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Despite gas prices, drive-in markets solid

Focuses on small independent home furnishings retailers

David Perry -- Furniture Today, September 7, 2006

ORLANDO, Fla. -- Larry Karel, the Dean of the Drive-In Markets, looked down on the show floor from his second-story perch. He liked the view.

Stretched out below him in the Orange County Convention Center’s North Concourse were the yardsticks of success in the trade show business: More than 1,200 booths, temporary homes to furniture, bedding and accessories exhibitors. “I think this is the largest temporary home furnishings show in the United States,” Karel said. “There is no design center or market building to drive traffic. This show runs all by its little self.” With a little help, of course, from Karel Exposition Management, the Aventura, Fla.-based trade show company where Karel is in his 46th year. But now that gas prices are soaring, are his drive-in shows losing their edge? Karel says not. “You can attend my shows for less than a tank of gas,” he responds. His shows, like the one here, are local affairs mainly catering to the needs of small independent home furnishings retailers in hot retail markets in the Northeast, Southeast, Southwest and West Coast. Many of those retailers don’t attend the major national furniture markets. They don’t have the time or money, Karel  says. And that’s where KEM enters the picture. The company says it provides cost-effective venues for exhibitors and buyers to conduct business. Don’t look for lavish parties or seminars. These are no-frills shows. At the end of the day, the show managers turn out the lights and everyone leaves for the day. Many buyers drive in for the day, saving on housing costs and, more importantly, preserving their time for those all-important weekend selling days, Karel said. “These are comfortable shows for the buyers,” he said. “This is a very accessible way for them to buy on a regional scale. There are no hassles. Whoever comes to our shows won’t be away from their stores for long.” Karel’s shows typically run Sunday through Tuesday. The exception is the Orlando show, now in its 15th year. In a nod to Disney World and other family-friendly attractions in central Florida, the show here starts Friday and wraps up on Sunday. Many families avail themselves of the nearby attractions while the spouse works the show. Karel was pleased with the reports he heard about business during the Orlando show, but he acknowledges that traffic was lighter. “Attendance is down at all of my shows,” he said. “Small companies, both producers and retailers, are going out of business.” But, he added that significantly, new players are also getting into the game. “For every day that someone goes out of business, someone comes in. That’s why we’re not hurting that bad.” Karel, 67, takes nothing for granted. He still sweats the details, and worries how each show will fare.
“I’ve heard all the horror stories about reps not writing any business on the road these days and all these companies getting ready to go out of business,” he said. “But I’m more enthused about my business than ever before. I think my shows will only get bigger.”

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