Trade shows can be a great way for your company to gain exposure, introduce a new product line, and generally drum up business but it’s not always that easy to determine just how much of a return on investment you’re getting.
Sure, you talked to a lot of people and gave away a lot of key chains, but will that pay off in sales?
How can you really know? You have to calculate your trade show ROI.
You have to factor in a lot of variables when you’re calculating your trade show ROI, and it’s still just going to be an educated guess, but there are things you can do to make that guess more accurate.
Here are 5 tips to help get the most accurate ROI you can.
- Add up the costs.This is the easy, concrete part. Before you do anything else, add up the cost of attending the trade show, including attendee registration, travel, hotel and food, display design and setup, and booth space.You should also calculate the cost of the time your employees spend manning the booth based on how much they would be making per hour if they were at the office.
- Determine how many sales you need to make.Based on the cost of attendance, how many sales would you need to make to come out ahead? Keep in mind that not all sales will be made the day of the trade show; some will come from the qualified leads you generate at the event.
- Take into account the quality of the leads.Know your strategy for the trade show and be able to estimate how many strong leads it is likely to generate.For example, if your main strategy is to enter individuals into a raffle every time they write down their email address or phone number, you’ll get a lot of leads, but probably only a few that are actually serious about your product.If your strategy allows you to spend more time talking to individuals, you’ll generate fewer—but stronger—leads.
- Take into account indirect benefits.Direct sales aren’t the only reason why it might be worth attending a trade show.Going to trade shows will help increase your brand name recognition, provide you with exposure to industry press (who may write about your new product), and allow you to network with other professionals in your industry.All this is hard to quantify, but it’s worth factoring in when thinking about your ROI.
- Subtract the cost of attendance from your estimated gain.Here’s where it gets tricky: come up with the best estimate you can for the monetary gain from factors like press coverage, leads, and networking.Once you have that estimate, subtract the total cost of attendance that you determined earlier.If the resulting number is negative, you might want to rethink your trade show strategy and consider other forms of advertising, but if it’s positive, you stand to get a good return on investment.
If you enjoyed this article, enter your name and email below to get free updates (unless you already have too many leads)!
AntonAmoto.com runs on the Thesis WordPress Theme
If you’re someone who doesn’t understand a lot of PHP, HTML, or CSS, Thesis will give you a ton of functionality without having to alter any code. For the advanced, Thesis has incredible customization possibilities via extensive hooks and filters. And with so many design options, you can use the template over and over and never have it look like the same site.
If you’re more familiar with how websites work, you can use the fantastic Thesis User’s Guide and world-class support forums to make more professional customizations than you ever thought possible. The theme is not only highly customizable, but it allows me to build sites with a much more targeted focus on monetization than ever before. You can find out more about Thesis below: