I know what you are thinking: ‘here we go, yet another one-sided justification for yet another tobacco show.’

Well, you would be partially correct, this is a pitch for another tobacco industry trade show. Actually, a pitch for TWO tobacco industry trade shows, announced in October, 2010, held concurrently, and covering every aspect of this unique and dynamic industry. So not really a one-sided justification by definition. As for justification? Well, read on: you be the judge.

For many in the leaf, equipment, machinery, supplies and services (LEMSS) segments of the tobacco industry, the concept of having endless “shows” vying for attention and support is unappealing, not to mention unaffordable. But in some sense, the fact that a company is exhibiting at all is related to the limited number of avenues open to meet new clients in an industry that is constantly seeing mergers and acquisitions removing smaller players from the table and reducing the number of potential customers. There is a sense of “defensive” exhibiting, a fear that if you don’t show up, your competitor may and you could look weaker somehow. Consequently, the expectations of exhibitors are declining with every passing show. These days, if a visitor shows up and expresses a mild interest in what you might be exhibiting, this is now often counted as some measure of success.

So for LEMSS segments there would appear to be a lot of choice – some say too much choice – when it comes to exhibiting at tobacco trade events.

One concern is that as more shows proliferate, they tend to become smaller, attracting fewer exhibitors and fewer visitors because the focus of each event necessarily narrows, concentrating on the region, or even the country, or, in the case of Indonesia, on a specific segment (kretek). Consequently, the value to the exhibitors at some of these events can be minimal, and the expense, time and effort needed to participate is starting to come under increased scrutiny - at least in the LEMSS segment of the industry.

But in the tobacco products and accessories segment, there are some very successful shows, notably Inter-tabac, organized by Messe Westfalenhallen Dortmund, which is held annually in Dortmund, Germany, Over 32 years Inter-tabac has grown into the world’s largest tobacco industry event. It is owned and operated by a highly professional team and it is the largest trade fair worldwide for tobacco products and smoking accessories. It attracts German and European retailers as well as distributors, wholesalers and professionals from the supply and processing industries from all over the world. Widely respected, Inter-tabac exemplifies all that a successful tobacco products-related event espouses. Connections are established, contracts are drawn up, sales are made, and business is accomplished.

Isn’t that what exhibitors and visitors want from an event? Isn’t that what the organizers of a trade show should strive to provide for its customers? 

October Multimedia, the publisher of Tobacco Asia, certainly believes so.

With decades of experience living and doing business in Asia, Tobacco Asia’s management and editorial team, together with its Chinese partners, Tobacco China Online (www.tobaccochina.com), have been serving the Asian tobacco industry since 1997.

For many years, the team has noticed that all the tobacco trade events in Asia tend to be directed towards the machinery, equipment, leaf, supplies and services segment. This is a logical segment for the organizers, all tobacco machinery, equipment, supplies and services trade publishers, to target. They don’t “do” finished products and accessories; they don’t know who the distributors are, or how the distribution networks operate in the region, so these segments are ignored.

But at most of these shows, in Asia and elsewhere, there are typically some tobacco product and accessories companies exhibiting. While the events are not actually targeting this segment, there are very few other avenues open to manufacturers to display their products to potential trade buyers. Unfortunately the majority of visitors and exhibitors at these events are not finished product buyers, which explains why so many are disappointed in the results they obtain.

Clearly, what is needed is an event at which all segments of the industry are represented, broadening the scope and increasing the opportunities for all segments of the industry to meet, trade, network and do business.

And that is what the industry now has coming. 

As announced in October, 2010 (yes, we were the first to announce a tobacco industry show for 2012), from March 15-17, 2012, ProTobEx ASIA and Inter-tabac ASIA will have their first outing in Manila, Philippines. Two separate, complimentary shows, held under the same roof, that between them target all aspects of the tobacco industry, side-by-side, both operated by highly-respected, very experienced and professional international marketing expeditors for the tobacco industry.

This is an event where exhibitors can find potential customers or suppliers on the other side of the floor. Finished product and accessories manufacturers exhibiting in the same arena as suppliers of machinery, equipment, supplies, services and leaf. 

The possibilities are endless, the opportunities boundless.

This is the game changer. An event with integrity, owned and managed by the people best suited to provide the international tobacco industry with genuine value.

In Manila, from March 15-17, 2012, at the Philippine International Convention Center, The international tobacco industry will at last have an opportunity to come together in a secure, friendly environment and do business at Inter-tabac ASIA and ProTobEx ASIA. 

And yes, thank you for smoking at the shows. 

Financial imperative So why are there so many tobacco trade shows owned by trade publications? Basically, a triumvirate of “international” magazines (those reporting on and for Western markets) are all competing for a share of the advertising budgets of an ever-decreasing pool of prospective customers. The problem is, publishing is not an especially profitable business to start off with. In the tobacco industry, there are several magazines all competing for the same advertising dollars. And in the case of the three “international” magazines involved with tobacco trade shows, there is very little, if any, money left over after producing each issue – particularly if, as is common practice, you are charging many of your customers US$1,000 or even less for a full page advert. They are competing head on in the same, western, markets of course. None of them can afford to actually distribute in any significant numbers to Asia, other than to advertisers, and none of them have representation, editorial or sales, based in Asia. Add up the ads and pro-rate the income. After those pesky printing costs, and those even peskier distribution costs, not to mention contributor fees, administration, editorial and graphic staff, office rentals, travel costs – how could any of these magazine actually make a profit? In fact, they probably don’t, even after cutting corners on print runs and distribution, using internet hits as a substitute for actually printing copies, for example. So hosting as many even marginally successful shows (in terms of space sales) as possible is an imperative, an essential part of the game plan, and vital for the survival of the members of the triumvirate. “The Show” is the only logical cash cow product available to them to allow them to subsidize their publication arm. So each of the Triumvirate publications now operates or partners with shows, most in the small to smaller range. Interestingly, two of them have not hosted events on their own continents, where they may be expected to have a better understanding of the markets they are supposed to be serving, for many years now - if in fact they ever did.