SUNRISE, FL — Martin Professional and High End Systems, two major lighting companies, have opted not to attend LDI 2007 in Orlando, and Vari-Lite has decided to decrease their presence. How does this affect audio? The recent addition of the ET Live "shootout" has drawn a fair number of audio providers to LDI. But trends seem to point to more companies looking for more cost-effective ways to reach customers directly. Events like Harman's recent "Road Shows" appear to be gaining traction while large trade shows are losing it. One national audio provider we spoke with said he expected both attendance and manufacturer participation to be down at this year's ET Live and added that he expected to see several trade shows fade away over the next few years. "For what it costs to do a big booth and demo room at a medium-to-large trade show a
manufacturer can do a lot of one-on-one, direct contact events throughout the year and around the country.
According to Gorm Teichert, Martin Professional's international marketing director, Martin has decided to focus on one-on-one customer contacts. Martin has indicated that they are not abandoning the annual show, but rather employing a biennial approach, attending every other year in Las Vegas. Martin already employs such an approach at Lightfair International.
Brian Friborg, president of Martin Professional, Inc., stated, "It is our belief that a more targeted effort towards our key customers will be of greater benefit than exhibiting yearly at LDI. We do plan to resume exhibiting at LDI in Las Vegas in 2008. With our name and customer base well established, we believe converting some of the large exhibition budgets into more personal, hands-on events and customer visits while giving our customers more dedicated attention will be of more value."
The Martin U.S. 2007 upcoming trade show and event schedule includes participation at Lightfair; Gentleman's Expo; Church Production/WFX; Lighting Super Saturday; Broadway Lighting Master's Classes; Creative Church Conference regional events in St. Louis, San Francisco, Cincinnati, Chicago, Toronto, Jacksonville, Asheville, Boston and New York; and architectural segment Open Houses in cooperation with Holophane in New York, Atlanta, LA, Chicago and Fort Lauderdale.
Vari-Lite's Rich Booth indicated that Vari-Lite would have a reduced presence at LDI, noting that they like the show, but that budget constraints and time of year led to their decision to have a reduced presence.
High End Systems also confirmed to PLSN that they would not be participating at LDI, either. Says High End Systems' Bill Morris, executive VP:
"During the past 18 months, High End Systems has redirected its promotional budget toward personal contact with its existing and new customer base by hosting an aggressive schedule of Open House events around the world. Technical training sessions have also been pumped up both at the Austin, Texas and Los Angeles offices, along with customized classes in specific markets in cooperation with its worldwide dealer network for geographic convenience.
"With the increased complexity and capabilities of the High End product line, specifically the digital and console product families, one-on-one interface and training is a much more efficient use of time and resources. The opportunity to demonstrate the product in a hands-on environment is invaluable.
"High End continues to exhibit at some of the more market-specific trade shows worldwide and will evaluate its promotional strategy annually."
In related news, Martin Professional has reported a DKK $18 million profit before taxes in 2006 (approx. $3.2 million), an increase of DKK 83 million over 2005 numbers (approx. $14.7 million). Revenue was up from DKK 955 million in 2005 (approx. $171 million) to a record level of DKK 1,027 million in 2006 (approx. $183 million), the highest ever as Martin generated new sales records in a number of geographical markets, among them France, Germany and Scandinavia. The year to year improvement in EBT was also the largest in company history and operating cash flow reached DKK 113 million (approx. $20.2 million), the highest level ever.
Martin attributes the increase to a more focused sales effort, combined with the successful launch of new products, such as the MAC 700 series and the new MAC TW1, as well as a generally greater propensity to invest in the market. The substantial profit improvement was driven both by the higher revenue and by reduced fixed costs.
