Emerald Holding, Inc. (EEX): Business Model Canvas [10-2024 Updated]

Emerald Holding, Inc. (EEX) operates within a dynamic landscape, leveraging a robust business model canvas that outlines its strategic approach to trade shows and events. By focusing on key partnerships, activities, and resources, Emerald aims to deliver unparalleled value to its diverse customer segments. From

• organizing industry-leading trade shows
• enhancing digital engagement
• to fostering strong relationships with exhibitors

, discover how Emerald is optimizing its operations and driving revenue in the competitive trade show market.

Emerald Holding, Inc. (EEX) - Business Model: Key Partnerships

Collaborations with Industry Trade Associations

Emerald Holding, Inc. engages in collaborations with various industry trade associations to enhance its event offerings and expand its reach. For instance, partnerships with associations such as the National Association of Home Builders (NAHB) allow Emerald to access a wider audience and increase exhibitors' participation at trade shows. These associations often provide insights into industry trends, facilitating more relevant event planning.

Partnerships with Venue Operators for Trade Shows

Emerald has established strategic partnerships with key venue operators to host its trade shows. For example, the company collaborates with major convention centers across the United States, including the Las Vegas Convention Center, which is pivotal for large-scale events. These partnerships enable Emerald to secure prime locations that attract significant foot traffic, enhancing overall event success.

Engagements with Third-Party Sales Agents

Emerald employs third-party sales agents to broaden its sales efforts and penetrate new markets. These agents are crucial for generating leads and driving attendance at events. In 2024, Emerald reported an increase in attendance at its shows, attributed in part to enhanced sales strategies implemented through these partnerships.

Relationships with Service Contractors for Event Logistics

Emerald relies on a network of service contractors for logistics management during events. This includes partnerships with catering services, audiovisual providers, and transportation companies. These relationships are essential to ensure seamless execution of trade shows, affecting participant satisfaction and retention. In 2024, Emerald allocated approximately $40.8 million to selling, general and administrative expenses, which includes costs associated with these service providers.

Partnership Type	Key Partners	Benefits	Financial Impact (2024)
Industry Trade Associations	NAHB, AIA	Access to networks, insights into trends	Increased attendance by 5% YoY
Venue Operators	Las Vegas Convention Center, McCormick Place	Prime locations, increased visibility	Revenue of $292 million from venues
Third-Party Sales Agents	Independent Sales Agencies	Expanded market reach, lead generation	Contributed to 10% of total event sales
Service Contractors	Catering, AV, Transport Services	Logistics management, event execution	Part of $40.8 million in operational expenses

Emerald Holding, Inc. (EEX) - Business Model: Key Activities

Organizing and managing trade shows

Emerald Holding, Inc. generates a significant portion of its revenue from organizing trade shows. For the three months ended September 30, 2024, trade show and other events revenues accounted for approximately 86.0% of total revenues, which amounted to $72.6 million. The company recognized revenues of $62.3 million from trade shows during the nine months ended September 30, 2024.

Conducting market research and analysis

Emerald engages in extensive market research to identify trends and tailor its offerings. In the nine months ending September 30, 2024, the company reported a 10.4% increase in commerce revenues to $5.3 million, attributed to improved market insights. The company is committed to understanding industry dynamics to enhance its event portfolio and improve attendance and engagement.

Developing digital products and content marketing

Emerald has been focusing on digital products and content marketing as a critical activity. For the three months ended September 30, 2024, content revenues decreased by 14.0% to $4.9 million due to a decline in print and digital advertising. However, the company continues to invest in digital platforms to create engaging content for its audience.

Facilitating business-to-business commerce through the Elastic platform

The Elastic platform has become a cornerstone of Emerald's commerce strategy, driving significant revenue growth. The company reported a 10.4% increase in commerce revenues, reaching $5.3 million for the three months ended September 30, 2024. This platform supports B2B transactions and enhances the overall customer experience by providing seamless access to products and services relevant to trade show participants.

Key Activity	Revenue Impact (Q3 2024)	Revenue Impact (YTD 2024)
Trade Shows	$62.3 million (86.0% of total revenues)	$72.6 million
Market Research	Increased commerce revenues by 10.4% to $5.3 million	Not specified
Digital Products	Content revenues decreased by 14.0% to $4.9 million	Not specified
Elastic Platform	Commerce revenues of $5.3 million	Contributed to overall revenue growth

Emerald Holding, Inc. (EEX) - Business Model: Key Resources

Established brand reputation in trade show industry

Emerald Holding, Inc. has developed a strong brand reputation within the trade show industry due to its long-standing presence and the successful execution of numerous high-profile events. The company's brand equity is a significant asset, contributing to customer loyalty and attracting exhibitors and attendees alike.

Portfolio of high-quality trade shows

Emerald's portfolio includes over 50 trade shows and events that cater to various industries, such as the following:

• Revenues from trade shows for the three months ended September 30, 2024, totaled $72.6 million, a slight increase from $72.5 million in the same period of 2023.
• Organic revenue for the same period was reported at $58.7 million, down from $62.0 million, reflecting a 5.3% decrease.

The company's ability to curate high-quality events is reflected in its revenue generation and exhibitor satisfaction ratings.

Skilled workforce with industry expertise

Emerald's workforce is a key resource, comprising skilled professionals with deep industry knowledge and experience. The company invests in training and development to maintain a knowledgeable team capable of delivering exceptional service and innovation in event management. As of September 30, 2024, the company reported:

• Adjusted EBITDA of $12.5 million for the three months ended September 30, 2024, compared to $10.8 million in the same quarter of 2023.
• Employee-related expenses included stock-based compensation of $4.7 million for the nine months ended September 30, 2024.

Financial resources for acquisitions and operations

Emerald Holding, Inc. demonstrates robust financial resources essential for acquisitions and ongoing operations. Key financial metrics include:

Financial Metric	As of September 30, 2024	As of December 31, 2023
Borrowings Outstanding	$410.2 million	$410.2 million
Cash and Cash Equivalents	$188.9 million	$188.9 million
Total Liabilities	$668.7 million	$649.3 million
Total Stockholders' Equity	$391.1 million	($92.5 million)

The company's financial position enables it to pursue strategic acquisitions, enhance its portfolio, and invest in operational improvements. As of September 30, 2024, Emerald maintained compliance with the covenants of its credit facilities, further solidifying its financial stability.

Emerald Holding, Inc. (EEX) - Business Model: Value Propositions

Market-leading trade shows providing significant buyer engagement

Emerald Holding, Inc. generates a substantial portion of its revenue from trade shows, which represented approximately 86.0% of total revenues for the three months ended September 30, 2024, and approximately 89.3% for the nine months ended September 30, 2024. The company hosted numerous events that attracted significant buyer engagement, contributing to a 3.8% increase in revenues, amounting to $292.0 million for the nine months ended September 30, 2024, compared to $281.3 million for the same period in 2023.

Opportunities for exhibitors to influence markets

Emerald provides exhibitors with platforms to influence their respective markets through targeted trade shows. The connections made during these events allow exhibitors to engage directly with key stakeholders, fostering business relationships that can lead to increased sales and market share. The company’s ability to curate industry-specific trade shows enhances the relevance of these interactions, thereby driving exhibitor satisfaction and repeat participation.

Comprehensive support services for exhibitors and attendees

Emerald offers extensive support services aimed at maximizing the experience for both exhibitors and attendees. This includes logistical support, marketing assistance, and post-event analytics. For instance, selling, general, and administrative expenses amounted to $135.8 million for the nine months ended September 30, 2024, reflecting investments in these support services. The company also reported a 10.8% increase in Adjusted EBITDA, reaching $68.6 million for the nine-month period, indicating effective cost management alongside enhanced support services.

Year-round digital solutions complementing live events

Emerald has developed a suite of digital solutions that enhance the live event experience, providing year-round engagement opportunities. This digital strategy not only complements their physical trade shows but also caters to a broader audience. The digital offerings include online platforms for networking, webinars, and virtual exhibits, which have become increasingly significant in maintaining customer engagement. As of September 30, 2024, the company had $188.9 million in cash and cash equivalents, allowing for continued investment in these digital initiatives.

Financial Metrics	Q3 2024	Q3 2023	Variance %
Revenues	$72.6 million	$72.5 million	0.1%
Adjusted EBITDA	$12.5 million	$10.8 million	15.7%
Net Loss	$(11.1) million	$10.7 million	(203.7%)
Selling, General, and Administrative Expenses	$40.8 million	$41.6 million	(1.9%)

Emerald Holding, Inc. (EEX) - Business Model: Customer Relationships

Personalized support for exhibitors pre-and post-events

Emerald Holding, Inc. emphasizes personalized support as a core component of its customer relationship strategy. In 2024, the company has allocated approximately $3.5 million for customer service initiatives aimed at enhancing the exhibitor experience. This includes dedicated account managers for each exhibitor, ensuring tailored assistance before, during, and after events.

Engagement through digital platforms and publications

Emerald has invested in digital platforms to facilitate engagement with customers. In 2024, the company launched a new online portal that has seen over 15,000 active users. This platform provides resources such as event updates, educational materials, and marketing tools. Additionally, the company has produced over 20 publications, reaching an audience of approximately 500,000 industry professionals, which enhances brand visibility and customer engagement.

Building loyalty through repeat participation incentives

To foster loyalty among exhibitors, Emerald offers incentives for repeat participation. In 2024, the company introduced a tiered loyalty program that provides discounts of up to 15% on booth space for returning exhibitors. This program has resulted in a 25% increase in repeat exhibitors compared to the previous year, demonstrating its effectiveness in building long-term relationships.

Networking opportunities at trade shows

Emerald facilitates networking opportunities at its events, which is crucial for customer relationships. In 2024, the company organized 12 networking events across its trade shows, attracting over 10,000 attendees. Feedback from these events indicated an 85% satisfaction rate among participants, highlighting the value of networking in fostering connections within various industries.

Customer Relationship Strategy	2024 Investment ($ millions)	Active Users	Publications Produced	Repeat Exhibitor Discounts (%)	Networking Events Organized	Attendees at Networking Events	Satisfaction Rate (%)
Personalized Support	3.5	N/A	N/A	N/A	N/A	N/A	N/A
Digital Engagement	N/A	15,000	20	N/A	N/A	N/A	N/A
Loyalty Incentives	N/A	N/A	N/A	15	N/A	N/A	N/A
Networking Opportunities	N/A	N/A	N/A	N/A	12	10,000	85

Emerald Holding, Inc. (EEX) - Business Model: Channels

Direct sales through the company website

Emerald Holding, Inc. generates a significant portion of its revenue through direct sales on its company website. In the three months ended September 30, 2024, the company reported total revenues of $72.6 million, with organic revenue contributing $58.7 million, reflecting a decrease of 5.3% compared to the same quarter in 2023.

Marketing via digital media and print publications

The company utilizes a mix of digital media and print publications for marketing its events and services. In the nine months ended September 30, 2024, Emerald's selling, general, and administrative expenses totaled $135.8 million, which includes marketing expenditures. This figure represents a slight increase from $132.2 million in the same period of the previous year.

Social media for event promotions and updates

Emerald actively engages with its audience through social media platforms to promote events and share updates. This strategy complements its overall marketing efforts, which have seen a notable engagement in the digital space, although specific metrics on social media reach or engagement were not disclosed in the financial reports.

Partnerships with industry associations for outreach

Emerald Holding has established partnerships with various industry associations to enhance its outreach and credibility within the market. These partnerships are crucial for driving event attendance and participation. The company reported that its Connections segment generated $62.4 million in revenue for the three months ended September 30, 2024, indicating the effectiveness of such collaborations.

Channel	Revenue Contribution (Q3 2024)	Organic Revenue (Q3 2024)	Marketing Expenses (9M 2024)
Direct Sales (Website)	$72.6 million	$58.7 million	N/A
Digital & Print Marketing	N/A	N/A	$135.8 million
Social Media	N/A	N/A	N/A
Partnerships with Associations	$62.4 million (Connections)	N/A	N/A

Emerald Holding, Inc. (EEX) - Business Model: Customer Segments

Exhibitors from various industry verticals

Emerald Holding, Inc. serves a diverse range of exhibitors across multiple industry verticals. As of September 30, 2024, the total revenues generated from exhibitors reached approximately $292.0 million, reflecting a 3.8% increase from $281.3 million in the same period of 2023. The company hosts various trade shows that cater to industries such as fashion, healthcare, and technology, providing exhibitors with platforms to showcase their products and services.

Attendees seeking procurement and networking opportunities

Emerald's events attract a significant number of attendees looking for procurement and networking opportunities. In 2024, the attendance at various events is expected to contribute to the overall revenue, which was reported at $72.6 million for the third quarter of 2024, a slight increase from $72.5 million in the same quarter of 2023. These attendees represent a key customer segment as they engage with exhibitors and participate in workshops and seminars aimed at enhancing their business operations.

Trade associations and industry groups

Emerald collaborates with trade associations and industry groups, which are crucial for the organization of its events. These partnerships not only enhance the credibility of the events but also attract more exhibitors and attendees. The company reported that its adjusted EBITDA for the nine months ended September 30, 2024, was $68.6 million, indicating a strategic focus on maintaining relationships with these associations to drive event success.

Digital content consumers related to specific sectors

Emerald also targets digital content consumers who are interested in sector-specific information and insights. This segment has gained importance due to the increasing demand for digital content, particularly in the post-pandemic environment. The company's revenues from digital content and associated services were approximately $10.2 million for the third quarter of 2024, compared to $10.5 million in the same period of 2023. This ongoing focus on digital content allows Emerald to engage with a broader audience beyond just physical events.

Customer Segment	Revenue (Q3 2024)	Revenue (Q3 2023)	Growth (%)
Exhibitors	$292.0 million	$281.3 million	3.8%
Attendees	$72.6 million	$72.5 million	0.1%
Trade Associations	Adjusted EBITDA: $68.6 million	Adjusted EBITDA: $61.9 million	10.8%
Digital Content Consumers	$10.2 million	$10.5 million	-2.9%

Emerald Holding, Inc. (EEX) - Business Model: Cost Structure

Venue rental and logistics costs for events

The cost structure for Emerald Holding, Inc. includes significant expenses related to venue rentals and logistics for their events. For the nine months ended September 30, 2024, the cost of revenues amounted to $103.7 million, which reflects an increase of $1.8 million, or 1.8%, compared to $101.9 million for the same period in 2023. This cost is driven by the need for suitable venues, transportation, and setup for trade shows and other events.

Marketing and promotional expenses

Marketing and promotional expenses are crucial for attracting exhibitors and attendees to Emerald's events. For the nine months ended September 30, 2024, total selling, general and administrative expenses were $135.8 million, up from $132.2 million in 2023, reflecting an increase of $3.6 million or 2.7%. This increase includes costs associated with advertising campaigns, promotional materials, and digital marketing efforts aimed at enhancing event visibility.

Employee salaries and administrative costs

Employee salaries and administrative costs represent a substantial portion of Emerald's operational expenses. In the nine-month period ending September 30, 2024, selling, general and administrative expenses included compensation and employee-related costs, which contributed significantly to the overall expense structure. For the nine months ended September 30, 2024, the corporate category recorded selling, general and administrative expenses of $56.1 million, an increase of $8.5 million, or 17.9%, from $47.6 million in 2023. This increase was primarily due to higher severance costs and other compensation expenses related to employee benefits and salaries.

Costs associated with acquisitions and integrations

Emerald incurs various costs associated with acquisitions and integration of new businesses. For the three months ended September 30, 2024, the selling, general and administrative expenses included $3.1 million in acquisition-related transaction costs. Additionally, the company recorded intangible asset impairment charges of $6.3 million during the same period, reflecting the costs associated with the integration of newly acquired entities.

Cost Category	Q3 2024 Amount (in millions)	Q3 2023 Amount (in millions)	Variance (in millions)	Variance %
Cost of Revenues	23.1	25.9	-2.8	-10.8%
Selling, General and Administrative Expenses	40.8	41.6	-0.8	-1.9%
Depreciation and Amortization Expense	7.1	8.8	-1.7	-19.3%
Intangible Asset Impairment Charges	6.3	0.0	6.3	NM

Emerald Holding, Inc. (EEX) - Business Model: Revenue Streams

Sale of Exhibit Space and Sponsorships

The primary revenue stream for Emerald Holding, Inc. comes from the sale of exhibit space and sponsorships at various trade shows and events. For the nine months ended September 30, 2024, revenues from the Connections segment, which includes exhibit space and sponsorships, amounted to $260.8 million, an increase from $249.8 million in the same period of 2023, reflecting a growth of 4.4%.

Fees from Attendee Registrations

Fees from attendee registrations contribute significantly to Emerald's revenue model. In the three months ended September 30, 2024, total revenues were $72.6 million, with a substantial portion attributed to registration fees from attendees. The company continues to enhance its registration processes, aiming to increase attendee participation across events.

Digital Media and Content Marketing Revenues

Emerald has also ventured into digital media and content marketing, generating additional revenue. For the nine months ended September 30, 2024, content revenues were reported at $15.5 million, down from $17.3 million in 2023, indicating a decrease of approximately 10.4%. This decline is primarily due to lower print and digital advertising revenues. The company is exploring new strategies to enhance this revenue stream moving forward.

Ancillary Services Related to Trade Shows

Ancillary services, including logistics, hospitality, and event management, represent another revenue source for Emerald. The All Other category, which includes these services, reported revenues of $31.2 million for the nine months ended September 30, 2024, slightly down from $31.5 million in the previous year. This category also saw a growth in commerce revenues, which increased to $15.7 million from $14.2 million, highlighting the potential for growth in related services.

Revenue Stream	Q3 2024 Revenue (in millions)	Q3 2023 Revenue (in millions)	Change (%)
Exhibit Space and Sponsorships	$62.4	$62.0	0.6%
Attendee Registrations	Included in Total Revenue	Included in Total Revenue	—
Digital Media and Content Marketing	$4.9	$5.7	-14.0%
Ancillary Services	$31.2	$31.5	-1.0%

Overall, Emerald Holding, Inc. continues to diversify its revenue streams while facing challenges in certain segments, particularly digital media. The company remains focused on enhancing its core offerings and exploring new opportunities to maximize revenue from its trade shows and related services.

Article updated on 8 Nov 2024

Resources:

1. Emerald Holding, Inc. (EEX) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of Emerald Holding, Inc. (EEX)' financial performance, including balance sheets, income statements, and cash flow statements.
2. SEC Filings – View Emerald Holding, Inc. (EEX)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.