UFI estimates the economic impact of COVID-19

Paris, 10th March: Earlier this week, UFI, The Global Association of the Exhibition Industry, released its own initial estimate of the economic cost of the trade show postponements and cancellations due to the COVID-19 outbreak.

According to UFI’s analysis, globally the orders that exhibiting companies will not secure due to cancelled and postponed events is valued at €23 billion (US$26.3 billion). That number is expected to rise as more events are cancelled and postponed. More than €14 billion (US$16.5 billion) of economic output has already been lost due to events not taking place.

Hong Kong government unveils huge event subsidies

Hong Kong, 24th February: The COVID-19 outbreak resulted in the cancellation or postponement of essentially all exhibitions and conferences in Hong Kong in February. That trend is expected to continue throughout March and likely most or all of April.

In response to this crisis situation, the Hong Kong government has released more than HK$1 billion (US$130 million) in subsidies designed to support the business events sector. The package is part of a much larger (US$3.9 billion) relief package that will provide support to a wide range of business sectors in the territory.

Art Basel Hong Kong goes online

Basel, 20th February: Last week, Art Basel announced a new digital initiative offering exhibitors an platform to showcase their art to Art Basel’s global network of buyers and collectors.

The “first edition” of the Online Viewing Rooms will launch next month serving exhibitors which planned to present their work at the now cancelled Art Basel Hong Kong. The Online Viewing Rooms will be live from 20th to 25th March, while VIP preview days will run from 18th to 20th March.

Global database of postponed and cancelled events

Germany, 27th February: This database is by no means globally comprehensive, but our friends at m+a News have made a valiant effort to record the impact of COVID-19 on an event-by-event basis. This database has over 220 cancelled or postponed Asian exhibitions in it as of today.

Due to the spread of the Covid-19, many of the trade fairs around the world have been postponed or cancelled. According to media reports, at least 223 trade fairs and exhibitions in Asia have announced to be postpone or cancelled.

AIME’s registrations up 20% despite challenges

Melbourne, 25th February: Organised by Talk2Media & Events, the Asia-Pacific Incentives and Meetings Event (AIME) was held in Melbourne running from 17th to 19th February at the Melbourne Convention and Exhibition Centre (MCEC). Talk2Media impressively managed to record a 20% increase in registered delegates despite the COVID-19 outbreak and the recent Australian bushfires.

According to Talk2Media, which as managed the past two editions of AIME, the 2020 edition attracted more than 2,500 visitors and 300 exhibitors. Due to the COVID-19 virus outbreak, the Australian government has imposed travel restrictions on travellers from Mainland China – and in fact Beijing has also imposed restrictions. As a result, less than 5% of the AIME buyers this year were from Mainland China.

Quick takes

Good sources of COVID-19 data

Below are two good, reliable sources of data on the global number of COVID-19 infections. As of 27th February, a total of 82,294 COVID-19 cases have been confirmed and that has resulted in 2,804 deaths.

World-O-Meters

World Health Organization report

Airlines suffering and some will not make it

The Chinese government is working on plans to takeover the HNA Group and sell off its airline assets. And since Cathay Pacific will further cut its flight capacity in February and March, that airline may suffer the same fate.

Bloomberg article

Business Traveller article [1]

Business Traveller article [2]

Macau casinos partially re-open

In case you were worried about how all of this is affecting casino billionaires… After remaining closed for 15 days, Macau has partially re-opened its casinos as of 19th February.

GGRAsia article

U.S. outbreak now likely say health officials

The United States is “increasingly likely” to suffer a significant outbreak of the COVID-19 virus. This will also likely kick the media hysteria into overdrive.

CNBC article

Quick takes

WHO says 80% of COVID-19 cases are mild

And of the more serious cases, those at risk are the elderly and those with pre-existing conditions. Unfortunately, these facts have been lost in the avalanche of media hysteria around COVID-19.

Articles on the impact of COVID-19 on business events

There is no shortage of media coverage on the long list of consumer and business events that have been cancelled or postponed.

Airlines which have suspended flights to China and Hong Kong

This is an excellent summary from Bloomberg on decisions made by airlines around the world in response to COVID-19. There is no shortage of media coverage on the long list of consumer and business events that have been cancelled or postponed. Here are some of the more interesting takes on the current situation:

Nikkei Asian Review article

Financial Times article

Reuters article

Hong Kong’s “Teflon home prices”

Homes in Hong Kong are world-famous for their sky-high prices – and apparently, prices remain immune to the COVID-19 virus… at least for now.

Hong Kong Airlines sacks 170 staff

And stops offering passengers food, drinks, pillows and blankets! The end must be near for Hong Kong Airlines. How far behind can Cathay Pacific be?

Alibaba Group’s never-ending growth record

Hangzhou, 13th February: Last week, Alibaba Group, the largest e-commerce company in China released its financial results for the quarter ended 31st December 2019. Revenues in the quarter were US$23 billion, an increase of 38% year-on-year. Net income in the period was US$7.2 billion, representing a rise of 51%.

Its B2B business, Alibaba’s domestic e-commerce wholesale business which primarily operates on 1688.com, recorded revenues of US$483 million, year-on-year growth of 25%. While its international e-commerce wholesale business which trades on Alibaba.com, increased by 13% generating US$353 million. The company’s Cainiao logistics services business jumped 67% posting revenues of US$1.1 billion. The cloud computing business grew by 62% recording revenues of US$1.5 billion.