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Embrace The Evolution
WHO IS CHRIS KAPPES?
   Frustrated musician
   Marketing and Sales guy
   Account coordinator to president
   Kitzing: Form follows function
   George P Johnson: High design
           .
   Contempo: European design sensibility
   Sparks: Multi-dimensional environments
   Matrex: Blending art and science
WHAT HA I LEARNED?
       VE
Clients don’t want exhibits or events...

they want outcomes that exhibit/events create...

...for less
THE WORLD TODAY

  INDICATOR        VALUE
    Inflation    -2.8 (1/2010)

   GDP Growth        -0.7%

  Unemployment       9.5%

     Gold          $1101/oz

      Oil          $79/bbl

     Prime          3.25%
THE WORLD OF BUSINESS
“While uncertainty remains about the
expected pace of recovery, CEOs are
more optimistic that conditions will improve.”

- Vistage CEO Confidence Index
THE WORLD OF BUSINESS
THE BUSINESS OF MARKETING
   “The reality is that clients want more for less”
           - Publicis CEO Maurice Levy

   “The chief procurement officer has become more important than
    the chief marketing officer inside some companies”
           - Joanne Davis, New York business consultant

   “New business has been tough to come by, and dollars are thin,
    so agencies are saying ‘How do I find a way to stand out?’”
       - Aaron Magness, Business Development Manager, Zappos

   “Marketers have slashed the fees they pay by 5 to 30%”

   Real growth will come in 2011
THE BUSINESS OF MARKETING
THE BUSINESS OF MARKETING

  OLD MARKETING   NEW MARKETING

    Monologue         Dialogue

      “Push”            “Pull”

      1:Mass      1:1 / 1:Community
OUR INDUSTRY : PAST
   Big sea, many fish
OUR INDUSTRY : PRESENT
   Big sea, shrinking fish population, several big fish
MARKET SHARE
THE TRADESHOW INDUSTRY
THE TRADESHOW INDUSTRY
Blended profit of the 56 surveyed exhibit
companies between 2002 - 2007: 3%*


* According to the EDPA Economic Survey
THE TRADESHOW INDUSTRY

    Our industry is broken and
    demands reinvention
TRADESHOW INDUSTRY
VALUE PROPOSITION
THE BILBAO EFFECT                - FORBES.com




   82% of tourists visited the city solely to see and experience
   the museum

   Over $107 million spent around the city of Bilbao on
   accommodations, shopping, etc.

   Overall economic impact: $147 billion, which is
   equivalent to 4,415 jobs
CHALLENGES FORCE NEW WAYS
OF THINKING AND INNOVATION
OUR INDUSTRY : FUTURE
   Big sea, many fish must become codependent and
   innovate to survive.
FINDING THE BLUE OCEAN
   Unlock enterprise sales and value
WHO MATREX WAS
  Founded in 1987 by Jill Hebert with a $20,000 bank loan

  Largest WBE (Women’s Business Enterprise) Exhibit Agency in
  the nation; Top 500 in US

  Full service: Creative Concepting, Production, Management

  50 associates

  Entrepreneur of the Year Finalist (2005, 2006)
WHY WE ARE EVOLVING
   Commoditization of supply base

   Acute pricing and margin pressure

   Design is subjective

   Upfront creative investment continues to escalate

   Buyer sophistication
HOW MATREX IS EVOLVING

THINKING   FROM   Architecture           TO   Creating Outcomes

                                              Integrated offerings that are
ACTIONS    FROM   Creative Solutions     TO   quantified & guaranteed

 STAFF     FROM   Traditional thinkers   TO   Sales based / innovative

                  Traditional design          Diverse marketing and sales
PRODUCTS   FROM   builds                 TO   driven products & services
WHO MATREX IS
   Non-commission
   Agency mindset
   Incubator for business innovations
   Outsource low margin activities
   Builder of alliances and codependency
WHO MATREX IS
   LIVESCIENCE: Blending art and science
WHO MATREX IS
   USP: Performance Guarantee
CORPORATE MARKETING
   New website
CORPORATE MARKETING
        New advertising & thought leadership




Event Marketer Magazine Series




Procurement White Paper          Exhibit City News   WCEO Leadership Issue
NEW BUSINESS LAUNCH




                                             Engagement Activity            Post-show eBlast
 Tradeshow Booth




                                       Booth Attire



                   Event Sponsorship                       Interactive CD
2009 RESULTS: OPPORTUNITIES
   Web traffic: From 2,000 hits/month to 9,000 hits/month
   217% increase in pipeline projects
   32% increase in pipeline opportunities turned RFIs/design requests
   PerformanceScience exhibit at Event Marketing Summit generated
   nearly 100 engagements - all documented through data
   capture technology
   Invited to participate in 9 significant RFIs/RFPs
   so far this year, double any previous year in
   Matrex history
2009 RESULTS: RECOGNITION
   ABA’s 2009 “Stevie” Award Competition
         Winner for Best Overall Web Design
         CEO Jill Hebert, Finalist for Women In Business
         Finalist for Most Innovative Company of the Year 100
         (for companies with up to 100 employees)

   Named in Event Marketer’s IT List of Top 100 exhibit agencies
   DiversityBusiness.com recognized our success and
   WBENC-certified status by naming us among the top
   500 women-owned businesses in the U.S. in 2009
UNLOCKING YOUR ENTERPRISE
VALUE THROUGH INNOVATION


WHAT IS THE END-GAME?


                EBITDA?


       VALUATION?
GETTING THERE
   Define the following:
             How much risk do you want to take?
             How much investment can you afford to make?
             What is unique to your organization?
             What is your USP?
             What is your make or break?
             Where can you find the blue ocean?
             What are the risks in not changing/evolving?
             What is holding you back?
             What are the impediments to change?
YOUR SECRET SAUCE RECIPE
   Look underneath the hood
   Find your reason for being
   Build internal consensus
   Mobilize enterprise alignment
   Market the sauce
   Innovate now
   Build codependence
   Know the end game
   Stay focused
   Get lucky

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Embrace The Evolution

  • 2. WHO IS CHRIS KAPPES? Frustrated musician Marketing and Sales guy Account coordinator to president Kitzing: Form follows function George P Johnson: High design . Contempo: European design sensibility Sparks: Multi-dimensional environments Matrex: Blending art and science
  • 3. WHAT HA I LEARNED? VE Clients don’t want exhibits or events... they want outcomes that exhibit/events create... ...for less
  • 4. THE WORLD TODAY INDICATOR VALUE Inflation -2.8 (1/2010) GDP Growth -0.7% Unemployment 9.5% Gold $1101/oz Oil $79/bbl Prime 3.25%
  • 5. THE WORLD OF BUSINESS “While uncertainty remains about the expected pace of recovery, CEOs are more optimistic that conditions will improve.” - Vistage CEO Confidence Index
  • 6. THE WORLD OF BUSINESS
  • 7. THE BUSINESS OF MARKETING “The reality is that clients want more for less” - Publicis CEO Maurice Levy “The chief procurement officer has become more important than the chief marketing officer inside some companies” - Joanne Davis, New York business consultant “New business has been tough to come by, and dollars are thin, so agencies are saying ‘How do I find a way to stand out?’” - Aaron Magness, Business Development Manager, Zappos “Marketers have slashed the fees they pay by 5 to 30%” Real growth will come in 2011
  • 8. THE BUSINESS OF MARKETING
  • 9. THE BUSINESS OF MARKETING OLD MARKETING NEW MARKETING Monologue Dialogue “Push” “Pull” 1:Mass 1:1 / 1:Community
  • 10. OUR INDUSTRY : PAST Big sea, many fish
  • 11. OUR INDUSTRY : PRESENT Big sea, shrinking fish population, several big fish
  • 14. THE TRADESHOW INDUSTRY Blended profit of the 56 surveyed exhibit companies between 2002 - 2007: 3%* * According to the EDPA Economic Survey
  • 15. THE TRADESHOW INDUSTRY Our industry is broken and demands reinvention
  • 17. THE BILBAO EFFECT - FORBES.com 82% of tourists visited the city solely to see and experience the museum Over $107 million spent around the city of Bilbao on accommodations, shopping, etc. Overall economic impact: $147 billion, which is equivalent to 4,415 jobs
  • 18. CHALLENGES FORCE NEW WAYS OF THINKING AND INNOVATION
  • 19. OUR INDUSTRY : FUTURE Big sea, many fish must become codependent and innovate to survive.
  • 20. FINDING THE BLUE OCEAN Unlock enterprise sales and value
  • 21. WHO MATREX WAS Founded in 1987 by Jill Hebert with a $20,000 bank loan Largest WBE (Women’s Business Enterprise) Exhibit Agency in the nation; Top 500 in US Full service: Creative Concepting, Production, Management 50 associates Entrepreneur of the Year Finalist (2005, 2006)
  • 22. WHY WE ARE EVOLVING Commoditization of supply base Acute pricing and margin pressure Design is subjective Upfront creative investment continues to escalate Buyer sophistication
  • 23. HOW MATREX IS EVOLVING THINKING FROM Architecture TO Creating Outcomes Integrated offerings that are ACTIONS FROM Creative Solutions TO quantified & guaranteed STAFF FROM Traditional thinkers TO Sales based / innovative Traditional design Diverse marketing and sales PRODUCTS FROM builds TO driven products & services
  • 24. WHO MATREX IS Non-commission Agency mindset Incubator for business innovations Outsource low margin activities Builder of alliances and codependency
  • 25. WHO MATREX IS LIVESCIENCE: Blending art and science
  • 26. WHO MATREX IS USP: Performance Guarantee
  • 27. CORPORATE MARKETING New website
  • 28. CORPORATE MARKETING New advertising & thought leadership Event Marketer Magazine Series Procurement White Paper Exhibit City News WCEO Leadership Issue
  • 29. NEW BUSINESS LAUNCH Engagement Activity Post-show eBlast Tradeshow Booth Booth Attire Event Sponsorship Interactive CD
  • 30. 2009 RESULTS: OPPORTUNITIES Web traffic: From 2,000 hits/month to 9,000 hits/month 217% increase in pipeline projects 32% increase in pipeline opportunities turned RFIs/design requests PerformanceScience exhibit at Event Marketing Summit generated nearly 100 engagements - all documented through data capture technology Invited to participate in 9 significant RFIs/RFPs so far this year, double any previous year in Matrex history
  • 31. 2009 RESULTS: RECOGNITION ABA’s 2009 “Stevie” Award Competition Winner for Best Overall Web Design CEO Jill Hebert, Finalist for Women In Business Finalist for Most Innovative Company of the Year 100 (for companies with up to 100 employees) Named in Event Marketer’s IT List of Top 100 exhibit agencies DiversityBusiness.com recognized our success and WBENC-certified status by naming us among the top 500 women-owned businesses in the U.S. in 2009
  • 32. UNLOCKING YOUR ENTERPRISE VALUE THROUGH INNOVATION WHAT IS THE END-GAME? EBITDA? VALUATION?
  • 33. GETTING THERE Define the following: How much risk do you want to take? How much investment can you afford to make? What is unique to your organization? What is your USP? What is your make or break? Where can you find the blue ocean? What are the risks in not changing/evolving? What is holding you back? What are the impediments to change?
  • 34. YOUR SECRET SAUCE RECIPE Look underneath the hood Find your reason for being Build internal consensus Mobilize enterprise alignment Market the sauce Innovate now Build codependence Know the end game Stay focused Get lucky