The ASI has come and gone without serious incident. There were no reports of drunken tavern owners stumbling through the aisles of the show. There were a couple of wild guys dancing in the aisles, wearing lampshades at one point, but they turned out to be operators from the Carolinas. The co-located Nightclub & Bar show seemed to have minimal impact on the ASI show.
It did appear, however, that numerous operators stayed away from the ASI. Meanwhile, agenda-laden show leaders were quoted as calling this the best convention ever. The official attendance is nearing 100,000, or was that 10,000, or was thatWhatever. The number of bodies on the floor is a moot point for me. If body count were the marker for a successful convention, all the shows would run advertisements in the Las Vegas Daily and invite the public. My guess is that a show in today's marketplace, in our industry, could be a huge success if the right 100 people showed up and placed heavy orders. The industry has consolidated in so many ways, so consistently over the last decade, that this isn't the same business it used to be. We're like a cruise ship turning in the night. One minute the ship is facing north. You don't notice anything, but gradually the ship is turning. Next thing you know, the ship is facing due south. How did that happen? That's how I feel about our industry today. How did we get to this place and time? How did I get to this place and time?
Life at Sugarloaf is a microcosm of our industry. Things are changing at an unprecedented rate, and at all levels. Every day at work feels like a track meet. A little over a year ago, Sugarloaf was a publicly-traded skill crane company that also operates other categories of equipment that complement skill crane placements. Now we're privately held by Wellspring Capital, a Wall Street equity investment company. Sugarloaf acquired the assets of Rainbow Crane, introducing us into the manufacturing business in September of last year. Shortly thereafter, we acquired one of the best kiddie ride manufacturing companies in the industry, Rob Schlup's Kiddie World in California, Mo. Last month we entered into an agreement with the premier bulk operating company in the industry, Folz Vending. And that was just in the last 13 months. I suspect there is more to come. The trend will continue.
Industry consolidation appears to be moving at the bacterial half-life speed, increasing in speed with every transaction. If a buyer for Sugarloaf attends an industry convention, he's buying to support a $200 million route. Traditionally, it would take up to 50 buying attendees to reach this level of industry penetration. Body count doesn't rule any more at today's conventions; it's company count, and the right companies, that make a show. Body count makes for good photo opportunities.
Incredible Technologies decided to show at the Nightclub & Bar expo, but not at ASI. I suspect there is a story here that I'm not aware of, however predictable this action was. Whether it was Incredible Technologies or some other frustrated company, it was bound to happen. The obvious facts are that we are a one-show industry at this stage of our evolution. In the absence of rational minds at the AAMA and AMOA being able to make this happen (myself included, as I tried and failed miserably), the market will make it happen. That's what we're seeing. Companies are taking smaller booths, or not attending at all. How can you explain that all facets of the industry are consolidating, except for the trade shows? You must die, and you must pay taxes, and you must consolidate these shows or one will go out of business. The marketplace will accomplish what industry leaders have been unable to do.
My father-in-law and his wife own a sports bar in Kansas and attended the nightclub show. It was very interesting to hear them talk about the show. They didn't attend the ASI. Actually, they didn't know the ASI was going on, and surely didn't know that they could attend. They didn't know what the ASI show was until I told them. They love the Golden Tee products and spent time in the I.T. booth. The message was predictable. They only have the 2003 Golden Tee versions in their bar, a Sugarloaf location. The I.T. representatives told them that they should have the 2004 versions, and that they've been out for a month or two now. They should call their operator immediately and have them order the 2004 version. They are ready to ship. They could have the game in a day or two if the operator calls. If the goal was for the manufacturer to drive product demand by educating the customers on the floor and in seminars, then mission accomplished. I don't take issue with the fact that, as operators, we should have had this location on the newest product edge. But we didn't, and we're hearing about it from relatives, no less.
Lastly, the AAMA did a noble thing by honoring the late Rich Holley at
the convention. By now everyone knows that Rich, reigning AMOA president,
died a tragic death in an airplane accident earlier this spring. He will
be missed by all of us. A lot has been said about Rich. I met him when he
became an AMOA board member well over ten years ago. He immediately distinguished
himself from the new board members by his work ethic. I heard it said that
the best compliment a person can receive is that they remind you of absolutely
no one else. That's Rich. He was unique in all aspects of his life. He always
told it how it was. He was very humble. If you asked him how business was
and he told you his route was up 3%, you could audit the books all day long
and you would find out that his route was up exactly 3%. Rich never participated
in the usual bravado in the industry. He laughed, he was honest, and he
was humble, and he was one heck of a musician. He had no tolerance for those
who didn't commit fully or show passion for the industry. Rich will be missed
by all of us.