Exhibition World Issue 2 — 2019 | Page 49

Analysis Time to rethink traditional event KPIs? Matthias Baur says a changing environment requires a different framework for measuring successful performance inancial reward may be the driving force for most businesses, but it is not the only way to measure business success. Our business environment is not the same as it was 20, 10, or even five years ago and the way in which we measure performance should reflect this. Companies assessing their performance by measuring outdated Key Performance Indicators (KPIs) run the risk of performing within an outdated framework. As the basic formula, KPIs should align with a company’s strategic objectives, ensuring each department, every unit and all employees, are unified towards the predefined goals and in what needs to be achieved to celebrate success. Although financial health and sustainability remain imperative to any business, KPIs of today should be purpose driven to motivate change, inspire and empower employees towards growth and innovation. Most importantly, KPIs should remain relevant to what drives today’s world of business. Are we using the most relevant KPIs as our measurements? Exhibitions have long since moved away from being simple transactional events to large educational and immersive marketing platforms and now, with the integration of artificial intelligence seeping onto the show floor, they have the potential of growing in complexity, increasing interaction and integration of participantsin these dynamic environments. w w w.exhibitionworld.co.uk the years more companies have made greater effort in understanding their customers and what KPIs they need to zone-in on to maintain a loyal customer base. We all talk about customer centricity and measuring the levels of customer satisfaction but, is it not time to start pushing past what we already know, beyond quantifying simple levels of satisfaction and start dissecting these layers, delving deeper into the specific details of the customer experience? It is also insufficient to only benchmark ourselves within our own industry, we need to reach beyond our borders, specifically focusing on other customer-driven enterprises, including online services such as Amazon and Alibaba, which continue to grow and progress at a rapid rate. To ensure we do not lag behind other customer-committed platforms, we need to deep dive into other customer-focused industries, to gain a broader understanding of how they measure their performance when it comes to customer satisfaction. With exhibitions evolving, so too must the ways in which we measure their success also adjust. Measuring non-financial performance and efforts to secure repeat business may help to determine the likelihood of future financial success, however we need to push this even further and start to consider return on investment alongside return on engagement, return on time, and so on. The revenue an exhibition generates may well indicate its current financial success, but it is not necessarily an indicator of its future sustainability and potential. Customer experience has also been highlighted as one of the most important markers when assessing the success of a service-orientated business. Over Customer centricity and the modern KPI Each event is unique, where attention should be given to the type of customer it attracts. The customer category can tell what type of business is being done at the event. Whether it is largely transactional, rather than based around marketing or education. If it is largely transactional, then people with spending power should be flagged as a priority more so than those looking for production partners. It may be that you’re seeing visitors with Issue 2 2019 49