Feb 27, 2009

Hard times for the crisis: Frankfurt’s consumer goods fairs close on a note of success

The year 2009 started on a very positive note for the industry at the consumer goods fairs in Frankfurt – Paperworld, Christmasworld, Beautyworld and Hair and Beauty. The consumer goods industry did not experience a rude awakening as a result of the ongoing economic and banking crisis.

Once again, over 100,000 buyers from all over the world came to Frankfurt am Main, setting new standards with their quality-oriented approach to searching and ordering. As Dr. Michael Peters, Managing Director of Messe Frankfurt GmbH, explained on the last day of the trade fair: “We are facing a fundamental change in values in the exhibition business. The mere number of visitors is no longer the sole criterion of success. Instead, the decisive factors today are status and purchasing power which are indicative of the quality of the visitors. In future, we will have to pay far greater attention to these values. The exhibitors share our opinion and are therefore very satisfied with the outcome of the four events.”

The number of visitors was about the same as the previous year. The top five home countries for foreign visitors were Italy, France, Netherlands, Switzerland and Great Britain.

At Christmasworld, 965 exhibitors from 38 countries showed off new products and trends for all the parties and celebrations of the year. The extensive range at the leading international trade fair for decoration and party ware attracted some 29,500 visitors. There was a particularly strong contingent of German visitors this year at 46 percent, three percent more than the previous year.

The new sequence of exhibition days meant that there was a show Saturday and Sunday in the middle of the event, which made it very interesting for individual retailers and increased the attractiveness of the trade fair for the German retail sector still further. The changed sequence of exhibition days also offered international buyers another two strong days in the week, as underlined by Hamid Yazdtschi, Managing Director of Gilde Handwerk Macrander GmbH & Co. KG: “The new sequence of exhibition days went down well with our customers. We were very happy with the way they were ordering.”

The trade fair saw a slight decline of three percent among international visitor numbers. They made up a total of 54 percent. The majority of them came from Europe, and this was noticed by the exhibitors. “We had lots of customers both from Germany and abroad. They came from Switzerland, Denmark, Italy, France, Spain and Scandinavia,” reported Victor van der Maas, Sales Manager at Van der Leeden Mandwerk B.V.

The decoration sector makes a positive start to 2009
Overall, the decoration sector is looking forward to the 2009 business season with optimism and seems little affected by the generally negative ecomomic prognoses. 81 percent of visitors to Christmasworld rated the economy in the sector as good to satisfactory. This was just five percentage points below the rating for 2008. The industry saw things similarly. 69 percent of exhibitors, just 8 percent fewer than in the previous year, felt the current climate was positive. “The manufacturers of Erzgebirgische Volkskunst® (Traditional Erzgebirge Crafts) did good business over Christmas 2008. Despite the poor economic prognoses, Christmasworld met all our expectations,” concluded Dieter Uhlmann, Managing Director of the Verband Erzgebirgische Kunsthandwerker und Spielzeughersteller e.V. (Association of Erzgebirge Craftsmen and Toymakers). Even the candle manufacturers are reporting that the flames are not dying out in these difficult times, quite the opposite.

“Candles generally experience their best sales in times of crisis. So we are making a positive start to this financial year,” explains Hans Kopschitz, spokesman for the board of the Verband deutsche Kerzenhersteller e.V. (Association of German Candlemakers). Evert Verkleij, Managing Director of Edelman in the Netherlands, sensed an optimistic mood, especially among German retailers. “They are very satisfied with the current situation and are positive about the future.” The positive mood at Christmasworld was due in part to the good order situation and in part to the certainty that, in difficult economic times, people are increasingly tempted to spoil themselves with little luxuries at home. “Even though consumers are having to tighten their belts a little, they want to treat themselves and their families at Christmas. – It is something we have also experienced in the past,” explains Klaus Müller-Blech, Managing Director of Inge’s Christmas Decor GmbH. The experience is also shared by Heinz Saller, Managing Director of Casablanca GmbH & Co. KG: “There is a trend towards home-making. Instead of going out, for example, to a restaurant, people are opening up their homes to friends and acquaintances.”

It was mostly management opting to visit Christmasworld, with the proportion increasing by three percentage points to around 84 percent. The exhibitors also felt the high levels of visitor quality. Stuart Atkins of Three sixty degree Ltd was pleased: “Saturday was the best day we have ever had at a trade fair. There were large numbers of quality customers visiting our stand. For us, it is not the numbers of buyers that is important, it is the quality of the business relationships which result from the contact. If we gain one customer who is constantly putting in orders every year, it helps us more than lots of customers ordering one product each and then losing contact.”

Both buyers and exhibitors were satisfied with visitors to the trade fair. 94 percent of visitors and 73 percent of exhibitors said that they had achieved what they came to do. One example was Melanie Heim, the Key Account Manager for Germany at Margarete Steiff GmbH, which returned to Christmasworld this year: “Our expectations were confirmed: Christmasworld is the right platform to reach new target groups. It is an opportunity to meet customers from quality decoration sectors, everything relating to gifts, fine china, glass and flowers. Many of them could envisage including our branded cuddly toys in their additional ranges, as gifts for adults, as decorations or simply as objects of nostalgia.”

The party and decoration sector is making good progress
Overall, 94 percent of visitors to Christmasworld reported they were satisfied or extremely satisfied. Christmas decorations, all-year and seasonal decorations were the product areas the visitors were most interested in. 15 percent indicated that they were especially interested in party and celebration goods. It was a sector that Christmasworld 2009 really focussed on by, for example, offering relatively small companies full stands with comprehensive service. Nina Plöen, Managing Director of Matrobic AB, took them up on the offer: “We didn’t know what to expect, as we were exhibiting at Christmasworld for the first time. But we are very happy. The customers showed keen interest in our drinking glasses that you can write on with your fingers. It was exactly the right spot for us, so we will very probably be back here again next year.” Thomas Wenninger, sales director at Hosti International, was also satisfied with the party and celebration decoration sector: “The response at the trade fair was positive. We are happy with the reaction to our new collection.”

“The spirit of celebration” also set a new direction in the party sector. This is a series of events which showcases the typical celebrations of a new country every year. This year, the focus was on Valentine’s Day and Halloween from the USA. Christmasworld featured ‘Magic Tables’, a presentation of three romantic table decorations for Valentine’s Day and three clever decoration ideas for Halloween tables in conjunction with publishers Bloom’s. A pumpkin carver also showed off his skills in the Galleria, which was decorated in the spirit of the two occasions.

Trend show highlights the most important themes for 2009/2010
There was a real highlight awaiting visitors to Hall 9.2 D 91. Designers from buro.herke Stilbüro showed off the colours, patterns and materials which are set to be popular for decorations in the 2009/2010 season. The creative team put together showcases on the themes of “Airy”, “Sweet”, “Comfort” and “Obsession” in four trend spaces with products from exhibitors. The Trend Show promised information about the important decoration themes, inspiration for decoration and orientation among all the different trends around.

More comments from exhibitors:

Ralf Hömerlein, Managing Director of Drescher GmbH, Schwebheim, Germany
“Visitors to Christmasworld were in goods spirits. The credit crunch was almost no issue at all. Overall, we had more customers than in the previous year and the export sector was especially strong. Cocooning is back in fashion again, people want to make their homes beautiful.

Shadi Valizadeh, Managing Director of Gisela Graham Ltd., London, UK
“The trade fair went well for us. We did not feel any reluctance to buy and there was real demand, especially for high-value products. We are hoping that the credit crunch is passing the industry by and we are looking into the new year with optimism. Although Gisela Graham is not predicting growth, it is not anticipating decline either. The customers are looking for funky or retro products. And there is not so much between them any more.”

Nicola Gardy-Hoffmann, President of Artfleur GmbH, Velbert, Germany
“The Friday at Christmasworld was a very good day for us, we had a constant flow of visitors to our stand from both German and international customers. Despite the economic crisis, the order books in the florist sector are still looking good, and of course we are hoping it will stay that way. We are not feeling a change since last year.”

Dr. Dieter Tischendorf, Managing Director of LipiTec Lipid Technologie GmbH & Co. KG, Sünna, Germany
“Our aim for Christmasworld was to introduce our innovative product to the public and to raise awareness of it. We achieved that. We had lots of potential customers from all sorts of different sectors of industry – from organic stores to wholesales and retailers to the catering sector.

Trends 2009/2010

Purple and white will set the tone
In 2009, Christmas tree decoration will take its inspiration from fashion. The tree will be decorated with baubles in every shade of purple. In conjunction with grey, which already gave black a run for its money last year, the tree decorations, candles and decorations will be sophisticated and yet subtle. As an alternative, the trends will continue to be based on white, combined with shades of cream, beige or brown. Traditional, quality Christmas baubles will decorate the tree, together with glittering wire stars, glass icicles and little birds.

Bold and bright
There will also be an element of kitsch to the 2009 festive season: Christmas trees with brightly-coloured baubles, garish plastic trees and disco balls in all sizes will add up to a funky Christmas. Inspired by Glam Rock, there are red and black candles with sparkly skulls, roses and silver ornaments.

Eye-catching food for Christmas and other celebrations
In general, there is a trend towards quality neutral decorative items which can be decorated for different festive occasions. Individual pieces give the relevant occasion a Christmassy, summery or glamorous feel and the eye-catching food-related decorations which already featured on 2008 Christmas trees reflect this trend. The manufacturers of Christmas tree decoration are also designing their collections so that they can be used after the Christmas period as decorations for other occasions or gastronomic events throughout the year. In 2009, the range of sweet temptations is set to increase. As well as festive treats based on chocolate, espresso and coffee, there are biscuits and gingerbread hearts as tree decorations. The savoury options are also covered. Connoisseurs can also decorate the tree with their favourite treats. There are Gouda, blue cheese and Camembert options. There are even little bottles of wine or whisky for those who like a little tipple. New parents can welcome their baby to the world with miniature decorations in the form of shiny bootees and other baby accessories.

Retro, the modern way
When it comes to decorations, the old times are back in a modern guise. Christmas baubles with fairy tale figures and sayings bring back childhood memories. Christmas decoration gets a whole new inner life: delicate Christmas figures can be found inside glass baubles, music boxes and retro radios. You can even get Russian dolls which have another of their little sisters inside. To go with these, the manufacturers are offering homewares made of hammered silver and antique ironwares, plus rustic candles with a salt look. Designers are playing with the traditional and the modern. What happens when Erzgebirgische Volkskunst® meets modern design can be seen in the purist figures of smokers and angels in gold, red, white and green.

Elegant, natural, year-round objects – XXL
Among year-round objects, the trend is on large-format decorative items, such as XXL vases in white, cream or beige. There are also clay sculptures, tulips or angel trumpets, or birds, birds’ houses and butterflies to decorate the home. The manufacturers are also increasingly using brushwood, bamboo, roots and hand-dyed wool to create a natural atmosphere. It is all in the mix: items made from natural materials are combined with modern products such as stainless steel, aluminium, silver and crystal. In line with the trend towards the natural, the subject of sustainability is becoming increasingly relevant in the decoration sector. The climate-neutral organic candle made from sustainable biomass is one new product. Energy-saving LED lights are also making unstoppable progress. The next Christmasworld will take place from 29 January to 3 February 2010 in Frankfurt am Main.