Saudi Arabia Report

InterviewsMay 11, 2023

Riyadh Exhibitions Company: Dr. Akram Masri Discusses Events and Trade Fairs Organization in Saudi Arabia

Dr. Akram Masri, Chief of Operations at Riyadh Exhibitions Company Ltd (REC)

: Written by Sandra Francisco; Published: May 11, 2023

Interview with Dr. Akram Masri, Chief of Operations at Riyadh Exhibitions Company Ltd (REC)

Let's start by discussing the sector overview of the country and region. Could you share your perspective on this topic and highlight what you believe is important for our audience to know?

I believe we are unique in this region, especially in the Kingdom, in one particular way. We pioneered this sector, and that is what sets us apart from everyone else you may talk to in this country or even in the region. Most of the regional leaders in Dubai weren't around when we were conducting these activities. Even Dubai World Trade Center had only 4 halls out of the 21 when we were both operating in the industry. In fact, we sold some shows in Dubai to IIR, which was later bought by Informa, for example. So we were among the earlier international pioneers that were ahead of the current. We sold shows in those days, as far back as 30 years ago. What's unique about us in Saudi is that we started and pioneered the sector here. We had the first and second venues, which we managed from 1980 until about 2009. In 2009, the Chamber of Commerce built another venue, so we moved our program over there. We used to cover all 13 sectors, but we gradually started to focus more on some of them because, if you have your own venue, there is no additional cost for you to do everything. So, even small events are okay. However, small events are not feasible if you have an expensive venue. Additionally, obtaining visas was very complicated at the time. There was no interest in tourism, and it was not seen as a priority to attract tourists to Saudi Arabia unless there was a business purpose. In the past, there was little national interest in developing the tourism sector. However, things have changed now. Visas are much easier to obtain, and the process can be completed online. Additionally, the visa policies are reciprocal. For instance, if the US government grants a Saudi citizen a five-year visa, then the Saudi government will do the same for an American citizen. It is important to note that the same reciprocity applies to E visas. Previously, women were not allowed to stay in hotels alone, whether they were locals or foreigners. Nowadays, women have the freedom to conduct their business and travel independently without any restrictions, as things have changed. The relaxed visa policies have made it easier for places like Dubai to grow rapidly, expanding from 4 to 21 halls. Despite this, we have succeeded in bringing in the biggest brands to the country through our platform since there was no other platform available at the time. International companies would come to our platform to meet with local dealers or distributors. The following year, big names like Microsoft would attend trade fairs and exhibit at the stands of their local partners. This was the initial process through which most companies entered the Saudi market. This has been our model for years across various sectors. Dubai has been a popular destination due to its B2B and convention center infrastructure, hotels, and simple lifestyle for women. The practices of cities around the world are well-known, such as Las Vegas with its large venues. The Germans have been very successful in organizing B2B events. Frankfurt is the world's third largest organizer, while Cologne, Dusseldorf, and Munich are also impressive. Hanover used to have the largest computer show in the world until it was segmented. Comdex in the US ultimately collapsed and gave way to newer segments such as cyber security, cloud business, and AI, as the industry became increasingly segmented.

With a population of 32 million and considerable wealth, the country aims to establish itself as a leader in various industries. As the saying goes, "if you want to be seen as a duck, you should walk, talk, and look like a duck." Progress is being made towards this vision, with infrastructure and hotels in the works.

Could you elaborate on your core activity and explain how you are different from others?

Some event organizers don't limit themselves to either B2B or B2C events; they may also host mega conferences or entertainment events that are not specifically B2B or B2C. However, we mainly focus on B2B events. As for the sectors we focus on, when we host conferences, we usually concentrate on a specific sector. We occasionally have conferences that stand out on their own with a small exhibition, but for the most part, we organize mega exhibitions that sell out and then plan the relevant conference in collaboration with the appropriate ministry. For example, in June, we are hosting a multisectoral event that focuses on four sectors, including our expanding industrial sector, with multiple areas of interest. We are the only ones who have been doing this for over 30 years, and while we used to do it every two years, we now have the 18th version of this event. Originally, it focused on Printing, Packaging, Plastics, and Petrochemicals, but we have now added Smart Manufacturing and Smart Logistics to our Industry Week. This allows us to serve the needs of factories across the economy as they all require packaging, printing, and related services. We invite industrialists to attend, and no one else has been serving this space as recently as we have. Saudi Arabia has recently been viewed as a high-growth market in terms of GDP. The focus is on promoting why people should visit Saudi Arabia. The IMF has assisted by reporting a GDP growth rate of 7.6% in Saudi Arabia, compared to China's 4.4%, Europe's 1%, and England's -1%. The United States is attempting to keep its growth rate at 3% to combat inflation. As a result, Saudi Arabia is an interesting market with significant potential. As a consequence, many individuals and businesses are attempting to enter, and we face intense competition. Nonetheless, we remain adaptable and responsive to changes in the market. Additionally, we have certain advantages that we can discuss. So, to reiterate, in addition to industry, we will also be focusing on the agriculture sector this year. We organize the largest regional show in agriculture, considering that Dubai typically holds this title for most regional shows. However, Saudi Arabia is a large country with a significant population to feed, hence the need for a comprehensive agriculture show. Our multisectoral agriculture show covers livestock, dairy, poultry, agri-food, and various sub-sectors. This year marks the 40th edition of the show, which is a significant achievement. The show serves as a meeting place for individuals in the sector and highlights the country's commitment to food security. The government is a valuable supporter of our efforts, and we receive significant backing from them. We operate under the patronage of the relevant industry, working in collaboration with the Ministry of Industry for certain sectors, and under the Ministry of Agriculture for agriculture. During the 39th edition of the show, we were pleased to have the government's support and cooperation, and we continue to enjoy a positive working relationship with them. Our success is due to the overwhelming support of our clients, who have consistently shown their appreciation by attending and selling out our shows.

What is your take on international conferences and summits?

We already engage in these. We hold them concurrently. Currently, for example, we are focused on the industrial sector. We have added smart manufacturing and smart logistics. Out of the 10,750 factories in the country, 4,000 have been designated to be upgraded to meet the fourth industrial revolution standards, which is a term used for AI and robotics. It is impossible to discuss the latest technologies without holding conferences and summits. Technology necessitates explanation and elaboration, especially when it comes to state-of-the-art advancements. Therefore, summits and conferences are vital. Our aim is to focus on summits rather than typical conferences or forums. Sometimes, it is preferable to have a CEO or Chief Technology Officer on stage rather than a salesperson to maintain credibility. We always ensure that our strategies align with the Vision 2030 plan, and credibility is of utmost importance to us and the government. Since our events are aimed at attracting business people, it is crucial to have high-level decision makers present. Salespeople can always visit their offices, but CEOs need to address a large audience at least once. Our role is to act as the intermediary between the demand and supply sides, and bring in the right trade buyers. For example, we initially focus on the government side to explain their initiatives, opportunities, and requirements. The solution providers and technology providers are in the audience. The next day, we switch it around, and consultants and technology providers come in to explain the latest global trends, solutions, and technologies. That is our primary role. We are not introducing anything new here. It is a rational approach for anyone who wants to be a leader or credible in this business. It is crucial to respect your client base. Our sustained success over the past few decades is because we've been doing things right.

Can you discuss your competitive advantages?

Our competitive advantages are quite clear if you read between the lines. We've been successful for 40 years, even after the opening of a new venue in 2009 and the recent addition of a temporary venue. Our success lies in the fact that we are focused on B2B events and we understand both the international and local markets. We know how to serve international clients because we've had them for 40 years, and we understand their motivations. Additionally, we have a deep understanding of the local market. That is why we believe we can maintain our success story. If we don't learn from our mistakes, we are in trouble. Locally, it can be difficult to identify the key decision-makers and real buyers in different sectors, but we have that knowledge. Establishing credibility with them is crucial, especially if we want to bring them together with international or local exhibitors. Although we have many local exhibitors, our shows also attract participants from 26 or 30 countries. This is because the business model is based on finding local distributors, who are then embedded in the local market. Even locals are constantly looking for new technologies. Our competitive advantage lies in knowing the buyers better than anyone else, including under the government's guidance, since we work closely with them.

What are the main challenges you are currently experiencing?

As you may know, the Kingdom is going through a massive period of transition, unlike anything seen in years. The goal is for the kingdom to lead the G20 as a developed nation, rather than a developing one. This is evident in the KPIs and mega-projects, such as the new airport which will be ten times larger than the current one. There are significant investments being made in infrastructure, including ports, railways, highways, and numerous mega-projects like Red Sea, tourism, industrial, Neom, entertainment, and Qiddiya, as well as Diriyah Gate. All of these projects are happening simultaneously, and it is clear that our sector is not alone in facing significant challenges. So in our sector, we are experiencing a lot of changes and transitions which present various challenges. As new policies and realities emerge, we have to keep up with them. Specifically, in our sector, there has been a significant increase in the number of hotel rooms and infrastructure expansion, but we still need to do more. The venues themselves are quite small, and it is common knowledge that we are adding more. Our success has led to build at least two temporary halls at the venue. When we organize the chamber, we may need to add even more. However, we must maintain a competitive edge while continuing to handle these challenges. We believe that we are doing quite well in that particular area. In fact, one of our major international competitors recently paid us a nice compliment after attending one of our shows. I mentioned that we were trying to recover from the impact of COVID over the past few years, and he replied that it was evident we had not forgotten much. So, we like to believe that we've maintained our standards and will continue to do so.

What is your vision for the organization in the medium-term?

To begin with, whether you are an operations person or a C-suite executive, you need to understand that the business environment is constantly changing, and organizations like yours play a crucial role in keeping the information flowing. Agility is crucial in this dynamic environment, not just in our sector, but in all organizations. If a company cannot adapt quickly to changes in client needs, technology, and competition, they won't be successful. This requires speed and the ability to pivot when necessary.

In terms of our future vision, we want to expand our collaboration and reach. We are aware of the excellent practices of overseas organizations, and we are interested in partnering with them.

Another aspect of our future orientation is to grow through collaboration with the best. Just as we serve our clients by bringing in big brands and finding local collaborations, we want to collaborate with big brands in our own sector. These partnerships could be with media partners like yourselves or with other businesses in our industry. We believe there is a lot of talent out there, and we are interested in working with those who have a credible reputation and have delivered consistently.

What motivated you to pursue this path and create this business, and what is the story behind it all?

I believe my profile is well-suited for the direction that education sector is heading. The focus now is on addressing multisectoral problems, rather than working in isolated silos. This shift can be seen in the education sector, as even engineering programs are changing. Personally, I have degrees in marketing, international management (MBA), planning, and information systems (PhD), with a focus on using artificial intelligence. My background is in management consulting, which I began in my early 20s, and it has taught me to be adaptable and demand-driven. Rather than relying solely on my talents, I prioritize what is needed in a given situation and develop the necessary skills quickly. Strong marketing, management, and planning departments are crucial for addressing these complex problems. I am one of the pre-internet generation, who learned about online searches before the internet existed. This knowledge has been helpful for me, as it has allowed me to be prepared and acquire more knowledge. I tell my children, who are about to enter college, that they have the ability to surpass their teachers if they do their homework and take advantage of the wealth of information available to them. If someone wanted to start a new show tomorrow, they could do so successfully due to the abundance of information available. However, the key skill for managers now is to quickly sift through this information and find what is relevant. Simply providing more information is no longer the solution to improving managerial skills. Even a simple Google search can yield hundreds of thousands of hits, so it is important to identify the most relevant and useful information. Ideally, organizations would make this process easier through effective segmentation. In addition to education, it is important for individuals to be credible in order to succeed. Leading by example is the easiest way to achieve success, although it does require investing more time and effort. I personally make it a point to work alongside my staff, even during late-night deadlines, instead of simply asking them to do so themselves. This approach helps build credibility and trust with my team. Additionally, taking care of your staff is crucial. I mean, there's sort of an implicit agreement between employers and employees that the employer will take care of the employees' interests, and in return, the employees will work long hours if necessary. In our business, we have made commitments to clients, and we cannot tell a client that their project has failed, and now our staff has to cover what the vendor was not able to cover. That is why we try to do a lot of things in-house. We are a 360 organization, and we write our own content, do our own pre-press design, and create our own websites because we want to be credible with our clients and meet our deadlines. It is important to be credible and deliver on time to maintain the trust of our clients. Consistency, quality time deadlines, and ensuring a shared culture and values among people are crucial. We conduct a lot of in-house training since there aren't many resources available that already comprehend the industry and clients' needs. It is imperative to understand the client's motivation and requirements to serve them well. Therefore, we strive to impart this knowledge to the younger members we attract, who possess great raw talent. However, educating them about this specific sector remains a challenge. We are competitive in various fields and recognize the significance of being customer-centric. Our responsibility is to take care of both the demand and supply sides, and we aim to work alongside our partners to excel in these domains.

For more information, please visit: www.recexpo.com

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Saudi Arabia Report

Riyadh Exhibitions Company: Dr. Akram Masri Discusses Events and Trade Fairs Organization in Saudi Arabia

Dr. Akram Masri, Chief of Operations at Riyadh Exhibitions Company Ltd (REC)

Interview with Dr. Akram Masri, Chief of Operations at Riyadh Exhibitions Company Ltd (REC)

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