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HKCEC and ZZICEC One Country, Two Systems! AIPC Annual Conference 2008 Singapore, June 28 - July 2.

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Presentation on theme: "HKCEC and ZZICEC One Country, Two Systems! AIPC Annual Conference 2008 Singapore, June 28 - July 2."— Presentation transcript:

1 HKCEC and ZZICEC One Country, Two Systems! AIPC Annual Conference 2008 Singapore, June 28 - July 2

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4 Global Expansion of Exhibition Space Between 2000 and 2005 Europe: +30% Asia: +86% North America: +45%

5 Global Expansion of Exhibition Space Between 2006 and 2010 Europe: +13% Asia: +20% North America: +8% Oceania: +6% Middle East: +38%

6 Asian Exhibition Centres No. of CentresSqm China 843,503,789 Japan 12350,606 India 12257,457 Thailand 6205,025 Singapore 3162,600 Korea 10166,556 Hong Kong 3132,520 Australia7111,242 Taiwan4105,409 Macau276,715 Malaysia358,954 Pakistan239,045 Vietnam433,793 Indonesia331,656 Philippines18,300 Total1565,243,667 Source: Business Strategies Group – June 2008

7 Trade Fair Industry Trends - Asia Grew 18% in 2007 (in sqm sold) China is the largest market (21% growth) India is fastest growing market South Korea is next fastest growing market Source: Business Strategies Group – June 2008

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9 HENAN PROVINCE & ZHENGZHOU

10 Demographics Hong KongZhengzhou Population7.1 million2.1 million (7.1 in prefecture) Size415 sq. miles2,875 sq. miles GDP (2006) US$190.4 billionUS$29.1 billion Province GDP (’06) NA$180.6 billion (Pop: 100 million +) GDP Chg (2007) +8.4 %+14.5

11 Venue Capacity Comparison HKCECZZICEC GFA2.7 million sq. ft.2.4 million sq. ft. Exhibition (External space) 681,000 sq. ft. (N.A.) 710,000 sq. ft. (409,000 sq. ft.) Meeting225,000 sq. ft83,433 sq. ft. Entertainment141,000 sq. ft. (GH, H3, T1 &T2) 66,500 sq. ft. (GH, IT, T1, T2)

12 Hong Kong 2 convention and exhibition centre (w/arenas) 2 smaller expo centres 1 stadium 1 coliseum 4 cultural centre complexes 27 community centres, museums, recreational centres, smaller university venues, etc.

13 Management Structure HKCECZZICEC Term40/20 years15 years FundingPrivate/PublicPublic Op FundingPrivatePublic Mgmt FeeNoneGuarantee Remarks Real estate taxes, commissions, capex Taxes, perks, service fees

14 Event Activity HKCECZZICEC Exhibitions10523 Conferences4326 Banquets2994 Entertainment7011 Other8249

15 Annual Results HKCECZZICEC Total Events1,34163 Attendance4.9 Million1 million + Total Revenue Rev Distribution *49/11/37/385/10/5 Operating ProfitYes * Rental/Equipment charges/F&B/Other

16 Personnel Data HKCECZZICEC Normal Work Week54 hours40 hours Overtime CompensationComp Time or OT at Regular Hourly Rate Comp Time Senior Mgmt Average Annual Pay All Other Staff Average Annual Pay Bonus2 months pay

17 Mainland China Impacting the venue industry also are the 2008 Olympic Games in Beijing and the 2010 World Expo in Shanghai China needs “co-ordination scheme” to prevent over supply of venues (3 “national level” cities plus 10 “regional cities”) Shortage of talent, especially at managerial level; more universities addressing this

18 Mainland China Strengthen the infrastructure related to venues Bring the market mechanism into full play Optimize external environment for each industry and crack down on the protection of Intellectual Property Rights Speed up professional personnel training Ministry of Commerce Challenges ahead:


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