PNA stays the course with America East as NAA fiddles with NEXPO

By the Pennsylvania Newspaper Association 


Several PNA staff members recently returned from NEXPO, the newspaper technology conference and trade show owned and operated by the Newspaper Association of America. The show was held in Washington, D.C., at the new convention center.

As many of you know, NEXPO has in the past been held in June, and usually in locations such as Orlando and Las Vegas.  
Two years ago, NAA announced that it would be moving NEXPO to the early spring, and moving it to more diverse locations. Under the new plan announced by the NAA, in each presidential election year, the show will be held in Washington, D.C.

We had many concerns about the impact that these changes would have on America East, PNA’s newspaper operations and technology trade show, and the New Media World Symposium. These two events are held together in late March every year at the Hershey Lodge and Convention Center in Hershey, Pa. America East is more than 50 years old and is one of the most valuable member services we provide, allowing newspaper management and staff to stay current on newspaper operations and technology developments in a cost-effective and convenient way.

Last year, we sold out the trade show floor with 131 booths, and had 35 new vendors. This represented a nine percent growth from America East, which topped 1,100 for an attendance increase of about 10 percent over 2003. Our vendors consistently report that America East provides them with more meaningful sales leads than NEXPO and that they value our show more than they value NEXPO, whose attendance has been consistently dropping in recent years while the cost to exhibit there has continued to rise.

As a result of NAA’s announced changes to its trade show format, we have worked closely with its staff to schedule the shows through 2012. However, NAA scheduled NEXPO in 2005 and 2006 without consulting us. Because of the popularity of the Hershey Convention Center, and the Easter and Passover holidays, we were unable to move our shows in those years. The dates for the two shows for the next eight years are:

We have studied this situation closely, and have analyzed all possibilities for both the short and the long term. Working with the America East Committee of the PNA, the America East Vendor Advisory Committee, the PNA Board of Directors and the PNA staff, we have concluded that the best strategy for America East at this time is to stay the course. Of course we are working closely with NAA and its NEXPO team, and have even created a joint vendor task force to work through the inevitable logistical difficulties in 2006 when the shows are two days apart.

Several vendors that exhibit at both shows recently expressed displeasure with the PNA’s decision to keep America East in the spring, and suggested that we move the show to the fall. Last week, just prior to the opening of NEXPO, we responded to these concerns in a letter outlining in detail the rationale behind our decision not to make any changes at this time.  

In a nutshell, we listed as reasons:

• IT IS PREMATURE TO CHANGE NOW. NAA has made many changes over the years. Some of these changes have enhanced while others have hurt NAA’s services and programs, including NEXPO.  It is likely that NAA will make even more changes to NEXPO. Until we see that NAA has finished its restructuring of NEXPO and its other events and can gauge vendor participation and newspaper personnel attendance at America East, we cannot even know what changes would be in our best interest.
  

• THE STRONG AMERICA EAST BRAND.  We have held America East in Hershey in the spring for almost 50 years. To alter that now would be a tremendous change to our “brand.” America East has consistently been a profitable, valuable show to our vendors, in large part because of the location and timing of the show. We need a lot more research to prove that we should move it and to what month, not a quick reaction that may not be warranted.
  
  

• AMERICA EAST ATTENDEES ARE NOT NEXPO ATTENDEES. Only 10 to 15 percent of the attendees at America East also attend NEXPO. America East by definition attracts a very different crowd than NEXPO, which is one of the reasons the show is successful for our vendors. Only 13 percent of our attendees are newspaper publishers and general managers. The majority of our attendees, over 70 percent, actually uses or supervises the use of the equipment and technology promoted by our vendors. These people can attend because our registration is inexpensive and Hershey is within a six-hour drive of about 60 percent of the population of the United States. While we know that our vendors are extremely inconvenienced by NEXPO’s change, we hope that the chance to meet newspaper personnel who actually use and understand the products will continue to be seen as an opportunity that is too good to be missed.

• MOVING THE SHOW TO THE FALL CREATES MORE CONFLICTS THAN IT RESOLVES. NAA’s own research showed that a fall newspaper trade show is less than desirable to both attendees and vendors. A fall show was in fact a distant second choice to a spring show. There are many other competing conferences and shows for both vendors and attendees in the fall. The largest is Graph Expo with PRINT every four years that in the coming seven years will be held at times between the second week in September and the last week in October. IFRA is another popular show for many of our vendors and is held each October.  The majority of America East attendees come from the five-state region of Pennsylvania, New Jersey, New York, Maryland and Delaware. All five of the state press associations from these states hold their annual conventions in the fall.  In addition, September and early October present conflicts with both back-to-school activities and the Jewish high holy days.

• THE NEWSPAPER BUDGETING CYCLE MAKES FALL AN INCONVENIENT TIME FOR A TRADE SHOW. Most newspapers budget in September, so a fall show puts vendors at a disadvantage for the actual follow up sales calls. The lag time in closing a sale resulting from a trade show lead may stretch from several months to over a year if the initial contact is made in the fall. Newspaper personnel may be less likely to attend if they know they cannot make an unbudgeted expenditure more than a year out.
  
  

• TOURISTS TRAVEL TO HERSHEY IN THE SUMMER. Many vendors have suggested moving America East to either September or June. Both of these times present a virtually impossible challenge if we want to continue having the show in Hershey. Hershey is a major tourist attraction in the summer. Hotels are sold out and the rates are more than double the early spring costs. Restaurants are packed with families, streets are busy and distractions are many! Even if we could get the space required and negotiate decent rates, many attendees will bring their families if the show is held in warm weather. This means that the very people vendors want to meet will be sprinting through the show in order to meet their families at Hersheypark or on the golf course. Vendors have always loved America East in March because there are no alternative activities for attendees – America East attendees are a captive audience.
  
  

• AVAILABILITY OF FACILITIES IN HERSHEY. Perhaps most importantly, any change in scheduling America East by definition involves the availability and cost of the Hershey Lodge and Convention Center. For example, alternate dates for 2006 were not available two years ago when we first learned of NEXPO’s change in plans. We also explored alternate dates for 2007, again with no feasible choices. Hershey is a popular spot for conventions and trade shows. And America East requires all of the Convention Center. In the prime early summer and fall months, the Lodge has many longstanding groups booked years in advance. We ourselves have already committed to future shows in Hershey through 2012 based upon future dates we have received from NAA. We have made every attempt to stay at least 4 weeks apart, whether we are before or after NEXPO.  As always, it remains important to schedule around Easter and Passover holidays as well as avoid the greatest threat of snow.

• INCREASED COSTS IN HERSHEY. Even if we could successfully book the Convention Center in the early summer or fall, there would be at least a minimum of a 30 percent and up to an 80 percent increase in overnight room rates. This significant increase adds to the costs for vendors as well as America East.  Our booth rental rates as well as our attendee registration fees would have to increase in order to cover speaker, staff and hotel costs.

• AMERICA EAST MUST ALSO FIT WITH THE PNA’S MISSION.  America East is owned by the Pennsylvania Newspaper Association, a not-for-profit newspaper industry trade association. Our members are the 330 newspapers in Pennsylvania. We co-market America East with the 15 other states surrounding Pennsylvania through the other state press associations. We do all of this as a service to newspapers. Newspaper personnel are more likely to attend a trade show in March than in June or September. Newspapers budgeting cycle makes March a good time for a show, as well. Newspaper publishers like America East and are willing to send their personnel because we have successfully contained costs and created a work-focused environment. Much of the character of America East would necessarily change if we moved the show. And many of our member newspapers would be less inclined to send its people. In the end, our job as owners of America East is to serve newspapers.

If you want more information on America East or on the situation with NEXPO, please feel free to email Melinda Condon, PNA’s Director of Meetings and Conventions at melindac@pa-news.org or Corinna Wilson, the PNA VP for Association Services and General Counsel at corinnaw@pa-news.org or Tim Williams, PNA President at timw@pa-news.org.