We had a pleasant chat with Mr. Michel Loris-Melikoff, Organization Director of Baselworld Trade Show, at the recently ended Dubai Watch Week. We talked about the transformation and the future of the exhibition.
Serdar OAL: The watch exhibition concept as we know has lost a lot of blood, especially in the past three years. The reasons behind the leaving brands’ decisions were shared many times... But, as a part of Baselworld itself, what DO you think the reasons are that caused this tough period?
Michel Loris-Melikoff: I don’t think that they are losing blood. I think we are in a very exciting period of transformation. The transformation is mainly due to digitalization and many people are afraid of that. Moreover, consider that trade show business can be compromised. I don’t think like that. As Mr. Biver said, we need platforms where people can meet, have eye contact, shake hands, and exchange their passion. We have to integrate communication into the world of trade shows. I believe brands have more budget for digital communication than for trade shows. These times when everything was very expensive are over now. Nobody will complain about suppliers having a profit margin of 10, 15 or 30 percent, as everybody needs to have a margin. But not, if the margin is 500 or 600 percent. Some hotels are excessively expensive during the fair period, and now it’s my job to bring every service to a reasonable level. People mix up everything while talking about the pricing issue. If we are going to talk about pricing, we have to talk about the square meter price, which I can reduce. It’s 15 to 20 percent of the overall cost for the exhibitor. The other thing is the fair booth construction. This is very expensive. We have to reduce this. The conditions today are very clear. We do not need three-floor booths. The big brands, yes, they can do it as they have enough money. For others, we have to reduce these costs so they can invest in other aspects like better trade show experience or content. This transformation will take a few years but it is going to be an exciting experience. When I took over at Baselworld, it was in a critical position. It became even more critical because Swatch Group left. This is the past. Now we have to prepare for the future. We already have positive results in the jewelry section where we grew over 15%, which is very huge. Now, we have to do the same for the watchmaking industry.
Serdar OAL: Baselworld is a building block not only for the watchmaking industry but also for the trade show concept in general with its 102 years of history. How will Baselworld, which survived two world wars, the Great Depression and the Quartz crisis, keep up with the digital world?
Michel Loris-Melikoff: Addition to what I said before, Baselworld will remain the main trade show for jewelry and watches but we also think about creating other platforms, smaller platforms abroad. The other trade shows are also thinking about doing something in China, India, and Miami. God, everybody wants to go to Miami. My first mission is to re-build Baselworld in Basel. We have to create a Baselworld that is interesting for everyone. For everyone in this eco-system. That includes you (press), the brands, the influencers, the collectors and the retailers. Like, if there is an opportunity for us to host an event for collectors somewhere in this world, let’s say in Mumbai, then I will make a positive approach and arrange a pop-up event in Mumbai.
Serdar OAL: This year we saw different applications and innovations in the exhibition area that will make the exhibition experience better for both brands and visitors. What kind of innovations awaits us in Baselworld next year?
Michel Loris-Melikoff: There will be some surprises of course, which I cannot talk about now. We are improving our services for retailers. In the past, we used to organize Baselworld only for the exhibitors and did not care about the retailers. If the retailer feels comfortable, he/she does business with the exhibitor. If the exhibitor does business, he/she will be in the trade show next year. We offer new services for retailers through e-consignment. We also want to create a digital platform that will allow us to communicate with the eco-system I mentioned before. Of course, this requires a huge amount of investment and a few years to be completed.
Serdar OAL: Everybody is talking about the new schedule for the trade shows. What do you think about the new dates?
Michel Loris-Melikoff: Yes! It’s too late. We had a very hard negotiation, Fabienne Lupo and I, to find a date and we came up with a date. When we announced that date in December, nobody, I mean nobody, complained about it until March. I am not a specialist in the watchmaking industry. I asked a few people, they all told me that the date was fine. They said the coordination was the key and we did that. We accept that the new date is too late. We will consider this and see if we can find a better date.
Serdar OAL: Thank you very much Mr. Melikoff.
Michel Loris-Melikoff: My pleasure.
