Tariffs: Is the Perfect Storm Brewing For The Events Sector & Are You Ready?

The immediate introduction of US Tariffs across a whole swathe of products and materials, targeting a host of countries has been a very high profile policy decision that affects multiple industries, globally. There are lots of podcasts, media posts and other outlets such as social media platforms commenting on the political impact of the tariff decision, but that is for another day …

How Will This Impact The Global Events Industry?

For those working globally as well as UK only, the end game could well include some of the following:

Agency & event management redundancies to meet overall (current) staff budgets in a sector that has not fully recovered from COVID in terms of staff numbers, cashflow and the building of a buffer of cash reserves
Higher expectations for those remaining to deliver more, with less as a result – increasing staff turnover, stress and potentially impacting overall event quality
Higher costs for materials in terms of Booth or Expo Stand building – or potentially a scarcity of equipment in terms of US based events that have previously relied on imported products such as screens, steel for builds etc
Potentially increased costs for food & beverage in the US in terms of imported wine and foodstuff.
Less budget available to support the desire for a company to even host their own events – will they just take time out to re-evaluate their events strategy?
Agencies and Event Management Companies going to the wall, potentially taking some venues with them – especially those that rely heavily on business events revenues

The Impact of US Tariffs on Event Organisers

Well, assuming that your event is going to proceed (as “normal” or) in some form, there is likely to be:

Reduced desire will create a reduced market for potential venues, event management agencies etc.
Reduced budgets for event travel, potentially impacting delegate numbers across the board
A much harder “sell” to potential exhibitors even keener to see their ROI projections before committing (if at all)
Possible global trade tensions affecting those working in or with US companies or those working outside of the US working with US companies and representatives

Not a pretty picture, and whilst those businesses in the sector that are not lean, agile and innovative are likely to struggle or suffer the most, it is not necessarily all doom and gloom.