Dema show???

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From a letter I to wrote DEMA in 2004;


Houston – We have a problem!


The issues surrounding the upcoming 2004 DEMA tradeshow in Houston have been years in the making. It is important to note that the blame is focused on the City of Houston, when in fact, the blame belongs to DEMA. Houston is the whipping boy for a whole series of miscalculations in regards to the DEMA tradeshow. The major reason that exhibitors and attendees are not coming is the tradeshow is not fulfilling its purpose. The DEMA tradeshow has been in trouble for a long time. Interviews with exhibitors over the years has made it clear that most were unhappy with the performance of the show, but continued to exhibit as it was the best of poor choices.

How we got here

1 Moving the tradeshow to the fall without considering the issues in depth.
Announcing a move in 3-5 years would have allowed DEMA to improve its financial position and allow time to negotiate good venues while appeasing those whom felt a fall show was needed.

The decision by DEMA to move the timing of the show without demonstrating to both exhibitors and attendees an overwhelming benefit caused unneeded friction and discontent. The Tradeshow is DEMA’s only major asset. Its value in the marketplace to the dive industry is uncalcuable, but its value to tradeshow companies as an ongoing business is likely to be more than $10 million. Decisions regarding a business enterprise of this size require much study and consultations with its vendors and customers before major changes be made.

2 Skipping a year allowed the dive industry to see how their business’s performed without a tradeshow. Never let the customer learn he can live without the product!

3 Choosing two weak venues back to back. This allowed exhibitors to skip exhibiting at a weak venue and to spend the tradeshow dollars in exploring other avenues of promotion.

4 Dismissing concerns expressed by exhibitors and attendees as statements made by “DEMA haters”. Those who have expressed concerns have done so in an effort to bring to Board of Directors legitimate concerns involving the performance of the tradeshow.

The bigger problem

DEMA’s belief that the situation is temporary. The industry is looking to spend its promotional dollars in a more productive manner. If this experiment by some exhibitors (not attending the tradeshow) works, DEMA will see a further decline in its tradeshow.

Recommendations

DEMA should launch a “blue ribbon panel” to address the tradeshow issues.

DEMA needs to implement a study, such as one that was conducted by Diagnostic Research (DR), on behalf of DEMA’s tradeshow committee when I was its chair. This study became my “bible” as I guided the committee. It interviewed both exhibitors and attendees in depth, and weighted the results based upon dollar volume of the responding companies. This study has been lost by DEMA and purged from DR’s files. A new study is desperately needed.

DEMA also needs to understand that it is selling a product to its membership. Most are feeling that the product quality is going down. While DEMA may not be raising its prices for booth space, the ancillary costs of attending are exploding. It is these total costs borne by both exhibitors and attendees that DEMA must address. I feel that the organization has lost its way. DEMA needs to understand that its sole purpose of existence is to serve its members.

This is a “Cliff Notes” version of my opinions and observation.

I sincerely hope that by working together, we can find long term solution that works for our association.

Regards
Lee Selisky
 
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From a letter I to wrote DEMA in 2004;


Houston – We have a problem!


The issues surrounding the upcoming 2004 DEMA tradeshow in Houston have been years in the making. It is important to note that the blame is focused on the City of Houston, when in fact, the blame belongs to DEMA. Houston is the whipping boy for a whole series of miscalculations in regards to the DEMA tradeshow. The major reason that exhibitors and attendees are not coming is the tradeshow is not fulfilling its purpose. The DEMA tradeshow has been in trouble for a long time. Interviews with exhibitors over the years has made it clear that most were unhappy with the performance of the show, but continued to exhibit as it was the best of poor choices.

How we got here

1 Moving the tradeshow to the fall without considering the issues in depth.
Announcing a move in 3-5 years would have allowed DEMA to improve its financial position and allow time to negotiate good venues while appeasing those whom felt a fall show was needed.

The decision by DEMA to move the timing of the show without demonstrating to both exhibitors and attendees an overwhelming benefit caused unneeded friction and discontent. The Tradeshow is DEMA’s only major asset. Its value in the marketplace to the dive industry is uncalcuable, but its value to tradeshow companies as an ongoing business is likely to be more than $10 million. Decisions regarding a business enterprise of this size require much study and consultations with its vendors and customers before major changes be made.

2 Skipping a year allowed the dive industry to see how their business’s performed without a tradeshow. Never let the customer learn he can live without the product!

3 Choosing two weak venues back to back. This allowed exhibitors to skip exhibiting at a weak venue and to spend the tradeshow dollars in exploring other avenues of promotion.

4 Dismissing concerns expressed by exhibitors and attendees as statements made by “DEMA haters”. Those who have expressed concerns have done so in an effort to bring to Board of Directors legitimate concerns involving the performance of the tradeshow.

The bigger problem

DEMA’s belief that the situation is temporary. The industry is looking to spend its promotional dollars in a more productive manner. If this experiment by some exhibitors (not attending the tradeshow) works, DEMA will see a further decline in its tradeshow.

Recommendations

DEMA should launch a “blue ribbon panel” to address the tradeshow issues.

DEMA needs to implement a study, such as one that was conducted by Diagnostic Research (DR), on behalf of DEMA’s tradeshow committee when I was its chair. This study became my “bible” as I guided the committee. It interviewed both exhibitors and attendees in depth, and weighted the results based upon dollar volume of the responding companies. This study has been lost by DEMA and purged from DR’s files. A new study is desperately needed.

DEMA also needs to understand that it is selling a product to its membership. Most are feeling that the product quality is going down. While DEMA may not be raising its prices for booth space, the ancillary costs of attending are exploding. It is these total costs borne by both exhibitors and attendees that DEMA must address. I feel that the organization has lost its way. DEMA needs to understand that its sole purpose of existence is to serve its members.

This is a “Cliff Notes” version of my opinions and observation.

I sincerely hope that by working together, we can find long term solution that works for our association.

Regards
Lee Selisky

What an excellant "snapshot" of the issues around Dema, which are, even to me, quite plain to see.

I may be wrong, but from my view of the issues at hand, nothing changed, even though the suggestions are spot on, do you think any attention was paid to the suggestions Leadking?

Just as an aside, I never thought the Houston venue was an issue in any way.
 
Is this show appropriate for new divers?

No, DEMA isn't smart enough to run an actual open trade show which might result in growing the industry. They are like the buggy whip mafia committed to keeping dying business models alive through the same price fixing that hasn't worked this far.

I am going to be in Orlando that week doing some training for something non-dive related. I might drive by DEMA and moon them with the name of a good Economics book written on my butt to try to drop them a clue.

Schmoozing, equipment price fixing, and sweetheart deals to get your dive shop to book a week at our resort for a week. dema.
 
Here is another trip down memory lane Sept 13, 2001


Werner Kurn
President DEMA

Dear Werner,

Thank you for the spreadsheet on DEMA's financial condition from fiscal 1994 to fiscal year 2000.

Review of this document shows us that as I finished my term on DEMA's Board of Directors that our Board had successive years of growth in our organizations financial strength with retained earnings of approximately $200,000-$300,000 per year. This was done so that if any unforeseen circumstance presented itself that the organization would have one year's operating expenses in reserve.

The organization is now being forced to spend trade show deposit funds for daily operating expenses. This is exactly counter to the previous board's goals.

I know that from board to board objectives and goals change, but since the time I left the Board it appears that the $889,000 reserve has been spent and DEMA finished fiscal year 2000 more than $282,000 in the red. This means that DEMA has spent more than $1,171,730 than it has taken in since fiscal 1996 and DEMA has a negative value. My concern is that a pattern of repeated losses has put DEMA on a course of being nothing more than a trade show at best and defunct at worst. I look forward to reviewing fiscal 2001 to see that the positive changes you have expressed to me have occurred, expressly that the negative net worth has changed to the positive.

I understand that the current board is elected by the membership to run DEMA for the benefit of its members, but it appears the current board has weakened our organization substantially and I cannot silently watch this happen.

I am and will be in contact with various leaders in our industry to start a dialog of how the board can best serve our industry.


Sincerely
 
The more information we get, the more names we read, the more silly it gets. The dive industry is the favorite few favoring the favorite few. The names are a who's who of people that are exempt from the rules. This was all "ok" to everyone as long as things were rolling along pretty well. DEMA is falling victim to the extra attention that comes along naturally with a pretty severe recession.

Imagine a DEMA and a bunch of manufacturers without retailers. This is where this might be heading. So, as the representative of the industry and the mouthpiece of the industry giants, I would suggest that they don't tarry in correcting their problems. After all, there is such a thing as "too late".

Phil Ellis
www.divesports.com
 
Phil,

in my opinion "too late" has already left the station.

I have other correspondence to DEMA about these issues. Take a look at the dates, I saw all this coming almost a decade ago. Other than a half dozen people reading this thread, it appears no one cares.
 

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