%. China will be the only major economy in 2020 to record economic expansion driven largely by better than expected export figures. The U.S. economy is forecast to contract by 5.3%.
After second and third waves of COVID-19 infections in markets such as Hong Kong, Japan and Korea, the Malaysian government reconsiders its plan to open its borders. But the country has reopened to essential travel from its neighbour, Singapore.
Share price movement
Read MoreIt began with TikTok and WeChat being drawn into China-U.S. trade tensions. Now, it seems technology is becoming politicised in China-India relations. Separately, but along the same lines, Taiwan is ordering a divestment of an Alibaba subsidiary.
Meanwhile, Jack Ma will set records once again with the upcoming listing of the ANT Group, which will raise US$30 billion and value the company at more than US$200 billion. Politically savvy Ma is by-passing U.S. markets and listing the group in Hong Kong and Shanghai.
The team at TCEB in Thailand continue their mission to diversify MICE activities outside of Bangkok adding two more cities to their priority list.
Hangzhou, 27th August: Shenzhen-listed Zhejiang Netsun, a B2B e-commerce platform, reported revenues of US$19 million in the six months ended 30th June 2020. This represents a year-on-year decrease of 13% compared with the same period last year. Profits in the six-month period also fell – declining 27% to US$1.7 million. Diluted earnings per share in the first half of 2020 were RMB 0.05 (US$0.0064).
The Hangzhou-based company’s management attributed the decreases in both revenues and profits to a weak performance on its sourcing and trading platform and to a substantial decrease in revenues from its exhibition business. Overall, management pointed to disruptions due to the COVID-19 pandemic as the primary cause of its poor results.
Hong Kong, 25th August: Earlier this week, Hong Kong-listed HC Group released its interim results for the six months ended 30th June 2020. The company’s revenues fell 27% in the first half of the year, down to US$705 million. The company also posted a large loss of US$40 million in the first half, compared with a loss of US$24 million in the same period last year.
Management attributed the decrease in revenues to the impact of the COVID-19 pandemic, which resulted in extensive nationwide disruptions to all of the HC Group’s business operations – especially its exhibitions and meetings activities.
Singapore, 18th August: Singapore Press Holdings (SPH), a media group, unveiled plans to restructure its media sales and magazines operations as part of its overall “media transformation roadmap.” Management also noted that the group’s advertising revenue has been significantly impacted by COVID-19 pandemic.
Beginning late last year, SPH’s management conducted a strategic review of its media business with the aim of providing SPH’s advertisers with more effective marketing solutions. In addition, according to the company, it has reviewed its costs, cut back on discretionary spending and instituted pay cuts for senior management (since the COVID-19 outbreak). Beginning in March, the company’s directors, the CEO and other senior managers took pay cuts of between 5% and 10%.
Hangzhou, 20th August: Last week, Alibaba Group, China’s largest e-commerce company, announced its results for the quarter ended 30th June 2020. The company recorded revenues of US$22 billion, up 34% year-on-year. Net income jumped 124% over last year reaching US$6.7 billion.
More than 86% of Alibaba’s total revenues were generated from its core e-commerce business amounting to US$18 billion. In terms of its B2B business, just 4.3% of total revenues were generated from Alibaba’s B2B platforms. Revenues from Alibaba’s China B2B business, primarily generated through 1688.com, grew by 16% to US$493 million; while the international B2B business, primarily from Alibaba.com, generated revenues of US$454 million, a 43% increase year-on-year.
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