“Trade fairs”, says Peter Ottmann, are all “children of globalization”. In other words, if things are going well internationally, if things are peaceful around the world, and if the value-added chains around the world are functioning, then the trade fair business will also boom. Because then people from all over the world come together, exchange information about new products and services and do business if necessary. But when a pandemic sweeps the earth, war breaks out in Europe and then energy prices explode, this makes meetings and personal exchanges more difficult.
Because Nuremberg only has a very limited influence on pandemics and world peace, they want to tackle at least the third major problem there: the energy supply. After all, the exhibition halls, which are up to 15 meters high, are energy guzzlers, especially when they are full of exhibitors and visitors who need electricity and want to be warm. Which is why NürnbergMesse is planning its own power plant to supply its site, including the 16 halls, with renewable energy. As early as November 2020, those responsible announced that they would be the first trade fair company in the world to switch to hydrogen-supported power supply. By the end of 2023, the energy requirements on the site in the Langwasser district are to be covered entirely by renewable energies. At that time, there was talk of green electricity generation by photovoltaic systems on the hall roofs, the use of green hydrogen and the use of a long-term hydrogen storage system. Managing directors Roland Fleck and Ottmann want to announce how all this will be implemented technically at the beginning of 2023.
Until then, however, the company, which is supported by the state and city, will fill up its oil tanks to ensure that exhibitors and visitors do not freeze in autumn and winter. Because that would be counterproductive, when business is finally picking up noticeably after two pandemic years with a total of 19 months in which the exhibition halls in Germany remained closed. The Nurembergers are expecting their sales, which had fallen from 285.7 to 68.3 million euros in 2021 in the last pre-Corona year 2019, to at least be back above the 200 million euro mark in 2022. “We’re also optimistic about that,” says Fleck.
The rhythm of trade fair business is changing
This has been accompanied by substantial savings for some time, with the energy expenditure item developing into an ever-increasing house demand. This is no different for trade fair companies than it is for private households. Roland Fleck is reluctant to make a forecast of how much more money NürnbergMesse will have to spend on electricity and heating this year. However, one benefit could be that they have been working to conserve resources since pre-pandemic times. Fleck cited the example of power consumption, which had been reduced by 3.7 kilowatt hours. Among other things, through manageable measures such as temporary transformer shutdowns or the installation of twilight switches in the parking garages on the exhibition grounds. By 2025, water consumption is to be reduced by a quarter and waste by 20 percent.
At the same time, the rhythm in the trade fair business that has been in place for decades is changing. Normally, one event follows the next in the cool season, while little or nothing happens in summer. With a view to 2022, however, Ottmann and Fleck speak of a “hot trade fair summer”. After 50 industry shows in May and 40 in June, many summer editions are still to come; “More than half of the more than 250 trade fairs this year will take place this summer,” said Fleck. These include the Öko-Weltleitschau Biofach in Nuremberg at the end of July, which normally takes place in February.
Incidentally, the war in the Ukraine hardly spoiled the business of the Franks; only 0.8 percent of the exhibitors represented in Nuremberg throughout the year come from the Russian Federation. The Nuremberg trade fair has suspended its Beviale brewing technology trade fair in Moscow indefinitely. “We don’t see any scope for action in Russia in the next few years,” says Ottmann, who did his best to avoid committing himself to the category “never again Russia.” Conversely, if a Russian company wanted to exhibit at a trade fair in Nuremberg, those responsible would first have to condemn in writing their country’s war of aggression against the Ukraine. And also prove that the company is not on any sanctions list. Two hurdles that no Russian company has wanted to overcome so far.
Digitization is a welcome addition
As far as the pandemic and its consequences are concerned, the Nuremberg trade fair organizers believe that the worst is behind them. A profit of 2.3 million euros (2019) was followed by two deficit years with losses of 68.6 million and 42 million euros. And if the federal government hadn’t transferred 39 million euros in Corona aid to Nuremberg, the numbers would be even worse. Now, however, “the campfires are burning again,” says Managing Director Peter Ottmann, “some smaller, some just as big, some even bigger than before the pandemic”. Digitization, already prophesied by some as the gravedigger of traditional trade fairs, is increasingly proving to be a welcome addition, but nothing more. “Pandemic or digitization or not – our core business remains the real meeting in the exhibition halls,” says Fleck. This business model has changed and will continue to change. But it is sustainable.
In and around Nuremberg people are happy to take note of this. The trade fair has blossomed into an important location factor over the past 20 years; no doubt a dozen new hotels were built just to meet the demand created by the many congresses and trade fairs. According to Fleck, if the targeted turnover of 200 million euros is achieved this year, this would trigger “regional economic effects in the city and metropolitan region” of one billion euros. And what is also well received in the Franconian conurbation, which has long been characterized by industry: the Nuremberg exhibition center is now number one in Germany when it comes to the participation of start-ups at the stands.