Special Exhibits vs. Permanent Collections (DATA)

Special exhibits don’t do what many cultural organizations think that they do. If fact, they often do the opposite. Read more

Eight Realities To Help You Become A Data-Informed Cultural Organization

Is your organization integrating market research into strategic decision-making processes yet? Here are eight important things to keep in Read more

A Quarter of Likely Visitors to Cultural Organizations Are In One Age Bracket (DATA)

Nearly 25% of potential attendees to visitor-serving organizations fall into one, ten-year age bracket. Which generation has the greatest Read more

People Trust Museums More Than Newspapers. Here Is Why That Matters Right Now (DATA)

Actually, it always matters. But data lend particular insight into an important role that audiences want museums to play Read more

The Top Seven Macro Trends Impacting Cultural Organizations

These seven macro trends are driving the market for visitor-serving organizations. Big data helps spot market trends. The data that Read more

The Three Most Overlooked Marketing Realities For Cultural Organizations

These three marketing realities for cultural organizations may be the most urgent – and also the most overlooked. This Read more

cultural organizations

Five Data-Informed Fun Facts About Visitors to Cultural Organizations

Visitors to cultural organizations often have certain telltale behaviors.  Here are five of them.

This week’s Fast Facts video is a fun one that shares a few data-informed findings about the kind of people who visit cultural organizations. Thanks to IMPACTS, I’ve got my hands on a whole bunch of trend data and sometimes little fun facts are just…well, fun!

Here are five, data-informed fun facts about high-propensity visitors to cultural organizations. 

 

The introduction, conclusion, and one of the fun facts merit a deeper, written dive. There a few important, extra takeaways worth noting from this video (that are not the five fun facts themselves):

 

1) Not everyone wakes up wanting to visit a cultural organization

Yes, I think that this is a bummer just like you do. If everyone wanted to visit cultural centers, we wouldn’t be having so much trouble engaging more diverse audiences or even attracting millennials at representative rates. Cultural organizations often have a hard time admitting to themselves that their likely audiences aren’t “everyone.” This certainly does not mean that we shouldn’t try to get “unlikely” visitors in the door. We really, really should – and in fact, we need to evolve our business models and better engage these audiences in order to survive. But the reality is that some people are more likely to visit cultural organizations than others.

As much as our industry may appreciate a scapegoat, data and economists alike have been proving to us for years that free admission is not the cure to engagement that many imagine it to be. The sooner that we move on from this, the sooner we can create affordable access programs that actually work (here – read this, too), and the sooner that we can create business models that are more sustainable.  We are so busy fighting to maintain our belief in the myth of free admission curing engagement, attendance, and participation issues that we aren’t moving forward, or even thinking creatively or strategically about how to stay alive and relevant long-term. But I digress…

A high-propensity visitor is a person who demonstrates the demographic, psychographic, and behavioral attributes that indicate an increased likelihood of visiting a cultural organization (e.g. museum, aquarium, botanic garden, historic site, symphony, theater, etc). High-propensity visitors are the folks who keep our bread buttered – they are the folks who visit, donate, and reliably engage with our organizations. This video covers five, random fun facts about these people.

 

2) Visitors are extremely connected to the Internet

High-propensity visitors are 2.5x more likely than the average person to qualify as being “super-connected.” This means that they have access to the web at home, at work, and on a mobile device. In fact, these folks acquire information regarding leisure activities almost exclusively via the web, social media, and peer review sites like Yelp and TripAdvisor. Visitors to cultural organizations have constant connection to the Internet – meaning that what cultural organizations do online is really, really important.

Interestingly (though unsurprisingly), millennial high-propensity visitors are crazy super-connected. That said, the folks that are going to attend a cultural organization are all looking things up online and using the web and social media, regardless of age.

 

3) Likely visitors are not necessarily rich

“No kidding,” you’re probably thinking if you’re reading this before watching the video. After seeing the five fun facts about high-propensity visitors, though, you may be thinking that high-propensity visitors must be very rich. Being a high-propensity visitor has nothing to do with being “rich.” Plenty of not-super-rich people have a cat or dog, like to hike or ski, enjoy a nice meal with a great glass of wine, and occasionally travel overseas for vacation. This person doesn’t have to be a multi-millionaire. (I mean, they could be, but they don’t have to be to possess these behaviors.)

Being a high-propensity visitor is indicated by how someone chooses to spend the money that they have – not that they have tons of it. How someone chooses to spend thier money is a choice. So is how someone chooses to spend their time. Being a high-propensity visitor isn’t innately about being rich or poor. It’s about how someone chooses to invest his or her leisure time and money.

 

These three items may seem obvious to some, but they are worth extra attention because they tackle a few myths: 1) That likely visitors to museums include everyone (especially when admission is removed); 2) That the web and social media play “supporting” roles in reaching, attracting, and retaining audiences; and 3) That the most likely visitors to cultural organizations are rich. These popular beliefs are false. We know they are false. And yet they permeate too many, critical conversations.

Once we better know our audiences, then we’ll be best able to serve them.

 

Like this post? You can check out more 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, IMPACTS Data, Millennials, Myth Busting, Nonprofit Marketing 1 Comment

The Five Best Reasons to Add Millennials To Your Nonprofit Board of Directors

Don’t have any millennials on your nonprofit board yet? Your future might be tough.

There are a whole heck of a lot of good reasons to target millennial visitors and supporters. They are not visiting cultural organizations at representative rates, they aren’t magically “aging into” increased care for arts and culture, and – perhaps most importantly – data suggest that millennial audiences are an organization’s best audiences.

But what about how cultural organizations are engaging millennial leadership within institutions? We need to pay attention to this, too. I’ve posted on this topic before, but this one is so important that I made a little Fast Facts video about it. It’s time to get more millennials involved on nonprofit boards of directors – particularly for larger, prominent organizations with annual operating budgets >$30 million and/or annual attendance >1 million for visitor-serving organizations. Representation on these types of boards seems to be particularly lacking…and that’s terrifying, as many smaller organizations often emulate the practices of their larger cohorts.

Neglecting millennial board representation doesn’t necessarily mean that there aren’t loads of important conversations taking place in these millennial bereft boardrooms about how to better engage this valuable cohort. It seems that many organizations are stuck in the mud of dialogue instead of finding traction in actually doing something constructive to meet this opportunity where it counts most. I’ve found that it’s not uncommon at many board meetings for there to be numerous Baby Boomers – and a few members of Generation X – waxing poetic about the urgent need to “engage millennials”…without any input from actual millennials.

The time has come for organizations to sink or swim based on how effectively they engage millennials…and that may be particularly hard to do when nobody tasked to govern and lead these organizations is actually a member of this generation. 

To be fair, there are some organizations that are moving forward and integrating millennials into their boards and strategic decision-making processes. I’m a millennial serving on the Board of Directors at the National Aquarium during an incredibly important time for the organization’s future. I’m grateful for this opportunity…but I also know that I’m one of relatively few millennials on the board of a larger nonprofit or a museum.

Don’t have at least one millennial on your board of directors yet? Here are five, critical reasons to implore the nominating committee to start cultivating some impressive millennials to serve on your nonprofit board right now:

 

1) Millennials represent the largest generation in human history

…So not having at least one of them on your board may be a bit out of touch. Until Generation Y came along, Baby Boomers represented the largest generational cohort in the United States. However, at nearly 90 million strong, millennials have Baby Boomers outnumbered by an estimated 20 million people. As boomers age, this divide will continue to grow. This statistic alone should be more than enough to make executive leaders pause to consider the future of their organizations. Moreover, millennials will tip the scales in terms of buying power in the United States this year, and our economy will feel the beneficial impact of their increasing consumerism by 2017.

 

2) Millennials will have primary influence on culture and society for an unprecedented duration

…So not having one on your board is delaying an inevitable future and holding back progress.  Millennials who have children are not having as many of them as their Baby Boomer parents. Moreover, Generation X (which is only roughly half the size of Generation Y) is simply too small in number to give birth to a future, large generation. Simply put, America’s birth-over-death rate is not increasing at the historic rates established by Baby Boomers. This means that millennials will remain the largest generational demographic in the United States for a much longer period of time than did the Baby Boomers – or any prior generation to date.

 

3) Millennial support is necessary from a policy standpoint

…And if your organization does not get millennials involved in understanding policy-related challenges and opportunities from a leadership buy-in perspective, you may be “voting” against your own best interests. In fact, millennials may significantly influence the outcomes of the next six presidential elections – starting with the upcoming election in November! Indeed, this depends upon millennials actually voting, but building any aspect of your organization’s survival strategy upon 90 million people not turning out for elections is a stupid strategy. Moreover, millennials will eventually dominate a vast majority of government leadership positions…mandatory government retirement policies dictate this math. Inviting millennials onto your board helps ensure that your organization’s best interests are well-represented and maximally protected.

 

4) Engaging millennials requires immediate, strategic shifts in leadership mentalities

…Far beyond simply “using social media.” Engaging millennials isn’t merely a communication medium opportunity (especially because data suggests that millennials are not even close to the only audiences using social media). Engaging millennials requires new ways of thinking about marketingdevelopment, human resources and operations, and even new strategic practices regarding things like membership. Millennial board members may provide valuable perspective regarding their own peer group and generational mindset.

 

5) What your organization actually DOES is more important than ever before

…And aiming to be seen as an organization welcoming millennials without actually welcoming millennials where it counts is inconsistent. We live in a world now where everybody (not only millennials) increasingly look to real-time platforms to make decisions. People want to assess an organization’s promise, reliability, trustworthiness, and impact on their own – guided largely by perceived transparency. If your organization is actively trying to engage millennials, then it’s doing something smart (for the reasons mentioned above), but if it’s doing it without also empowering millennials where it counts (i.e. in the board room), then your engagement narrative risks credibility. Thanks in large part to the web, we live in a “show vs. tell” world – and if what you say doesn’t match what you do, people are likely to notice.

Despite a strange want to promulgate the concept that millennials never do and never will actively contribute to nonprofit organizations, data suggests that most millennials actually do contribute. Yes, millennials donors exist and your organization is probably messing a lot of things up trying to engage with them even if you think you’re doing it right. (Here are six sad truths that I have learned as a millennial donor.) But the good things about adding other, more diverse members to your board are still true for millennials: Insight, connectivity to the right people, an “in” with a valuable group of up-and-comers, and fresh perspectives.

 

Generational change and progress are inevitable – and denying (or even delaying) the inevitable is a horrible reason to cripple the evolution of mission-driven organizations. The new first imperative of power should be not to retain it but, instead, to share it. That is the stuff of a true and worthy organizational legacy.

 

Like this post? You can check out more 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 Fast Facts Video, Millennials, Myth Busting, Sector Evolution, Trends Comments Off on The Five Best Reasons to Add Millennials To Your Nonprofit Board of Directors

Three New Trends For Cultural Organizations That Are Not New At All

News ideas for cultural organizations that are actually old ideas

Those “new” trends that need to be embraced within cultural organizations? They aren’t new at all…so let’s stop being scared of them. 

If you work within a cultural organization, then you are probably aware of some of the new, big trends and ideas confronting organizations right now: Making organizations more participatory and social, embracing innovation, securing word-of-mouth engagement in our connected world, and framing collections so that they are right-now relevant. Sometimes it feels like organizations may never be able to successfully welcome and adopt these new changes…

Here’s the thing, though – none of those are new concepts.

The very first museums were founded on many of these ideas. In reality, solitary experiences, primarily showcasing the past, and relying on traditional marketing channels to get the word out are the new concepts. What organizations are trying to do today may simply be examples of returning to their roots. 

Here are three of the oldest, “new” trends with which organizations are currently wrestling:

 

1) Solitary experiences are new (Social experiences are old)

Let’s start with arguably the best example of a type of cultural organization that underscores “existing in silence and appreciating the art” – classical music organizations. I’ve told this story once, but it is worth repeating: I was with the IMPACTS team in a meeting with Stanford University discussing the engagement of students and community members alike in classical music. The group began discussing opportunities around “shaking up” the way that audiences experience classical music, and the merits of making the concert-going experience more “social.” One of the University’s leaders suddenly exclaimed, “It’s getting back to performing Handel in the same, social way that the music was experienced in Handel’s time!”

We all stopped in our tracks. We thought being social in this environment was more of a new idea. Lifting the demand for silence at certain programs? Serving food (chewing while listening)? World-class musicians performing important, inspiring, and moving pieces while listeners mingle? Many might consider that sacrilegious!

In reality, the concept of orchestrating isolated cultural experiences in shared spaces is the relatively new idea. In Handel’s time, music was enjoyed socially – audiences ate, drank, and generally partook in all sorts of merriment while musicians filled the concert hall with beautiful melodies. Why is being social in shared spaces considered “new” when it was the very way that many types of art were originally intended to be enjoyed, discussed, and explored?

After all, dedicated listening to classical music only accounts for 20.9% of all classical music listening activity – and the behavior doesn’t vary as dramatically between students (i.e. “young people”) and non-students as some might suspect. Some organizations may choose to focus their programmatic offerings to try to fit into that 20.9% of their audiences’ dedicated listening time…but why not create programs to include the other 79.1%?

The data below represent the classical music listening behaviors of 915 undergraduate students, and 2,115 non-student adults living in the San Francisco Bay Designated Market Area. The commonality of behavior is particularly interesting as students and non-students alike spend approximately 80% of their time listening to classical music while also doing something else.

IMPACTS - dedicated listening behaviors

These data are particularly interesting because they indicate self-selected cultural behaviors. Classical music listeners – arguably among the most “traditional” of contemporary cultural participants – report that only about 1/3 of their time spent engaging with content is experienced in a state of solitude (e.g. dedicated listening or while reading). The balance of their engagement invites connection and a public context – while traveling, while dining, while cooking, while exercising. For the vast majority of time for its listeners, classical music accompanies another activity or supports a social context…it is not a dedicated activity.

Yet, too many organizations that present classical music create environments focused solely on dedicated listening, and, indeed, actively dissuade a social context. And these organizations are not alone – there seems to exist a false dogma in some organizations that dedicated, solitary experiences are the preferred way to engage with a cultural experience. The data suggest otherwise. The fact that the earliest art museums may have started as private collections viewable only to those close to the collector further highlights the importance of social connection. Viewing these collections required a connection to another person. Perhaps the audiences of Handel’s time had it right – culture may be a component of a greater, social experience.

Not convinced of the power of social interactions in cultural organizations? Consider: Data suggest that who people are with is more important than what they see at an organization, and social interactions significantly increase visitor satisfaction.

 

2) Traditional media for marketing purposes is new (Securing earned endorsement from visitors is old)

The concept of embracing digital engagement feels like a big change…so much so that non-marketing staff members seem to be “not my job-ing” it in many institutions. But let’s look past the relatively new creations of Facebook and Twitter and Instagram and consider what these digital platforms actually do and why they are so influential: They allow for the increased potential to connect people and share messages.

The advent of digital engagement platforms did not create a new phenomenon – it provided a way to more effectively tap into the motivators of human behavior that have always been there. Earned media and reviews from trusted resources (like those that take place on digital platforms) drive visitation to cultural organizations. Again, this model of diffusion isn’t new – it’s how reputations have always been earned and promulgated. After all, how else could museums secure attendance before the development of radio and television advertising? (That’s a trick question. Access to collections of artwork in particular was often a matter of connections to the people running the collections, which again leads us to the importance of word of mouth endorsement. There likely wouldn’t have been ads for these particular types of institutions before they were more broadly accessible.)

IMPACTS model of diffusion

Regular readers know that I love this data. Note that what people say about your organization (the coefficient of imitation (Q)) is 12.85 times more important in determining reputation than what you pay to say about yourself (the coefficient of innovation (P)) – And reputation is a driver of visitation to cultural organizations.

Spinach is to Popeye as social media is to word of mouth endorsement. Here. Allow me to take this metaphor too far:

Popeye earned media

Social media is about engaging people. It is not about computers or cells phones. In the cartoon above, think of computers (or “technology”) as the can. It’s not the can that makes Popeye strong. It’s the connectivity potential of what is in it. In a 1800s version of this cartoon, the can would be a marketplace and the spinach would be a friend communicating a face-to-face recommendation to attend a cultural event. Indeed, that same spinach is still just as good today, but that spinach has never been “traditional media.” Comparatively, “traditional media” as a motivator is a new concept – and it plays a different role in motivating visitation.

 

3) Focusing on the past is new (Innovation and informing future discoveries is old)

Being innovative often gets a bad rep as being risky more than being necessary for cultural organizations, and the task of being relevant may be beginning to sound like jargon. But cultural organizations have always been equally about the future as they are about the past. The goals of inspiring wonder and curiosity are equally beholden to history as they are to a hopeful future. Thinking that cultural organizations are more about the past than the future or the present is a new idea…and maybe that’s why we can’t seem to shake that “boring” stereotype.

Many of the world’s early museums were cabinets of curiosities. These cabinets of curiosities were collections that often consisted of artifacts and also new discoveries – or curious objects with histories yet to be uncovered and stories yet to be told. There was an element of these collections that was current and thus real-time relevant. Instead of simply “teaching” folks about things that we already knew, they were often collections focused on what we were finding out. Think of it as perhaps collecting puzzle pieces to inform the world in which we live. I think that cultural organizations might struggle less with relevance if we thought of ourselves as providers of clues and summoners of curiosity…and less like archaic teachers.

Even today, what seems to be picked up and discussed most regarding museums is how they impact our future knowledge. When we can bridge the gap and demonstrate how the past may inform the future (or the present), that’s when we are most relevant. That’s common sense and it’s not new. It’s not an “innovative” concept. We were once encyclopedic collections of things that made folks feel like discoverers and knowledge collectors…not places that made folks feel like they were being “informed.”

I think focusing on the past (as opposed to how the past connects to the present) is dangerous. I think that’s what is holding us back and may be providing an excuse for some institutions to be lazy, and to even complain about the need to be relevant. Why would any cultural organization complain about the need to be relevant?!

Relevance, connective experiences, and operating based upon earned endorsements are among the oldest attributes of cultural organizations – and that’s great news! It means that we can give them a little bit less strength as overwhelming forces.

It means we’ve totally got this.

 

Like this post? 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, IMPACTS Data, Myth Busting, Nonprofit Marketing, Sector Evolution, Trends Comments Off on Three New Trends For Cultural Organizations That Are Not New At All

The Surprising Reason Why Organizations Underestimate Attendance Loss During Closures (DATA)

Know Your Own Bone - Underestimate Attendance During Closures for Cultural Organizations

When cultural organizations experience unforeseen facility closures, they lose more visitors than simply those who were planning to visit that day. Here’s why.

While the following data may be particularly timely after Winter Storm Jonas, cultural organizations (museums, zoos, historic sites, performing arts organizations, etc.) are consistently way off when adjusting annual attendance projections due to closures. This includes closures due to weather, irregular operations, storm damage, fire, utility failure, criminal activity, or anything else.

No matter the reason for the closure, we dramatically underestimate the overall impact on annual attendance. It’s generally a huge bummer when we have to close for unforeseen circumstances and take the attendance (and, for many organizations, revenue) hit. But knowing why we are so frequently wrong in quantifying the total impact of these closures may help us better understand visitors and develop more realistic contingency plans for lost revenue and attendance.

We are often wrong about the impacts of an unforeseen closure for two, big reasons that are important to understand beyond the framework of attendance and revenue projections. When an organization is closed at a time that it might otherwise be open, visitation generally is NOT displaced to other times of the year. And, to top it off, we lose more people than simply those who had planned to attend the organization that day. The reasons for this happening are important for organizations to understand.

Take a look at the math and see just how much we underestimate the lost annual attendance due to unplanned, short-term facility closings. This chart illustrates data from 13 organizations over a three-year analysis and includes a range of cultural, visitor-serving organizations – each represented by letter.

IMPACTS- Immitative value applied analysis

The “Expected Decline” value indicates the number of visitors as a percentage of annual market potential that were expected to be lost by an unforeseen facility closure. If an organization’s market potential analysis suggested attendance of 1,000 visitors on a given Tuesday, and the organization was instead closed that day, then the expected decline in annual market potential would be 1,000. Pretty logical, right?

The “Actual Decline” value indicates the actual, observed percentage decline relative to an organization’s annual market potential.

Every organization quantified in the study indicated an actual decline greater than the expected decline. There are two, important reasons why expected and actual decline do not align in commensurate measure.

 

1) Lost attendance is not usually displaced to another date

“They’ll come back later,” some staff say. Well, most likely they won’t. Not this year, at least. Data suggests that it is incorrect to assume that lost attendance due to an unforeseen closure is somehow magically reallocated to other periods during the calendar year.

IMPACTS- Discretionary decision making utility model

Extant data indicates that schedule has the single greatest influence on a would-be visitor’s decision-making process. This analysis reaffirms that if a scheduled visit is interrupted by an unforeseen closure, then these affected visitors are unlikely to visit the organization in a proximate chronology. In other words, if a snowstorm in February forces a closure that results in a loss of attendance, then these would-be February visitors are unlikely to visit come April or July.

It is a miscalculation for an organization to simply distribute attendance lost due to a closure to the remainder of the year. Those 4,000 visitors who stayed home these past few days while the snowflakes fell during Winter Storm Jonas? They’re likely gone…and annual budgets should be adjusted accordingly.

That’s a bummer, but it makes sense. It accounts for lost annual attendance that at least matches the expected decline. But why do organizations lose more visitors than those who were planning to visit on the date of the closure during the remaining course of the year? It’s a good question with a very important answer.

 

2) Recommendations and social sharing from those who would have visited are lost (and that is a much bigger deal than we realize)

This lost visitation has a sort of “double-whammy” effect for many cultural organizations as they are reliant on word of mouth and other testimonial factors to help engage audience and motivate attendance. (This is particularly true for organizations in those regions where visiting friends and family is a primary driver of tourism and travel. If your plan was to take a visiting friend or family member to a local museum, but a water main break forced the cancellation of that visit, well, that museum lost out on both the organizing party’s visit and also the guest.) When we close for any reason, we don’t just lose the people who were going to visit. We lose the recommendations, social media posts, and shared stories of all of the people who were going to visit that day.

And many organizations do not factor this into their adjustments. Fortunately, thanks to data, today we can. For every one visit lost due to an unplanned closure, the net annual impact on market potential averages a decline of 1.25 visitors. Thus, if a sustained interruption to your operation results in 20,000 fewer visits, then the annual impact of this business disruption is likely to be lost attendance of 25,000 when compared to your organization’s market potential.

Wait! We lose real people because of lost word of mouth endorsement? Yes. It’s not just hot air: Word of mouth endorsements are a BIG factor driving the attendance numbers for cultural organizations – and every year, the attendance to cultural organizations with unforeseen closures prove it. Consider the analysis: Of the 13 organizations quantified in the study, the average attendance decline due to unplanned closures was -4.45% compared to market potential. However, the actual decline in annual market potential was observed to be -5.56%. Again, due to word of mouth and other “imitative behaviors,” the loss of every one visitor equates to a total annual decline of 1.25 visitors. 

It’s important to remember that recommendations and social media posts that would have resulted had the organization not closed that day are no more impactful than recommendations based on experiences that take place on any other day. Word of mouth recommendations and social sharing are always playing a role in a cultural organization’s actual, onsite visitation numbers. This fact right here, folks, is a dang good reason to go hug your social media community manager who facilitates the sharing of experiences and word of mouth endorsements. This is also a good time to remember that millennials – who are most likely to recommend a visit to friends – are largely underserved by cultural organizations.

 

Unforseen closures stink. We’re never excited to learn that our organizations have lost the financial support that would have been gained from onsite visitation. We rely on that support to carry out our missions. And, considered in that light, this data really kicks us when we’re down. (It stinks when data does that.) But this information stands to make us much smarter. Embracing these realities allows us to more properly adjust attendance and revenue numbers so we aren’t down in the dumps later due to unrealistic expectations.

Perhaps most importantly, these findings underscore the importance – and the numbers of real, flesh-and-blood visitors – affected by the important role that word of mouth endorsements and shared stories have in helping us to share our experiences with more people. And in the end, that’s kind of cool, right?

When we educate and inspire people, it really does bring in more people to educate and inspire.

 

Like this post? 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, Sector Evolution, Trends 3 Comments

Real Talk: Why Cultural Organizations Must Better Engage Millennials (DATA)

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

Millennials are cultural organizations’ most frequent and loyal visitors…but this audience remains underserved.  Here’s why that’s a big problem for the future well-being of the industry.

“We need to be better at engaging millennials!” You’ve heard this before. Likely, you’ve heard it more times than you can count. Even if you are a millennial working within a cultural institution, you’re still probably sick of the sentiment. You’re probably sick of it even if you know that data suggest that millennial audiences are cultural centers’ best audiences.

The need for cultural organizations (e.g. museums, zoos, aquariums, symphonies, theaters, botanic gardens, orchestras, etc.) to reach millennial audiences is deeper and more complicated than we may realize.

I’d like to ask you a favor.

Indeed, I’m going to land here at the end of this post: “We need to be better at engaging millennials.” Instead of closing this tab before you dig in and saying, “yeah, yeah, yeah…” I hope that you’ll stop and consider why we need to reach millennial audiences…why it’s a big deal, what it means for our solvency, and why its so hard for some of our executive leaders to do.

Here are four things that all cultural organizations should know about millennial visitors and our efforts to engage them:

 

1) Millennials are the most frequent attendees to cultural organizations

 

Bet some of you didn’t see that coming! Check out this data from the National Awareness, Attitudes, and Usage Study that represents a sample population of more than 98,000 respondents. These particular data compare millennial and Baby Boomer visitors in terms of the composition of attendance to the 224 visitor-serving cultural organizations contemplated in the study during the past five years

IMPACTS- Millennial vs Boomer visitation 

Millennials make up the largest share of visitors to cultural organizations and the observed trend indicates growing percentages year over year. Millennials aren’t coming. Millennials are here and they are already the largest realized audience visiting cultural organizations. This means that the “We need to cultivate millennials while satisfying our current, baby boomer audience” sentence is baseless. And you want it to be baseless. If baby boomers still actually make up the majority of your visitors, then you’re behind. 

This means that programs and initiatives that engage millennials should be in full force right now and integrated into operations. Programs that engage millennials should be recognized as your new way of life. And, please, don’t worry too much about engaging, interactive, authentic, trustworthy, dynamic, participatory, expert, real-time programs alienating members of Generation X and some Baby Boomers. The market at large increasingly has these things ingrained into how they evaluate brands and organizations as well.

Don’t forget that the “white space” here isn’t simply Generation X. It also includes Traditionalists (the generation before the Baby Boomers) and Generation Z (the generation after Generation X). And thank goodness that millennials are the most frequent visitors to cultural organizations! Millennials represent the largest generation in human history, so if they weren’t attending organizations more than their other, large-generation (Baby Boomer) buddies, it would be a huge problem. Cultural organizations as a whole engaging anything smaller than the data-informed expectation for audience engagement relative to their cohort size is very bad news…

 

2) But millennials remain underserved as organizations underperform the business opportunity 

 

…See, but that’s the problem: Millennials ARE NOT attending at the minimum expected levels. To evaluate this, we need to step back and look at visitation to our organizations in the context of the US population. In 2015, there were 322 million people in the United States. Adult baby boomers made up 23.6% of the U.S. population and adult millennials made up 27.1% of the U.S. population.

IMPACTS- Millennials are underserved

According to the National Awareness, Attitudes, and Usage Study, only 21.9% of adult millennials visited a cultural organization in 2015. To be merely representative, 27.1% of visitation should be adult millennials. The simple fact of the matter is that cultural organizations are underserving millennials when compared to the U.S. population. (“Underserved” means that participation – be it attendance, enrollment, etc. is less than the representative population.) In other words, cultural organizations are underserving millennial audiences by a factor of nearly 24%.

To those of you thinking, “Yeah! But at least we’re getting them!” …I like you, because you are a glass-is-half-full person…but maybe it’s time to strap on your thinking cap a little tighter. Serving representative audiences is one of the top grantmaking considerations for many audience engagement initiatives that are seeking support. Not only that, underperforming the opportunity by 24% with this particular audience puts us in a doubly bad place because of this generation’s attributes and its word-of-mouth-informed visitation cycles.

 

3) Millennials are the most loyal audiences with the highest lifetime value

 

According to the National Awareness, Attitudes, and Usage Study, 23.8% of boomers said they visited a cultural organization (any cultural organization) in 2015. But Boomers only comprise 22.5% of cultural attendance. Meanwhile, only 21.9% of adult millennials visited a cultural organization, but they comprise 30.9% of total US cultural visitation. What does this mean? Millenials are far more likely to revisit within the year than other generations. They are the most loyal. It proves that millennial “intent to visit” is manifesting itself as actual visits.

IMPACTS- Millennial visitation loyalty

Combine this good news data with the bad news data on how much we are underserving millennial audiences, though, and the picture isn’t a pretty one: For every one millennial that we fail to engage as a sector, we miss out on 1.411 visits to cultural organizations.

If 30% of cultural visitors are millennials, are 30% of organizations’ resources allocated to engaging them? Probably not. We should be representatively engaging this audience because, well, that makes cut-and-dry business sense. Our missions may depend on it.

This is a big deal! Any organization that continues to underserve its best, most frequent, and most loyal customers – that also make up the majority of the country’s population – in the way that cultural organizations are doing risks going out of business. 

 

4) Why this change may be understandably hard for Baby Boomers in cultural organizations

 

Boomers know better than anyone that not all audiences are created equal. They know that because they’ve been by far the most valuable audience for a very long time.

Why is it so hard for Baby Boomers to grasp the necessity of engaging millennials and do more than talk about this audience in conference rooms? Why do they say, “We need to engage millennials,” only to move forward with frozen mindsets?

I’m no psychologist here and I may be going out on a limb, but I work predominantly with Baby Boomers that I have the honor of seeing in action every day, so I’ll give this an outsider shot: Baby Boomers may still think of themselves as primary target audiences (despite data indicating otherwise) because they were trained to think of themselves that way. They’ve have been the apple of every marketer’s eye for decades. For at least 25 years, the Baby Boomers that succeeded most were the ones who were best at marketing and creating programs for themselves. They were trained to successfully engage themselves and they were rewarded for successfully engaging themselves. Most boomers were appropriately predisposed and actively incentivized to reaffirm their generation’s own importance. Thus, it would make sense that there would be a want for boomers to keep doing what they do best: creating programs for themselves. That’s where they’re expert- and being expert at targeting Baby Boomers is why they are successful.

Basically, this same issue is likely to arise with us millennials if a large generation steps up to the plate in our own future. (And when it does, will one of you kindly forward this post to me from your 4D interactive teleportation wrist watch thingy to remind me that I knew it would be equally difficult for us to pass the baton?)

And things get even more difficult yet for Boomers. They may have imagined that they’d pass the baton in more conventional, chronologically successive terms to Generation X. Instead, they need to make a symbolically bigger leap and pass it (largely) to Millennials. It’s got to be hard to (kind of) skip a generation. Certainly, there’d be a conceptual belief that Traditionalists might pass an equal amount of influence to Boomers, who might pass an equal amount of influence to Generation X, who might pass an equal amount of influence to Generation Y…but data doesn’t demonstrate that that’s a smart move.

(Generation X, the always-impossibly-cool-in-my-mind, autonomous, and unlucky generation sandwiched between large and needy millennials and baby boomers, is roughly half the size of Generation Y. So if Generation X and Generation Y combined to form Generation XY, millennials would compose nearly 2/3 of that generation. This is also makes Generation X an often untapped resource to help bridge the generation gap because they seem to see all the crazy that’s above them and that’s below them with clarity in some cases. But I digress…)

 

 

All organizations have finite resources. In today’s world of hyper-targeting, every dollar we spend chasing one demographic is a dollar that we cannot spend chasing another demographic. The data is clear that cultural organizations are underserving millennial audiences. On top of that, millennials are our audiences with the greatest likelihood of re-visitation. Now, I don’t know if we’re the best audiences for post-it notes or patio furniture or tea pots – but millennials (which obviously include the 44.2% of us that are from “minority race” backgrounds) are definitely the most critical audience for cultural organizations to engage right now.

This does NOT mean that Baby Boomers and Generation X are not important targets. But it does mean that the percentage of energy, effort, and investment should be allocated representatively to the percentage of each age cohort’s market potential. Three factors should influence how your organization prioritizes its investments and dedicates its energy: 1) the size of the cohort; 2) the buying power of cohort; and 3) the cohort’s propensities to participate. Millennials represent the largest opportunity on all three fronts and, thus, create a compelling case for where to allocate representatively significant investments of resources.

I’ll end where I promised, but I hope that the sentence carries more meaning and understanding than it did at your last staff meeting: We need to get better at engaging millennials.

 

Like this post? 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, IMPACTS Data, Millennials, Myth Busting, Nonprofit Marketing, Sector Evolution, Trends 2 Comments

How Much Money Should Your Cultural Nonprofit Invest in Getting People in The Door? (DATA)

Here’s how much money museums and cultural organizations should be spending to get people in the door – according to data.  

My post on optimal audience acquisition costs made its way onto the list of the top-ten most popular Know Your Own Bone posts of 2015. And I’m glad it did. It’s an important one. So to really hit it home, I’ve summarized the findings in a KYOB Fast Facts video here.

Let’s revisit the data in order to share some additional information on this audience acquisition equation:

Marketing budgets seem to be an unnecessarily emotional topic for many nonprofit organizations. Optimizing marketing investments – like determining admission price– is increasingly a product of math and science (read: decidedly not “intuition” or “trial and error”). They need not be based on fuzzy-feelings and inappropriate loyalties to failing business models that ignore the realities of the outside world.

We live in a pay-to-play world where organizations have to spend money to make money. When it comes to budgeting for audience acquisition costs, many organizations seem to have fallen into that familiar trap of “last year plus 5%” that lazily assumes the continued efficacy of the same old platforms and strategies. Of course, such a strategy completely ignores shifting advertising cost factors, evolving platforms and channels, and technological innovation. Say it aloud: Nonprofits do not operate in a vacuum and cannot afford to ignore the changed economies and technologies of the world around them.

Several organizations that have made this realization have asked IMPACTS if there is an equation to inform their audience acquisition costs so as to maximize their opportunities for financial success. And, the findings of a three-year study suggest: Yes, there most certainly is!

 

Determining audience acquisition investment

Let’s first establish a few definitions and “same page” this conversation:

Audience acquisition costs are the investments that an organization makes in advertising, public relations, social media, community relations…basically, anything and everything intended to engage your audiences. (It does not include staff costs unless an organization has internalized the media planning and PR functions that would ordinarily be accounted for within the agency fees line item.)

Market potential is a data-based, modeled outcome that indicates an organization’s potential engagement with its audiences. For most organizations, “market potential” primarily concerns onsite visitation. In other words, it answers the question, “If everything goes well, how many people can we reasonably expect to visit us this year? (NOTE: Market potential may not match an organization’s historic attendance – organizations underperform their market potential all the time…for reasons that we’ll soon explore.)

Earned revenues are the product of admissions, memberships, merchandising, food and beverage, facility rentals…basically, all revenues attendant to the onsite experience that are supported by audience acquisition investments. These revenues exclude annual fund, grants, endowment distributions and other sorts of philanthropy.

Here’s the equation to maximize your market potential as suggested by the recently completed three-year study:

IMPACTS audience acquisition equation

Expressed another way: Optimal Audience Acquisition Costs = 12.5% of Earned Revenues. For example, if your organization generates annual earned revenues of $20 million, then this would suggest an annual audience acquisition investment of $2.5 million.

Further, additional analysis would suggest that 75% of the audience acquisition costs should be earmarked to support paid media (i.e. advertising). So, of the $2.5 million suggested above for audience acquisition, nearly $1.9 million should support paid media.  The remaining 25% (or, in this example, approximately $600,000) would support agency fees, public relations expenses, social media, community engagement – all of the programs and initiatives that round out an integrated marketing strategy. Forget to invest that 25% at your own peril. Earned media is critical for success and many social media channels are also becoming pay-to-play.

Why such a large percentage allocated to paid media? Again, ours is an increasingly pay-to-play world. Rising above the noise to engage our audiences frequently means investing to identify and target audience members with the propensity to act in our interest (e.g. visit our organizations, become members, etc.). There is tremendous competition for these same audience members  from the nonprofit and for-profit communities alike.  Think of the most admired and successful campaigns in the world – do Nike and Apple rely on 3am cable TV “bonus” spots that they get for a reduced rate and that don’t hit target audiences? Nope. While earned media plays a major role in driving reputation, paid media plays an important role in a cohesive strategy – and doing it right costs money.

This equation determines how much your marketing budget should be and how to allocate that optimal budget. If you have a marketing budget that is arbitrarily determined or based on “how we’ve always done it,” then you may be working with a budget that doesn’t allow you to maximize any investment.

 

The equation in action

How does the study suggest this equation? Check out the chart below. It indicates the relationship between performance relative to market potential (i.e. how well the organization actually performed when compared to its market potential) and the audience acquisition investments made by 42 visitor-serving organizations (including aquariums, museums, performing arts organizations, and zoos) over a three-year period:

IMPACTS - Audience Acquisition

The data strongly suggests that there is a correlation between an optimized audience acquisition investment and achieving market potential. It also indicates the perils of “underspending the opportunity” – a modest investment intended to achieve cost-savings may forfend exponential revenues. (Though the data never has – and likely never will – support it, many organizations seem to foolishly hold dear to the notion that they might somehow “save their way to prosperity.”)

Additional analysis indicates that the studied organizations invested an average of 7.9% of earned revenues toward audience acquisition…but only achieved 76.0% of their market potential. However, the organizations achieving ≥95.0% of their respective market potentials invested an average of 12.7% of their earned revenues toward audience acquisition.

In no instance did an organization investing less than 5.0% of earned revenues on audience acquisition achieve greater than 60.0% of its market potential.

Overall, the data suggests that the “sweet spot” for audience acquisition investment is in the 10.0-15.0% of earned revenue range. Splitting the difference (and further supported by the findings of organizations achieving ≥95.0% of their market potential in the study) gives us our 12.5%.

NOTE: Before we start parsing the nuances of media planning and creative approaches to advertising, let’s baseline the conversation by acknowledging that each of the studied organizations were led by competent persons operating with the best of intentions. Yes – “great creative” matters – but it doesn’t offset an inadequate marketing investment. Sure, a viral social campaign helps…but it doesn’t negate the importance of other media channels. In other words, there aren’t exemptions from the need to invest in audience acquisition for visitor-serving organizations that rely on earned revenues.

 

If your organization is struggling to meet its market potential, it may have less to do with all of the usual suspects such as parking, staff courtesy, special exhibits, pricing, etc. and more to do with an antiquated view of the necessity of meaningful marketing investments. Can your organization overspend? You bet. However, that doesn’t seem to be the problem confronting most visitor-serving nonprofit organizations. If your organization is struggling to meet its market potential, then it may be that in today’s pay-to-play world, you simply aren’t paying enough to play in the first place.

 

If you have questions, please check out the original posting of this information. Several folks have weighed in with great questions and I have provided answers there. Don’t see what you’re looking for? Please comment below or on the original post!

 

Like this video? You can check out more 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, Nonprofit Marketing 1 Comment

The Membership Benefits That Millennials Want From Cultural Organizations (DATA)

Don’t have many millennial members? Maybe you aren’t offering a membership program that millennials actually want.

If millennials (folks born between 1980 and 2000) are the largest generation in human history, why don’t they make up a vast majority of members for cultural organizations? Today’s Know Your Own Bone – Fast Facts video dives into research about the kinds of membership benefits that this generation actually wants.

If you think that millennials just don’t want to be members to cultural organizations, then think again. IMPACTS data reveal that millennials report more interest in joining many cultural organizations as members than do their Generation X and Baby Boomer predecessors. Here’s the data (regarding zoos, aquariums, and museums in this case) courtesy of the National Awareness, Attitudes and Usage Study:

IMPACTS data- Membership interest by age cohort 2015

 

And it’s not just a “this year” thing. Interest in membership among millennials is actually on the rise. Notably, interest in memberships among Baby Boomers is on the decline.

 

IMPACTS generational membership interest multi-year

 

In terms of potentially engaging millennials as members, this is great news! But the findings would be even more promising if more organizations knew what it is that millennials want from a membership to a cultural organization. We looked into this question on behalf of a large (annual visitation >1million people) aquarium client with a conservation mission. We found that what millennials want from a membership is a tad different than what older generations want. Take a look:

 

IMPACTS data- Primary benefits of membership

Notice that, with the exception of free admission, the primary benefits of membership according to millennials are less transaction-based than are the responses from their preceding generations. Millennials care about “belonging,” “supporting,” and “impact.”

This information should inform how cultural organizations go about creating and marketing membership programs to these audience members. If we keep focusing on the benefits that millennials don’t actually value – and miss opportunities to highlight our mission impact – then it may be difficult to create long-term relationships with these young supporters. These responses from millennials may not come as a surprise. After all, in today’s world, your mission matters – and carrying out that mission is critical for an organization’s solvency. 

Want to attract millennial members? Make sure that you have the types of memberships that millennials value.

 

Like this video? You can check out more on my YouTube channel. Here are a few Fast Fact post 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 updates and information, follow me on Twitter

Posted on by Colleen Dilenschneider in Community Engagement, Fast Facts Video, IMPACTS Data, Millennials, Myth Busting, Nonprofit Marketing, Sector Evolution, Trends Comments Off on The Membership Benefits That Millennials Want From Cultural Organizations (DATA)

Nonprofit Leadership Has Evolved: Why Executives Should Be More Like Conductors

Nearly everything has changed in today’s digital world – including the most important duties of executive leaders in successful organizations.

Check out today’s KYOB “Fast Facts” video for three key insights that leaders need to effectively lead in today’s connected, evolving world.

Because I love metaphors and because this post deserves a revival…

Today’s evolved world demands that executives play the role of symphony conductor rather than first chair of an instrument within their organizations. In other words, the days of the executive as expert practitioner have past. It’s more important than ever that executives “conduct the symphony” rather than getting lost in the weeds (a place that – let’s be real – some executives have been known to camp out)!

In this bad metaphor of executives as conductors, the role of the CEO is to make sure that all of these departmental orchestras develop a cohesive symphony that is consistent with the organization’s overall values and objectives.

Today, organizations need conductors because even the most renowned first chair requires a maestro. Indeed, many of the most successful executives have long been playing the role of “conductor” – and this skill has never been more valuable or in-demand. The world moves too quickly for executives to be “expert” at everything in their department or organizations – and successful executives benefit by orchestrating the collective talents of their entire team to achieve success.

Here are three reasons why the need for conducting skills has never been greater (Again, check out the video for an overview):

 1) We are in the midst of a revolution

The Digital Revolution is so named for a reason – nearly everything has changed. To ignore this unassailable fact is to actively refuse to evolve an organization to keep pace with the surrounding world. Further compounding the challenge of the revolution is that fact that it’s still happening. For example, Facebook algorithms change and the very tactic that works best one month can hurt your organization’s success the next. New technologies create new advertising efficiencies.

It’s several full-time jobs just keeping up with the various aspects that go into a department. For instance, at IMPACTS, we are increasingly observing smart, forward-thinking organizations “outsourcing” aspects of their advertising strategy to more expert practitioners. This is not a knock on internal expertise – it is a compliment to the self-awareness of organizations that recognize the functional impossibility of maintaining expertise in an increasingly esoteric, evolving space. The advertising world is incredibly dynamic – it takes true experts who live and breathe it every day – to work with maximum efficacy. Increasingly, it’s simply too much for an individual working for one organization (without a grasp on the broader industry and without devoting significant resources to keeping up with day-to-day changes) to optimize an advertising plan.

Organizations increasingly need real experts. And organizations need executives to hire these experts and trust them. Executives and directors may benefit by realizing that – as awesome as they may be – it is unrealistic to think that they need to be more expert than the experts they’ve hired when it comes to today’s constantly-changing details.

When a leader plays the popular, “Now explain every aspect of this new thing to me while I fire back with actually-irrelevant, pre-digital revolution logic” game, the organization loses. If you’ve hired a good person, the only things a leader needs to consider are: “Will this work?” and “Does this fit with our organizational values?” and “Does this bring us closer to achieving our goals?”

 

2) Someone needs to preach to the choir

Sounds counter-productive, doesn’t it? In today’s world, though, it’s increasingly necessary. One of the most important roles of a good executive is managing successful internal communications.

It’s difficult for conductors to successfully conduct when the sheet music hasn’t been distributed to the musicians. Worse yet, it’s even more difficult to sound like a brilliant symphony without hours of practice. Yet, in a rush to engage external audiences in our fast-paced world, organizations regularly underestimate the critical importance of taking a moment to get everyone on the same page. This is increasingly glossed over, and yet this is arguably more important than ever given our real-time, digital world!

Reputation plays an important role in an organization’s success when it comes to garnering support, and managing reputation is a duty that every department – and the CEO and Board, of course – must work to carry out in concert. A good executive communicates purpose and reinforces the “why” of the organization within their respective department and organization. Without this, nobody plays the same song at the same pace. Without first aligning internal messages – a function of relentless communication – it’s impossible for staff to successfully communicate externally.

 

3) You cannot rule from the mountaintop while stuck in the weeds

And today’s weeds are thicker and taller than ever before. Our world demands that leaders develop a wider view of the institution and how it is perceived in order to develop strategy and confidently maintain an agile organization. If a leader is spending a disproportionate amount of time on one aspect of the organization (or one department), then they may miss the larger, more important, “big picture” aspects of the overall performance that they are supposed to be conducting.

More constantly-evolving areas of expertise (as we have in today’s world) mean more details with which executives may unknowingly distract themselves. Real leaders don’t hide in the weeds – especially when their organizations need them most.

The opportunity here isn’t to simply encourage leaders to stop micromanaging. The opportunity is to clarify structures and roles to meet the opportunity of an evolved world. 

 

Today, successful leaders are conductors – they bring talented musicians together, communicate the song for everyone to play, and work hard to create beautiful music.

 

Like this video? You can check out more on my YouTube channel. Here are a few Fast Fact post 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 updates and information, follow me on Twitter

 

Posted on by Colleen Dilenschneider in Fast Facts Video, Myth Busting, Sector Evolution, Trends 1 Comment

Five Famous Movie Quotes on How NOT To Run a Nonprofit Organization

Five Famous Movie Quotes on How NOT To Run a Nonprofit Organization

These quotes are not intended as maxims about running cultural organizations – though too many institutions act as if they are.

It’s December! This month is crazy. Organizations are pushing out their final charitable giving requests and I’m scrambling between clients giving annual wrap-up reports. And despite the work craziness right now, many of us will also be doing what we can to spend the last few weeks of the year with our friends and loved ones. That’s the time for excellent company, good books, hot chocolate, warm blankets, and good movies (if you ask me)!

In the spirit of celebrating the upcoming holidays and some much deserved time to relax, let’s do something fun: Here are five, famous movie quotes that summarize how some organizations mistakenly approach their operations.

(My runner up title: How NOT to Run A Nonprofit Organization – With Thanks to Hollywood.)

 

If you build it, they will come

Technically, the quote is “If you build it, he will come,” for you finicky quote folks – and it’s untrue. It’s especially untrue for visitor-serving organizations. If it were true, no newly constructed buildings would remain massively underused. Having free admission would be a cure-all for engagement (it’s not), and every new program or performance would be filled wall-to-wall with audience members and participants. Cultural organizations from museums to symphonies wouldn’t be experiencing declining attendance contrasted against burgeoning population growth…but they are.

Organizations often assume that anything they “build” is something that the market wants or needs – and that’s simply not the case. In fact, that’s the basis for a lot of the work that IMPACTS does and was summarized quite nicely in an article in The New Yorker, “[IMPACTS Research and Development] helps museums and similar institutions draw more visitors and assess whether a proposed new building or attraction will find enough audience to justify its expense. Usually, the answer is no.” Want a – more often than not – reliable way to increase visitor satisfaction and ultimately attract and retain more visitors? Get smarter about 21st century marketing and communications and invest in frontline staff.

(While admitting this movie has nearly nothing at all to do with the realities of running a visitor-serving organization, this (different) scene really does get me every dang time.)

 

I'll have what she's having

It is hard work running a nonprofit organization – so much so that a big part of my job is sharing nonprofit engagement techniques that actually inform for-profit companies! It’s such hard work that sometimes organizations get a wee bit tired and look to broad industry practices to validate their efforts. You might have a problem if someone in your organization has ever held up nonprofit industry benchmark numbers and said, “Look! We’re right in the middle for communication spending compared to other nonprofits!” or “Look! We’re slightly above average when it comes to attracting more diverse audience members!” To be in the middle among a set of organizations that are collectively not doing so great is worse than mediocrity – it’s a prelude to a downward spiral!

Organizations often forget to think critically when it comes to comparing themselves to other organizations and initiatives – and this oversight can lead them to copy bad practices. It leads to case study envy and continuous cycles of re-emerging industry failures highlighted as successes. It helps to be aware of the difference between a good model and a good example, and think twice about what other organizations are doing before copying something or even comparing their efforts to those of your own.

 

You had me at hello

Updated for 2015 and put through the lens of nonprofit audience engagement, this line would read, “You had me at your first targeted ad followed by your three engaging social media posts, your timely response to my question on your Facebook wall, that email that made me feel inspired, and then your timely Kickstarter campaign for your good cause!” Okay, maybe that’s a lot. The point is: We live in a world in which simply announcing presence without establishing a connection makes it difficult to develop true evangelists for your organization and its cause. Connectivity is king.

Creating – and then actively and intelligently fostering – relationships is critical in today’s noisy world. It’s not only about the content and what your organization says in a communication that grabs someone’s attention. It’s also about being worthy of that connection long-term.

(Okay, yes, movie folks. I understand that this context is completely different than the context of the movie. However, the line itself illustrates a key concept that may be helpful for organizations…because it is largely untrue in this context)

 

Love means never having to say you're sorry

Just…No. You are not Oliver Barrett and your audience is not Jennifer Cavilleri spurting sweet and understanding tears at your mistakes. Transparency and fostering connection is critical for building a strong reputation and attracting supporters. Some people probably would say that they love your brand/organization – especially if you are delivering on your mission – but when you mess up, you need to say sorry.

Look, sometimes organizations make mistakes…but if your organization does something that jeopardizes the trust that your supporters have in you, then you need to make it right. Often, when supporters get upset, it is because an organization is doing something that people perceive as running counterintuitive to its values or stated mission. If you’re doing honest, good work and something just goes wrong, tell the story. Social media is now a major force empowering giving decisions. Now, more than ever, it’s critical to communicate with your audiences when things don’t go as planned, and explain how your going to make it right (and then do the thing that makes it right).

 

You can't handle the truth

You can totally handle the truth! Not only that, in our industry, the truth really stinks sometimes. (I believe that the more the truth stinks, the more important it is that we handle it.) If we don’t embrace hard truths, how can mission-driven organizations succeed and build new, sustainable best practices?

A big part of what I do here on KYOB is bust industry myths, and I’ve noticed that my readers are the kind of people who think that the myths that hold our organizations back should be busted. Why put anything in the way of accomplishing great social missions? We can handle the truth because we have to handle the truth.

 

As the new year approaches, let’s try to keep these famous words on the screen and out of our nonprofit organizations. (Although I acknowledge that select movie lines may be relevant to certain cultural organizations – I know some curators who really do see dead people on a daily basis.)

Remember folks. It’s just a movie.

 

Like this post? 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

 

Photo credit to gobeyondseo.com

Posted on by Colleen Dilenschneider in Community Engagement, Digital Connectivity, Myth Busting, Nonprofit Marketing, Sector Evolution, Trends Comments Off on Five Famous Movie Quotes on How NOT To Run a Nonprofit Organization