The corporate strategy, which has been consistently pursued for more than ten years now, is aimed at stable and healthy growth. Taking the average figures for the period from 2005 / 06 to 2015 / 16, the MCH Group has been able to double its operating income, and increase its EBIT by more than 80 %. It has thus considerably expanded its market position both nationally and internationally.
The MCH Group’s growth strategy is focused on the following strategic thrusts:
- expanding the range of services offered in the field of marketing platforms (exhibitions and events) and marketing solutions (live marketing solutions);
- further boosting the international nature of the product and services portfolio;
- developing digital offerings to complement and extend the live-marketing business.
The MCH Group’s strategic thrusts have to be viewed against the backdrop of a company that still earns most of its operating income in Switzerland, where it already has a very strong market position and where there is only limited potential for further growth. The nationally focused exhibition market is approaching saturation, and Switzerland is increasingly losing importance as a sales market for active and potential client groups. Added to this come the negative consequences of the strong Swiss franc.
The digitised world constitutes another huge challenge, given that in years to come, "digital natives" are going to become the key decision-makers. It is thus indispensable to anticipate the changes, requirements and opportunities of the upcoming digital generation in good time and to exploit the corresponding potential for supporting and complementing the live marketing business.
Expansion of Live Marketing Solutions
In January 2016, the MCH Group set up the MCH Global AG company to boost and focus its strategic and conceptual competence within the Live Marketing Solutions division and to link this with its implementation competence. In this way, the MCH Group, acting as a general contractor, can offer big and globally operating companies and organisers one-stop-shop solutions in the field of live marketing.
To boost the group’s global presence in the field of live marketing solutions, a subsidiary was set up in Shanghai and branch offices in Dubai and Astana in the second half of 2016. In April 2017, MCH Group has acquired a 100% holding in MC2 ("MC-squared"), a recognized leader in the exhibit and event marketing industry in the U.S.
Strengthening the group’s position on the global art market
Expanding the MCH Group’s market position on the global art market is a further pillar of the corporate strategy. The "Global Art Market Strategy" takes in two strategy elements that are being implemented in two different business units:
With different initiatives such as "Art Basel Cities" (partnerships with selected cities for launching new art events), the publication of the "Global Art Market Report" and the further development of the digital platform, Art Basel is to be further developed from the world’s leading art show into the world’s leading art market platform.
In spring 2016, the MCH Group adopted its strategic initiative of building up a new portfolio of leading regional art fairs independently of Art Basel. Since September 2016, the MCH Group has had a 60.3 % holding in India Art Fair in New Delhi. In February 2017, it acquired 25.1 % of ART DÜSSELDORF.