[Into the Industry] Messe Essen Knocking on India’s Door “Exhibitions Are Future Growth Industries”

First MICE Industry Company Listed on KOSDAQ on the 3rd
Partnering with KINTEX to Enter the Indian Exhibition Industry in October

Messe Isang, a professional exhibition organizing company, entered the KOSDAQ market on the 3rd, becoming the first in the MICE (Meetings, Incentives, Conventions, and Exhibitions) industry to do so. Despite the COVID-19 pandemic period when large gatherings were discouraged, Messe Isang achieved profitable management and set a goal to become a global MICE company with its KOSDAQ listing as a milestone. The word 'Messe' in Messe Isang’s name is German for 'exhibition.' It is the same word used for the Catholic Church’s mass. On the afternoon of the 17th at Messe Isang’s headquarters in Sangam-dong, Seoul, CEO Jo Won-pyo explained, "After Sunday mass ended, a market was set up in front of the church," adding, "This is the background for why exhibitions and mass share the same etymology."

Maintaining Profitability Even During the COVID-19 Period

CEO Jo Won-pyo began by saying, "During the COVID-19 period, exhibitions were rarely held, which ironically made people realize the importance of exhibitions." He added, "Small and medium-sized enterprises (SMEs) with low brand awareness find it difficult to properly convey their products’ features and advantages online." He emphasized, "Participating in exhibitions allows SMEs to gain business opportunities equal to those of large corporations at a low cost. The biggest advantage and attraction of exhibitions is the opportunity to meet new buyers and conclude contracts."

During the COVID-19 pandemic, SMEs had almost no opportunities to meet buyers and consumers as exhibitions were postponed. Recognizing these difficulties, the government allowed exhibitions to be held under strict quarantine guidelines. Thanks to this, Messe Isang maintained a positive operating profit and net profit in 2020 and 2021. In 2020, it recorded sales of 18.6 billion KRW and operating profit of 1.9 billion KRW. In 2021, sales reached 26.6 billion KRW with an operating profit of 5.5 billion KRW. Last year, sales hit 37.2 billion KRW and operating profit 8.3 billion KRW, recovering to pre-COVID-19 levels.

Messe Isang is an exhibition specialist company established in 2010 by Isang Networks, a B2B e-commerce company. Isang Networks, which was listed on KOSDAQ in 2005, entered the exhibition business by acquiring the Kyunghyang Housing Fair in 2008. The largest shareholder, Isang Networks, and its related parties hold 86.3% of Messe Isang’s shares.

At its founding, Messe Isang organized only one event, the Kyunghyang Housing Fair, but 15 years later, it holds more than 60 exhibitions annually. It has grown into a top-tier company among about 600 domestic exhibition organizers. It manages representative exhibitions in 20 business sectors including architecture, interior design, machinery, medical, environment, security, coating, real estate, hotels, agriculture, leisure, and infant products.

CEO Jo emphasized, "Messe Isang provides a marketing platform that meets the diverse needs of participating companies." A particular strength of Messe Isang is its outstanding accumulation of exhibition-related data compared to competitors. Messe Isang’s parent company, Isang Networks, operates a B2B e-commerce platform and is skilled at providing customized information using data. As of December last year, the number of companies participating in exhibitions hosted by Messe Isang reached 156,037. They also collect visitor data annually with consent for personal data use. Using this data to plan exhibitions and invite related professionals has increased participant satisfaction. Analyzing data collected after exhibitions allows them to read new market trends and reflect them in future exhibitions, creating a virtuous cycle.

Operating a Large Exhibition Center in New Delhi, India for 20 Years

Having gained experience domestically, Messe Isang plans to actively enter overseas markets as early as October. The target is India. India is growing as a global factory and supply chain, often called the post-China. With a population exceeding 1.4 billion and high economic growth rates, the market potential is vast. In India, the exhibition industry is still in its infancy. The Indian government is developing the India International Convention & Expo Center (IICC) in Dwarka, a satellite city of the capital New Delhi. Located at a transportation hub near the international airport and a luxury hotel complex, the first phase of the center will have about 120,000 m² of exhibition and conference space.

Messeisang CEO Wonpyo Jo. Photo by Younghan Heo younghan@

Korea’s largest exhibition organizer, Messe Isang, will jointly operate the IICC for the next 20 years with Kintex, which runs Korea’s largest exhibition center. To operate the IICC exhibition and convention center, they established a joint venture called Kinexin Convention Management. To commemorate the opening of the IICC, Kinexin plans to hold 'Plast Focus,' the world’s largest plastic manufacturing industry exhibition. The event will be organized jointly by Kinexin, Indian exhibition organizer Triyunsa, and the Mamata Group.

CEO Jo said, "The IICC will serve as a forward base for Korean companies aiming to enter the Indian and South Asian markets," adding, "We can hold exhibitions introducing Korean products and establish a permanent exhibition hall." He emphasized, "Messe Isang will use the IICC as a hub to export the domestic MICE industry," and "After gaining expertise overseas, we will hold exhibitions introducing Korean brands in the U.S., Europe, and other regions." In particular, they are planning to hold a 'Korea Expo' at the IICC. CEO Jo said, "We will showcase various products in which Korea is competitive, including architecture, batteries, and IT."

Germany, a Leading Exhibition Industry Nation... Economic Impact of 39 Trillion KRW

Messe Isang’s reason for expanding overseas rather than staying stable domestically is the attractiveness of foreign markets. He said, "Many people worry about uncertainties in the Indian market," but added, "There were also risks when domestic manufacturers entered the Chinese market in the past." He continued, "We decided to enter India because the benefits outweigh the risks," emphasizing, "Looking at the growth cases of the exhibition industry overseas, the potential for development is sufficient."

Germany is one of the most developed countries in the exhibition industry worldwide. Exhibitions in Germany have developed since the 12th century, centered around cities like Leipzig, Frankfurt, and Cologne. Germany’s exhibition industry holds top competitiveness alongside the automotive, pharmaceutical, chemical, steel, energy, and financial industries. Annually, 160 to 180 international exhibitions are held, with about 180,000 exhibiting companies and 10 million visitors participating. The exhibition industry contributes significantly to the economy and employment. According to the Korea Trade-Investment Promotion Agency (KOTRA), direct revenue from exhibitions in Germany is about 14.5 billion euros (approximately 20 trillion KRW), and the macroeconomic production effect reaches 28 billion euros (about 39 trillion KRW) annually. Employment effects are also substantial. Approximately 58,000 exhibition specialist companies operate in the B2B trade exhibition sector, creating over 100,000 full-time jobs. As of 2018, 231,000 people were employed in the exhibition industry in Germany.