Final Report of the 48th PSI 2010 in Düsseldorf

Promotional products industry expects the economy to recover
PSI remains the most stable trade fair for promotional products in Europe

Düsseldorf. The promotional products industry has bottomed out. Having gone through a difficult year with a drop in turnover of 7.5 percent to 2.97 billion euro, the industry expects sales to recover significantly in 2010. These are the results of the representative PSI business barometer taken every year on the occasion of the PSI trade fair in Düsseldorf. According to this survey, only 14 percent of the interviewed promotional products distributors expect sales to drop even further, almost half expect a noticeable rise in demand, another 33 percent assume that business will continue at least stable.

“The PSI trade fair provided important impulses to the entire industry“, said PSI Director Michael Freter at the close of this year’s PSI. Although, with a total of 16,464 visitors, the PSI stayed below the 2009 (18,600) record figure, “PSI still remains the most stable trade fair for promotional products and succeeded in more than ever proving its central and leading function in the current difficult conditions “, said Michael Freter. A total of 883 exhibitors from 31 countries exhibited in Düsseldorf this year. Only in 2009 (919) and 2007 (900) did more companies participate in Europe‘s largest trade fair of the promotional products industry.

Both the underlying mood and the course of business at the fair were characterized by a realistic optimism which is based on increased spending on promotional products. This fact was also emphasized by Günther Sperber, Managing Director of elasto form KG: “For the first time since the onset of the crisis, businesses have increased their advertising budgets. We look forward to the new year with optimism.” Encouraging in this context may again be the orders from the automotive industry and the banking sector which traditionally are the regular clientele and mainstay for the promotional products business.

The orders placed at this year’s PSI were most the visible sign of this confidence:  almost 35 percent of promotional products distributors plan orders with a volume of more than 250.000 euro, 13 percent altogether placed orders for promotional products totalling a value of more than one million euro.

Top of the customers’ “hit list” this year were again textiles, bags and luggage, stationary and leather goods, watches and jewellery as well as elec¬tronic products. There is an unmistakeable trend towards “green products”, ranging from T-shirts from environmentally friendly production to biodegradable felt bags. Products for the Football World Cup were also highly popular.

The trend towards high-quality promotional products continues unbroken: almost one in four promotional products meanwhile lies above the 35-euro tax deductibility limit for promotional products as business expenses in Germany. The Gesamtverband der Werbeartikelwirtschaft (GWW) announced the start of a new initiative in this context, aiming at establishing a tax-exempt amount as a first step towards equal tax treatment of promotional products compared other means of advertising.

The 49th PSI will take place from 12 to 14 January 2011 in Düsseldorf.

Exhibitor’s comments:

“For us, PSI is the major trade fair and at the same time it provides a kind of mirror of the industry. Overall, the mood among the visitors at the fair was positive. For the first time since the onset of the crisis, businesses have increased their advertising budgets. We look forward to the new year with optimism.”
Günther Sperber, Management, elasto form KG
 
“Once again, our stand was well frequented this year. Visitors were very interested. At PSI we meet all our major customers. One thing we particularly like about the fair is the open flow of communication here.”
Uwe Thielsch, Sales Director, koziol ideas for friends GmbH
 
“We were quite busy at our stand. All the major customers were there. They like to come to us because they get really special products here.”
Klaus Tröber, Managing Director, Heinz Tröber GmbH & Co.KG

“With FBI we present ourselves for the first time at PSI and, against the background of the current economic situation, this is a very positive surprise! At this trade fair, our new products attract a lot of attention from both customers and the press. The network offered through PSI membership is a great multiplier for our business.”
Frank Bachmann, Managing Director, FBI GmbH
 
“The new PSI Start Up Park in Hall 7 is absolutely fantastic. Especially for owner-managers, it is important to have as little as possible to do with stand assembly. The area is very well frequented and the setting is very pleasant. I hope this offer will again be available in 2011! Even for small exhibitors, PSI offers a unique opportunity to make contacts and to acquire new customers.”
Klaus Gierok, Managing Director, DEKO TREND Gierok GmbH

“At this year’s PSI we had a significantly higher share of international visitors at our stand. We are satisfied with the contacts we made here. We also noticed that there is currently a trend towards higher quality. Customers increasingly go for high-grade products.“
Wolfgang Rauch, Rudolf Schaffer Collection GmbH & Co. KG

“We are thrilled. Acceptance of our product by the promotional products industry was very high. More than half of our discussions were with promotional products distributors from other European countries. We are confident that this will result in significant volume business.”
André Becsey, VP Sales, SwissIdee

Up-to-date photo material is available at www.psionline.de. For further queries and information:

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