1. EventView 2007: North America David M. Rich Senior Vice President, Strategic Marketing/Worldwide George P. Johnson

2. Table of Contents • Study Overview • Key Macro Trends In Event Marketing • North America Findings • Questions • Take-Aways • Conclusions, Opportunities, Recommendations

3. Why identify trends? Are you a person who tends to: • Move early by seeking the opportunity to define what’s happening? • Move cautiously by watching what’s happening and jumping in when things reach critical mass? • Move reluctantly leaving you to wonder what happened?

4. Study Overview • Annual, global and first-of-its-kind study of event marketing trends across industries and geographic regions • Launched in 2002 by George P. Johnson (GPJ), EventView is the longest –running study of the event marketing industry • Co-sponsored by MPI Foundation since 2003 • Co-sponsored by the Event Marketing Institute first time in 2007 • Currently in it’s 6th year reporting on the perceptions senior level executives have of event marketing • US respondents surveyed earn upwards of $200 million in annual revenue with over 49% of US based respondents representing companies that generate over 1 billion in revenue • Worldwide respondents earn upwards of $100 million annually • Aligns with MPI Strategic Plan

5. Survey Demographics

6. Key North America Trends in Event Marketing

7. Key North America Trends in Event Marketing2003 - 2007 Key Take Away: Key indicators show that although event budgets have fluctuated some what, event marketing’s proportion of the overall marketing budget has increased.

8. Key North America Trends in Event MarketingImplications • Overall, the percentage of respondents who perceive the future importance of event marketing to be increasing has remained optimistic across the history of the study • The percentage of respondents expecting their event marketing budgets to increase has seen some fluctuation over the years • 2007 sees only a slight decline in budget projections from 2006 • This may correlate to tightening marketing budgets and not necessarily a decline in the perception of event marketing’s value to the organization • Event marketing’s proportion of the overall marketing budget is a clear indicator of an industry that is gaining ground and maturing

9. Key North America Findings

10. Marketing Concerns • Thinking about your current marketplace, what would you say is your primary marketing concern today? • Measurement of return on marketing investments • Re-engineering the marketing mix to improve performance • Reaching new customers • Keeping loyal, profitable customers • Growing market share profitably • Maximizing sales in emerging markets • Building brand awareness

11. Companies’ Primary Marketing ConcernNorth America Key Take Away: 25% of respondents said their most important marketing concern was reaching new customers. Reaching new customers has been the primary concern among respondents for the past two years.

12. The Role of Event Marketing • In planning a marketing campaign, what best describes the role of event marketing? • A Lead Tactic • A Vital Component Of The Plan • Taken Under Consideration With Other Mediums • Usually An After Thought

13. The Role of Event MarketingNorth America – 2005 - 2007 Key Take Away: Over time, consideration of event marketing as part of the marketing campaign has steadily increased, indicating broader awareness and acceptance of it’s significance in the marketing mix.

14. The Role of Event Marketing • What percentage of the marketing budget is spent on events?

15. Event Marketing’s Share Of The Marketing BudgetNorth America -2004 – 2007 Key Take Away: Event marketing’s share of the marketing budget in North America is at an all time high at 27%.

16. Importance of Event Marketing • How do you estimate the future importance of event marketing for your organization? • Increasing Strongly • Increasing • Remaining Constant • Decreasing

17. Future Importance of Event MarketingNorth America 2004 – 2007 Key Take Away: Historical growth and optimism about the future importance of event marketing continues among North American respondents.

18. Marketing Budget Allocations • What types of external events currently account for the majority of your event budget? • Mall Marketing • Guerilla Marketing • Sports / Entertainment Sponsorships • Road Shows & Mobile Marketing • Conferences & Seminars • Trade Shows • Grassroots Campaigns • College Marketing • Nightlife Campaigns

19. External Event DistributionNorth America – 2004 - 2007 Key Take Away: Since 2004, trade shows and conferences account for the majority of the event budget.

20. Marketing Budget Allocations • If you have experienced a budget increase, where will the extra dollars go to? • Event marketing • Print advertising • Broadcast advertising • Sales promotions • Public relations • Web marketing • Direct mail

21. Budget Increase AllocationNorth America vs. Worldwide 2007 Key Take Away: Event marketing gains the most from shifting marketing dollars.

22. Marketing Budget Allocations • If you have experienced a budget decrease, where will the dollars come from? • Event marketing • Print advertising • Broadcast advertising • Sales promotions • Public relations • Web marketing • Direct mail • I have not experienced a budget increase

23. Budget Decrease AllocationNorth America vs. Worldwide 2007 Key Take Away: A significant 51% of worldwide respondents indicate that the print advertising budget will be the first affected by marketing budget cuts . Event marketing and print advertising budgets are affected equally among North American respondents (35%).

24. Return on Investment and Demand Generation Leadership • Of the following marketing elements, which would you say provides the greatest return on investment? • Direct Mail • Web Marketing • Public Relations • Sales Promotions • Broadcast Advertising • Print Advertising • Event Marketing

25. The Greatest ROI in MarketingNorth America – 2004 - 2007 Key Take Away: Event marketing is perceived by this audience to provide a higher ROI than broadcast advertising, by a factor of five.

26. Return on Investment and Demand Generation Leadership • Why does event marketing provide the greatest ROI? • It can be measured • Minimal investment for highest exposure? • Wide exposure? • In person contact? • Reaches a targeted audience? • Builds new contacts? • Primary source of information? • Number of people reached?

27. Why Event Marketing Provides Greatest ROINorth America vs. Worldwide 2007 Key Take Away: 51% of North American respondents (67% worldwide) consider event marketing to provide the greatest ROI because it includes opportunities for in-person (face to face) contact.

28. Return on Investment and Demand Generation Leadership • What external events provide the greatest ROI? • Nightlife Campaigns • College Marketing • Grassroots Campaigns • Mall Marketing • Guerilla Marketing • Sports / Entertainment Sponsorships • Road Shows & Mobile Marketing • Conferences & Seminars • Trade Shows

29. ROI of External EventsNorth America – 2004 - 2007 Key Take Away: The perception that trade shows provide the greatest ROI continues to increase.

30. ROI of Internal EventsNorth America – 2006 - 2007 Key Take Away: Education training and sales / marketing meetings are considered to provide the highest ROI of all internal events

31. Use of Measurement • How many do any event measurement?

32. Measurement in Event MarketingNorth America - 2005 - 2007 Key Take Away: The percentage of North American respondents who reported that they measured in 2007 decreased 11% from 2006 but is 12% higher than respondents measuring in 2005.

33. Budget Allocations for MeasurementNorth America – 2004 - 2007 Key Take Away: Budget allocations for measurement are at an all time high

34. Measurement Focus • What are you measuring? • Number of qualified leads? • Learning impact? • Media impressions? • Overall experience satisfaction? • Attendance? • Quality of leads? • Sales increase? • Overall communication effectiveness? • Change in brand perception? • Other?

35. Measurement TopicsNorth America 2006 - 2007 Key Take Away: The leading category of measurement for North American respondents was quantifying the number of qualified leads (42%).

36. Measurement Impacts Event Marketing BudgetsNorth America 2007 Key Take Away: Among North American respondents, companies who measure are nearly 2 times more likely to expect increases in their event marketing budgets than those who don’t measure.

37. Awareness of Experience Marketing • Which of the following statements best describes for you the term Experience Marketing? • An event where an audience has the opportunity to interact with a company's product/service • An event where an audience has the opportunity to interact with a company's product/service and its brand • An integrated interaction with a company's product/service and its brand before, during and after event(s) through the combination of media • Other

38. Perception of Experience MarketingNorth America 2006 - 2007

39. Experience Marketing at WorkNorth America 2007 Key Take Away: Building awareness is most frequently sited as the primary marketing objective experience marketing is used to support.

40. Transition to Experience Marketing • How quickly are you transitioning? • Not at all? • Don’t know? • In the next three months? • In the next six months? • In the next twelve months?

41. The Transition to Experience MarketingNorth America 2007 Key Take Away: North American respondents continue to plan for swift transitions of their event marketing initiatives into experience marketing efforts.

42. Procurement Influence • To what degree does your procurement or purchasing department influence the selection of an event marketing provider (1=low, 5=high)?

43. Procurement InfluenceNorth America 2005 and 2007 Key Take Away: Respondents’ perception of procurement’s influence on the selection of event marketing providers was slightly higher in 2005 than 2007

44. Procurement Influence • Would you say the influence of procurement or purchasing in the selection of a provider is: • Increasing Strongly • Increasing • Constant • Decreasing

45. Procurement InfluenceNorth America 2005 and 2007 Key Take Away: The percentage of respondents that perceive procurement’s influence to be increasing has risen somewhat since 2005.

46. Green Initiatives Implementation • When do you plan on implementing green initiatives within the event function? • No current plans • Do not know • In the next three months • In the next six months • In the next twelve months

47. Green Initiatives ImplementationNorth America vs. Worldwide 2007 Key Take Away: 34% of North American respondents will be implementing green initiatives within the next 12 months.

48. Green Initiatives • Why is your company implementing a green initiative? • Corporate responsibility mandate • Cost savings • Gain a competitive advantage • Win or maintain customer loyalty • Don’t know

49. Green InitiativesNorth America vs. Worldwide 2007 Key Take Away: Of the North American respondents who indicate that they will implement green initiatives, 50% will do so as a result of corporate responsibility mandates.

50. Key Take Aways