Alibaba’s profit falls 77% last quarter of 2023

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Hangzhou, 7th February: Earlier this week, the Alibaba Group, the largest e-commerce company in China, released its results for the quarter ended 31st December 2023. The company reported total revenues of US$37 billion, up 5% year-on-year. That is the good news. The group’s net income, however, dropped 77% year-on-year, down to US$1.5 billion. The company’s management attributed the decrease in profit to significant changes to its equity investments and a write-down of the goodwill value of Youku.

Revenues from Alibaba’s B2B business in China under the Taobao and Tmall Group, primarily generated through 1688.com, were US$747 million, that represents a year-on-year increase of 23%. The international B2B business under the Alibaba International Digital Commerce Group, primarily operating through Alibaba.com, generated revenues of US$740 million, which posted an 8% increase over the previous year. B2B revenues accounted for only 4.1% of the group’s total revenues in the quarter.

Quick takes

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Dubai wins 349 event bids in 2023

There is plenty of talk about Saudi Arabia investing a lot of capital into its MICE sector, but this shows just how far ahead the UAE remains. Dubai won a record 349 business event bids in 2023, reflecting a 49% increase in successful bids compared to 2022.

Singapore keeps focused as visitor numbers rebound

The Lion City’s international visitor numbers hit 13.6 million in 2023 – 71% of 2019 arrivals. Accord to the Singapore Tourism Board that figure was within its forecast of between 12 million and 14 million visitors. Tourism receipts were approximately 88% to 94% of 2019 figures.

Indian visa-waivers paying off for Southeast Asia

In recent months, Southeast Asian markets have begun to offer visa-waivers to Chinese and Indian travellers. That strategy has begun to payoff. Indian outbound demand for destinations like Malaysia, Thailand and Sri Lanka have started to increase. Searches for Thailand from India have grown 45% since its visa-waiver came into effect.

GED 2024 theme and key pillars announced

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Paris, 30th January: The 2024 Global Exhibitions Day (GED) will be held on 5th June. Held under the theme, “Exhibitions are catalysts to sustainable futures”, it will be the ninth edition of GED.

This year’s edition stresses four key messages: 1) Exhibitions drive progress; 2) Exhibitions facilitate economic growth; 3) Exhibitions are sustainable; and 4) Exhibitions connect people.

GL events’ revenues post 9% increase in 2023

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Lyon, 25th January: GL events released its preliminary results for the year ended 31st December 2023. It reported revenue growth of 9%, reaching €1.43 billion (US$1.6 billion).

In terms of business sectors, more than 57% of revenues were generated from GL events Live, with revenues of €825 million (US$911 million), down 3% year-on-year. The second largest sector was GL events Venues, generating revenues of €393 million (US$434 million), representing year-on-year growth of 21%. The remaining revenues, €210 million (US$231 million), were generated by GL events Exhibitions, which jumped 51% over the previous year.

VNU Exhibitions launches Horti Agri Next ASIA in 2025

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Bangkok, 1st February: VNU Exhibitions Asia Pacific announced the launch of a trade exhibition for the horticulture and agriculture industries, Horti Agri Next (HAN) ASIA, in 2025.

HAN ASIA will be held from 12th to 14th March 2025, at IMPACT in Bangkok, Thailand, together with VIV Asia 2025. The new show will focus on the latest products, innovations and advances in the fields of horticultural food production, landscaping, controlled environment practices, environmental conservation, arable land planting, harvesting, and processing of crops, land and water resources management, and new enhancing technologies.

Homedecor & Hometextile at CIFF Guangzhou 2024

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Guangzhou, 26th January: Homedecor & Hometextile will take place during the first phase of the 53rd CIFF Guangzhou, running from 18th to 21st March 2024, at the Canton Fair Complex in Pazhou. It is targeted to become the largest industry platform in Asia.

Homedecor & Hometextile will take place at Area D of the Canton Fair Complex, occupying eight exhibition pavilions with an exhibition area of 85,000 m2. About 700 exhibitors will showcase interior products and decorations of complete lighting solutions, art installations paintings, clocks, handicrafts, fountains, glass and ceramic objects, home textiles, curtains, cushions, carpets, synthetic and silk flowers and plants, vases, and household and tableware items.

Quick takes

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Singapore launches MICE Sustainability Certification

The recently-launched Singapore MICE Sustainability Certification, aimed at encouraging the MICE industry to adopt sustainable practices when organizing events, has been developed by SACEOS (Singapore Association of Convention & Exhibition Organisers & Suppliers), backed by the support of the Singapore Tourism Board.

Messe Berlin expects to maintain positive performance in 2024

Building on strong results for 2023 with preliminary expected turnover of around €370 million for the fiscal year, Messe Berlin held 110 events in 2023 which were attended by 27,800 exhibitors and attracted more than 1.4 million participants. International business made a positive contribution to the full-year results, especially in Asia – leading to high expectations for the region in 2024.

Pico Far East’s profit up 40% in FY2023

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Hong Kong, 23rd January: Hong Kong-listed Pico Far East Holdings reported its annual results for the year ended 31st October 2023. The company posted revenues of US$681 million, up 17% year-on-year. Pico’s net profit jumped 40% during the year, reaching US$29 million. Diluted earnings per share for the year were HK$0.1839 (US$0.024).

More than 82% of Pico’s revenues (US$564 million) were generated from its exhibition, event & brand activation business, representing year-on-year growth of 20%. Other revenue streams were generated from museum & themed environments (US$51 million), visual branding activation (US$49 million), and meeting architecture activation (US$17 million).

Messe Düsseldorf posts a strong performance in 2023

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Düsseldorf, 24th January: International exhibition organiser, Messe Düsseldorf, released its preliminary financial results for the year 2023. Messe Düsseldorf Group sales were €410 million (US$453 million), up 32% year-on-year. While Messe Düsseldorf GmbH’s turnover grew 32%, amounting to €388 million (US$428 million).

During the year, Messe Düsseldorf’s own venues hosted 27 events, featuring some 27,000 exhibiting companies. About 1.1 million attendees visited these events.

UNWTO: international tourism fully recovers in 2024

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Asia, 22nd January: According to the latest UNWTO World Tourism Barometer, international tourism will fully recover by the end of 2024.

By the end of 2023, international tourism was at 88% of pre-pandemic levels, representing 1.3 billion international arrivals.

In terms of geography, the Middle East was 22% above the 2019 level, while Europe was at 94% of 2019 levels. Africa and the America posted 96% and 90% of their 2019 levels, respectively. In Asia and the Pacific, South Asia recovered to 87% of 2019 levels, and North-east Asia reached about 55% of 2019 levels.

Messe Düsseldorf and Deutsche Messe form joint venture in Turkey

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Ankara, 24th January: Two leading trade fair companies in Germany, Messe Düsseldorf and Deutsche Messe AG, will jointly expand their market to Turkey through a 50%/50% joint venture named “Hannover Messe Ankiros Fuarcılık A.S.”

Under the joint venture, the two companies will expand ANKIROS/TURKCAST and ALUEXPO. ANKIROS/TURKCAST is one of the world’s most important trade fairs for the metallurgy and foundry industries, and ALUEXPO is the leading aluminium trade fair for the Eurasian region.

Quick takes

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Tesla vehicles barred from entering government venues in China

Ongoing tensions and concerns about data security between Beijing and Washington have led to Tesla cars being restricted from entering premises operated by government affiliates, local authority agencies, highway operators and even cultural and exhibition centres in China. Previously, such restrictions were generally limited to military bases.

Perth unveils plans to redevelop waterfront precinct

The Western Australian Government has entered negotiations to redevelop the Perth Convention and Exhibition Centre (PCEC), unveiling new plans to refresh the waterfront precinct. The proposal would create an iconic precinct on the Swan River, with a world-class convention space designed to attract major business events – as well as create a new tourism and hospitality hub for Perth.

JEGI Clarity reports increase in Corporate vs Private Equity transactions

M&A advisory firm JEGI Clarity released its Transaction Update for 2023, noting over 20 M&A transactions completed during the previous calendar year. Of these, 60% were founder sales, 25% were corporate divestitures and 15% were private equity exits. By sector, Marketing Services and Technology accounted for 25% of transactions, followed by Digital Media and Content (20%), Software (20%), Technology and Consulting (20%), B2B Information and Events (10%) and Insights, Data and Analytics (5%).

Digital Agencies’ roles changing to adapt to generative AI

Generative AI is blurring the lines between different types of marketing, leading Forrester Research to predict a sea-change in pure-play digital agencies as they adapt to the reality of digital sameness and commoditisation. As the landscape continues to evolve, agency services most at risk are routine, repetitive tasks such as basic content creation, data analysis and campaign optimisation.

China eases restrictions for foreign visitors

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China, 11th January: Last week, China’s National Immigration Administration (NIA) implemented five new measures aiming to simplify the process for foreign nationals planning to visit China. Under the new measures, business activities, education, and tours in China will become more accessible for foreign nationals.

The five new measures are:

1.     Relaxing conditions for foreign nationals applying for port visas;

2.     Allow foreign nationals eligible for visa-free transit at nine international airports in China;

3.     Allowing foreign nationals already in China to apply for visa extension, renewal, and reissuance;

4.     Allowing foreign nationals already in China to apply for a multiple-stay visas;

5.     Simplifying visa applications for foreign nationals in China.

Management changes at Koelnmesse in China and Hong Kong

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Cologne/China, 11th January: After six successful years leading Koelnmesse’s business in Hong Kong and China, Managing Director, Keith Tsui has decided to move on. Prior to his role at Koelnmesse, Keith held leadership roles at ITE Group and UBM Canon (now Informa Markets).

Keith’s role will be divided between two managers. Michiel Kruse will be assuming responsibility for Koelnmesse’s business in Mainland China, while Mathias Küpper, current Vice President Asia-Pacific, will assume management responsibility for the subsidiary in Hong Kong.

ILEA chapter looks to Africa

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Shenzhen, 18th January: Leaders of the Hong Kong and China chapter of International Live Events Association (ILEA) gathered in Shenzhen this week. An interesting key take-away is the acknowledgement that Africa is becoming a growth market.

Cecilia Lavin, vice-president of ILEA’s Europe Middle East and Asia region, said in a recorded address to the Asia chapter meeting at Shenzhen World, that ILEA was considering merging the chapters in Asia and Africa.

Quick takes

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Delegates registered for UFI Asia Conference

The list of delegates already registered for the UFI Asia-Pacific Conference in Macau is now online. UFI is expecting approximately 300 delegates from across Asia to attend the two-day event on 7th & 8th March at The Parisian in Macau. Register here.

Visitors to Hong Kong reach 34m in 2023

Over 34 million visitors came to Hong Kong last year. That is still well down from the record high of 65 million in 2018. Of course, Mainland China remains the most important source market for Hong Kong. “The number of MICE travellers recovered to about 70% of pre-pandemic.”

Trends for marketers in Asia

Marketing-Interactive also has an interesting survey of marketers in Asia with key trends such as: A desire for the spectacle (which event organisers can relate to); keeping track of upcoming tech regulations; exploring use of Generative AI; balancing data collection and privacy and “getting out of your comfort zone.”