The MCH Group is undergoing a far-reaching transformation process that has been made necessary by the fundamental changes coming about in the exhibition and event industry. The aim of the transformation process is to develop the group’s classical live event competence into an experience marketing competence in both the physical and digital fields.
In summer 2018, the MCH Group defined and initiated the roadmap for the necessary transformation process. The first phase focused on the necessary stabilisation of the company. In addition to different cost-saving and cost-cutting measures, the strategic initiatives were prioritised and an initial reorganisation implemented to boost efficiency in the group’s organisational structure.
Already implemented measures
In parallel to the ongoing transformation process, various restructuring measures have been implemented.
In the light of the declining trend in the general consumer fairs over a period of many years, it was decided in autumn 2018 to discontinue Züspa (in Zurich) and Comptoir Suisse (in Lausanne). Muba (in Basel) has been held for the last time in 2019.
In November 2018, the new Swiss company MCH Live Marketings Solutions AG was founded through the renaming of Expomobilia AG. In the first half of 2019, all Swiss companies in the Live Marketing Solutions division and the brands MCH Global, Reflection Marketing and Expomobilia were integrated into this company.
The MCH Group sold Winkler Livecom AG as per 31 December 2018. It additionally sold its stakes in Art Düsseldorf at the end of May 2019 and in India Art Fair in September 201. In the context of the current strategic realignment, the MCH Group has taken the decision not to make any further investments in Grand Basel for the moment so that it can focus on other strategic initiatives.
Strategic focus and investments in innovations
In September 2019, the Board of Directors of the MCH Group defined its future strategic parameters, following comprehensive market and potential analyses together with the Executive Board. In its future strategic alignment, the MCH Group will be focusing on the organisation of future-oriented, nationally and internationally leading platforms such as exhibitions, events and congresses. Over the next few years, it is intending to make investments in the further development of existing events and the development of new formats. The investment resources are to be made available through cost-saving measures and will be deployed primarily on promoting innovations, digitisation and internationalisation.
In the operation and marketing of the group’s own infrastructure in Basel and Zurich, the focus is to be placed on maximising capacity utilisation of the exhibition and congress facilities. The most suitable ownership and operating structure for this will be determined over the medium term
The MCH Group is looking into different strategic options for the division "Live Marketing Solutions"– including selling it. The aim is to ensure that the existing growth potential can also be tapped in this area.
The MCH Group will be finalising the detailed strategies and the future organisational structures by the end of the year and will make a start on implementing them at the beginning of January 2020. The aim of this strategic realignment is to achieve an appropriate level of profitability again and to secure this in the long term.