The Importance and Change of Photonics Fairs in China
For a publication by Messe Munich and SPECTARIS (the German industry association for the high-tech medium-sized business sector) on the Chinese photonics market, Daniel Berger, Partner EAC in Shanghai, was interviewed on the importance of trade fairs.
SPECTARIS: China is one of the leading markets for German photonic manufacturers. However, most companies – SMEs and MNCs alike – have found it extremely difficult to successfully penetrate the Chinese market due to its sheer size and unique characteristics. Do you believe that participating in local industry trade fairs – as exhibitor and visitor –is a suitable strategy for tackling this challenge? What factors do you see in comparison to other countries?
DANIEL BERGER: The issues that you just described are very common among our clients in China. China represents immense market opportunities for many industries – not only photonic – but the transparency of market fundamentals such as value-chain dynamics, competitors and of course potential customer bases is rather limited. Trade fairs in China have seen significant growth and gained importance for precisely these reasons. In order to succeed in China, one must be present at the leading industry trade fairs in the country. The “risk of missing out” due to non-participation is just too high. In China, simply providing the best product will not be sufficient to succeed in the market. Local networks, establishing business relationships in person, and promoting the product’s value proposition are essential factors and are arguably more important than in other countries, especially European ones. Of course, for an industry with high complexity such as the photonics industry, it is vital for German companies to accurately identify the leading events that fit their individual targets and goals. It requires a lot of preparation to identify the right events – something which many German companies underestimate in the beginning.
Read the entire interview by clicking the button below.