How Imaginary Lines Drawn by Cultural Organizations Hold Them Back

We can make “rules” about what applies to our industry - but our potential visitors and supporters don’t have Read more

Distraction: Blaming Admission Cost for Cultural Center Attendance (DATA)

Yes, it’s nice to get things for free – but it’s not why people aren’t visiting cultural organizations. This Read more

Growing Competitor for Visitation to Cultural Organizations: The Couch (DATA)

During their free time, would people rather go out or stay in? Here’s what cultural organizations need to know Read more

Two Ways Organizations Adapt to Change (And Which Brings Long-Term Success)

Organizations tend to approach trends in one of two ways – but only one makes for greater odds of Read more

Most Popular Posts of 2016 for Cultural Organizations

It’s almost 2017! And while I generally fall in the “thank goodness” category (start watching this clip at 24:00), Read more

A Simple Framework For Cultivating New Audiences For Cultural Organizations

Because it is difficult to “one-off program” ourselves into long-term solvency. This week’s fast fact video (A Simple, Guiding Framework for Read more

Community Engagement

Distraction: Blaming Admission Cost for Cultural Center Attendance (DATA)

Yes, it’s nice to get things for free – but it’s not why people aren’t visiting cultural organizations.

This week’s KYOB Fast Facts video is a bit of an experiment for the Fast Facts series. It’s a kind of IMPACTS “data attack” regarding cost as the primary barrier to visitation for cultural organizations. I’ve left out some of the more well-known economics that indicate that admission is not a primary barrier to visitation, and kept this to IMPACTS data.

This post does not say that cost is never a primary barrier, but rather that the true behaviors of the market indicate that our treating cost as the “go to” barrier may be serving as a self-sacrificing distraction. This post also does not suggest that access programs for low-income audiences are not important, but rather that they are a totally different thing than admission price. (Got it? Good.)

Simply put, stable cultural organizations have three, general means of access: 1) A data-based admission price based on what the market can and will pay to visit them; 2) Targeted (key word) access programs to allow for visitation of specific audiences without means to pay admission; and 3) Affinity-based programs (i.e. membership or donor societies) to engage and cultivate key supporters.

Access programs that reach low-income audiences are often central to an organization’s mission (or grant funding opportunities), and they are important. However, admission price is not an affordable access program. 

When cultural organizations convince themselves that cost is the primary barrier to visitation for likely visitors, we miss out on opportunities to remove the actual barriers to visitation that are keeping people from coming through our doors. Barriers to visitation that are generally more significant than cost include items such as schedule, negative attitude affinities (“Not for someone like me”), reputation misses, and simply lack of content interest/preferring another activity (as we’ll discuss below). This data is important for those organizations that avoid tackling true barriers by making sacrificial assumptions that “if we build it (or create this program) and make it free, they will come.”

Can admission price be too high? You bet. But it’s just not the primary barrier to entry that we keep on defensively thinking that it is within the industry. While it’s often easier to blame pricing than to examine more deeply-rooted issues for lack of sky-high engagement, it’s often a shortcut to even less earned revenue and a devalued brand.  I’ve written about this data and more in this post (Admission Price is Not a Primary Barrier for Cultural Center Visitation) and in this post (How Free Admission Really Affects Museum Attendance). There’s enough information on this topic to fill a dozen videos, but let’s power through some basics:

 

1) Time is more valuable than money

First, both high-propensity visitors and the composite market report that their time is more valuable than their money. A bigger barrier to visitation, then, is being considered worthy of someone’s time. If cost were the biggest barrier, these bars might be reversed. This finding is not surprising at all, as cost generally pales in comparison to schedule and reputation when it comes to factors influencing discretionary leisure activities.

When we blame admission price first, we are building this assumption on a simple fallacy: that one’s money is the most valuable thing that cultural organizations are asking for. Cultural organizations are asking for visitors’ time – and that’s often a more important thing to them than money.

 

2) Free admission does not significantly affect intent to visit

(And to the extent that it does, it’s the opposite of the “free is best” assumption.) If free admission were a cure-all for engagement, then folks would have higher intent to visit those organizations. Those would be the organizations that they want to and plan to visit! This is not the case. In fact, in most instances, audiences indicate greater intentions to visit organizations that charge more than $20 rather than those that are free.

I’m certainly not suggesting a specific admission price, but this data does fly in the face of arguments suggesting that people might not want to visit an organization that charges admission simply because it charges admission. It’s often the opposite. The popular tenant of pricing psychology is true: people value what they pay for. Organizations that offer free admission often unwittingly devalue their brands, and without a best-in-class reputation to afford wiggle room, their public perceptions often take a a bit of a pricing psychology hit.

 

 

3) Cultural organizations are generally perceived as worthy of their admission price

Organizations charging admission have similar value for cost perceptions as other activities. This data – like most data that I make accessible here on KYOB – is from IMPACTS and the National Awareness, Attitudes, and Usage Study. Sometimes it seems that professionals within cultural organizations have an inferiority complex when it comes to comparing their experiences to others. (Although, yes, there are plenty of museum professionals on the other side of the spectrum and that’s a problem, too.) But the idea that cultural organizations might be less worthy of having an admission basis than other activities is make believe. In fact, in many cases, cultural organizations are considered even more worthy of their admission price – when they have one- than a baseball game, football game, basketball game, or a rock concert. We really do, generally, give visitors bang for their buck.

 

4) People value what they pay for

This chart shows the overall satisfaction levels of visitors to paid vs. free admission organizations. It includes classical concerts, live theater, history museums, art museums, zoos, aquariums, and science museums. Notice anything? It’s true. People value what they pay for.

 

5) Admission pricing is not the primary barrier to visitation for those with interest

Finally, for folks interested in visiting cultural organizations but who haven’t in the last two years, cost is the 14th ranked reason why they haven’t visited. The top reasons are preferring another kind of activity, it being hard to travel to the organization, feeling that there’s nothing new to do or see at the organization, a conflict with holiday, work, or school schedules, and parking challenges. When we focus on admission cost as a primary barrier – especially for these audiences who have already reported interest in visiting – we deliver a hit to our own financial solvency. To reach these audiences, there is often a different barrier to be removed.

When it comes to targeting low-income audiences, access programs are often a necessity. That said, low-income audiences are not generally the audience segments that we rely upon to keep our doors open and our “mission execution” game strong. To support access programs for low-income audiences, it’s necessary for many organizations to have an optimal admission price for the people who can and will attend the organization. For those people – the people who keep us alive if we aren’t a government funded entity –  pricing is not the primary barrier to visitation.

On the whole, the kind of people who want to go to cultural organizations are willing to pay to visit them. The argument for free admission is often an emotional one.  It may feel warm a fuzzy to offer free admission, but for many organizations, it comes with financial and perceptual consequences – and much of the science just doesn’t support it. It’s often better to charge your optimal admission price, and then create effective, targeted affordable access programs for specific audiences. When we focus on admission cost as the primary barrier to engagement, we miss out on the opportunity to remove true barriers.

 

Like this post? Don’t forget to check out my Fast Fact videos on my YouTube channel. Here are a few related posts from Know Your Own Bone that you might also enjoy:

 

Interested in getting blog posts, tips, and some silly social media geekery periodically delivered in your Facebook newsfeed? Like my Facebook page. Or for more regular sharing of nonprofit marketing information, follow me on Twitter.

Posted on by Colleen Dilenschneider in Community Engagement, Fast Facts Video, Financial Solvency, IMPACTS Data, Myth Busting, Sector Evolution, Trends Leave a comment

Growing Competitor for Visitation to Cultural Organizations: The Couch (DATA)

During their free time, would people rather go out or stay in? Here’s what cultural organizations need to know about the growing “couch contingent” audience.

Organizations tend to believe that other cultural organizations and destinations are their primary forms of competition for visitation. For folks who want to go out in the first place, this is often the case. But what about those folks who would rather not get out of their PJs?

Data suggests that even people who profile as high-propensity visitors are increasingly preferring to stay home as opposed to going out. High-propensity visitors are folks who demonstrate the demographic, psychographic, and behavioral attributes that indicate an increased likelihood of visiting a cultural organization – such as a museum, zoo, aquarium, botanic garden, or performing arts entity, for instance. The first requirement for somebody to visit an organization, however, is that they leave the house. Let’s break down some of what we know about the people who do – and don’t – want to do that.

 

How do people prefer to spend their free time during a week off of work or school?

This data is from IMPACTS and the National Awareness, Attitudes, and Usage Study, which consists of now over 106,000 individuals residing in the United States. “HPV” stands for “high-propensity visitor” and is cut for those who would be likely organization attendees. Depending on where your organization is located and if you tend to attract a majority of local audiences or tourists may influence your immediate reactions to the data.

You’ll notice that about half of the US composite market wants to stay in or around their home (‘staycation’ and ‘stay home’ preferences.), but that ‘stay home’ contingent isn’t going to visit you. Or at least, they would prefer not to. And – remember – just because people are traveling doesn’t necessarily mean that they are going to visit the museum (or symphony, theater, zoo, aquarium, or another type of cultural organization).

For organizations trying to engage locals – a particularly fickle audience for most cultural organizations regardless of city – this “staycation” number is good to see. The “travel and stay overnight with friends and family” number is also important as it relates to local audiences. Word of mouth endorsements and reviews from trusted resources play a big role in visitation. Engaging local supporters means that there may be a higher likelihood that those friends and family members will bring their visitors to your organization.

For those organizations that depend heavily on local audiences, the nearly 50% of folks that prefer to travel out of the area may be of interest. After all, if they are leaving your market, they aren’t visiting.

For all of us, that “stay home” number isn’t great. Simply put, 24.4% of the US composite would simply prefer to stay home than go out. Yikes!

 

How do people prefer to spend a free weekend?

But Americans don’t tend to have (or take) tons of vacation time. What about how people prefer to spend their weekend? There’s a little bit of good news here for cultural organizations when it comes to ‘staycation’ preference, but mostly it’s a point for Netflix…

Almost HALF of the US composite prefers to stay home rather than travel or explore their city. Of course, the ‘staycation’ numbers go up, and this is a good thing for many organizations – but those ‘stay home’ numbers are alarming!

For those wondering, “How are high-propensity visitors a part of the couch contingent?! I thought they profile as likely visitors!” They do profile as folks who would be interesting in visiting. They simply prefer the couch. (To be a likely visitor does not mean that the thing that you want to do most is necessarily visit a museum, for instance. And having propensity to visit doesn’t mean that they even will visit – it means that there’s potential to be motivated to visit. Simply, an organization may not have hit the right chord yet.) High-propensity visitors in the ‘stay home’ category are still potential visitors – but they need to be made aware of the opportunity and better motivated to go out in the first place. These individuals may know, for instance, that they’d like to binge watch Stranger Things. They may NOT yet know of what is going on at your organization. High-propensity visitors in this category are a marketing and communications opportunity. (We’ll talk about this more a bit later when we discuss what folks are actually doing when they stay home.)

 

How has the preference for staying home grown over time?

Has the ‘stay home’ group consistently made up the same percentage of the population in recent years? In other words, how has the percentage of folks who prefer to stay home changed over time? Let’s look at the change for free time preference during a week off of school or work.

It’s increased. In fact, it’s increased quite a bit since 2011! There has been a 17.3% increase in the desire to stay home vs. go out for the US composite! Yes, if given a week of vacation time, there’s been growth in the number of people who don’t want to “go on” vacation! They would rather stay home!

What about the change in people who would rather stay home over the weekend?

Yikes! Those with the preference to stay home over the weekend has grown 19.4% for the US composite since 2011.

There are a couple of reasons for the increased desire to stay home. The first is rather obvious: home is comfortable – and you can be more “connected” to others while staying home than ever before. In the past, it wasn’t as easy to be home and still be social – and chat, text, message, tweet, and snap with others.

The second reason is more compelling: There simply are fewer reasons to change out of your pajamas in the first place. In the past, we had to leave home to do our banking, grocery shopping, visit the pharmacy, go get the movies that we wanted to stay home and watch, and purchase gifts. Today, we can do all of that from home. If the only reason to get out of the house is to go to the science museum, for instance, than the science museum needs to be a more compelling reason to put on pants than it was in the past. People may go out less because there’s less reason to go out – and thus the motivations to leave one’s cozy living room must be more compelling.

 

 

What do people do when they stay home? (The good news)

What are these people doing when they stay home?! We asked the folks who reported preferring to stay home what they actually report doing when they stay home.  Here are the percentages of respondents who reported doing each of these activities when they last stayed home.

How is this good news, you ask? People who stay home are still connected to the world and thus, visitor-serving organizations can (and should) aim to reach them. Those who prefer to stay home browse the web, watch TV and sporting events, have friends over, host parties… There are still opportunities to reach these audiences via social media, advertisements, and word of mouth endorsements. (Social media and word of mouth endorsements are particularly powerful in motivating visitation).

There’s an opportunity to “reach this market where they are,” as 33.4% of high-propensity visitors profile as having visitation potential over the weekend, but need stronger motivation. While organizations that highlight their missions outperform those marketing primarily as attractions, there’s a critical opportunity to use ad servers to make sure that targeted audience members get compelling place-based messages. Ads to these audience members still need a “so what?” take-away, but entertainment value is the biggest driver of overall satisfaction, and the goal of reaching this, particular behavioral demographic is to let folks know that they need to have this fun, unique experience in person.

 

The “couch contingent” is growing more and more powerful, and that may strengthen the superpower of cultural organizations as facilitators of shared experiences. We live in a connected world. It may be easy to look at this data and think, “Stay home to watch TV and browse the web?! What is the world coming to?!” However, it’s also important to realize the power of the in-person that exists within this same world. The path forward is not in scoffing at change, but in realizing that it may give our experiences new meaning. Smart organizations can use this information to better target and determine messaging and adapt to our changing world.

 

Like this post? Don’t forget to check out my Fast Fact videos on my YouTube channel. Here are a few related posts from Know Your Own Bone that you might also enjoy:

 

Interested in getting blog posts, tips, and some silly social media geekery periodically delivered in your Facebook newsfeed? Like my Facebook page. Or for more regular sharing of nonprofit marketing information, follow me on Twitter.

Posted on by Colleen Dilenschneider in Community Engagement, Digital Connectivity, Financial Solvency, IMPACTS Data, Myth Busting, Nonprofit Marketing, Sector Evolution, Trends Leave a comment

A Simple Framework For Cultivating New Audiences For Cultural Organizations

Because it is difficult to “one-off program” ourselves into long-term solvency.

This week’s fast fact video (A Simple, Guiding Framework for Cultivating New Audiences) aims to cover a big, important topic in a simple, straightforward way. It provides a data-informed framework for how to approach the task of reaching new audiences and cultivating them into regular attendees.

Cultural organizations need to turn new and emerging audiences into regular attendees – and fast. Negative substitution of the historic visitor has created a situation wherein we are losing visitors faster than we are cultivating new ones. Specifically, we have a rather serious millennial engagement problem and – on a related note  – we need to get better at welcoming folks of different racial and ethnic backgrounds than the historic visitor. These problems are urgent and, if we haven’t started cultivating these audiences yet, it’s already going to be difficult to catch up.

So, how can we best approach this important task of engaging new audiences and cultivating them as regular attendees? Well, it’s certainly going to take more effort than slowly chipping away at the issue with one-off engagement programs. It will involve a hard look at what we do and a culture shift  – and looking into some real answers in order to be effective.

At IMPACTS, we use a data-informed framework that we call MAPS. There’s a good amount of data and analysis that fills in this framework, but sharing its outline can help any organization think more strategically about the proper steps for cultivating new audiences. The framework is equally applicable to all organizations regardless of size, city, or operating budget.

This week’s video summarizes the concept nicely, and in a way that can easily be shared in classrooms and meetings for contemplation. That said, I know that some of you “just want the goods,” so I’ve briefly outlined the framework below, which I’ve written about here and spoken about it more in-depth here. That said, this framework is really worth thinking about rather than breezing through.

“Yeah, yeah! Figure out access barriers… blah blah.” NOPE. Pause, please. I’m writing and speaking about this framework because cultural organizations are not carrying out these important steps. Cultural organizations are trying to tackle our industry’s biggest challenge by minimally investing in blind, “we think this might be right” one-off programs – and it’s not working.

Here’s a framework that can be used to help reach young professionals, teens, people of different racial and ethnic backgrounds, or any other key demographic in the market today.

 

MAPS FRAMEWORK

 

M = MISSION

The first action item is to underscore your MISSION. That’s the “M” that starts us off. Data suggest that cultural organizations highlighting their missions outperform those marketing primarily as attractions. Here’s the data. Underscoring your mission also usually involves creating compelling stories and differentiating your organization from others.

Highlighting your mission underscores that your organization “walks its talk” and helps build your organization’s reputation – and reputation is a top-five motivator of visitation among high-propensity visitors and the composite market alike. The market is increasingly sector agnostic, meaning folks care more about what you do than they care about your tax status. In sum, your organization’s “so what?” matters. Your mission can help push past some of the noise in today’s world, and draw some positive attention to what you are trying to do and accomplish.

 

A= ACCESS

“A” stands for understanding ACCESS opportunities and barriers. Often, leaders will assume that they have identified – without data- why a certain demographic is or is not visiting an organization. In order to reach new audiences, research and second-guessing assumptions are in order. It’s difficult to reach people when we don’t know with certainty why they aren’t coming and what they want. To figure this out, we need to look at market research – not audience research. Asking about current and historic audiences helps us learn about current audiences and what they like – but that’s not the primary problem for our industry. Successful programs that reach new, not-attending audiences are necessarily dependent upon knowing the true logistical and perceptual barriers of people who are NOT already visiting your organization. They are not members of your audience yet. 

There are a lot of myths to bust about how cultural organizations approach “access.” Simply, here’s how access works. And, critically, admission is not an affordable access program. Also, admission price is not a primary barrier to visitation.  The following data is from IMPACTS and the National Awareness, Attitudes, and Usage Study of 104,000 adults and counting (i.e. it is currently and constantly in-market). We asked folks who reported interest in visiting a cultural organization, but who hadn’t visited in the last two years, “Why not?” Here’s the data from the U.S. composite market. Check it out:

Take a look at how low “cost” is as a barrier – specifically for high-propensity visitors! Moreover, schedule is the top driver of visitation that our industry somehow never talks about. Don’t use this data as a cheat. This is big data. In order to create effective programs, we need to conduct market research on the target audience that you are trying to engage and obtain the real, data-informed reasons why they aren’t visiting our organization so that we can aid in removing true barriers. (Hint: Don’t overlook the role of attitude affinities.)

 

P = PERSONALIZED PROGRAMS

Once you’ve understood your access opportunities, creating PERSONALIZED PROGRAMS helps put them into play. That’s the “P” in the MAPS framework. This means understanding that one-size fits all experiences don’t always work – and, likely, your organization is trying to reach several different audiences. Lumping “underserved audiences” together and trying to create catchall programs is not an effective move.

Personalization is increasingly important for cultural organizations. Think about it: Every time you log onto social media or browse the web, ads and statuses that show up are based on an algorithm that is specifically designed to match your interest. That said, though the world is spending more time on screens, personal interactions on site between visitors and staff members are the most reliable way to increase a visitor’s overall satisfaction. When trying to target audiences, it’s important to make sure that we have programs that fit their needs and wants. For example, here’s how millennials are changing up membership structures.

 

S= SHARED EXPERIENCES

Finally, the “S” of the framework stands for facilitating SHARED EXPERIENCES. Data suggest that who visitors are with is more important than what they see when it comes to the best thing about a visit to a cultural organization. It’s important to provide opportunities for connection so that these engaged, new audiences are inspired to share their positive experiences. Remember, cultural organizations are about people, not things. At our best, we are hubs of human connection – and the organizations that thrive are the ones that embrace this superpower.

 

SHARED EXPERIENCES increase overall satisfaction and reputation-related metrics, feeding back into the MISSION category – and this continues the framework on a cycle. Considering mission, access, programs, and sharing creates a cycle that helps cultural organizations help others – and also help themselves. It’s time that we make the large-scale shifts necessary for engaging new audiences an important part of our culture, rather than a thing that we invest in “if we can get the grant.” The fact of the matter is that the market is decreasing in historic visitors and increasing in younger and more diverse audiences, who we are not engaging with cultural organizations at representative rates. We wait to “get the grant” at our own risk. We’re not going to “one-off program” our way out of this big problem. It’s time that we embrace it.

 

I hope that you’ll allow this data-informed framework to help you carry out the important work of cultivating new audiences for your organization.

 

Like this post? Don’t forget to check out my Fast Fact videos on my YouTube channel. Here are a few related posts from Know Your Own Bone that you might also enjoy:

 

Interested in getting blog posts, tips, and some silly social media geekery periodically delivered in your Facebook newsfeed? Like my Facebook page. Or for more regular sharing of nonprofit marketing information, follow me on Twitter.

Posted on by Colleen Dilenschneider in Community Engagement, Fast Facts Video, Financial Solvency, IMPACTS Data, Millennials, Nonprofit Marketing, Sector Evolution, Trends 2 Comments

Why Donors Stop Giving to Cultural Organizations (DATA)

Here’s why some people make a few donations to a cultural organization and then stop giving, according to the donors themselves.

Yesterday was #GivingTuesday! Though it’s a rather noisy day amongst nonprofits, I hope that your organization secured at least a few more dollars to help fulfill its mission – and added new supporters to your list of advocates!

As the end of the year approaches and cultural organizations work hard to attract and retain donors, it seems the perfect time to share this data on why folks donating between $250 – $2,500 annually to cultural organizations stop giving to the organization. That’s the focus of this week’s Know Your Own Bone Fast Facts video.

The reasons why donors stop giving may not be what you think. The good news, however, is that the top three reasons stem from the same – resolvable – issue. We’ve got the data on why some donors don’t renew their contributions – and it’s a wake up call.

Take a look at this data from IMPACTS and the National Awareness, Attitudes, and Usage Study. The study includes donors that had previously made an annual gift between two hundred fifty and twenty-five hundred dollars to a cultural organization – and then did not donate again within 24 months. See if you can spot what the top three responses have in common…

Why donors stop making donations to cultural organizations - IMPACTS data

Notice anything interesting here? The top three reasons why donors stop giving have something rather straightforward in common…

 

The top three reasons why donors stop giving are very basic communication/relationship management  problems.

 

The primary reason why donors did not contribute again is not being acknowledged or thanked for their gift. And with an index value of nearly 244, that reason is a very big, and very strong one. The second reason is also big and strong, according to these past donors: They simply weren’t asked to give again. Lack of communication about impacts and outcomes is third. And again, these index values are very high.

Interestingly, it is the reasons that we tend to blame that trail behind these big three, including unactualized intent (or, forgetting to give), giving to another organization instead, or a change in personal priorities. Perhaps these are the reasons that we tend to blame because they have to do with the donor – not with our own lack of follow-through or effort. Really, the top reasons why once-was annual donors stop giving and don’t come back is on us. 

 

While this data may be a bit embarrassing, we can fix it!

 

Online donations are on the rise – especially this time of year. One possible culprit here seems to be the misunderstanding that engagement over the Internet is more about technology than it is about people. A donor is a donor whether they hand a check to someone behind a desk, or they support you over the computer in polka dot PJs at home. A donor giving online is not any less deserving of a personal “thank you” or a follow-up than a donor giving by any other method. Remember, there’s a human being behind that computer screen – and it’s a human being who happens to support what you do.

With much of our focus on cultivating members at cultural organizations, there may also be a tendency to forget those important people who give beyond membership and thus deserve another level of care and attention. That said, data suggest the visitor-serving organizations could also do a better job making high-level members feel valued and respected as well. If we’re having a hard time with this audience, it makes sense that we might also have difficulties with folks who give between $250 – $2,500 and consider themselves to be donors rather than straightforward members alone.

At their very core, our organizations are all about people and connectivity. We need to be successful facilitators of shared experiences within our walls, we need to also be able to master connectivity with supporters outside of our walls and master proper communication with donors. If we want support, we need to carry out effective communication and relationship management. When donors stop giving, it’s generally not them. It’s us. 

Let’s make an active effort to show donors our gratitude and how their gifts are making not only our organizations, but our communities and even our world a better place.

 

Like this post? Don’t forget to check out my Fast Fact videos on my YouTube channel. Here are a few related posts from Know Your Own Bone that you might also enjoy:

 

Interested in getting blog posts, tips, and some silly social media geekery periodically delivered in your Facebook newsfeed? Like my Facebook page. Or for more regular sharing of nonprofit marketing information, follow me on Twitter.

Posted on by Colleen Dilenschneider in Community Engagement, Fast Facts Video, Financial Solvency, Fundraising, IMPACTS Data, Myth Busting 1 Comment

What Annoys High-Level Members at Cultural Organizations? (DATA)

Here are the top-five things that visitor-serving organizations do that annoy high level members the most… And the interesting finding that ties them together. 

We cultural organizations love our members – and especially our premium members paying an annual fee of over $250 each year. They play an important role in our solvency, and some of them even go on to become our biggest, most valuable donors. This is especially true when they are mission-based (as opposed to transaction-based) members. As such, there’s a lot of pressure not to disappoint these folks.

So what does disappoint premium members paying an annual fee of over $250 each year? IMPACTS surveyed premium members (defined as persons who have purchased an annual membership to a cultural organization costing $250 or more within the past 12 months) to better understand the nature and hierarchy of member “dissatisfiers.” That’s the focus of this week’s Know Your Own Bone Fast Facts video.

The data comes from the ongoing National Awareness, Attitudes & Usage Study of 224 US Visitor-Serving Organizations. For this component of the analysis, 1,096 “premium” members to these organizations responded to open-ended questions to identify the most dissatisfying aspect of their member experience. A consequent lexical analysis process organized these responses by general consideration, and these same considerations were presented to the studied members who were then asked to rank from 1-10 the considerations in terms of relative dissatisfaction (with 1 being the most dissatisfying aspect and 10 being the least dissatisfying aspect). The Mean Value is the average ranking that the member respondents assigned to each consideration. The data suggests an interesting take-away. Let’s take a look.

IMPACTS- Premium member dissatisfiers

As you can see, solicitation telephone calls are the top-rated dissatisfier among premium members, followed by delayed access and not being treated as special on site. Showing IDs at the entrance also annoys these top-giving members. And also the volume of mail and renewal notices. Rounding out the top-5 dissatisfiers is family member limits for admission.

Really take a look at these. “They are necessary evils,” you might say. “We need to make solicitation telephone calls and we have to check photo IDs with membership entrance!” But do we really need to do these things in the way that we do them? Are there other methods that might be better for everyone – our members and (thus) our organizations? For example, data suggest that checking members’ photo IDs can do more harm than good for organizations and deploying a kind of “ID police” undermines some of the hard work that organizations do to keep members happy. When we really think about these findings, though, it becomes clearer to see what kind of picture is being painted and why premium members may be annoyed:

 

it seems that we may not walk the we value our members talk

Two things seem to be happening here that tie these five “dissatisfiers” together…

There is an on-site and off-site disconnect.

It seems that we know our members’ names VERY well when we call them on their personal cell phones and clutter their mailboxes with solicitations and renewal notices, but we suddenly don’t remember them or honor their contributions when they arrive at the door in person. That’s a disconnect. That’s a big miss. And, wouldn’t you be annoyed by that dichotomy?

 

And there is a communications opportunity.

There may be an opportunity here to change up our communications to focus on what our members want, rather than what WE want – and to be sensitive about how we communicate the support that we hope to continue to receive from these members. Of course, we want to ask for their continued support and we indeed want these folks to increase their giving and make their way up the support channel. That said, there are ways to frame our membership and donor benefits so that they match what actually matter to our supporters. When our communications solely make an ask, we miss the opportunity to tell our stories about how we carry out our missions and make a difference. We lose the opportunity to cultivate the best kinds of supporters. Moreover, poor relationship management and impact communication strategies are a leading reason why donors stop giving.

 

While, indeed, there are a lot of great things that members do for us, it’s important for us to remember what we do for them. Yes, exclusive events matter to some members, but that doesn’t mean that respect and appreciation fly out the window. Remember: we need these members more than they need us – so there’s incentive to listen to these folks and treat them well. After all, happy members are more likely to be renewed members!

 

Like this post? Don’t forget to check out my Fast Fact videos on my YouTube channel. Here are a few related posts from Know Your Own Bone that you might also enjoy:

 

Interested in getting blog posts, tips, and some silly social media geekery periodically delivered in your Facebook newsfeed? Like my Facebook page. Or for more regular sharing of nonprofit marketing information, follow me on Twitter.

Posted on by Colleen Dilenschneider in Community Engagement, Fast Facts Video, Financial Solvency, Fundraising, IMPACTS Data, Sector Evolution, Trends Leave a comment

Point of Reference Sensitivity in Visitors: How It Affects Your Cultural Organization And What To Do About It

Data suggest that it’s good to to be the first organization that someone visits… but what if yours is the second?

If you’re the best art museum, for instance, then a visitor to art museums should be able to tell, right? Wrong. As it turns out, it’s a bit more complicated. This week’s Know Your Own Bone – Fast Facts video is about firsts… and seconds. And what to do if your organization is second.

You probably remember your first kiss – and your first car, your first love, and a whole host of other firsts. As human beings, we tend to ascribe a premium to firsts – and visits to cultural organizations are no different. Data suggest that first-time visitors to a type of cultural organization – such as a science center – rate their visitor satisfaction higher than those who have visited any other science center before – 18.1% higher, to be exact.

That’s a huge bump! It’s great news for the first cultural organization of its kind that a visitor experiences. Woohoo! We’ll take it! While this value varies slightly based on cultural organization type (history museum vs. aquarium vs. symphony), they tend to hover around this average.

However, the sad side of this coin is that, for no fault of their own, the second (and third, forth…) like-organization that an attendee visits is likely to suffer from significantly lower satisfaction levels than the first. This is a big deal for many obvious reasons, but one of which is the fact that overall satisfaction is a major contributor to overall value perceptions of organizations. Lower satisfaction levels lead to less word of mouth and thus less support and visitation. Yikes!

First time visitors also rate their experiences 14.8% higher in terms of value for cost of admission. That’s another huge bump that’s great for organizations able to benefit from that “first time” magic. 

We call this phenomenon Point of Reference Sensitivity

pors-image-impacts

We noticed this trend at IMPACTS and we gave it a name. Point of Reference Sensitivity suggests that the market’s expectations are being constantly reframed by recent experiences. Essentially, as a person gains familiarity with an experience, it becomes increasingly harder to impress them. While Point of Reference Sensitivity may make logical sense, it’s still a bit of a bummer for the second cultural organization that hosts that visitor.

What is the solution? Be more unique.

Differentiate yourself as an individual organization rather than priding yourself on being like all other such organizations. That may sound overwhelming, but the good news is that we live in a connected world where differentiation may be easier – and more expected – than ever before. It’s a call to organizations to undertake smart experiments and creative programs, and to incorporate avenues for personalization and shared experiences. It’s a call to action to know who your organization is and what it stands for as well as why it is uniquely important. Achieving that “first time” satisfaction bump with every visit means smart integration of trends and awareness of market perceptions. Unsurprisingly, perhaps, it all comes back to doing well what you do well – and letting folks know about it!

Those organizations that are most susceptible to Point of Reference Sensitivity are those that believe themselves to be mostly a type of attraction rather than a unique organization. The key to overcoming Point of reference sensitivity is to be yourself. That is how the market determines which organization is “best.”

 

Like this post? Don’t forget to check out my Fast Fact videos on my YouTube channel. Here are a few related posts from Know Your Own Bone that you might also enjoy:

 

Interested in getting blog posts, tips, and some silly social media geekery periodically delivered in your Facebook newsfeed? Like my Facebook page. Or for more regular sharing of nonprofit marketing information, follow me on Twitter.

Posted on by Colleen Dilenschneider in Community Engagement, Fast Facts Video, Financial Solvency, IMPACTS Data, Nonprofit Marketing, Sector Evolution 1 Comment

Millennial Data Round Up: What Your Cultural Organization Needs To Know

The great millennial round up 2016 - Know Your Own Bone

This is what you need to know in one, single post.

Millennials are a hot topic. While I consider “millennials” but one topic in the file of “pressing issues necessitating the evolution of visitor-serving organizations,” it turns out that there is a lot of information to point out and underscore.  No doubt, I’ll be adding to this list with future posts and there’s more where these came from, but these nine Know Your Own Bone Posts make up a helpful set list for engaging this new and important audience. I’ve been on a millennial-related post roll recently. Let’s keep it going for one more week.  Here is a compilation of nine data-informed take-aways for cultural centers aiming to reach millennial audiences.

Some of these posts are videos and some are data-informed articles. Each of these points links to a post with more in-depth information. But before we dive in, I must share this (though it is mentioned in several posts): “Millennial talk” is increasingly code for “everybody talk.” The trends that are most effective in engaging this generation are trends that are increasingly required for reaching other generations as well. So if you’re not completely sick of “millennial talk” and are able to take a step back, you may find yourself nodding and thinking, “Hey! This is increasingly true for ALL visitors to cultural organizations.” Because it is.

 

1) MILLENNIAL TALK is not about ignoring other generations

This is the best place to start. If you’re experiencing “millennial talk” overload, here are four important things to keep in mind. Remember: When we talk about the need to reach millennials, we are NOT talking about ignoring other generations. Instead, we are adding a new, important generation to our discussion list of existing important generations. In order to carry out effective “millennial talk,” we need to remove defensiveness and realize that we’re talking about the future of cultural organizations for all visitors and generations – not only millennials.

 

2) We have a big problem with engaging millennials (DATA)

Why Cultural Organizations Must Better Engage Millennials (Know Your Own Bone)

And we need to fix this in order to survive long-term. Data suggest that the issue is particularly pressing. Millennials currently represent the largest segment of visitors to cultural organizations. (Nope. Not Baby Boomers). However, millennials are also the only age demographic not visiting cultural organizations at representative rates. This means that millennials are both our most frequent current visitors AND the visitors that we need to do a better job attracting in order to survive and thrive. As sick as we all may be of talking about millennials (I am, too, and I’m a millennial!), these facts make effectively engaging this audience a VERY big deal. This is a reality that organizations ignore at their own risk and it is my experience that showing this data and underscoring  this situation helps explain why this generation is getting so much attention right now.

 

3) There are two (most important!) things to keep in mind for engaging millennials

 

Okay – so reaching millennials is important and other generations should not take this need to mean that their own generations are less important. So how can organizations best reach millennials? There are a lot of tips and tricks out there, but I’ve boiled it all down to two. Here are the two, most important mindset shifts for engaging millennials. They sound simple, but they are actually large-scale culture changes for many visitor-serving organizations to carry out. They require a shift in how we think. Again, however, making these shifts does not only help position organizations to better reach millennials. It positions organizations to better reach all visitors in today’s connected world. Really, these two shifts are necessary for engaging nearly everyone. 

 

4) Millennial audiences may be our best audiences (DATA)

Engaging millennials has a huge payoff! This post highlights three, data-informed reasons why it’s absolutely worth the energy to reach these folks. Namely, they are super-connected to many people and have terrific potential to share positive experiences and spread valuable word of mouth and third-party endorsements of your organization. They are also most likely to share those positive experiences with their circles! Moreover, millennials have the greatest intent to revisit a cultural organization among the three, primary generations today. It all adds up to an understanding that targeting millennials is a good thing for everybody – and this generation does a lot of important messaging for organizations!

 

5) Millennials spend the most on food and retail (DATA)

It’s a smaller point, but it’s also an added bonus: Millennials spend more than any other generation on food and retail at visitor-serving organizations. Check out the data. For those folks who are less “believing” of the incredible value of third party endorsements in securing visitation and the importance of millennial audiences on that front (discussed above), here’s a more cut-and-dry financial incentive. Are we all happy now? Yes? Excellent.

 

6) Attracting millennials is key to engaging people of different racial and ethnic backgrounds (DATA)

Attracting Diverse Visitors to Cultural Organizations- Know Your Own Bone

Organizations often aim to engage folks of different racial and ethnic backgrounds. In doing this, many organizations overlook information regarding how people of different racial and ethnic backgrounds actually view themselves. The United States population is growing increasingly diverse with folks that are different than the historic visitor to cultural organizations – and much of that change is driven by millennials. We are the most diverse generation in the workforce. But we don’t primarily identify ourselves as our ethnic backgrounds. We identify ourselves as being young. This data is critical because it means that an important key to engaging audiences of more diverse racial and ethnic backgrounds is – in fact – engaging millennials.

 

7) Millennials are changing membership programs (DATA)

Millennials are necessitating change. If your organization doesn’t have as many millennial members as it should, it may be because your organization is not yet offering the type of membership that millennials want! (In fact, many aren’t.) The data about what millennials want in a membership program is particularly cool (in my humble opinion) because it underscores a trend that we are seeing for members on the whole. Mission-based members are more valuable members than transaction-based members and, really, what many organizations consider to be one “membership program” may actually be two, separate programs. There’s important thought-fuel here.

 

8) Millennials are not naturally caring more about arts and culture as they age (DATA)

millennial cause durability

And now for some not-great news: We cannot sit around and wait for millennials to “grow into” caring about cultural organizations. It’s not happening. At IMPACTS, we call this “cause durability” and millennials have it. The thought that millennials will “age into” historic visitor profiles is not proving true. Simply because the historic visitor profile is an older, white person doesn’t mean that millennials will have the same values when they become older, white people themselves (…particularly because this generation is incredibly diverse so that’s not even a thing for almost half of our generation). “But,” you say, “this isn’t about ethnicity – it’s about growing wisdom and appreciating the finer things in life as one ages!” Okay. We can hope for that, but data isn’t supporting it and is it worth the risk to your organization’s future to simply sit around without effectively engaging these audiences?

 

9) It is time to add millennials to your board of directors

Millennials represent the largest generation in human history. Still, many boards of directors for cultural organizations do not include a single millennial. Here are five important reasons to add millennials to your board of directors. They aren’t rocket science. They may simply be inconvenient truths… but truths they are, nonetheless. It’s difficult to attract millennials without listening to them and getting their input where it counts: in the board room and in leadership meetings.

 

There’s more to come on Know Your Own Bone in regard to engaging millennials, to be sure – and there are more posts than these in my archives. That said, I’ve tried to select the hardest-hitting, what-you-need-to-know round up. We’ll take a break from millennials for a while and get back to other myth-busts and trends in the weeks ahead- but there’s a lot here and it’s important. I hope that these posts are useful to you and please remember to dive into the individual points to get the full information and dig into the data. We’re on our way to integrating new mindsets into our organizations!

 

Like this post? Don’t forget to check out my Fast Fact videos on my YouTube channel. Interested in getting blog posts, tips, and some silly social media geekery periodically delivered in your Facebook newsfeed? Like my Facebook page. Or for more regular sharing of nonprofit marketing information, follow me on Twitter.

 

Posted on by Colleen Dilenschneider in Community Engagement, Fast Facts Video, Financial Solvency, IMPACTS Data, Millennials, Nonprofit Marketing, Sector Evolution, Trends Leave a comment

Audience Access: The Reality For Cultural Organizations To Embrace for Solvency

Audience Access - what cultural organizations must embrace - Know Your Own Bone

The first step in the evolution toward more sustainable cultural organizations is embracing the reality of “access” and reviewing the basics.  

We talk a lot about “access” within cultural organizations. For the sake of discussion on this topic, let’s strip this to its bare bones: Access is a means of approaching or entering a place. When cultural organizations talk about access, they often refer simply to something like affordable access. This narrow concept of “access” sets these types of organizations back, and prevents us from having more informed discussions about visitation, engagement, and financial solvency.

Every single person that makes their way through our doors has an access point and is part of “access” strategy discussions. “Access” in cultural organizations is not a conversation about minority majorities, or millennials, or folks making less than $25,000/year, or people with purple hair, or folks in wheelchairs, or people who like French fries, or pet owners with a dog named Rufus. Even high-propensity visitors must be considered in access discussions because access is a thing for every single person who sets foot in our institution. Access is not a topic about “underserved audiences” and it’s strange that we immediately assume this is so. Visitors, non-visitors, members, and donors all achieve access somehow. Why don’t we consider the entire, baseline topic of access for a change? And, if we do, can we learn something to strengthen BOTH mission execution and financial sustainability for cultural organizations? You bet.

This overview is oversimplified – and there are countless avenues for discussion embedded within this topic, but for the sake of improving the future of visitor-serving organizations, I’d like to provide a data-informed concept for a BETTER discussion about the hot topic of “access.” It’s only by considering how all avenues of access work together that we can optimize any part of the system – and cultivate healthier institutions.

The points below may seem very simple when you read them, but I haven’t encountered many organizations that regularly consider how these points of access work together and feed off of one another. Often, organizations tinker around with these different access points. When we meld these access audiences together – which we so often do – we get all of those bad business practices that hold us back. For instance, when we meld admission and affordable access programs, we get devalued brands, local visitor dissatisfaction, and we “leave money on the table” that we need in order to both survive and also to carry out our missions. When we meld admission with membership, we get transaction-based members that don’t much care about our missions and are less likely to renew, and we risk losing our most important supporters when we treat them like simple visitors.  Again, this framework is simplified, but my hope is that it brings about food for thought. If I’m lucky, it might even make you uncomfortable – and the best (good) data makes leaders uncomfortable enough to create change.

KYOB access drawing

For a broad overview, let’s dive into these three, primary access audiences one-by-one. (You know that I mean back-to-basics business when I add a doodle.) While you may skim these access audiences thinking that they are painfully obvious (they are), consider all the ways that we confuse them, conflate them, and ultimately threaten our own organizations. It’s simple (hence the doodle), but perhaps that’s why it is all the more important that we return to the basics and get this right.

 

Access visitor

1) LIKELY VISITORS:

Pay your data-informed optimal admission price

Likely visitors are called high-propensity visitors in my data world, and they are the people who have the demographic, psychographic, and behavioral attributes that indicate an increased likelihood of visiting a cultural organization. These are the people who are most likely to respond, “Sure!” when someone asks “Do you want to visit a cultural organization today?” They are, essentially, where our bread is buttered. They are the people who choose to pay to visit cultural organizations – and they are also the people who go to free organizations and understand their value. At IMPACTS, we have a lot of data about these folks, and they are critical audiences to engage in order to stay alive. In short, they are your visitors. (Keep in mind: High-propensity visitors are not exactly the same as historic visitors. High-propensity visitors are LIKELY visitors and not necessarily past visitors. They are our potential!) Bottom line: a very vast majority of the people who go to museums, zoos, aquariums, symphonies, theaters, botanic gardens (and the like…) are obviously LIKELY VISITORS… because they are visiting… and thus actively choosing to visit.

Admission pricing is a science, not an art. When an organization’s admission price is too low, it “leaves money on the table” and is not securing optimal funds to aid in sustaining itself. When it’s too high, it means that your organization will need to invest even more in access programing to fill the gap (which is much more costly than we think because most organizations are doing “access programming” wrong – more on that in a moment).

Admission pricing is NOT to be confused with affordable access programming. Interestingly, bad things happen to good organizations when they deny their optimal admission price in favor of “being more affordable.” Likely visitors should be admitted based upon an optimal, data-driven price point. This money is required in order to fulfill our missions of being open and of reaching unlikely visitors (see below).

 

Access unlikely visitor

2) UNLIKELY VISITORS:

Visit through targeted programs that actually reach them

IMPACTS has a lot of depressing data about the cultural organization industry. (BUT we have great leaders with the will to evolve, and we’ve totally got this! Cultural leading people are the best people. That’s why I write and that’s why you’re here.) Large-scale data about how much we stink at creating access programs for unlikely visitors that actually work is among the hardest to swallow. In reality, free days attract visitors with higher household incomes and education levels than paid-admission days (Here’s that data). Generally, our entire industry’s affordable access programming is not reaching low-income audiences (And there’s that data).

We mess things up when we conflate affordable access programming with admission pricing, thinking that we’re doing everyone a favor (Here’s the data on that). Another problem that we willfully ignore is the reality that we don’t actually know who our underserved audiences are or what they want. And we sabotage the success of our access programs because we inadvertently market the programs to rich people. (This is a huge, overlooked problem.) In many cases, we simply aren’t investing enough (or intelligently enough) for access programs to be effective.

It doesn’t help that many organizations mistakenly believe that price is a primary barrier to engagement. It’s not. Admission cost is not a key barrier to engagement and it’s certainly NOT a cure-all. This is mostly true for high-propensity visitors, but it’s also naive to believe that all folks will flock to something simply because it is free. In order to create effective access programs for any underserved audience (low-income or otherwise), organizations need to get a better grip on why that audience truly isn’t coming.

Unless we have a data-informed, optimal price point, it’s difficult to get the funds to create access programs in the first place. And if we don’t have those funds, we cannot create access programs that effectively reach new audiences OR low-income audiences. (Both fall under “unlikely visitors,” but they aren’t the same. For instance, minority majority audiences are underserved, but they aren’t necessarily low-income. Both need types of access/engagement programs in order to become regular visitors – but sometimes for different reasons.) When we charge our optimal price-point, it makes effective programming for underserved audiences more important – and also possible in the first place.

 

Access member

3) SUPPORTERS:

Become your members and donors

Your supporters become your members and donors – and they are an important part of the “access” conversation as well. In fact, they may be the most important. These are the folks who care about why you exist. They promulgate your “so what?” They provide ongoing support by being your next level of likely visitors. That said, this is another area of “access” that confuses many visitor-serving organizations. Membership programs need to evolve, and many organizations –in reality – have at least two types of members: mission-based members and transaction-based members. Transaction-based members are often the result of organizations conflating “likely visitor” and “evangelist” audiences, but mission-based members are where it’s at. Transaction-based members think of membership more like an annual pass and less like being a part of a mission-driven community. Mission-based members are more satisfied with their memberships and they are more likely to pay more for their memberships in order to support the organization. (Here’s the data on this.)

Another way in which organizations regularly fail this important audience- thanks to a broader misunderstanding of different avenues of access and institutional priorities – is by simply failing to manage the relationship or treating these awesome supporters in not-great ways. Lack of relationship management is a key reason why many donors discontinue their support. Arguably, a reason why organizations may be not-the-best at membership communication may be because we treat all of our audiences the same way. Namely, we confuse them with regular visitors.

 

Organizations have at least three types of audiences and these three audiences have different access points. When we confuse these three audiences and their avenues of access, we threaten the sustainability of our organizations. They must be managed in different ways in order to be activated to choose behaviors that are in the best interests of our organizations and our missions. It’s arguably because we misunderstand this that we commit several crimes against our own futures.

We live in an increasingly personalized world. In order to thrive, organizations may benefit by realizing that these three spheres are distinct and separate, but that it’s important to have a plan to carry constituents from an unlikely/likely visitor into the evangelist category. We need to change our business model. This is very, very different than conflating these categories. Thinking harder about access in regard to our business strategies may be the first step in creating more sustainable futures.

 

Like this post? Don’t forget to check out my Fast Fact videos on my YouTube channel. Here are a few related posts from Know Your Own Bone that you might also enjoy:

 

Interested in getting blog posts, tips, and some silly social media geekery periodically delivered in your Facebook newsfeed? Like my Facebook page. Or for more regular sharing of nonprofit marketing information, follow me on Twitter.

Posted on by Colleen Dilenschneider in Community Engagement, Financial Solvency, Fundraising, Myth Busting, Sector Evolution, Trends Leave a comment

The Power of Social Media vs. Your Organization’s Website (DATA)

Think that your website is your organization’s most important online communications asset? Think again.

This week’s Know Your Own Bone Fast Facts video busts a myth that seems to be slow to shake for some leaders. As it turns out, your organization’s own website is NOT your organization’s most important online communications asset.

Organizations tend to understand that websites are important – because they are. Social media, though? Many are still struggling with the role that these platforms play and how potential visitors are using them. Data suggest that social media is both a more important source of information AND a more effective landing environment than an organizations own website.

 Let’s take a look at some data, shall we?

 

1) Social media is the primary information source for visitors

Take a look at the following data from the National Awareness, Attitudes, and Usage Study of over 98,000 adults. It shows where high-propensity visitors gather information about cultural organizations. As you can see, social media is the most used source of information… by a long shot. We separated mobile web and web and those are the second and third most important sources of information for audiences. This includes not only your website, but information gathered from any online source that is not a social media channel or peer review site like Yelp or TripAdvisor. The difference between “mobile web” and “web” is simply that mobile web platforms are accessed on a mobile device. For organizations that still don’t have mobile-friendly websites, this is a bit of a wake-up call to prioritize this. For clarification, the numbers are in index value (not number of responses, as the sample size is contemplative of those who profile as high-propensity visitors among the 98,000 people in the study). In other words, “web” and “mobile web” are essentially in the same pool because they encompass “the web,” we simply cut them out to see if the medium/channel played a role. (It does – mobile web plays a bigger role in the “web” overall value.) When we combine mobile web and web, the index value is between the two values (i.e. 471-503) – not additive.

Word of mouth (recommendations on the phone or over dinner, conferences, etc.) is the fourth most used source of information, followed by peer review sites (again, that’s Yelp and TripAdvisor).

IMPACTS - sources of information for HPVs

 

Communication channels that talk WITH audiences significantly outperform those that talk AT audiences. With index values over 100 for all “talk WITH” channels and below 100 for all “talk AT” channels, the divide is amazingly clear. We’ll discuss this more in a KYOB post going up on August 17th, but this evolution is not worth glossing over. It is critical for organizations to understand as the new reality of the world in which we live. The fact that many seasoned leaders know more about traditional, talk AT channels does not make them effective compared to our newer and primary methods of communication. This does not mean that traditional channels are unimportant. Rather, it underscores the new realities of our connected world.

While social media is the primary source of information for the composite market, this data is specifically cut for high-propensity visitors – or, people have the demographic, psychographic, and behavioral attributes that indicate an increased likelihood of visiting a cultural organization (museum, aquarium, historic site, zoo, symphony, theater, etc.). The lean toward social media isn’t just for younger likely visitors. Data suggest that all-aged likely visitors profile as being “supper-connected” to the web.

 

2) Social media is the most effective online landing environment to inspire action

The chart above indicates the distribution of more than 65 million referrals from the online advertising campaigns of six cultural organizations in 2015. It is organized by the category of landing environment where folks were most likely to be engaged by the organization – or, to become a member, donor, or visitor.

 

IMPACTS - VSO online referrals

These landing technologies were not subjectively determined. Instead, we used algorithms to match users with the content that would best foster engagement with the organization based on their behaviors. As you can see, users were routed to an organization’s social media platforms 39% more frequently than they were routed to an organization’s own website. Nearly half of the referrals were routed through social media or peer review sites. Social media channels allow folks to see your organization in action: what it stands for, what it posts everyday, how it interacts with and values its communities.

This finding reaffirms the value of third-party endorsements: What others say about you is more important than what you say about yourself. In fact, what other’s say about you is 12.85 times more important than things that you say about yourself. In sum, data indicate that social media channels are the most effective sites to land potential visitors in order to motivate action.

 

Of course, organizations certainly benefit by having their own websites, but social media is our audiences’ primary source of information and key online influencer. Many organizations may be accustomed to having web designers in the decision-making room and those folks – especially when they deal with engagement strategy, which these folks today should all be doing  – are important. But many leaders still seem to be confused about the importance of social media community managers. They shouldn’t be. These folks are more than just “those people who do social media.” Data suggest that they are an organization’s most important connectors.

Social media motivates visitation, inspires donations, and secures new members. It is a channel that champions connection in our connected world. Websites are important. Social media and social media community managers are absolutely critical as well. We need them both, but most of all – we need to stop treating social media as a communication add-on. It is the most important avenue for connection.

 

Like this post? Don’t forget to check out my Fast Fact videos on my YouTube channel. Here are a few related posts from Know Your Own Bone that you might also enjoy:

 

Interested in getting blog posts, tips, and some silly social media geekery periodically delivered in your Facebook newsfeed? Like my Facebook page. Or for more regular sharing of nonprofit marketing information, follow me on Twitter.

Posted on by Colleen Dilenschneider in Community Engagement, Digital Connectivity, Fast Facts Video, Financial Solvency, IMPACTS Data, Myth Busting, Nonprofit Marketing, Sector Evolution, Trends 4 Comments

Three Survival Questions That Cultural Organizations Avoid Asking (Because We Do Not Like The Answers)

Three critical questions that cultural organizations are not asking because he do not like the answers - Know Your Own Bone

Visitor-serving organizations are not asking the right questions – or perhaps we would rather ignore the answers…

I bust myths with market data and analysis from my work with IMPACTS here on Know Your Own Bone. At its core, my job is to be curious. It is to ask questions about visitation to cultural organizations and seek answers – even (if not especially) difficult answers. At our best, though, it’s the job of all people working within cultural organizations (museums, performing arts organizations, aquariums, zoos, botanic gardens, historic sites, etc.) to be curious. Our institutions are places for learning and inspiration and we are – I like to think – curious by nature. I feel this shared passion among nearly everyone that I meet who works at a cultural organization and yet I am constantly reminded of the limitations of our curiosities. It seems that we retreat when we are on the brink of an answer that challenges “the way things are done.”

We folks within cultural organizations are armed with defenses for findings that we don’t like. But I still think that, at their core, these leaders also glow with curiousity. Indeed, I believe that it is because Know Your Own Bone challenges our thought processes that this website receives nearly 90,000 visits each month. Maybe we want our outdated notions to be busted – we are just looking for some support.

Instead of sharing traditional, Frequently Asked Questions from cultural organizations received by myself and/or the IMPACTS team, I’d like to share three, macro-level Should-Be Asked Questions. It seems that we avoid the answers to these questions because they are hard – and because we don’t know everything about all of the answers yet. They represent uncharted territory in today’s connected world. But that’s why I like them and why you should, too.

 

ASK: What do people really value about our organization?

(NOT: What do we want people to value about our organization?)

It’s easier to consider what we want people to value about our organizations – we can make that up! We get to decide what’s important in that case! The problem is that while we can declare importance, we need our supporters (visitors, donors, members) more than they need us – and they determine the relevance of what we’ve deemed important.

This confusion is a primary indicator of a serious growing pain for cultural organizations: We are used to thinking about things from the inside out (“We are the experts and we decide what matters!”), but we are still pretty crummy at thinking about things from the outside in. This is more than considering what we think our audiences want from us – it’s about actually finding out what audiences want from us. Asking the question that we need to know – What do people really value about us? – necessitates market research and that generally freaks us out. We tend to have audience research covered and can tell you a whole lot about people who are already visiting us, but we aren’t so awesome yet about learning more about who is not coming and why.

When we change our shift from inside-out to outside-in thinking, we can focus on what our supporters truly like about us. We can focus on relevance over importance. We can learn more about the power of our mission. We can embrace that organizations that highlight those missions financially outperform those marketing primarily as attractions, and we can better understand the roles that education and entertainment play in the visitor experience and motivation process (not the roles that we want them to play). Most importantly, we can come to terms with the unassailable fact that visitor-serving organizations are – at their best – facilitators of shared experiences. When we realize that, we reap both mission-based and financial benefits. But we cannot truly embrace any of this data-informed information until we get more organizations asking the hard question (“What do people really value about us?”) instead of asking questions where we can make up answers that keep us stuck in a rut (“What do we want people to value about us?”)

 

ASK: Why are some people not visiting or supporting us?

(NOT: Why do we think some people are not visiting us?)

We are making things up and we seem not to know what we are talking about. We create programs, offer discounts, hand out free admission, and make excuses based upon assumptions that actually make it harder for us to be financially stable and execute our missions. Nothing changes and we just keep “programming” and “excusing” harder. Not actually uncovering why people (general audiences or subset groups) are not visiting us and making guesses instead is probably the dumbest thing that we do – and we do it so regularly that we forget to step back and look at the bigger picture.

Most of the myth busts on Know Your Own Bone are not challenging tried and true practices, but wild, stab-in-the-dark guesses that we continually perpetuate within the industry – even when they are directly at-odds with well known rules of economics or pricing psychology. Free admission is not a cure-all for engagement. In fact, it’s generally a bad idea in many ways. Discounts devalue your brand and actually keep people from coming back and blockbuster exhibits do the same thing.

Interestingly, we aren’t creating many programs that tackle what data suggest are the actual issues. We undervalue the role of reputation and the importance of social media in driving visitation and support (and we do it in many ways). Moreover, schedule is the top barrier to visitation and we don’t talk about it. We host cultural days and treat them like huge accomplishments because we misunderstand our underserved audiences and think that just because WE consider their ethnicity to be a primary identifier, they must think that is their primary identifier as well. We need to reach millennials, and instead of integrating a mindset of transparency, connectivity, and personalization – we are creating one-off evening programs with alcohol and calling it a day.

When we know our true barriers to visitation, we can crate programs that effectively overcome those barriers.

 

ASK: How can we shift to a more sustainable business model?

(NOT: What programs can we add to help make our current model sustainable?)

We often focus on “add on” solutions instead of asking ourselves hard questions about how we operate and stay in business. Yes – I used the word “business.” I know that we nonprofiteers dislike that word, but when we talk about being sustainable and “staying in business” it’s important to remember that if we aren’t “in business,” we cannot educate and inspire. If we cannot keep our doors open, we cannot execute our missions. “Business” has been viewed as a dirty word in the industry, but I vote that we use it more often. Being good at your mission is good for your organization’s solvency and “business.” 

We often act as though the proper model is to continue promoting ourselves as attractions to get folks in the door while treating potential donors as bottomless wells of potential cash. ….Okay, that’s over-the-top glib, but it’s not altogether untrue. In order to thrive, it’s time for us to take a hard look at our revenues and get smarter about our pricing strategies. We need to invest in affordable access programs that actually work in order to reach goals in attracting these audiences – and we need to put a wee bit more effort in actually attracting them. It’s time to consider who is actually visiting our organizations and who is not. It’s time to get smarter about our membership opportunities and the untapped opportunities for engagement. We need to realize that free days don’t work and, again, discounts and free admission may be bigger curses for long-term survival than blessings.

 

The world is changing and we need to change, too. We need to get smarter about everything that we are doing and I think that the best place to start is taking a look at the questions that we are asking. Certainly, there are many more questions to ask beyond these three, but I think that they highlight some of our biggest challenges, especially this one:

What the heck are we doing on many fronts? Guessing. That’s what we’re doing. The good news is that we don’t need to guess anymore. Now we CAN ask these Should-Ask questions and we can find out the real answers. Without the answers, we can only do more of the same. For the sake of the institutions that we love, let’s agree to get in this game together and be fearlessly and fiercely curious. Let’s ask hard questions – even if we don’t like the answers. It is only by doing that that we can all work together to bust myths and help make cultural organizations thrive.

 

Like this post? Here are a few related posts from Know Your Own Bone that you might also enjoy:

 

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Posted on by Colleen Dilenschneider in Community Engagement, Financial Solvency, Fundraising, Myth Busting, Sector Evolution, Trends 3 Comments
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