Getting to grips with a local affair

The Malta International Trade Fair did not provide an overall satisfactory result for those members of the business community who exhibited their wares at the new venue in Ta' Qali. There were 174 exhibitors, fewer than in recent years, possibly due to the higher cost of renting space at the Ta' Qali venue. Quite a number of leading importers and distributors opted not to take part in the fair, some of them discontinuing a practice they started several years ago.

They preferred to parallel the fair with exhibitions and discounts in their own showrooms, in various cases adjusting and extending opening times to partially match those of the trade fair. It is not known how well or otherwise such businesses that went solo did.

A survey was conducted by the research unit of the Chamber of Small and Medium Enterprises - GRTU in the fair aftermath on those who did exhibit at the formal Ta' Qali fair. Around 97 of the 174 exhibitors responded to the survey. As many as 48 per cent of those respondents said they had fared worse than they did last year.

Reacting to that indicator the fair organisers suggested that the downturn was due to a number of factors, among which was the new venue for the event. A significant bit of information was that visitors totalled as many as 30,000 less than a year ago. A number of factors, coupled with the new venue, contributed to the decrease in visitors and the drop in business reported by so many of the exhibitors.

Among those who said they had done worse than last year, a number articulated what they perceived to be the causes for the decline. They pointed to the lower attendance, which some linked to the new venue, parking conditions and the hot weather. Others opined that potential customers have less spending money, in view of the water and electricity surcharge.

There were also respondents to the survey who felt that negative advertising by those businesses that decided not to participate in this year's trade fair had turned people away from the fair. This factor was expressed in better terms by businessmen who were quick to recognise that competition has been intensifying, even though the public will not fail to observe that EU reports still suggest that various products cost more in Malta than in other parts of the Union.

It is not easy to accept as final the factors identified by exhibitors whose results were not as good as, or worse than, at last year's trade fair. As many as 36 per cent who responded to the GRTU's survey said that their sales had equalled those of last year. More significantly, another 16 per cent reported they performed better.

These 52 per cent of respondents were not immune to the comparative early disadvantages of the new venue, fewer visitors, the heat, reduced purchasing power, competition from the internet and the way non-exhibitors promoted their offerings.

That notwithstanding, they turned in a reasonable performance, or better. To add a touch of confusion to confound the pessimists those who reported an increase in sales said there was a rise in demand for their products and the venue was better. Others reportedly said they had a bigger stand, that there was less competition and that their stand was well placed.

It should not escape anyone that among those who felt satisfied with the outcome of the fair there were some who claimed this was due to the fact that they had advertised more. The power of advertising - not only in terms of volume, but particularly in quality - cannot be understated in an era when consumers are bombarded with a wide-ranging choice.

The organisers will surely be taking into account other views expressed by exhibitors. Some 43 per cent of respondents to the survey said the venue was worse than the Trade Fair Grounds in Naxxar, but obviously there is no going back there. On the other hand, 37 per cent said Ta' Qali was better and 20 per cent saw no difference. Some complained about the management of the new venue and about the entertainment offered. There was also a view that the opening times should be changed and the trade fair should open later and stay open longer in order to beat the heat.

Conflicting reactions and opinions abound in all spheres. GRTU director general Vince Farrugia came to the right conclusion when he reacted that the performance of the exhibitors this year was difficult to measure and compare because of a number of new aspects that were not there in previous years.

The new location, the new design of the stands, the fact that part of it was air-conditioned and the parking difficulties experienced by some made it a different trade fair to previous years, he said.

MFCC chairman Paul Abela opined that being the first time in a new venue with a new concept, 70,000 visitors compares well to the 100,000 who visited the trade fair in previous years. He said the exhibitors who participated this year did not even expect such a good turnout.

The figure also compares well, considering the 50 tumoli less of exhibition space at Ta' Qali, he said. Mr Abela expressed confidence that next year's trade fair will be bigger and better.

A question nobody asked but which could do with an answer is whether the trade fair has any relevance in an international context. Over the years an underlying objective has been to make the fair a launching pad for exports.

That objective has never been approximated, let alone reached. The fair does include an opportunity for local producers of import substitutes to promote their output to Maltese consumers in an intense manner. Otherwise it is essentially a showground for imports.

It will continue to be organised, and the Ta' Qali venue could catch on. But at least, drop the "International" appellation and call the local affair by its proper name.