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The Canton Fair is the world's largest exhibition with the largest number of exhibitors, the largest number of buyers, and the longest duration. none of them.
It has a high reputation and many opportunities. Many companies want to exhibit, but its threshold is also high. First of all, companies without import and export rights cannot apply for booths from formal channels. Because you have more porridge, even if you meet the application conditions, you may not be able to apply successfully. In the case of a good economy, it is hard to find.
The price of booths for qualified companies in the country is very low. It is said that a standard booth of 9 square meters is less than 40,000. The price of booths for large companies like Midea and Gree is even unimaginable.
How many booths each company can get is determined by the size of the company. Depending on the size, the number of booths that an enterprise can allocate varies from one to several dozen.
For some companies, sometimes they don't need so many booths, or some companies that are qualified to apply for booths don't want to exhibit. They will resell the incomplete booths and make a proper package.
Small businesses can be lucky if they can buy booths directly from these big companies, but if they buy from an intermediary, they may encounter various situations. Some booths have been transferred by multiple agencies, and the price can be fired to a price of more than 100,000 or even 200,000!
Every time there are a lot of small businesses to spend some money, commonly known as "buy booths." Every year, some companies buy booths to suffer, and the “intermediary” volume disappears, and the booths are empty. The enterprise has nowhere to go.
Therefore, small businesses planning to participate in the Canton Fair may wish to understand the inside story and avoid the trap.
Here is a case study of foreign trade people "deep sea squid":
A manufacturer has purchased booths several times and has contact with several intermediary companies, but fixedly purchased from one place. Before the autumn fair, another intermediary recommended a booth with a good position, and the offer was nearly 5,000 yuan lower than the peers. The manufacturer then bought the booth, paid the advance payment, and notified all foreign customers of the booth number.
When the "11" holiday was about to leave the day before, the agent suddenly notified the booth that there was a problem that could not be provided. It could only be transferred to another booth. The position was poor and the price was higher. The manufacturer refused to accept, requesting that the contract be delivered to the original booth or the full payment of the advance payment. The intermediary said that the booth was definitely gone, and the refund could only be refunded by half.
Finally, due to the urgency of the situation, it was difficult to find another booth. The manufacturers finally had no choice but to compromise. The fare increase required another booth.
Some intermediaries have been engaged in this kind of "grey transaction" for many years, and the local relationship is very hard, so they are not afraid of corporate investigation. Once the advance payment is received, even if the fault is all in the intermediary, it will not be fully refunded, but will be refunded at most half according to the so-called “rules”.
The change of "the goods are not right" is often learned until the beginning of the game. It is very passive for the manufacturers, and the media is noisy. There will be no results for the moment. Here, everything is ready to wait for the booth and has to be sent, so most of the gas is swallowed.
There are many reasons for the "not correct version".
Some are purely mediators of malicious fraud, using low prices and "good stalls" to lure manufacturers to get hooked, get prepayments and then "face", completely do not care about fame, fishing one vote is a vote.
Some were because the stalls were released earlier and the price was lower. Later, some companies were willing to pay a high price to buy, so the intermediary repented, looking for an excuse to rely on the original agreement, and using other booths to perfuse the buyer.
There are also some booths that are sold by several small intermediaries. They are not well coordinated and sold to two. The list that was finally signed is not willing to give up, deliberately concealing, and then notify the manufacturers to exchange after receiving the advance payment.
Here is also a summary of the common features of the "intermediary" of the Canton Fair booth.
01
Claiming to be the officially authorized booth agent or official certification unit of the Canton Fair.
The Canton Fair booths are uniformly distributed to qualified enterprises by the trading groups under the leadership of the provincial and urban economic commissions. Every year, we must review and determine the number of booths that can be obtained by the qualified enterprises and the enterprises in the first two months of the Canton Fair in the Spring and Autumn Period. The lottery positions of the booths will be determined by lottery and overall planning. Therefore, the same company is located in the Canton Fair. Booths are often different. The booth of the Canton Fair has never been represented by any company. The organizers of the Canton Fair are the Ministry of Commerce of China and China Foreign Trade.
Publish your own partner customers on the company website.
No one will be willing to disclose their cooperation customers to others for reference. Isn't it afraid that competitors will dig their feet? If you change to be yours, is your company willing to put your partner customers on the website for customer reference? Waiting for the peers to dig the wall?
Give you a location when the booth has not been announced.
The Canton Fair booth is uniformly distributed by the conference. When the booth has not been announced, no one will know where his booth is, even if the other company explains that it refers to the position of the previous session, this is not possible, because each In the first session of the Canton Fair, new companies will apply for booths, and the booth will be redistributed every year. (The time for the Spring Canton Fair is about the beginning of March-Mid-August, and the next time for the Canton Fair in the fall is about mid-August-September. The booths are all under the order of each trading group, not all at once.)
04
The same good booth, but much lower than the peer intermediary offer.
There is no free lunch! If such a booth is purchased, it is likely that the intermediary will suddenly notify the booth that there is a problem that cannot be provided, and that it can only be transferred to another booth. The position is poor and the price is higher. The manufacturer refused to accept, requesting that the contract be delivered to the original booth or the full payment of the advance payment. The intermediary said that the booth was definitely gone, and the refund could only be refunded by half. Finally, due to the urgency of the situation, it was difficult to find another booth. The manufacturers finally had no choice but to compromise. The fare increase required another booth.
Avoid "the goods are not right", it is best to work with a relatively old agent for a long-term cooperation to establish a little friendship. In addition, bargaining can be, but not too much tricks, the so-called "no profit can not afford early", the intermediary is looking at the difference in profits, a bit of a storm, the first sacrifice is definitely a low-profit customers.
In addition, the intermediary business should be very transparent, and the booths of the same grade will never have much price difference. Especially the good booths will always be sought-after, so don’t be lucky in the booth purchases. In particular, the first time to participate in the Canton Fair, I would rather find a veteran intermediary, the price is higher, just buy an insurance. After attending once, I can get to know a lot of peers, stall owners and intermediary companies, and then slowly shop around, and it’s not too late.
Pay the advance payment, wait for the exhibition permit and the exhibitor's card to be processed, and there is a clear booth number. Basically, the booth will be implemented safely.
After buying a booth, I naturally met the stall owner. If the manufacturer has a long-term participation in the exhibition, he may hope to have a relationship with the stall owner. Afterwards, he will bypass the intermediary and purchase directly, saving both money and security. This is of course a way. However, the annual booths of the stall owners may be different, and the time difference is good, and the enterprises pay attention to the effect of the exhibition, generally pay attention to the "market mouth" orientation. When you work with a stall owner, the choice is greatly limited. Therefore, although the intermediary has certain risks, the manufacturers sometimes can't live without it.
As a precaution, after confirming the purchase of the booth, the experienced manufacturer will implement the name of the booth owner of the booth from the official website of the Canton Fair or other institutions for verification. I have seen some manufacturers. After many years of acquaintance with the Canton Fair, I have met a good intermediary friend. Even if I buy a booth from another intermediary, I can also ask my own intermediary friends to pass the goal. In general, the intermediary industry is at the bottom of these booths. Knowing it, this is quite safe.
Small enterprises intend to take the road of "joint participation", should prepare early, collect information, then choose the old agent who has the way to the side, understand the situation on the side, contact the other boss, not cheap, and seek stability. When you participate in the Canton Fair, take time to walk around, make friends, know more about the main business and intermediary, and lay the road, and then slowly go.
(Part of this article was written by Tess, and some was contributed by the Customs Press, from "33 cases of foreign trade practice sharing", published in "Focus Vision" magazine)
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