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McCormick Place prices itself out of a convention


EvilMonkey
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I am sure this will be political so just going to start it here. I am in the printing business, and I get tons of industry magazines and newsletters. I was reading one today where the editor, who is also on the board for a trade show called Graph Expo, is calling out Chicago for almost chasing them out of town. Graph Expo is a huge printing convention that for the last 20 years has been in McCormick Place. They had previously turned down bids to relocate to Las Vegas and to LA. However, they now feel that they are being taken for granted by both the City and McCormick Place. First, McCormick Place has severely limited the dates they can be there to dates that conflict with Rosh Hashanah. They did this the last 2 years and both times the Expo committee has complained but was notified too late to make other arrangements. This year once again, the city doesn't care for the potential repeat customer who has been there for 20 years. Then there are the huge booth set up fees, as well as all the otherfees and restrictions on what the exhibitors can and can't do in the exhibit hall. (Want an extension cord with a power strip for your booth? $250, per day!) They tend to have lots of very technical digital and offset equipment there, that of course, the union wants to move and not move, and get paid lots of money for. They don't have problems with the general labor part of it, but the union has, in his words, 'become very overbearing in what they insist we can't do to our our million dollar presses'. Then there is the hotels in the area that even with guaranteed bookings and blocks of rooms, still average over $225 per night. So this year, when Chicago once again refused to give them dates that don't conflict with Rosh Hashanah, as well as no concessions on the labor contract, they said fine, you got us again this year, but just so you know, we just signed a deal with Orlando for 2016. I wonder what other conventions they are pricing themselves out of?

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QUOTE (StrangeSox @ Jul 27, 2015 -> 03:09 PM)
Is McCormick pretty much at capacity year-round? I have no idea.

 

That's what I'm thinking. I'm certain they didn't push dates because they wanted the place to be empty then. I believe there is a pretty good chance that a bigger convention wants those the dates a smaller convention has. Plus y'all are looking at September and October dates which are great for Chicago weatherwise.

 

And I will agree with Alpha, it is much more expensive to hold a convention in Chicago than Orlando. For a national convention Chicago wins for cheaper travel for most people, middle of the country, major airport, etc.

 

Rosh Hashanah moves in the calendar all over the place. I wonder how you would have had a conflict in September one year and October another year?

 

Here is a clue, this year you have one building assuming it is the Graph Expo, the Process Expo has three buildings. Any bets they want to go to four or five buildings?

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QUOTE (Tex @ Jul 27, 2015 -> 04:03 PM)
That's what I'm thinking. I'm certain they didn't push dates because they wanted the place to be empty then. I believe there is a pretty good chance that a bigger convention wants those the dates a smaller convention has. Plus y'all are looking at September and October dates which are great for Chicago weatherwise.

 

And I will agree with Alpha, it is much more expensive to hold a convention in Chicago than Orlando. For a national convention Chicago wins for cheaper travel for most people, middle of the country, major airport, etc.

 

Rosh Hashanah moves in the calendar all over the place. I wonder how you would have had a conflict in September one year and October another year?

 

Here is a clue, this year you have one building assuming it is the Graph Expo, the Process Expo has three buildings. Any bets they want to go to four or five buildings?

You are assuming that Graph Expo is a small convention. It is not. Quite large, and has visitors and exhibitors from all over the world. I likened it to banks, cable companies, etc that give awesome giveaways and deals to lure new customers, and completely forget about their current customers. As for how busy McCormick Place is, I recall about 5 or 6 years ago they were complaining that they were losing gigs all over the place and were blaming the excessive set up fees and union charges even back then. I don't know how busy their schedule is now, but still seems silly to piss off someone who has been with you for 20 years.

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QUOTE (Alpha Dog @ Jul 27, 2015 -> 04:16 PM)
You are assuming that Graph Expo is a small convention. It is not. Quite large, and has visitors and exhibitors from all over the world. I likened it to banks, cable companies, etc that give awesome giveaways and deals to lure new customers, and completely forget about their current customers. As for how busy McCormick Place is, I recall about 5 or 6 years ago they were complaining that they were losing gigs all over the place and were blaming the excessive set up fees and union charges even back then. I don't know how busy their schedule is now, but still seems silly to piss off someone who has been with you for 20 years.

 

Place is ridiculous. Survives off legacies like this, nobody wants to deal with switching venues and learning what set-up is needed in the 48 hours they have access before convention.

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QUOTE (bmags @ Jul 27, 2015 -> 04:20 PM)
Place is ridiculous. Survives off legacies like this, nobody wants to deal with switching venues and learning what set-up is needed in the 48 hours they have access before convention.

Do you have some insight? I only have second hand complaints from several customers that have had booths there for various things.

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QUOTE (Alpha Dog @ Jul 27, 2015 -> 04:24 PM)
Do you have some insight? I only have second hand complaints from several customers that have had booths there for various things.

 

Same stuff you have, never had to be around a convention that required much more than something a large hotel could not accomodate, thankfully.

 

But the main issue is booking at mccormick is handing over everything to them. You will put on the convention that mccormick wants you to put on, to a tee. Or else the labor costs will just destroy you.

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As someone who has had to plan a conference, I can assure you that every single place will rip you off wherever they can. Doesn't matter if it's a hotel or strict convention place, they will charge you an insane amount of money for basic things.

 

I had mine (about 70 people so pretty small) at a hotel in downtown Grand Rapids, we were charged something like $50 for each gallon of coffee.

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QUOTE (juddling @ Jul 28, 2015 -> 01:06 PM)
Why you complaining bro??? Now you can tell the boss you have to go to Orlando for the convention. Of course, I don't think my boss will be asking me to go next year.....

Yeah, not these new guys. With the old owner I may have been able to swing that. This guy will go himself. :(

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QUOTE (Alpha Dog @ Jul 27, 2015 -> 04:16 PM)
You are assuming that Graph Expo is a small convention. It is not. Quite large, and has visitors and exhibitors from all over the world. I likened it to banks, cable companies, etc that give awesome giveaways and deals to lure new customers, and completely forget about their current customers. As for how busy McCormick Place is, I recall about 5 or 6 years ago they were complaining that they were losing gigs all over the place and were blaming the excessive set up fees and union charges even back then. I don't know how busy their schedule is now, but still seems silly to piss off someone who has been with you for 20 years.

 

I am just looking at the bookings. Graph Expo takes up one building. The other convention running concurrently is using three buildings. The schedule is available on line. There are no small conventions at McCormick Place.

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