KBIS: Letter to Industry from ApplianceAdvisor.com
Submitted by advisor on Tue, 03/31/2009 - 11:43pm.
Really? You guys at Viking, Miele and Vent-A-Hood are going to cancel? Your message to the world is that you weren't bright enough to figure this all it in January when you could cancel for free, that you're not creative enough to make lemonade with the lemons you've been dealt, and finally that those of us who actually are going to plow through 2 days in Atlanta are not worth your time or consideration. THAT is a fantastic message! Stupid, uncreative, and disrespectful. We get it, it's tough all over, but 1/3 of your show budget was spent and gone.....GONE!!
Why don't you try another option, discussed on this site before: Take your spaces, dump the appliances, dump the walls and vignettes. Put in a few rented couches, tap a keg, pop some corn, show some Seinfeld episodes on the wide screen. If you get really excited, bring in one of your appliances from 1929, from 1941, from 1968. Bring in 3 or 4 people only: the CEO, VP of Sales, and VP of Engineering to pour drinks, chat with the folks, be friendly, answer questions. We all need reassurance right about now. Reassure us. Isn't that a better message to be tied to? How about: "it's bad out there, we're all hunkering down, but we will get through this together.....would you like another beer?"
UPDATE: April 1, 2009
This above note was written by ApplianceAdvisor.com without input from any other organization or individual. That said, "Dram", below has a point. We therefore retract "Stupid", and "Disrespectful", and apologize for using those words.
Related to Dram's comment that 1/3 is less than 3/3, 'tis true, but this is where creativity comes in. We provided one idea to economize, we imagine there are many other ideas short of a complete retreat.
In answer to Thor, it depends if we are in the business of selling products, or selling trust and building relationships. This industry has been ALL about trust and relationships. Those guys should be here building relationships. Love the sandbox idea though.
Alternating cities & shows
Alternating between Chicago and Las Vegas makes good sense. Both cities are popular venues for the customers, whose attendance afterall, is the whole point. But I still believe that KBIS & IBIS should also be consolidated, or at least put each show on alternating (every other year) schedules. Two shows in one year is too much. And, both shows typically draw the same exhibitors and customers. As a manufacturer, the only thing that kept me from alternating between those two shows was losing our seniority for booth space allocation. Consolidate the shows and attendance will not be n issue, even in hard times.
Excellent
Great idea Cohiba. We are formulating a new horizon I believe. Something that has common sense and the cost and people in mind.
KBIS 2009 R.I.P
I don't believe that you can condemn the companies that have recently withdrawn. They held out hope that the dire economic circumstances would ease and that KBIS would be a step towards a positive future. Not so, grasshopper. We were going to attend only because we were "invited" to. Our customers were not coming and it would have been the appliance industry equivalent to a "Sausage Party". These companies saved us and many other customers great expense by making this tough decision. I know that 2010 KBIS (or its replacement) will be a kickass show. There will be much to show, new relationships to build and hopefully the show's management gets the message that Vegas is the only spot for this show.
Vegas?
Vegas is the easiest into and out of, but Chicago has always seemed the most successful, and certainly has been the most pleasant. Orlando I can do without. Are you looking for a Vegas-only KBIS?
Vegas KBIS
if you try hard enough, you can justify anything. In this case, why try to find ways to compensate for a city's shortcomings when you can find it all in Vegas. It is easy to get in and out of, get around town and the facilites are tremendous. Gambling expense aside, I personally found Chicago to be more expensive to attend than Vegas. Some of y'all may take the perma-warm weather for granted, but we in the great white north, relish any opportunity to bask in the warmth emitted by the golden orb in the sky and in fact find a renewed energy when in Vegas. Several other show got it and make Vegas the permanent home. I hope the APPLIANCE SHOW follows suit.
Amen
Get your point.However it still is a group decision and there needs to be some balance.If you do not like the north and winter , move as I and my family did many years ago. I don't miss the cold and snow for a minute.
Re Amen
I'm staying up here for the hockey.............. (leafs miss the playoffs again). I hear Florida is going to secede and become Canada's 11th province.........at least for 6 months a year
Canada ?
What is a Canada ? What is it's relevance ? What are the Leafs ? What is hockey ? A game for east coast manic depressives ? I take that back beautiful girls go to Kings games.
In favour of Vegas ...
I'm in favour of Vegas as a permanent venue ... in Chicago the problem is transportation, where in Vegas there are always shuttles !!! A $10 to $20 cab ride to you hotel and if you've ever gone to CES you'd see just how fabulous a show could be !!! ... and they're supposed to be the biggest (@ least it sure feels that way !!!) ... If you're not a shuttle person, then book a hotel along the Tram and it's cheap & easy !!! PLUS, the dining opportunities in Vegas are within a $10 taxi ride ... try that in Chicago !!! I admit it, I think Vegas is the quintessential location for a show because they know how to handle one because they handle so many !!! Plus the vendors can use the show as a "perk" because everyone love to go to Vegas !!!
Slight Disagreement
The show still should be sensitive to both coasts. The Chicago venue is fine. Rent a car in Chicago and all your issues go away. Chicago has many fine restaurants and good people. The biggest issue is the union labor at McCormick Place in setting up the shows.
Don't Disagree, but ...
Stallion, I understand your contention but there are many other trade shows, from CES thru Clothing thru Auto Parts which have made Vegas their permanent home ... probably because of the aspects I mentioned earlier, but also because it is predictable, both weather wise and always having the ability to provide a wide variety of rooms @ different price levels ... Dining is the same way ... The airport could do a better job, but against O'Hare or MidWay it's a dream !!!
Yessss!!!!
I could live with that being on the west coast. I am not sure about everyone else.
Ode to Vegas
I love Vegas too. The smell of desperation, the homeless, and the history that goes all the way back to 1961. I gather there's some sort of oxygen shortage there though because so many people come bringing their own. Chicago is a real place. Don't you like real places with plenty of oxygen?
I can take Vegas every other year because it reminds me why I love civilization so much. If we must be in the west, isn't there anyplace more interesting? San Diego, Los Angeles, San Francisco, Portland, Seattle, Vancouver. How about Tijuana? That's pretty exciting around now. Even Sacramento would be better.
Sacramento?
Leave Sacramento out of this. And you can forget Frisco if you've got something against the homeless and forget L.A. if you like to breathe oxygen. Personally, I think oxygen is a bit overrated. Chicago may be a "real city" but it also comes with real snow, real wind, real flight delays and a real union that charges megabucks to screw in a light bulb in a booth. The nice thing about Vegas is that the Casino Buffets gave me an opportunity to eat at least one meal per day on the meager per diem that the company approved for expenses.
Point well taken ...
Cohiba, you make a viable point when discussing the union megabucks ... if there were to be an upstart Industry Show it would have to be @ a reasonable rate, in a desirable location, and one that is user friendly !!! That puts Vegas in the frontrunner position ... especially since, after being "dissed" by Obama, according to CNBC, they are interested in negotiating prices to get shows there !!! I'll bet they'd even do better for a longer-term commitment, even if it were conditionary !!!
Chicago
I remember one year watching the union workers build and install some items in the show and acting like they worked outside by spitting on the floor.Viva Las Vegas. You have me convinced .
Not really a dissing
Hi Bermuda,
You mentioned, before that Obama had "dissed" Las Vegas. I tracked down the information and here is what ABC News reported:
"During an Indiana town Hall meeting this week, Obama complained that companies that received bailout money should not take trips to Las Vegas or the Super Bowl at taxpayers' expense."
I don't believe this is a dissing. This is more of a "stop freaking wasting our money on indefencible boondoggles."
It was the perception ...
Hey Mate !!!
I agree that he said what you say, but shortly thereafter I saw an interview on CNBC of the Mayor of Vegas, and he complained bitterly that the public perception ... you remember that old adage that "perception is truth" ... and openly asked Obama to redefine his comments because he had caused a sort of guilt complex for any and all type of businesses holding anything from shows to conferences to earned junkets ...
About a month or so later was the report on CNBC which I alluded to in another post whereby they noted that "business" business was so off and there were so many cancellations of business related events that they were discounting between 40% to 60% just to keep them in Vegas !!!
I agree with Omaba's contention that ANY company who took taxpayer based bailout funds should not be using it for anything but to keep the business afloat, keep employees from having to be furloughed or fired, and begin the road back to viability ... he simply should have chosen his words more carefully, but you've got to realize that he has no business experience, so I guess it's understandable !!!
Defining Statement
Bob.. The statement goes this way."One's perception is one's reality". Nothing to do with the truth or we would have too many truths.I think Obama was attempting to tell the world that we have to change our ways when it comes to businesses who become irresponsible ,lose money and then take a bailout . Things can't be like they were. I have no problem with successful companies spending money and rewarding good efforts of employees that have profit attached to them as long as they are self sufficient. Our biggest challenge these days is honesty and integrety in our daily lives which include business. Far be it from me to judge others but I have seen way too much dishonesty that people were able to justify with their actions and take advantage of a court system that sometimes is too lenient and these sharks take advantage of. A lot of people spend their entire waking hours trying to figure out how to beat the system and get over on people. That is partially why we as a country don't look good right now with our capitalistic system. Ehtics are in a shambles with even more problems with mortgage companies still trying to take money from people even with new rules. Vegas is a fine venue. Whatever is evil or bad about Vegas people choose what they want to do. I know companies and other organizations who preach values and truthfulness in mission statements but they mold their actions and somehow define their actions as good when they are not the best of what was intended. It is when someone goes through a bad time that the real you comes out. I have seen too many real you's these past five years . Enough to choke a horse. I don't think Obama has all or any of the answers but we need to start somewhere .Right intentions have veered off course this past decade.
A Mouthful ...
You've said a mouthful, Mate ... and I agree with all of it !!! The guy has a bundle on his plate and he has little executive experience was all I was trying to point out !!! That, plus the fact that he has all sorts of political factions tugging @ him, it's astounding that he has been able to get anything accomplished !!! The best "litmus" test is that he has reduced the opposition to infighting !!! Trying to bring this discussion back to our Industry, it would be well for those of us who have the presence of mind to use the foibles of K-Biz this year to our advantage and seize the opportunity to bolster our Industry and the primary entity which drives the "K" in "Kitchen & Bath" ... fore without the appropriate appliances nothing could be anchored in either the Kitchen or the Laundry ... and that's my passion presently !!!
temper temper
Bermuda, Bermuda, Bermuda,
Should we agree with you and say, "if only we had a president with business experience.....like our last.....hmmmm.....ohhhh well shucks, maybe not"?
Or perhaps we should say, that Obama is a failure because he attempted to keep people from Las Vegas and YIKERS, he succeeded.
Of all the places in this great nation to worry about, perhaps Las Vegas, the third path to the pit of hell as foretold by Salzman from Accounting, not that there's anything wrong that, really shouldn't be front and foremost of our concerns.
Hmmmmmmmmmmm ...
Of course I'm not suggesting that GW was my idea of a President with business experience because he had none .... I actually thought our nation lost it's last best chance with Steve Forbes and the Flat Tax ... but then that would have handcuffed Congress and their spending !!! I just think that some forethought should have been given to affecting tax paying business entities like those in Vegas ... I also heard this past week that Hawaii is pretty ticked @ Obama for the same reasons as well !!! Once again, yes, Obama was absolutely correct to demonize any TARP taking company who uses ANY luxury location for junkets ... but those who didn't should be free from recrimination, nor public scorn, for holding events in places like Vegas or Hawaii ... or anywhere else !!!
Hmmmmmm. 2
I do think that each President we have had except for Nixon had the best of intentions for the people including George Bush. The problem becomes the people who work for/with him. Those are where the evil doers come in. A president can't be everything to everyone. Just like a company. Unless the President has directed it or had to sign off on something he may not be aware of it. When I became a president of a larger company I saw that first hand. Nobody was evil but you don't know everything that is happening ,even the way people are treated. That is why there needs to be some checks and balances but with the President of the United States we have no concept how big that job is.I can only think of Nixon who directed some crooked stuff to be done. Bush really was a good guy and others took advantage of him. We can talk about policies and so forth but generally if all of us who judge a president were as ethical as they all are we would be a better place for it.
Ya know ...
Ya know, I absolutely loved GW's father ... the worst evening of watching politicos was the night when he uttered those words that came back to bite him ... "Read my lips ... no new taxes !!!" ... then later on in his administration he was forced to reneg on that promise and it cost him the election ... When GW became President I was pleased that "Dear 'ole Dad" helped him surround himself with wonderful advisors, just as he had been ... but GW listened to the wrong people and for too long and lost me when he foresook Colin Powell and hung him out to dry ... Your point about a President and ethics is "spot on" ... GW just forgot Yogi's advice ... "When you come to a fork in the road ... take it !!!"
GW
The problem GW had was that he listened to people with a different agenda. Rumsfeld and Cheney felt and probably still feel they are above the law. When Colin Powell resigned he was the good soldier and said nothing. I think he should have exposed some of these people. Never again can we have a policy that says"you are either with us or against us " That is not what this country was founded on. People like Rove and others were really wrong for America. I am sure GW would do somethings different given the chance. Back to appliances. We have a great industry and maybe now it will turn around with some of the egos in check and we have a more stable and steady growth.Yogi Berra, what a spokesman. Remember cash is like real money !!!
Cohiba
I can live with Vegas. But for the eastern placed companies I would think Chicago is a real option. Maybe the show should be in late May or early June. That would solve the cold issue for the most part. Don't be so hard on LA. You can breathe here. Just a little too crowded for the show.
You are Crazy
The staff at the Advisor must have collectively slipped and fallen on the same patch of ice and hit their heads in the same spot. No oxygen ? What ? Vegas would cater to the show better than the other cities out here.Vegas has many good thing to offer. Golf , shows and good restaurants if you want to do the right things and it is generally warmer. I do agree Chicago is a real place. It is only three or four days for cryin' out loud.The homeless are out west because of the weather.
Vegas & Chicago
I think Vegas and Chicago alternating would work for all parties involved. Chicago is certainly a very fine venue. Vegas or even Phoenix would be a good spot out west.
Not everybody is sad...
The predictable collapse of KBIS is good news. Add to this mix the quick collapse of weak (or under-financed) appliance dealers and you can see the fantastic consequence of this crisis: cleaning up the dealership network and putting out of business small players. Nobody is crying.
Not So
It is not good news when anyone suffers from the loss of a job , their business or an industry suffers to this extent. Not everyone failing is weak or under financed. If you face the prospect of losing hundreds of thousands of dollars you also may close shop. Just because one has money does not mean they will gamble and continue to bleed green for an undisclosed period of time. Our economy grew too fast with phony equity and unfortunately the people really responsible for that will not suffer. They will go to Key West for the Show.There is a bankers convention there.
Money.
It is not about trust and relationships anymore. It is about plain old money. Most of the high end companies at some point drank the Kool Aid. This is not a "gotcha" but more of a stark reality. Some high end folks will disappear or be drastically downsized for a long time.The economy has caused this. The "mythical" high end consumer is being brought down to a more livable reality these days.It appears that the Whirlpools and the GE's get that more than the high end will give them credit for.
volcano
Money does indeed rule. All the Kool-Aid swilling has left some serious hangovers out there. Can't forget that the Whirlpools and GE's helped create the market for high end, basically by ignoring it too long and letting several little companies get a really strong toe hold, and get pretty big in the process. Will the big boys be so accomodating this time around?
No Way
Kona....Not if they can help it. They will do what is reasonably profitable for their organizations though. Having less competition is probably a song they would like to sing.To the good old days.
Whirlpool & GE
GE decided to have someone design and build their Monogram ranges (DCS) who then had to compete against their GE product at a higher price for the DCS brand. Whirlpool took the conservative approach because that high end would have to formulate enough for them to be more than a bleep on their sales chart.The smaller guys who started in the 80's grew through their collective roofs with no back up plan if the high end leveled off. Do the high end guys want to now build mid range or low end ? I don't think they know how to compete with the big boys who fundamentally have better engineering and more muscle with suppliers. Sub Zero will do ok because of their core business(refrigeration) but may have to down size.Viking has broken into the commercial brand but will also downsize. Dacor who grew strong in the 90's and then structured their organizational infrastructure beyond it's means will suffer the most but will have to downsize. No more building your way out of trouble with the slow development process. Very challenging. I hope they can figure out how to do that. Unfortunately that is the future for them all. Cutting back to some economic normalcy.
Letter to KBIS
Tend to agree with dram. I can't see how you could call Viking's, Miele's, VAH's and others' late decisions to leave the show disrespectful and stupid after all the support they have given KBIS over the years. The lateness of the withdrawals shows that they were reluctant to throw in the towel early as others have done in recent years, and were hopeful that the show organizers could find a way to draw a crowd in these tough times. I don't recall the early departees (like Sub-Zero and others) being branded as stupid and disrespectful by AA. Why the double standard AA?
Leaving money on the table is always painful, but a smart card player recognizes a losing hand and knows when to fold'em. I think the more interesting story here is that KBIS has not succeeded in maintaining their importance to these manufacturers. This is not something that has happened in the last 30 days. It's been brewing for a couple of years. Now that manufacturers are voting with their feet and saying "we no longer fell compelled to be here" for whatever reasons, it's up to KBIS to come up new compelling reasons to attract these manufacturers to come back in, and, perhaps more importantly, to attract their customers to the show (not just those from the immediate region of the show, but a wide national cross section). Show frequency, locations, logistics, promotion - all these areas need to be analyzed and improved upon.
Kona ...Agree
I tend to agree with you on this. Companies will cut their losses even if they lose something in the process. Most of the money is back ended and includes the cost of setting up and the people housing and food.It is rather a sign of the tough times.Maybe next year will be better.
A sandbox and a kegger
I'm having a kindergarten sandbox flashback - you know the one where Jimmy steals my shovel and I get very very sad. Now Viking pulls out of KBIS and I'm sad all over again. Maybe I'll feel better if I call Viking mean names like stupid and disrespectful. Fast-forward to my college years - I just got a C- on my Chem test and I'm pissed. I'm going to drown my sorrows in a keg of beer. Dude, Viking is having a kegger in their booth and I'm stoked! I know my Viking frat brothers will reassure me in my time of doubt. Tap that keg, I'm ready to party.
At least we can to enjoy
At least we can enjoy the Haier display and presentation. In addition, we have LG, GE, and the current king of the hill, Whirlpool! What more do we need? Forget the bloody swedes (they're only in this game to make money...who'd of thought?) and the norsemen from Mississippi. Life is good, the strong survive, start learning Mandarin, and lower your standards for the new age.
Letter to Industry
Sounds like these manufacturers were more than respectful. They waited, at great expense as you mention, to see if the attendees were going to be there. I am in a major market and can count all of those attending from here on two fingers. Blowing 1/3 the show budget is far less expensive than 3/3...These guys weren't stupid. They were hopeful. If you're going to blame anyone, point to those who pulled the plug early and, therefore, started the demise of KBIS 2009 by assuming you were not going to show up.They gave you ZERO respect...Oh, and if it is beer you're going for, did you honestly have to pay to fly to Atlanta to drink it? Don't they have beer where you live?