The end of a calendar year is a good time to take stock of your trade show marketing expenditures and ROI and determine the best plan for the year to come. If you’re in the enviable position of having budget dollars to spare, now is the time to evaluate whether you should spend them during the current calendar year or wait until next year.
Three Reasons to Spend Now
- You will lose your unspent marketing dollars and next year’s budget is tight.
- You want to minimize your corporate taxes in 2012.
- You want to take advantage of current capital depreciation rules.
Three Reasons to Spend Later
- You would be a hero for spending less than your budget.
- You expect higher profits next year.
- You want to minimize the impact of higher tax rates in 2013.
If you fall into the “spend now” category, and you know you’ll need a new exhibit next year, you might consider investing in the exhibit before year-end. There’s still time to look at your booth options, request a proposal, and purchase the booth before year-end, if that makes sense for your budget and tax situation. Of course, it’s always a good idea to check with your accountant to be sure of your tax status.
Buying Versus Renting Your Exhibit
The decision to acquire a new exhibit usually involves determining whether you prefer to buy or rent, which involves a number of factors. From a budget perspective, purchasing a booth is a capital expenditure, while renting a booth is an operating expense. Whatever you choose, you can pay for your custom booth or make a deposit on a rental exhibit in this calendar year, if you wish.
Purchasing a custom booth costs considerably more than renting an exhibit, but it can be used at multiple shows. A rental exhibit is quoted as a package price for one-time use, which includes the exhibit properties, shipping, installation, and other show services. For example, a 10 x 20 custom booth usually costs in the range of $15,000 to $35,000 just for the exhibit. In contrast, a rental exhibit of the same size with all services included is $12,000 to $15,000.
Trade Show Manager Resources
The Tradeshow Network Marketing Group has just published three catalogs on Custom Exhibits, Modular and Portable Displays, and Rental Exhibits. Each publication includes helpful planning information and resources for show managers, as well as photos of the latest in exhibit designs. For a free guide, click on the button below and provide us your email and we will send it to you!!
If you would like to learn more about your exhibit budgeting options, please contact us. We would be happy to work with you to set up next year’s exhibit requirements before year-end.
