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2011 “State of the Company” Letter from Kevin Carty

January 11th, 2012 Mel White COMMENTS

Kevin Carty, VP of Sales

Happy New Year! Hope you had a great Holiday Season.

Classic Exhibits Inc. and its divisions continued to rebound in 2011, after showing solid increases in 2010. Across the board, volume grew from 22 to 33 percent, depending on the division. Most refreshing, we saw no single trends, meaning our sales came from kits and custom, rentals and extrusions, and trade shows and retail. Nearly every week we were surprised by interesting projects that challenged and stimulated us.

New Systems Released

SEGUE Sunrise Trade Show Display

SEGUE Sunrise Portable Hybrid

Most new kits were based on MODUL TSP extrusions, which use silicone edge graphics. SEGUE Sunrise is a good example. Released in early January 2011, the Sunrise was one of those product releases you dream about. While it wasn’t the first SEG backwall on the market, it was the first to get it right from assembly to packaging. The Sunrise assembles without tools on both the single and double-sided versions and packs in die-cut foam packaging. Much like the Sacagawea and the Perfect 10, the Sunrise addresses a specific price point while not sacrificing design or value.

We introduced several iPad solutions as well. These have done well. If you haven’t seen them, I would encourage you to add them to your arsenal:  the MOD-211 iPad Counter Insert and the MOD-1276 Kiosk.

Design Monday Anniversary

In February 2011, we celebrated the 6th Anniversary of Design Monday. Kudos to Mel White, Mike Swartout, and the Classic Design Department for creating a marketing broadcast that transformed Classic and made a difference to our distributors. Other manufacturers shared their designs, but Classic made it a weekly feature. You can imagine the discipline it takes to create three new designs each week, but it’s that discipline that sets Classic apart. It forces us to never be complacent about innovation.

Exhibit Design Search/Website Changes

ClassicMODUL Aluminum Extrusions for Trade Shows

NEW ClassicMODUL Website

If you were watching closely, you saw lots of tweaks to Exhibit Design Search. We upgraded the UI, reorganized the galleries, finessed the Design Descriptions, and added 30 second audio clips. All that in addition to daily photos in P5D, new kits, articles, FAQ’s, and bi-monthly specials.

The ClassicMODUL website changed dramatically, www.classicmodul.com. If you haven’t been there recently, we encourage you to take a tour. The extrusion galleries are much easier to navigate. We’ve added a legend showing which depots have which extrusions, and (my favorite), the MODUL 6.0 Index can be viewed via Page Flip software. It’s pretty cool. As a reminder, we encourage you to contact ClassicMODUL when you need aluminum extrusion for designs you are constructing yourself.

Distributor Events

Historically, we have always been eager to participate in Distributor Events, such as open houses and training. There was a lull in those events during the recession, but 2011 saw a resurgence. We partnered with several Distributor Open Houses and Marketing Events. We applaud those distributors who took the time and effort to organize in-house activities. A special shout out to Atlantic Exhibits for their two ExhibiTrends events. Excellent turnout and they both ran like clockwork.

Alternate Markets

Like many display shops, retail and museum jobs have always been part of the mix. But this year we really pushed that envelope. Projects included studio set work for several television networks, a flagship store for Comcast Xfinity, retail fixtures for an athletic apparel company, and my favorite, building a museum onsite at a music festival celebrating the 20th anniversary of the band Pearl Jam.

These projects and many others were learning experiences that opened doors for Classic and our distributor network. We expect the trend to continue in 2012. In fact we started off the New Year with an in store display celebrating the Rose Bowl Victory for the Oregon Ducks. This display was designed to hang in a storefront of the flagship NikeTown store in Portland. Pretty cool.

VK-5077 Trade Show Island

VK-5077 Island Exhibit

Islands are Back and Better than Ever

Islands are back and not just those with meager budgets. Well thought out, design-centric islands with realistic budgets are growing and a clear indicator of the “paced” economic recovery.

Internally at Classic, Exhibits NW and ClassicMODUL

Mel and I have always bragged about the great family atmosphere at Classic. In 2011, as we grew, we added employees to that family. And our employees did their job preparing for Classic’s employment needs in the future. At least five newborns were born.

Exhibits NW added folks to the Classic Rental Division. They have been wonderful additions who fit the culture and work ethic. I know I speak for Jim Shelman when I say how happy and thankful we are for the talents they bring to the company.

We expanded the Customer Service Department, adding two new FT positions to Set-up Instructions. We have consistently gotten high praise for our personalized set-up instructions, and Jeff and Pavel made them even better. Great job guys!

The Classic Production Department has grown as well, as business grew through out the year. They have all proven to be very talented additions who we hope will remain in the Classic Family for many years to come.

Thanks to the Staff

MOD-211 iPad Counter Insert for Trade Shows

MOD-211 iPad Counter Insert

I wanted to say a special thank you to the Classic Exhibits, Exhibits NW, and ClassicMODUL staff. As always you make Classic . . . well, Classic. I appreciate all that you do to keep our customers and their customers happy. This past year, like many before, we celebrated many double-digit anniversaries at Classic. It always chokes me up when we celebrate anniversaries once a month. Usually there are several folks who are celebrating 8, 9, 10, or even 12 years at the company. Thank you for your dedication and your hard work.

On a personal note many of have asked about my travel schedule. I have stopped traveling for the most part with the exception of industry events like EXHIBITOR, EDPA, and The Randy Smith Memorial Golf Classic. Except for a rare trip here and there, I have chosen to stick closer to home. And to be honest I am really enjoying it on a personal and professional level. I like being in the office every day and having more time to run the business with Mel and our management team. And I love being able to come home to my beautiful wife and two five year olds each day.

Having said that, I know this leaves a void in visits to you. For that I apologize. We expect to add to our outside team this year, sooner rather than later, to complement the great work that Mel and Reid have been doing. I look forward to updating you on this in the coming months. And certainly look forward to seeing you all in Las Vegas at EXHIBITOR 2012.

Speaking of additions, I want to welcome to the Classic Family a new Designer. Katina Rigall starts on January 16. She is a talented and much needed addition to the Classic Exhibits Design Department. I know I speak for Mike when I say, “We can’t wait for your arrival Katina.” 🙂

I hope you have a very successful 2012 and that we continue to be a part of it. Thanks for all your support and business over the past year. We really, really appreciate it.

Thanks,

–Kevin Carty

http://twitter.com/kevin_carty
http://www.linkedin.com/pub/kevin-carty/3/800/32a

*********************************

Based in Portland, Oregon, Classic Exhibits Inc. designs and manufacturers portable, modular, and custom-hybrid exhibit solutions. Classic Exhibits products are represented by an extensive distributor network in North America and in select International markets. For more information, contact us at 866-652-2100 or www.classicexhibits.com.

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Word on the Street — December 27th thru December 31st

January 2nd, 2011 Mel White COMMENTS
2011 Trade Show Predictions

Word on the Street by Kevin Carty

Out with the Old and In with the New

This past week was filled with a flurry of new (albeit last minute) orders and lots of quote requests for the New Year. It was a promising sign heading into 2011.

Around Classic, talk was about what to expect in the first quarter of 2011 . . . internally and externally.

Mel and I have been in full blown planning mode for the past eight weeks, and this past week was no different. We have many things on tap for 2011, especially the first quarter. Along with the recent launching of the new SEGUE Sunrise, we are launching new variations of existing systems as well as multiple Island exhibits that reflect current “minimalist” trends and the growth of silicone edge graphics.

Along with that, we are refining our internal “customer experience.” Some examples include setting better expectations to make the overall process more predictable. The advent of tighter time lines, which have become the new “norm,” bring new challenges to our process. I am personally addressing many of these not only for you but also for our internal Project Management and Production Departments.

Pricing will receive some attention in the first quarter of 2011 as well. As many of you have probably seen in the financial markets, aluminum and plastic prices have slowly been on the rise. Does this mean an increase is pending from Classic Exhibits and ClassicMODUL? Yes in part, but we have been looking at more creative buying practices to control costs, so it will not be an across the board price increase. You will actually see some price decreases as well.

In the next few weeks, I will publish my Annual Company Letter. I am currently working on it and do not know the exact release date, but it will be in January.

I hope you and your families had a safe and happy New Year’s celebration. Be well.

–Kevin Carty

http://twitter.com/kevin_carty
http://www.linkedin.com/pub/kevin-carty/3/800/32a

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Word on the Street — December 6th thru December 10th

December 12th, 2010 Mel White COMMENTS
2011 Trade Show Predictions

Word on the Street by Kevin Carty

Industry Predictions 2011 — Part 2

First let me say, “Hello!” With vacation and the holiday, I have been gone recently and have not blogged for several weeks. But I am back in the office now, and I would like to dovetail on Mel’s entry back in mid-November regarding 2011 industry predictions. So here are my thoughts . . .

To say that the past two years have been a bit nutty would be a gross understatement. At Classic, we have seen strong months that have been off the charts followed up by months where I was left calling the local phone company just to see if the phones were broken.

But this fall (September thru November) has left me very hopeful for 2011. November, for example, was our best November ever. And the quoting activity in September, October, and November has left me very optimistic. People are “planning” rather than “reacting.” We’re seeing people preparing weeks and months in advance rather than holding onto their dollars until the last possible minute and buying in a reactivate mode weeks before their show. This is a great sign!

Islands are back! They are not back to 2008 levels, but we are seeing a normal mix in our quoting and sales process. Most are more than simple islands that carry little detail or flash. They are more elaborate, and the budgets have been healthy. All in all, we’re witnessing the “first-steps” in the rebuilding of exhibit programs for corporate exhibit clients. In early 2011, we will be introducing a series of modular island concepts which we’re very excited about. As this market expands, we want to ensure that Classic Distributors have the tools to capture more than their share.

SEGUE Sunrise VK-1905

Hybrids, Hybrids, Hybrids . . .  they are not going anywhere and are clearly here to stay for years to come. As a company, we are equipped more than ever to handle all requests. Whether it is for a starter client that has $3000 to spend on a 10 x 10, $15,000 to spend on a 10 x 20, or a seasoned client that has $10,000 for a 10 x 10 or $25,000 for a 10 x 20.

We have seen business increase across our entire hybrid lines from Sacagawea to Visionary Designs. We expect the SEGUE line to be particularly strong over the next 12 months as Silicone Edge Graphic solutions become even more popular. The SEGUE Sunrise, introduced in this week’s Design Monday, is a great example of how you can compete at the entry level with a portable, well-engineered, and smart “no tools” hybrid solution. It’s unlike anything else on the market, and we expect Classic Distributors will find an enthusiastic audience for these portable hybrid kits.

Sustainable (Green) Exhibits. This was treated as a clever marketing term two to three years ago. A fad if you will. But believe me when I say that eco-friendly exhibiting is not a fad. It is real, and there is a large market for it. We have seen the price for materials adjust down. The exhibits are now a financially viable option for those companies with green exhibit initiatives. The Eco-systems Sustainable brand experienced solid sales increases in 2010  as companies have increased their marketing budgets. The potential leading into 2011 is larger than ever.

The ClassicMODUL Aluminum Extrusion team has spent a lot of time, energy, and resources reaching out to alternative markets over the past two years. Those efforts have begun to payoff as budgets have slowly started to come back. I expect that the ClassicMODUL division will experience significant growth in the retail, POP, and architectural markets in 2011.

At the end of the day, I am more than hopeful for 2011. Will there be an immediate return to 20 to 30 percent annual growth? No, and it would be foolish to expect that. There have been significant and permanent changes in the exhibit market that will make it difficult to return to the “glory days.” Rather, we will all be catering to a new type of market that will force us to be creative, adaptive, and responsible. With that will come smaller growth than we have seen in the past. But positive growth all the same.

What do you expect for 2011? Please share your thoughts and opinions with other Classic Distributors.

Hope you had a great and restful weekend.

Be well

–Kevin Carty

http://twitter.com/kevin_carty
http://www.linkedin.com/pub/kevin-carty/3/800/32a

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FAQ — Island Exhibits

November 4th, 2010 Mel White COMMENTS
Trade Show Island Exhibits

Trade Show Island Exhibits

Designing a Trade Show Island Exhibit is equally exciting and nerve-racking. It’s exciting to design a display that showcases your marketing message and draws attendees to your booth. It’s nerve-racking because islands can be expensive, and when budgets are tight, you want to get the biggest bang for your buck and to maximize your Return on Investment.

With a Classic Exhibits island, you get the best of both worlds:  stunning design and cost-effective solutions. Whether you need a modular, hybrid, or custom booth, Classic has the expertise to design and build a solution tailor-made to your budget and your unique vision. Scroll through our Design Gallery for ideas. Then mix and match components or request a totally “ground up” design based on your requirements.

1. Specifically, what is an Island Exhibit?

Island exhibits are displays bordering 3-4 aisles, with the smallest starting at 20’ x 20’. Inline exhibits, by contrast, typically border 1 or 2 aisles and are usually 10’ x 10’ or 10’ x 20’.

A major benefit of island exhibits is that they do not have the same height and perimeter limitations as inline displays.

2. What are the typical show regulations regarding island (and peninsula) exhibits in the United States?

Regulations vary by exhibit hall but the following are typical:  Maximum height of 30′ in all areas of your booth allowed in North Hall and Central Halls 3-5. Maximum height of 20′ in all areas of your booth is allowed in Central Halls 1-2. Maximum height of 22′ in all areas of your booth allowed in South Halls. No limitations on the number of solid walls for your Island booth.

Note:  Hanging signs are permitted above island booths.

OTHER CONSIDERATIONS

Canopies and Ceilings
Canopies, including ceilings, umbrellas and canopy frames, can be either decorative or functional (such as to shade computer monitors from ambient light or for hanging products). Canopies for Linear or Perimeter Booths should comply with line-of-sight requirements.

The bottom of the canopy should not be lower than 7 ft. (2.13m) from the floor within 5 ft. (l.52m) of any aisle. Canopy supports should be no wider than three inches 3 in.(08m). This applies to any booth configuration that has a sight line restriction, such as a Linear Booth. Fire and safety regulations in many facilities strictly govern the use of canopies, ceilings, and other similar coverings. Check with the appropriate local agencies prior to determining specific exhibition rules.

Covered ceiling structures or enclosed rooms, including tents or canopies, shall have one smoke detector placed on the ceiling for every 900 square feet.

Hanging Signs and Graphics
Hanging signs and graphics are permitted upon approval in all standard Peninsula, Island and Split Island Booths, with a maximum height of sixteen feet (16 ft.)(4.87m) to the top of the sign as measured from the floor

Whether suspended from above or supported from below, they should comply with all ordinary use-of-space requirements (for example, the highest point of any sign may not exceed the maximum allowable height for the booth type). Double-sided hanging signs and graphics shall be set back ten feet (10 ft.)(3.05m) from adjacent booths and be directly over contracted space only.

Theatrical Truss and Lighting
Ceiling-supported theatrical truss and lighting are permitted in all standard Peninsula, Island and Spilt Island Booths to a maximum height of twenty feet (20 ft.)(6.1m) where ceiling permits. Ground-supported truss may not exceed the maximum allowable height for the booth type. Logos or graphics are not permitted over the sixteen-foot (l6fl)(4.87m) height restriction and must have four feet (4 ft.)(1.22m) of separation from the top of the sign to the top of the truss.

Exhibitors should adhere to the following suggested minimum guidelines when determining booth lighting:

  • No lighting, fixtures, lighting trusses or overhead lighting is allowed outside the boundaries of the exhibit space.
  • Exhibitors intending to use hanging light systems must submit drawings to NAMM for approval by the published deadline date.
  • Lighting must be directed to the inner confines of the booth space. Lighting must comply with facility rules.
  • Lighting which Is potentially harmful, such as lasers or ultraviolet lighting, should comply with facility rules and be approved in writing by exhibition management.
  • Lighting that spins, rotates, pulsates, and other specialized lighting effects should be in good taste and not interfere with neighboring Exhibitors or otherwise detract from the general atmosphere of the event.
  • Reduced lighting for theater areas should be approved by the exhibition organizer, the utility provider, and the exhibit facility.

3. I have reserved a 20′ x 30′ space for our industry show. I need an island, but don’t have the budget to purchase one this year. What are my options?

Renting an exhibit is the ideal choice in this situation. Renting is affordable, typically 30-40% of a purchase, and we have an extensive gallery of island and inline rental designs.

If you don’t see something you like, no problem. About 50 percent of our rentals are new designs or modifications of existing designs. If it makes sense for you, and it makes sense for us, then we’re happy to create a unique configuration that meets all your trade show marketing requirements. See all your options in the Rental Gallery.

4. I don’t see an island that appeals to me or matches my exhibit marketing goals. Can you design one just for me?

Absolutely! When it comes to islands, it’s rare that someone purchases a kit “as is.” Nearly every island gets tweaked, or we start from scratch based on your requirements. That’s the fun part of this process: designing a display that makes your trade show program successful.

Give us a call or send us an email.

5. Can an island exhibit be re-configured into other configurations such as an inline or another island?

Yes and no. It depends on your design requirements. Give us a call or send us an email and we’ll show you design examples. Or, we’ll be happy to work on a “ground up” design specific to your marketing goals.

Next, Design Monday FAQ

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Shooting from the Hip — 1.10

April 29th, 2010 Mel White COMMENTS
Shooting from the Hip (trade show tips)

Shooting from the Hip

Starting this week, you will see a weekly blog posting from me, typically not more than a paragraph or two (or three). Look for it on Wednesday or Thursday.

I intend to write about the ups and downs (hopefully more ups) of our customers and share their success stories. Since failure is not an option, I won’t give credence (not Clearwater Revival) to anyone’s misfortune. And yes, there will be things blogged here that have no relevance to the exhibit industry. There will be travel tips. There will be hunting and fishing updates. But mostly, it will be about the trade show life we have chosen for our careers.

Interestingly enough, for late April almost May, there is a fair amount of business activity.  It seems like companies have neglected their trade show marketing long enough, and we’re seeing more orders and quotes. I am not talking about fantasyland 20 x 20 islands with a $4500 budget and a lot of backlit graphics. I am talking about 10 x 20 inlines with $35k budgets. Hugh Baldus from The Baldus Company actually closed one of those last week with a SIX WEEK LEAD TIME.  I’m hearing about an order for multiple Perfect 10 Displays. Portable hybrids being sung in any tune has a nice ring to it, and Scott Lindsay from The Lindsay Exhibit Group is singing that song. Conversations with distributors are happy for a change. It isn’t all doom and gloom.

The steelhead are still in the river.  The grouse are drumming in the evening.  Spring is in the air.  Until next week . . .

–Reid Sherwood
reid@classicmodul.com

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