Dear AXPONA Exhibitors and Sponsors;
We at AXPONA wish you all the very best during these COVID-19 disrupted times. We care most about the health and safety of you and your loved ones. So many businesses are hurting, the future is unpredictable, opinions are mixed and emotions on all sides are strong. Ultimately we must err on the side of caution and the concern for human safety so it is with a heavy heart for us to announce that AXPONA 2020 has been cancelled.
We know everyone is hurting right now. Many businesses in many industries are being hammered by the impact of this pandemic. JDE in particular is facing a financial calamity due to the disastrous impact on tradeshows. So I need to be transparent with you about the current position of JD Events and AXPONA:
- JDE does not carry business interruption insurance that covers communicable diseases. In fact I am not aware of any US organizers that do. So our losses are not covered.
- We are not a public company, owned by a venture fund, a large media firm or a trade association with deep pockets. We are a small privately held business, operating shows in two other industries which, like AXPONA, are both in peril. Like many of you we are applying for the PPP and disaster relief loans available through the SBA for a temporary lifeline as well as pursuing all other avenues of raising capital.
- High end audio shows are not highly profitable. To do them right they are cost and manpower intensive undertakings. That is why you have never seen a large tradeshow organizer invest in building a show to serve the needs of this industry. JDE however chose to invest boldly in the outlier idea of building a world-class event comparable to Munich in North America.
- We made large investments in multi-platform attendee marketing campaigns, signed a long-term commitment to make the Schaumburg venue AXPONA’s permanent home, hired professional and passionate full-time event management staff, developed and deployed customer satisfaction programs, and so much more that goes on behind the scenes at JDE, all designed to create the best possible customer experience and ROI environment for our exhibitors. We have not yet come close to recouping those investments
- Our exhibit space contract language does not obligate JDE to pay refunds if the event is cancelled due to circumstances beyond our control. The pandemic could not have hit JDE at a worse time. Virtually all deposit monies were spent on producing and marketing the April show, including salaries, overhead and other service providers. Due to the havoc wrecked upon AXPONA and our entire business, JDE is simply not in a position to pay out refunds.
I know everyone would like specific answers now but we need some time to fully assess the current damage to JDE and to pursue additional sources of funding to help us bridge the gap to 2021 and beyond. Over the next several weeks we will be devising a plan for all 2020 exhibitors to rebook their same space, advertising and sponsorship positions in the 2021 event by rolling a portion of their 2020 deposits forward. The amount that we can offer to roll forward will depend on our ability to strengthen our financial position in the weeks to come.
There are no easy decisions in this time. JDE has let good people go and slashed salaries in order to stay afloat. We are deeply invested in and committed to this industry long-term. I hope you appreciate my candor even if you don’t like what you hear and we hope you are willing to work with us as all industry stakeholders must do in hard times. Even though this is a time when we are required to be distant from each other I believe in the long run that this experience will bring us closer together.
On a positive note, we are excited by the response to the “AXPONA Livestream” event on what would’ve been our April 17 opening day. We plan to conduct more virtual events in the coming months to keep the community connected and to provide value at no charge to our exhibitors during this down time.
It remains our pleasure to serve this great industry. Thank you all for your understanding and your support.
Sincerely,
Joel A. Davis
Founder & CEO
JD Events
