Not-For-Profit Arts Are Grossing Me Out

Posted by Howard Sherman On March - 14 - 2013
Howard Sherman

Howard Sherman

I have made no secret of my disdain for the practice of announcing theatre grosses as if we were the movie industry. I grudgingly accept that on Broadway, it is a measure of a production’s health in the commercial marketplace, and a message to current and future investors. But no matter where they’re reported, I feel that grosses now overshadow critical or even popular opinion within different audience segments.

A review runs but once, an outlet rarely does more than one feature piece; reports on weekly grosses can become weekly indicators that stretch on for years. If the grosses are an arbiter of what people choose to see, then theatre has jumped the marketing shark.

So it took only one tweet to get me back on my high horse [last week]. A major reporter in a large city (not New York), admirably beating the drum for a company in his area, announced on Twitter that, “[Play] is officially best-selling show in [theatre’s] history.”

When I inquired as to whether that meant highest revenue or most tickets sold, the reporter said that is was highest gross, that they had reused the theatre’s own language, and that they would find out about the actual ticket numbers.” I have not yet seen a follow up, but Twitter can be funny that way.

As the weekly missives about box office records from Broadway prove, we are in an endless cycle of ever-higher grosses, thanks to steady price increases, and ever newer records. That does not necessarily mean that more people are seeing shows; in some cases, the higher revenues are often accompanied by a declining number of patrons. Simply put, even though fewer people may be paying more, the impression given is of overall health.  Read the rest of this entry »

A Marketing Student’s Perspective on NAMPC

Posted by Trenten Derryberry On November - 15 - 2012

Trenten Derryberry

This was my first time attending not only the National Arts Marketing Project Conference (NAMPC), but also any conference. I am very happy to conclude that my experience was amazing and I would recommend this to anyone that is in any marketing field (and also if you are a student)!

I was asked to write this post-NAMPC piece to deliver a student perspective on the conference…here it goes!

Engagement, Mission, Alive, Active, Participatory, Stickiness, Contextualization, Spry, and Pray…all the words that come to my mind when I think of this past weekend (the list is endless!).

As a student, I came to NAMPC to primarily explore and listen to some of the TOP professionals in the marketing industry. What I received was something I wasn’t ready for.

Presenters sprawled from all areas of business (banks, agencies, venues, organizations, institutions)—both in and out of the confides of the performing arts, which I felt was an awesome exposure and a true springboard for discussions within the sessions.

Like I said earlier one of the reasons why I decided to attend was to listen and expand my critical thinking in an industry that I’m still learning about, that quickly changed to networking and participating within the sessions—I thought ‘when would be the next time I would be able to ask an audience engaging question directly to Alan Brown?’ So I did. Read the rest of this entry »

#NAMPC Takeaways

Posted by Shoshana Fanizza On November - 15 - 2012

Shoshana Fanizza

I wanted to start out by giving you the link to my Storify—My #NAMPC experience via Twitter. I ended up winning the Most Tweets Award [at the National Arts Marketing Project Conference (NAMPC)] and I received a fun t-shirt!

I also won by connecting with more people on Twitter and getting to meet some of these people during the conference. It has been a fun and educational experience for me. If you had to miss the conference they promised to archive the keynote presentations soon.

NAMPC had its ups and downs, but mostly ups. However, through the entire conference, this year, like last year, there were some common themes running through most of the presentations.

Instead of a complete play-by-play like I did last year, I would like to leave you with the my most impressionable takeaways and some of my own thoughts (in no particular order):

  • You gotta have passion—if you don’t, people will not be attracted to your mission, cause, project, program…Without passion, what is the point?
  • Be weird and silly—or in other terms, be true to your own particular self. It’s not about being similar—it’s about standing out.
  • Adding your own personality will increase your likeability.
  • Have fun! What makes people want to join? Fun! If it is not enjoyable to you, it probably won’t be to your audiences.
  • Everyone is diverse in one way or another. These are my personal thoughts: We can learn to reach out to others after we discover our own sense of diversity and understand personally what it feels like to be stereotyped and discounted.
  • Keep ego out of the organization.
  • Visual impact is necessary! There is so much blah, blah, blah, and not enough “language” of our arts. If you are a music organization, it would be good to have clips and videos of performances and music. If you are an artist, make viewing your art an experience. If you are theater and dance, videos are a must. How can people figure out if your art is for them if they can’t “see” it and feel it? Read the rest of this entry »

Data Mining: Digging for Nuggets to Make Pricing Decisions

Posted by Jenifer Thomas On October - 4 - 2012

Jenifer Thomas

Every time someone questions the value of data mining, I can’t help but hear the Gold Rush-era adage, “There’s gold in them hills!”

The wealth of information gleaned from data analysis can provide great guidance in decision making, especially in relation to pricing. And if you’re a data junkie like me, you might enjoy data mining, too.

Analyzing data gives insight into how the audience values our product. We can then price according to that value.

For example, an organization may assume that its box seats are the best in the house, and price them accordingly. But as the first performances near it’s clear that total sales are increasing, but the boxes aren’t selling. Often this prompts a frantic decision to discount those seats to encourage sales. But hold steady! A more reasoned approach is to ask a few honest questions:

  1. Is the box ticket price too high?
  2. Is our perception of the value of a box seat too high?
  3. Are the range and relationship of the prices out of whack?

Here’s where data comes in—mining into where people are choosing to sit in the house and what they are paying often gives answers.

For example, if we look at the data and see that demand is actually strongest in front-and-center orchestra radiating out, and there is little demand for the boxes, then the audience is spelling it out for us. They value the orchestra seats more and are willing to pay a price they deem reasonable for that value. The box seats are not as valuable to our audience, and the pricing is not reflecting that difference in value. Read the rest of this entry »

5 Suggestions on How to Build a Loyal and Happy Audience

Posted by Shoshana Fanizza On October - 4 - 2012

Shoshana Fanizza

Every time I send out an email or post to my blog, I end with my signature, “Cheers to happy and loyal audiences” and a quote by James Stewart, “Never treat your audience as customers, always as partners.”

I am a firm believer that building a happy and loyal audience is exactly where our focus needs to be, and treating your audience as a partner is one of the many management shifts we can make in order to create a happy and loyal audience.

So, you want an audience that supports you, and you want them to be loyal to keep them coming back for more. What are some actions you can take to make this happen?  Here are my top 5 suggestions to get you started:

1. Begin with knowing yourself.

If you don’t know who you are and what your art is all about, how will you be able to attract the right audience for you and your art?

This step means defining who you are down to the letter so you can brand properly and set up your marketing messages to speak clearly about who you are, what your art is, and provide the exact image that matches you and your art.

This is a crucial step. I have seen many artists and arts organizations that are not well defined, and their brand is mainly a copycat of their industry at large. What makes you unique is a better objective and will attract the best audiences for you.

2.  Get to know your audience.

When I start a session to discover information about a client’s audience, I mainly ask both demographic and psychographic questions. I am finding that most of us know the demographics. However, when I ask what the main hobbies their audience enjoys or what other art forms they go to or if they have any issues with your venue, I usually get the answer “I don’t know.” Read the rest of this entry »

Planning Your Marketing Mix

Posted by Jennifer Hubbartt On October - 3 - 2012

Jennifer Hubbartt

Growing up in the 80s and 90s, I shared a hobby with other Generation X-ers: I made my own mix tapes. Simply pop a cassette in the dual tape deck, and tape songs heard off the radio, from compact disc, or even vinyl.

Younger generations would find this procedure outdated. Dead, even. Yet the art of the mix tape isn’t dead, entirely. It is the technology that’s changed.

Now instead of tapes we use playlists generated from sources like iTunes that are synced with iPods or other such devices. Music lovers today simply need to grasp the new tools at hand to make your own mix tape.

The same can be said about the Marketing Mix. I’ve been in the arts marketing field for over a decade, and in recent years I’ve heard variations on a theme. Advertising is dead. Direct mail is dead. Subscriptions are dead. Even Marketing itself is dead.

However, it is also the case that technology has evolved, giving us marketers even more ways with which to communicate the products we have to offer our audiences, test new tactics, and analyze the results. One individual marketing tactic may not make or break your ticket sales as they once had; it is all about your Mix.

The trick is to figure out the tools best suited for your audience, find the right beat, and strike the appropriate balance for your organization’s Marketing Mix, taking advantage of the new tools at hand.

Some points to consider the balance of your Marketing Mix, which has helped my many campaigns move and groove into ticket sales and audience development:

Who is my audience? Who else could we/should we be serving? This can help you make decisions for your price, packaging, and messaging throughout your advertising and social media engagement. Read the rest of this entry »

What Marketing-Development Collaboration Really Needs

Posted by Jill Robinson On October - 2 - 2012
Jill Robinson

Jill Robinson

If so many arts leaders believe that marketing and development departments working together will generate better patronage results, why are so few organizations actually doing it?

To be sure, there are ample tactical examples of successful cross-departmental collaboration on campaigns. And, a few industry leaders are engaging in organization-wide patron development: Arts Club Theatre Company and 5th Avenue Theatre are two I admire.

But integrated patron management is far from being a mainstream practice. Perhaps it’s because true marketing-development collaboration requires change and new ways of doing things that most organizations find impossibly difficult—especially on top of everything else that’s necessary to keep the art on our stages and in our exhibit halls.

Look beyond the challenges toward a starting point.

Marketing and development need a bridge linking their often siloed departments. A couple of management initiatives and tools can build that bridge.

1. Integrated patron reporting. Most arts managers see their season as a string of single-ticket revenue targets, an exhibition with a visitor goal to hit, or an annual fund effort to bring in donations. It’s easy to miss individual patrons’ passion for your art when you are looking at them through the singular lens of individual campaigns.

Take this sample patron history. At first, you’ll mostly likely see it as it’s usually reported, along departmental campaign lines:

To marketing, this patron is a big-time subscriber:

But does marketing know, as the box office likely sees on their screen, that this patron has also been buying extra tickets? Read the rest of this entry »

Aim Higher

Posted by Adam Thurman On October - 2 - 2012

Adam Thurman

The theme of the 2012 National Arts Marketing Project (NAMP) Conference is, Getting Down to Business. Here are the questions I want you to ponder:

Exactly what “business” are we talking about?

What’s the point of all this? Why do we invest incredible energy, time, and money into marketing the arts? What is the end goal?

That’s not a rhetorical question. I want you to think about it for a second.

When I ask this question to others, I get a very common answer. The goal is ticket sales, or “butts in seats”.

Here’s what I want you to consider. If all you want is sales, you are setting your ambitions way too low.

Speaking as a guy that has sold millions of dollars in of tickets to the live performing arts, please trust me when I tell you that the desire to just sell tickets (or paintings, or whatever) is the lowest form of ambition.

If you want to make something that just sells go make toothpaste, or porn, or some other thing that people actually use on a daily basis.

This thing, this ART thing, has to be about something more than that. If all it boils down to is an economic transaction where I give you X amount of dollars and you give me Y amount of art then we will always lose in the long run because art is a horrible economic transaction.

Aim higher. Read the rest of this entry »

Digital Myths, Lies, and Three Steps to Recovery

Posted by Adam Cunningham On October - 1 - 2012

Adam Cunningham

The biggest myth facing digital (and all the activities from social media, advertising, and marketing that fall under that title) is that it is still viewed as something that cannot fully track sales, being incorrectly lumped into the same categories as print, television, and radio.

In reality, 100% all digital activities can be tracked down to a dollar and cent value via 1×1 conversion pixels that can be placed at the conversion/thank you page for any client, selling any product, on all major ticketing systems.

Most verticals outside of the arts have realized this for years, and have adjusted their spends accordingly.

Looking at Lexus (a decidedly “older” car), recent data showed their spend allocation at 50% traditional and 50% digital/emerging technologies. For the always progressive Virgin America plan, 70% went to digital and 30% for traditional. Looking at Converse, 90% of the spend went to digital and content development (which, inevitably, is distributed via digital avenues) with only 10% left for traditional advertising means.

The arts, meanwhile, appear to be hesitant about shifting dollars. Read the rest of this entry »

Seat-o-nomics

Posted by Rick Lester On July - 19 - 2012

Conventional wisdom: A higher price (P1) results in a lower quantity sold (Q1), whereas a lower price (P2) results in a more sales (Q2).

Harry Truman famously expressed a desire to consult only with “one-armed economists.” Our 33rd president wasn’t fond of counsel that began, “On the one hand, this…” and was followed by “On the other hand, that…” Truman wanted straight talk without equivocation.

So, here is a bit of economic straight talk from the data vaults of TRG Arts. Forget everything you learned in that Econ 101 class you took in undergraduate school. You can also forget what you learned at business school. It doesn’t apply to tickets.

Competitive Freedom

Conventional wisdom holds that higher prices reduce demand. For instance, in the consumer universe of unlimited hamburger availability, McDonald’s will sell many at $1.00 and many fewer at $10.00. And, at $100, demand goes to zero.

But, supply and demand curves do not apply to the world of selling tickets.

Those curves depend upon an “open market” of goods and prices. Corn, wheat, and hamburgers are sold in huge open markets. There are vast numbers of buyers and sellers who are free to compete for the exchange of goods and services.

Price subject to desire.

This condition of competitive freedom does not exist when selling tickets.

For example, nonprofit organizations are run by volunteer boards who set, approve or use their clout to influence prices—prices that these same board members pay when they attend the performances presented by their organization. That’s just one reason why the best seats are frequently undervalued. Read the rest of this entry »

The Cracks in the Arts Patron Foundation

Posted by Jill Robinson On March - 27 - 2012
Jill Robinson

Jill Robinson

Ten years into our ongoing patron behavior research and analysis, data is showing us an alarming fact: There’s a huge set of cracks in the foundation of patronage that arts organizations are built upon.

In patron behavior terms, the “cracks” are caused by Tryers. These are households that have infrequent, one-time, or long-ago transactions with arts and entertainment organizations and they are the most prevalent type of patron behavior.

Right now the databases of most arts organizations are likely comprised of 90 percent Tryers. And most of them are patrons you’ve allowed to lapse.

Tryers—TRG Arts research has found—are the least loyal, most expensive to acquire, and most difficult to retain patrons. That most audience or visitor bases are built on Tryers is a real threat to the sustainable future of arts and entertainment organizations. It doesn’t have to be that way.

  • The focus on finding new single ticket buyers is part of the problem. Research tells us that new ticket buyers churn out an alarmingly high rate after their first attendance. Often, organizations lose more patrons than they bring in annually, and that trend triggers institutional decline.
  • Specific patronage programs–subscription, annual fund giving, membership–are escalators toward lifetime loyalty. Patrons who stick with a company over time and through continuing investment—loyalists—do so through these programs.
  • Loyal patrons are made, not found. An organization’s most loyal, most engaged, largest invested patrons rarely if ever arrive in an organization’s pool of supporters fully formed. Research shows that new patrons who do stick with an organization do so by adding specific transactions in an escalating pattern of increased, frequent, current investments of time and money. Read the rest of this entry »

Smart Phones & Theater: Godspell’s Tweet Seats Spread the Word

Posted by Tim Mikulski On March - 26 - 2012

We’ve all been in a play when a phone goes off. Sometimes we see the actors react, while other times the show just continues.

Up until recently, it was forbidden to keep that phone on during a show, but thanks to experiments by local/regional theaters, the idea of “Tweet seats” has grown to Broadway via the new Godspell revival:

We’ve heard all sides of this issue:

Cell phones are just the new “individually wrapped candy wrapper.”

The fad of “Tweet seats” is just a marketing gimmick. Read the rest of this entry »

Clayton Lord

For the next few weeks, I have the good fortune to be traveling with researcher Alan Brown to eight cities across the country as we present the findings from Counting New Beans: Intrinsic Impact and the Value of Art, the two year study and resulting book just published by my organization, Theatre Bay Area.

This week, we visited Chicago and Minneapolis/St. Paul and spoke to nearly 200 artists, arts administrators, and funders about the work. It was energizing, exciting work—as a field, it is clear that we are, many of us, anxious to learn how to talk more effectively and accurately about the power of the art we make, and this research, which attempts to quantify the intellectual and emotional impact of art, was provocative for many in the audiences.

In Chicago, I met an acoustic consultant named Evelyn May who believes that impact assessment (surveying your audiences about how impacted they were by your work) might be an extremely useful way to understand small but important changes you make in the physical space.

While May was particularly talking about things like rattling vents, squeaky floors, etc, I was caught up in thinking about whether you could survey audiences before and after, say, configuring your space in various ways to see what configuration was most impactful. Read the rest of this entry »

To Discount or Not to Discount

Posted by Jeff Scott On March - 9 - 2012

Jeff Scott

In an earlier blog entry, I made note of the fact that so many theatres were turning to discount sites such as Groupon and Goldstar to sell tickets and help fill the house in the face of audiences who are cutting back on their entertainment budgets.

In that writing, I commented that perhaps tickets were priced too high to begin with, if selling them at half-price had become such a necessity to get people in the door. In the past week, I personally have received almost half a dozen calls or emails from discount sites wanting to feature my company, so it seems worthwhile to explore these discounts in a little more detail.

One of the biggest downfalls that I’ve read about these discount services is that lack of returning customers. The idea is always pitched as, “if you can just get the people in the door with a discount, they’ll see how much they like it and come back at full price.” Maybe, unless they simply can’t afford it. This might be particularly true of younger audiences, whom we seek to fill the place left by our older patrons, but who may not have the disposable income to become regular patrons.

One suggestion would be to continue to incentivize these customers. They first came because of a great discount, so it stands that they may return for another good deal, though perhaps just 25 percent off instead of 50, as a way to ease them into being full-price patrons over time. Read the rest of this entry »

Warning! An Election Looms in November…

Posted by Rick Lester On January - 25 - 2012

Rick Lester

When I worked as an arts manager, the election season—-particularly presidential years like 2012—-was a time of fear and loathing. Why?

First and foremost, ticket sales and admissions soften or die immediately before and on Election Day. At TRG, we’ve watched this trend play out across the U.S. over the past two decades in client sales results from markets of all sizes.

An inescapable consequence of major election cycles is campaign advertising—-a driver of America’s economic engine that is bad for arts and entertainment.

The flood of campaign advertising every other October sucks opportunity out of our promotional campaigns. (Just ask anyone in Florida right now where the Republican primaries alone are having a major impact.)

Campaign advertising drives up the price and limits—-in some markets eliminates—-the availability of advertising time on radio and TV. Email inboxes, postal mailboxes, Facebook pages, and Twitter accounts are stuffed beyond capacity. The normal roar of media clutter hits overload.

It becomes nearly impossible to create a viable marketing message capable of cutting through. No matter the quality of what goes on stage or in the gallery, patrons are less likely to hear about it. Read the rest of this entry »

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    Alec Baldwin and Nigel Lythgoe talk about the state of the arts in America at Arts Advocacy Day 2012. The acclaimed actor and famed producer discuss arts education and what inspires them.

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