Market to Adults (Not Families) to Maximize Attendance to Cultural Organizations (DATA)

Marketing to adults increases visitation even if much of your current visitation comes from people visiting with children. Here’s Read more

Why Those With Reported Interest Do Not Visit Cultural Organizations (DATA)

Data suggest that a sizable number of people report interest in visiting cultural organizations…and yet over thirty percent of those Read more

MoMA Sees Reputation Boost After Displaying Muslim Artists (DATA)

Here’s what market research reveals about MoMA’s decision to display artwork from artists hailing from the Muslim-majority nations affected Read more

Five Videos That Will Make You Proud To Work With A Cultural Organization

Let’s pause and celebrate the hard and important work of working with cultural organizations. Talk of defunding the National Endowment Read more

Data Reveals The Worst Thing About Visiting Cultural Organizations

The primary dissatisfier among visitors to both exhibit AND performance-based cultural organizations is something we can fix. What is the Read more

People, Planet, Profit: Checks and Balances for Cultural Organizations

It’s a time of change and evaluation for cultural organizations – and that’s a good thing. The societal current Read more

market research

Why Those With Reported Interest Do Not Visit Cultural Organizations (DATA)

Data suggest that a sizable number of people report interest in visiting cultural organizations…and yet over thirty percent of those same people don’t actually attend. What’s going on? That’s the subject of this Know Your Own Bone Fast Fact video. The video summarizes the takeaways, and I encourage you to give it a watch.

Let’s start here: People who report interest in visiting cultural organizations do not always actually attend. This is because interest in visitation and intent to visit are completely different things. Interest is more theoretical and conceptually removes several key barriers to visitation, while intent forces thought about the more logistical reasons why one might not actually attend. Frustrating as it may sound, those logistical reasons are often the primary reason why folks who profile as likely visitors – and who express interest in attending your specific organization – don’t necessarily pay your organization a visit. Interest is important for organizations to uncover, but it doesn’t measure intent to visit. Intent to visit contemplates the barriers attendant to visitation and a person’s willingness to overcome those barriers within a defined duration. Interest is wishful thinking. (For an example of an “intent to visit” metric in action, check out last week’s post on the public’s intent to visit MoMA after rehanging their permanent collection to highlight artists from countries effected by the original travel ban.) This divide between interest and acting on this interest can be seen in the data below from the National Awareness, Attitudes, and Usage Study.

While nearly 85% of survey respondents report interest in attending a visitor-serving organization such as a museum, zoo, aquarium, or performing arts center, only 51.8% had visited within the past year. Just as interestingly, only 54.2% had visited within the last two years, indicating that those who visit cultural organizations are those who…well, visit cultural organizations. There is a large group of people who report interest, but aren’t attending cultural organizations. The question, then, is: Why not?! In a nutshell, it boils down to a particularly important reason…and it’s one that we cultural organizations may not altogether deeply internalize:

Visitors to cultural organizations are competitive audiences.

While it may sound obvious, despite having interest, those who do not visit may prefer to do something else. Of those folks who reported interest in visiting a cultural organization, but who hadn’t done so within the past two years, the top reason is because they prefer an alternative activity. This may include an activity such as seeing a movie or sporting event, going jogging, bowling, or even enjoying trivia at a bar with friends. Simply put, for a good number of people interested in visiting a cultural organization, there are many other things that compete for their precious time. And, it seems, some of these other things take precedent. Yes, they are interested in visiting, but they would still rather do something else. 

This finding is important because it underscores that there is intense competition for the engagement of people who are willing to leave their homes to do anything at all! These are the same folks being targeted by the film industry, rock concerts, and sports teams. This finding also makes it all the more important for cultural organizations to communicate their brand values and market their unique experiences and missions.

Further underscoring this call to action is the fact that folks increasingly want to stay home. It’s not in your head. You really are hearing more and more about people wanting to stay home and marathon watch Stranger Things, This is Us, or Buffy The Vampire Slayer. (Happy 20th Anniversary, Buffy!) In fact, the number of people who have expressed a preference to stay home during a week off from school or work has increased by 17.3% in the past five years. The amount of people who express a preference to stay home over the weekend has increased by 19.4%. I recently wrote a post that shares the trend data on the increasing preference to stay home during one’s precious leisure time, and that post and data are worth revisiting.

These are big numbers – but all is not lost! Though they may be hanging out on the couch, data suggest that these people are still on the web, talking to friends, and connected to the outside world. There is still an opportunity to engage them if we can compellingly articulate the benefits of our experiences. This is where targeted, personalized communications – enabled by technology – are the key. Reputation plays an important role in driving visitation to cultural organizations, and potential visitors can still play an active role in taking in and sharing word of mouth endorsements regarding cultural organizations. These data point toward the importance of targeted messaging that underscores the unique experience offered by your organization. Remember, though, your mission matters when it comes to increasing visitation as well. The growing “couch contingent” is yet another reason why it is important to make sure that your organization is in agreement on its mission, vision, and brand (this may be especially important in today’s politicized environment), and investing adequately in audience acquisition.

 

In addition to movies, sporting events, and a day at the beach, our competition is increasingly the couch and a remote control. The best thing about competition, though? It raises all of our levels of play. Competition brings out the best in us, so long as we work to separate ourselves from the fray. We can do this by reminding would-be visitors that there is no “at-home” substitute for the wonder, awe, and social connectivity uniquely experienced at a cultural 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, Digital Connectivity, Fast Facts Video, Financial Solvency, IMPACTS Data, Nonprofit Marketing, Sector Evolution, Trends Leave a comment

MoMA Sees Reputation Boost After Displaying Muslim Artists (DATA)

Here’s what market research reveals about MoMA’s decision to display artwork from artists hailing from the Muslim-majority nations affected by the original travel ban.

Here’s the scene: In early February, The Museum of Modern Art in New York rehung parts of its permanent collection with works by artists from the majority-Muslim nations whose citizens were blocked from entering the United States as a result of the end-of-January travel ban. The action received a lot of press.

Data suggest that high-propensity visitor confidence in cultural organizations is at a low point right now, as it was when MoMA made this highly-visible decision in support of its mission. With some cultural organizations taking stands (e.g. MoMA), some doing what they can to avoid political conversations, and some having the priorities of their board leadership called into question as being at-odds with an organization’s mission, it makes sense that people may be wondering what we stand for – and how committed we really are to the missions that we espouse as our raisons d’être. When folks visit a museum, what are they supporting? Who are they supporting? It is in this prevailing context of low visitor confidence that MoMA prioritized the display of these components of their permanent collection.

Cue: Me. Calling up our IMPACTS founder to tag data on how the market responds to MoMA’s action.

At IMPACTS, we collect a lot of data. The data that I share here on KYOB is mostly nonproprietary data informed by the National Awareness, Attitudes, and Usage Study (NAAU) that is constantly in-market and has responses from over 108,000 adults. In addition to the NAAU, IMPACTS tracks audience perceptions and behaviors as they relate to 224 visitor-serving organizations in the US (and several overseas as well). These 224 organizations include museums of all kinds, zoos, aquariums, symphonies, theaters, science centers, botanic gardens, and other visitor-serving organizations. Tracking perceptions of these organizations helps us inform our client organizations, alert us to trends, and spot case studies that are actually effective. One of those 224 organizations is MoMA.

MoMA is not a client organization…but at least one client organization considers MoMA amongst its comparative set and has asked IMPACTS to quantify numerous criteria concerning MoMA (and other organizations) as a means of contextualizing their performance against that of their peers. As far as I know, MoMA is not aware that IMPACTS has been collecting this data (…until now. HI THERE, MoMA!)

(Note: Although I’ve revealed myself as an even deeper industry spy in this post, I will not call out not-awesome practices by specific organizations with IMPACTS data here on KYOB. Our industry desperately needs to discuss its failures in order to evolve. Perhaps we even need a whistleblower. I, friends, am not that person. I’m sharing this data because it’s positive, informative, and may be particularly helpful for the cultural industry during a time when we may need market data most.)

Here’s the data and an analysis of what these findings mean for cultural organizations.

 

What affect did this action have on the reputation of MoMA?

A very big one. Here are some select metrics for which MoMA experienced a notable change in their recently observed performance. The data are examples of scalar variables that quantify a level of agreement to a statement within a continuum ranging from strong disagreement to strong agreement. These types of metrics inform an organization’s reputational equities, which, in turn, inform the market’s perceptions of latent constructs such as trust, value, authority, etc. These particular data derive from a tracking study that quantifies the perceptions and behaviors of approximately 800 Tri-State area residents per assessment period. For MoMA, baseline reputational equities recently increased big time (“big time” obviously being a sophisticated math term).

 

 

This kind of bump is a statistically big deal. I included data that dates back to January 2014 so that the magnitude of this bump can be seen in context. The thing to note is the change that was observed concerning MoMA in 2017. This data does not suggest that MoMA is – or is not – the best or most admired art museum. (I haven’t included that context.) Rather, what’s notable here is the significant bump that screams, “something big just happened – and the market likes it a lot!”

This observed increase in reputational equities correlates with MoMA gaining major attention for its decision to highlight artwork by artists from countries affected by the original travel ban. To be clear: These data do not intend to infer causality between the curatorial decision and reputational outcome. These data simply quantify a positive perceptual shift among the US public concerning MoMA. However, one might reasonably wonder: What else could have taken place in the same duration to cause the greatest increase in reputational equities in the last three years for MoMA? In my time working with IMPACTS and tracking metrics, I’ve not seen anything near a bump this big take place “just ‘cuz.”

MoMA’s reputational equities increased in early 2017 while visitor confidence in cultural organizations on the whole was in a general state of decline. Why does reputation matter? As it turns out, when it comes to motivating onsite visitation, reputation matters a lot. This said, take a look at MoMA’s “intent to visit” metrics below. Intent to visit is a different metric than interest in visitation. Intent means that these folks state an intention to visit MoMA. Interest often conceptually removes true barriers to visitation. (“Yes, if I ever get to New York, I am interested in visiting the Statue of Liberty!”) Intent is a more reliable signal than mere interest of actual attendance. These data indicate the visitation intention of people profiling as high-propensity visitors to visitor-serving organizations (Heads-up: Those are the folks who have the demographic, psychographic, and behavioral attributes that indicate an increased likelihood of attending a cultural organization).

 

How does this inform other cultural organizations?

Do we know the durability of these increases in reputational equities and intentions to visits? Nope. Indeed, in our fickle, competitive, news cycle-driven world, these attitudes may prove fleeting. (I will keep on eye on it to see how lasting these changes sustain.) However, these data are important because they shine a light on what the market may want and expect from cultural organizations during a time when elements of the market risk divisions on matters of cultural, political, and social opinion.

These data represent the market. They’re not about “only people who already like MoMA” or “only people who are against a travel ban” think of MoMA. Assuming that the increase in reputational equities that MoMA has experienced is (at least in part) due to its recent curatorial decision and attendant press, we could have just as easily observed that perceptions remained consistent – or, even, that people disapproved of MoMA’s position. These data point to a potential conclusion that may make some cultural organizations uncomfortable: Perhaps the market wants us to take a stand. More than that, the data may underscore something more fundamental for cultural organizations: Standing up for your mission matters.

What was important about what MoMA did may not be that it was responsive to a timely matter of broad concern, but that it proved that the organization walks its mission-talk. Parts of the mission statement of The Museum of Modern Art read that “…The Museum of Modern Art recognizes that modern and contemporary art transcend national boundaries and…seeks to create a dialogue between the established and the experimental, the past and the present, in an environment that is responsive to the issues of modern and contemporary art, while being accessible to a public that ranges from scholars to young children.” As I wrote a few weeks agoCultural organizations are not political organizations – but they are social organizations – and they exist in the prevailing context of the United States right now regardless of political preference. When we aim to completely avoid the reality of the world in which we live, we please nobody. Worst of all, we risk alienating the very people who support our missions in the first place!

Keep in mind: In the last three years contemplated in the data, several other campaigns, announcements, and programs likely took place for MoMA. This is nowhere near the only thing they’ve actively done to promote their reputation as an admired entity in the last three years! It may not be the bump alone – but also the bump in the context of the last three years – that is deserving of attention. It strikes me as a distinct possibility that the cumulative efforts of MoMA in knowing themselves may have created an institutional preparedness that was prerequisite to seizing on this moment. At a time when many organizations might have divided or stalled or gone silent (even when making a decision around their mission), MoMA moved forward rather loudly and proudly. MoMA’s relatively quick decision likely required a keen internal knowledge of the institution, its priorities, and what it stands for.

I’m not saying that the key for our sector to overcome low visitor confidence is to “get political.” Certainly, being political may prove unnecessarily divisive or inappropriate – and that could potentially result in negative reputational equities. It’s time for some organizations to make their own, appropriate moves to prove that we actually stand for the things that we’ve claimed to value for decades. I’m not talking about curatorial activism or political advocacy – I am talking about being unapologetic for honoring your organizational values and mission. Your mission is the very reason for your existence! It’s incumbent upon cultural organizations to do three things that were a whole heck of a lot easier last year than they seem to be right now: 1) Know yourselves; 2) Know your audiences (or, your own bones); and 3) Remain relevant by connecting the first two items.

I’ll keep reporting back on data as I’m cleared to share it. After all, that’s my mission and that’s what I stand for.

 

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, IMPACTS Data, Nonprofit Marketing, Sector Evolution, Trends Leave a comment

Negative Substitution: Why Cultural Organizations Must Better Engage New Audiences FAST (DATA)

Fewer and fewer people look, act, and think like “historic” attendees to visitor-serving organizations. Here’s how many fewer.

As we dive more fully into 2017, I wanted to take a moment to discuss negative substitution and take a deeper dive into how it is affecting cultural organizations. The bad news is that negative substitution of historic visitors is taking place for mission-driven, visitor-serving organizations (museums, theaters, symphonies and orchestras, science centers, botanic gardens, etc.). The good news is that the first step to evolution may be acknowledging our changing market. On that note, let’s do this…

 

Negative substitution is urgent

Negative substitution is a phenomenon occurring globally wherein the number of people who profile as historic visitors leaving the market outpaces the number of people who profile as historic visitors entering the market. It’s the driving reason for the decline in attendance to museums, zoos, aquariums, performing arts entities, and other visitor-serving organizations. Negative substitution is taking place because the market is growing more diverse, while perceptions of cultural organizations as being places for a certain kind of person have remained largely static. Simply, when there are fewer people in the market who profile as historic visitors year-over-year, and also growth in the number people who profile as “nontraditional audiences” year-over-year, the market potential risks fewer-and-fewer visitors over time.

The data below is an aggregate of all museum types that we monitor at IMPACTS (224 of them) crossed with visitation information from the National Awareness, Attitudes, and Usage Study of (currently) over 108,000 people. It includes museums related to art, history, and science, children’s museums, historic sites, performing art organizations, zoos, aquariums, and botanic gardens. The negative substitution rate for museums shows that for every one historic visitor who leaves the US market (by way of death, relocation, or migration), they are being replaced by only 0.948 of a person (by way of birth, relocation, or immigration). This may not sound impressive – but this is actually a huge difference.

Think of it this way: An organization with a stable attendance of 1,000,000 visitors may keep doing everything right by their current audiences (e.g. marketing, developing exhibits, etc.), and then might reasonably expect to engage 948,000 future visitors…and then 899,000 visitors…and then progressively fewer yet visitors over time absent interdiction. And they will be doing everything right by their current audiences!

 

In order to overcome negative substitution, we need to do a better job at attracting two, general audiences that do not visit cultural organizations at representative rates relative to their market size: millennials and not-white people (bluntly). Keep in mind, these are not entirely different audiences as millennials are the largest generation in human history and nearly half of us are of different racial and ethnic backgrounds than traditional historic visitors. Moreover, as sick as we may be of discussing it, data suggest that organizations must do a much better job at attracting and retaining millennial audiences. Negative substitution rates for different types of visitor-serving organizations generally correlate with attitude affinities – or to what degree the public perceives that an organization is “for people like me.” Though I will be referencing them later, you can learn more about different attitude affinities for different organization types in this post.

 

Overcoming negative substitution means changing the profile of the historic visitor to cultural organizations

Or rather, we need to evolve to be perceived as more welcoming to different types of people than our “traditional” visitor. Negative substitution suggests that, if we keep on keeping on attracting people that look and behave like our current audiences, we’ll slowly decline in visitation over time. Sure, we need to evolve to meet the changing expectations of historic audiences by honoring market trends of personalization, connectivity, and transparency. More than that, we need to do a better job at attracting different types of people and making them our regular attendees. (And not simply our “super special one-off-program” attendees.) We need to change up the very profile of the type of person who wants to visit a cultural organization.

Isn’t it funny that many museums are only now realizing the importance of data-informed decision-making…all the while focusing primarily on audience research that risks yielding deleterious long-term consequences by emphasizing the very programs and budget allocations that support negative substitution in the first place? To reach new audiences, we need to get smarter about market research and attracting the people who we want to visit but don’t yet attend. The people who we need to start attracting are not yet on our email lists and, by definition, aren’t onsite to fill out surveys. (Yes, Colleen. It’s… hilarious.)

The change that we need to carry out is a big deal – and we are (however slowly) progressing on the whole! In the history of museums and cultural organizations, this kind of shift has never been so urgent. Today, with evolving demographics and imperiled government funding, engaging emerging audiences matters more to our missions and financial solvency than ever before. And, indeed, many organizations are implementing new strategies to cultivate and attract new audiences. Successful organizations are changing up how we approach change.

 

How negative substitution is affecting organization types

While the overall negative substitution rate for museums is 0.948 people entering for every one person who leaves the market, we are able to further parse the negative substitution rates of specific types of cultural organizations. Here’s a sample of them and some notes that may contribute to the negative substitution rates of each visitor-serving type. Let’s go backward from those with the lowest negative substitution rates to those with the biggest opportunity.

Zoos: Among visitor-serving organizations, zoos are suffering least from negative substitution. This is true even amidst increasing discussions about animal care and welfare. Like aquariums (discussed next), zoos may more easily deliver on the promise of awe and wonder without facing some of the perceived intellectual intimidation that may be attendant to a science or art museum visit. Moreover (and interestingly), lexical analysis of data reveals that being outside may play a role in reducing negative attitude affinities for zoos. Conceptually, it makes sense: Being outside may feel more like a park or public area than being within the walls of an institution. Also, like aquariums, having the added “so what?” of conservation and the protection of animals provides an added level of reputational equity that works in this type of organization’s favor.

Aquariums: Aquariums are also suffering notably less than the museum industry average. That said, negative substitution is never a good thing – and there’s still important work to be done. A reason for these higher (comparatively) values may be that aquariums are among the types of visitor-serving organizations that are most dependent upon the market. Relatively speaking, as a sector, aquariums generally have the lowest levels of government support, the smallest endowments, and many have also emphasized their nonprofit-y conservation mission that engenders additional support. (Generally, this helps aquariums – and any organization that particularly highlights its mission.) Aquariums also may be able to capture awe and wonder without as big a risk of the perceived intimidation factor that may burden other content types.

History museums: History museums are a wee bit above the museum negative substitution average of 0.948:1.000. History organizations tend to rely most heavily on stories (or, talking about history) than other types of organizations that are perceived to revolve around specific, individual artworks or exhibits. While visitor-serving organizations are increasingly understanding the importance of creative storytelling in an effort to create relevance and resonance with visitors, history organizations may have storytelling most definitionally embedded within their reputational DNA. Storytelling and providing relevant, personalized connections are critical today – and this is also an area where history organizations have the ability to shine.

Art museums: Art museums fall just below the industry negative substitution average. Like science museums (discussed next), art museums may have distinct, perceived reputational barriers that may contribute to negative attitude affinities – or, people thinking they simply “aren’t places for people like me.” As the stern forefathers of “don’t touch,” “stay behind the line,” and “quiet, please” cultural engagement, it’s worth noting that art museums may have been starting from a rather uninviting place. With that in mind, this number still isn’t “good,” but it does show hope and acknowledge that there has likely been meaningful progress made by art museums in responding to these new market realities.

Science museums and science centers: Science museums and science centers are put together in this data because the market largely does not distinguish between science centers and science museums. I could (and likely will) write an entire post with more data on why the science museum/center market has higher negative substitution rates than the museum average and some possible superpowers for combating it, but here’s a very brief run-down:

Interestingly, among visitor-serving organizations, science centers/museums tend to be viewed comparatively as places to visit with children. While this was probably a good thing when millennials – the largest generation in US history – were the kids, it’s not great news now that millennial women are reproducing at the slowest rate in US history. Simply put, millennials are having fewer children (or no children), and they are having their children later in their lives – when they are more advanced in their careers and leisure time is particularly precious. If you’re an organization that has the public perception of being a place primarily for children, your market size is likely shrinking.

Moreover, like art museums, “science” content may be viewed as intimidating for nontraditional visitors. There may be a perceived content “language barrier” that contributes to folks thinking that science museums/centers “aren’t for people like me.” Science is a big topic with a lot of specialties! One can see how someone who doesn’t know much about the accessibility of science centers/museums might be intimidated. (Heck, even folks who DO know about the accessibility of science centers/museums may feel this way!) Combine this with the perception that these are places where you take your kids, and potential visitors may fear a “Dad looks dumb” situation.

Orchestras: Exhibit-based cultural organizations are far from the only cultural organization type in the market or included in the mentioned overall “museum” negative substitution number. Performance-based organizations are every bit as critical for a robust and vibrant cultural community. Unfortunately, orchestras (and symphonies, which have similar negative substitution rates) may be facing particular challenges in today’s world where folks can do many things at once. In fact, data suggest that multi-tasking is how many people like to enjoy music as well. But don’t write this high negative substitution rate off immediately on content disinterest or the menace of the modern world! Some performance-based organizations simply have not yet evolved to meet the desires of millennials (a critical audience!), and have instead chosen to “age” alongside their historic visitors.

Some symphonies and orchestras are mixing things up and trying out new programs – and that may be the key to their future. Certainly, among the visitor-serving organizations shown here, orchestras have the greatest need to reach new audiences – and fast. That doesn’t mean that they (or any other organization type) can’t do it. It means that some may have a longer ways to go.

Remember: Though 0.948 is the industry average, it’s still bad news.  There are no “winners” or “losers” here – but rather a look into the reality of the mission-driven, visitor-serving sector and some of the challenges facing both individual organization types, and also our industry as a whole. To change up these perceptions, we need all hands on deck. Our long-term vitality and relevance may be on the line.

 

Negative substitution correlates with attitude affinities

Interestingly – and unsurprisingly – negative substitution rates correlate with negative attitude affinities. Attitude affinities quantify how welcome and comfortable people feel at an organization. Therefore, it’s no surprise that the “ranking” of negative attitude affinities among the organization types mentioned (shown below) is a similar “ranking” as is the severity of negative substitution – with the exception of science centers and science museums. Being perceived as places “for kids” plays a large role in driving negative substitution for science museums and science centers, but it benefits these types of organizations as being perceived as relatively welcoming. There’s simply less perceived incentive to visit a science center/science museum if you don’t have small children – and fewer people do.

The data below comes from IMPACTS and the National Awareness, Attitudes, and Usage Study – and it is a summary of this data previously discussed on Know Your Own Bone. In short, it shows what percentage of people in the U.S. market do not feel like an organization type is a place for someone “like them.” How that is interpreted is in the eyes of the respondent. While data suggest that it may correlate with educational attainment (and, relatedly, with household income), it certainly does not correlate with an organization’s admission price.

Nearly four out of 10 people don’t feel like art museums or history museums are “places for people like me.” Just over three out of 10 people feel this way about science museums and science centers. Only about two in 10 people feel that an aquarium or zoo is “not for someone like me,” and almost five out of 10 people feel this way about orchestras. Again, you can read more about this data and attitude affinities here.

 

Within our industry, some tend to think of targeting “historic” audiences as the safe bet and cultivating new audiences as a secondary goal to be pursued “when funding becomes available.” This is short-sighted step on a long, slow march into obsolescence. The market is crawling with potential visitors – and they are ripe for cultivation if and when we decide to think outside of our outdated box.

The need to cultivate new audiences as regular attendees is critical for our long-term survival. The first step to overcoming negative substitution may be acknowledging this. Let’s take this information and welcome new folks through the door – not only because our world needs it right now, but because we do, too.

 

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, IMPACTS Data, Millennials, Myth Busting, Nonprofit Marketing, Sector Evolution, Trends 3 Comments

Six Concepts that Visitor-Serving Organizations Confuse at Their Own Risk

6 concepts that cultural organizations confuse at their own risk

For the sake of the future of cultural organizations, let’s stop mixing up these terms. 

There’s a good amount of information here on KYOB that has accumulated through the course of this lil’ corner of the Internet’s existence! I recently wrote a compilation post on some of the more important points regarding engaging millennials within cultural organizations. I also recently found myself in a meeting taking on “the usual clarifications” when it occurred to me that there’s an important opportunity to compile a few of those “usual clarifications” as well!

Here are six sets of terms that often get confused with one another within leadership conversations at museums, theaters, aquariums, zoos, symphonies, and other cultural organizations. When we confuse these terms… well, general confusion tends to ensue and desired outcomes are not as easily achieved. Regular KYOB readers will recognize some of these “usual clarifications” from fast fact videos.

Ready? Let’s dive in! How many of these terms or concepts does your organization regularly interchange or generally misunderstand?

 

Market research vs. audience research

Audience research is the primary type of research upon which most cultural organizations rely. Audience research is any research conducted on visitors and past visitors in order to gather information about their attitudes, knowledge, interests, preferences, or behaviors. This kind of research comes in the form of exit surveys, zip code collecting, and reaching out to members and visitors through mail or email lists or online communities, for example. Audience research is research conducted on people who are already visiting your organization. Audience research is indeed valuable, but it is often confused with market research and an overreliance on audience research may he holding back even the smartest of cultural organizations.

Market research, on the other hand, is any organized effort to gather information about target markets – including the folks who may NOT be visiting an organization. Market research includes folks who are not your audiences (yet) and it is necessary to gather this information in order to reach new audiences. For the sake of long-term solvency, cultural organizations need to become better at reaching new audiences and our overreliance on audience research when we should be using market research results in industry problems like our inability to effectively attract low-income audiences. Market research helps spot trends and helps your organization figure out what to do next – not only to survive, but to thrive.

 

Admission pricing vs. affordable access

Admission pricing is the cost of admission for folks who visit your organization. It is an intelligently determined price point that contemplates what high-propensity visitors (people who are interested in visiting cultural organizations) are willing to pay in order to take part in your experience. “The gate” is often an important source of revenue for cultural organizations and having a considered price point ensures that your organization is neither leaving money on the table, nor jeopardizing attendance potential from those who are interested and able to support your organization. Admission price is an economically-sound business imperative for many organizations and admission pricing is not an affordable access program if your organization relies on paid admission in some capacity.

Affordable access (that is effective) is generally rather expensive for cultural organizations and it takes real investment that is usually made at least partially possible by gate revenues. Affordability is binary. An admission price is either affordable or it’s not. When organizations lower their optimal price point in hopes of “being more affordable” or “reaching underserved audiences” they aren’t truly doing either of those things. In reality, they are purposefully missing out on the very funds needed to make effective affordable access possible at all. Successful affordable access programs are targeted so that they truly reach folks who are unable to attend – not people who would generally pay full price but are just looking for a deal. Admission pricing and affordable access are two completely different means of access that play completely different roles in the sustainability of visitor-serving organizations.

 

High-propensity visitors vs. historic visitors

High-propensity visitors are folks who demonstrate the demographic, psychographic, and behavioral characteristics that indicate an increased likelihood of visiting a cultural organization. In other words, these are the people who actually visit cultural organizations. They are those awesome kinds of people who say, “Yeah! That sounds like fun!” of even “Yeah. I could do that!” when someone suggests a visit to a museum or performance.We love these folks. As much as we hate to admit it, not all people have this reaction. High-propensity visitors do not need to have visited a type of cultural organization in order to profile as a likely visitor and they are not necessarily past visitors. Instead, they are people with behaviors and characteristics that indicate the potential to visit. Many members of “new audiences” – including millennials and minority majorities  – profile as high-propensity visitors as well.

Historic visitors are the people with the demographic, psychographic, and behavioral characteristics that match traditional visitor profiles. Essentially, they are past visitors. Historic visitors profile as a high-propensity visitors, but not every high-propensity visitor matches the profile of a person who has more traditionally visited cultural organizations. Not everyone with interest in visiting today necessarily matches the profile of the kind of person who visited yesterday. Glibly (but it helps illustrate the difference), not everyone who is likely to visit a cultural organization is a wealthy, older, white person. In fact, it’s increasingly the opposite. We need to reach beyond traditional visitor profiles because we are experiencing a negative substitution of the historic visitor in the United States. The issue of confusing historic visitors with high-propensity visitors that we need to more effectively reach is often confounded by confusion related to audience research vs. market research.

 

Key performance indicators vs. diagnostic metrics

Key performance indicators (KPIs) are used to evaluate the ongoing success of an organization or a particular initiative. Success is often defined in terms of making progress toward achieving the strategic objectives that optimize the solvency of an organization. KPIs have a direct correlation to desired outputs (fundraising, visitation, etc.). For instance, for our nonprofit visitor-serving partners at IMPACTS, we measure items related to market sentiment that include metrics such as reputation (e.g. top-of-mind metrics), educational value, satisfaction, value-for-price perceptions, and other items that correlate directly to the health of an organization and its ability to achieve its bottom line objectives.  Bad metaphor: Let’s say you’re an Olympic runner. Your KPIs are your response times, race times, reflexes, muscle strength, and those things that contribute most directly to your success.

Diagnostic metrics are data points that contribute to KPI performance and aid organizations in pinpointing specific opportunities but they can be a distraction if they are given the same attention as KPIs. These metrics cannot “stand-in” for KPIs because they are a sub-measurement of assessment criteria that lead to desired behaviors. For instance, on the surface, certain social media diagnostic metrics may look positive, but if they aren’t elevating your reputation (a key driver of visitation), then…well, a “like” is just a “like.” Diagnostic metrics are also helpful for listening to audiences and informing organizations of opportunities for improvement. Bad metaphor continued: Let’s say you are an Olympic runner again. Your diagnostic metrics might be your blood pressure, levels of B12, and heart rate. Heart rate contributes to your ability to run a good race time, but focusing on heart rate on its own isn’t the metric to focus on. (It’s your race time.)  You are measuring your heart rate (diagnostic metric), in this case, so that you can increase your race speeds (your KPI). Focusing on diagnostic metrics (like Facebook “likes” and retweets) without focusing on key performance indicators (like changes in reputation attendant to those likes) is a distraction and a waste of time getting a lot of retweets doesn’t necessarily mean that you are increasing your reputation. It is important to know which kinds of metrics are which. 

 

Discounts vs. promotions

Discounts are when an organization offers free or reduced admission to broad, undefined audiences for no clearly identifiable reason. Discounts do a lot of pretty terrible things for visitor-serving organizations. Simply, offering discounts devalues your brand. Offering discounts – especially via public social media channels – cultivates a “market addiction” that often has long-term, negative consequences on the health of organizations. In many ways, offering discounts creates a vicious cycle whereby a visitor-serving organization realizes an ever-diminishing return on the value visitation. When an organization provides discounts, it often results in five not-so-awesome outcomes that you can read about here.

Promotions offer a targeted benefit for certain audiences for an identifiable reason. The biggest difference between promotions and discounts may be how they are perceived by the market. Promotions celebrate your community. Promotions demonstrate why an organization is offering free or reduced pricing in the communication of the promotion. That reason is usually something that celebrates an organization’s mission or an organization’s audience, and it is made clear that it is something special. While some may learn the differentiation between these two approaches and consider it to be a framing of communication, it’s actually a reflection of an organization’s culture. Whether an organization’s go-to strategy includes either promotions or discounts demonstrates a great deal about the organization and the thoughtfulness of its engagement approach, as well as the value that it places on its reputation. In the end, one approach is more about an organization’s flailing attempts to hit specific attendance numbers at the expense of its brand and mission (and long-term ability to hit those numbers), and the other is more about your organization’s relationship with target audiences and communities.

 

Fads vs. trends

A fad is any form of behavior that is intensely followed by a population for a short period of time. The behavior will rise relatively quickly and fall relatively quickly once the perception of novelty is gone. Fads certainly have value and they can profoundly change organizations- consider the ALS Ice Bucket Challenge! Utilizing fads in marketing and programs can increase top-of-mind awareness, demonstrate the timeliness of your organization, and serve as a gateway for new audiences. This is all great and important stuff but – remember – fads don’t stick around.

A trend, on the other hand, gets stronger over time and does stick around. Trends have identifiable and explainable rises that are driven by audience needs. They help solve a problem for people. The increasing use of social networks is a trend (that connects us to one another). So is quitting smoking (which lengthens our lives), evidence-based medicine (that removes the guesswork in medical-related situations), and the use of mobile devices (that allow us to look up information in real time). These are things that have grown – and continue to grow – in market penetration. They solve problems. They represent new ways of life. Organizations ignore trends at their own risk. Ignoring trends means that they will either be forced to adapt later and will necessarily be behind, or the organization will fade away. When organizations write off things like web-based engagement or data-informed management (for instance) as fads instead of trends, evolution stops. However, treating fads like trends can lead organizations to become overwhelmed, give up on following along, and, again, stop evolution. (Here’s a tip on how to tell if something is a fad or a trend.)

 

Think the distinction between these terms and concepts sound obvious? GREAT. Let’s make sure to join the conversation and help organizations keep them straight so that they can survive and thrive. Let’s all help in communicating “the usual clarifications,” because if we don’t, our organizations risk healthy evolution.

 

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, Myth Busting, Sector Evolution, Trends Comments Off on Six Concepts that Visitor-Serving Organizations Confuse at Their Own Risk

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:

 

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 3 Comments

Audience vs. Market Research: A Critical Distinction for Cultural Organizations

An overreliance on audience research may be the very thing holding back even the smartest of cultural organizations.

With so many cultural organizations nowadays boasting audience research capabilities, why is the industry struggling so severely in terms of engaging new and emerging audiences? We’re confusing audience research and market research – and that difference is the topic of this week’s Know Your Own Bone – Fast Facts video.

Not a video person? No problem. This information is important, so here’s a summary:

 

Most cultural organizations collect and focus on AUDIENCE research

Audience research is any research conducted on specific audience segments to gather information about their attitudes, knowledge, interests, preferences, or behaviors. For cultural organizations, audience research is often conducted on current visitors and past visitors. It often comes in the form of exit surveys, zip code collecting, and reaching out to members and visitors through email lists or online communities (to name a few sources of these types of data).

Audience research is the most common type of research carried out by cultural organizations by a long shot – and some organizations even have their own audience research departments! These data help us uncover information related to who is visiting, why they are visiting, and what the people who are already engaging with the organization think.

 

Organizations often struggle with collecting MARKET research

Market research, on the other hand, is any organized effort to gather information about target markets – including the folks who may NOT be visiting an organization.

Market research can be tricky, though, because someone who is not visiting your organization cannot fill out an exit survey. They may not be a part of your online community, and they aren’t likely on your email lists. Simply put, they aren’t a part of your audience yet. The industry’s inability to reach underserved audiences relates directly to our lack of market research and a general overreliance on audience research.

 

Organizations need both types of research, but our lack of MARKET research risks big sustainability issues

Audience research has tremendous value for perfecting programming, but that’s not where the industry needs the most help right now. In order to remain solvent and relevant in today’s world, cultural organizations desperately need to engage new audiences.

Unlike audience research, market research helps organizations find out who is NOT visiting and why they aren’t visiting. This is a big deal because organizations are doing a really not-awesome job reaching new and emerging audiences! Not to mention, cultural organizations (museums, performing arts organizations, aquariums, etc.) are experiencing a phenomenon called the negative substitution of the historic visitor. This means that for every one person who profiles as a historic visitor who leaves the market, they are being replaced by less than one person. Millennials are not visiting cultural organizations at representative rates, and engaging people of diverse racial and ethnic backgrounds – who make up more and more of the US population each year – is perhaps our greatest opportunity to secure our futures. In other words, the demographic makeup of the US is changing and we really need to get better at reaching new audiences and making them our new regular audiences.

 

It is impossible to fully understand market perceptions of your organization and reach new audiences if you only study the people who are already in your community.

To succeed, organizations need both types of research.

 

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, Financial Solvency, Nonprofit Marketing, Sector Evolution, Trends 3 Comments

Millennials Spend More Than Others On Food and Retail at Cultural Organizations (DATA)

Here’s what your organization needs to know about why this is happening.

This week’s Know Your Own Bone Fast Facts video takes a look at the onsite food, beverage, and retail purchasing habits of different generations at cultural organizations. You may be surprised by the findings….

Check out this chart from IMPACTS that is based on data from the ongoing National Awareness, Attitudes and Usage Study of 98,000 adults and counting. The chart indicates the respective percentages of visitors who make an onsite retail or food and beverage (F&B) purchase while visiting a cultural organization in the U.S.

IMPACTS consumer behaviors at VSOc

Millennials spend more money than previous generations on retail and food while attending cultural organizations. As you can see, millennials are nearly 22% more likely to make an onsite retail purchase than are Baby Boomers, and they are 10% more likely to make a retail purchase than members of Generation X. Not only that, millennials are 32% more likely to eat on site while visiting than Baby Boomers, and 11% more likely to eat on site than members of Generation X. Per capita millennial spending is 28% greater than that of Baby Boomers. That’s a big difference!

This information may be added to the important list of reasons why millennials are particularly awesome visitors to cultural organizations and why it’s incredibly important that organizations start reaching them at representative rates. The case for millennials being worth their bang for an organization’s-sustained-investment buck is growing stronger and stronger.

Why are millennials spending most and how can organizations utilize this information?

What we are seeing here is simply the applicability of broad trends affecting the cultural sector. Here are a few data-based factors that may be at play:

 

1) Millennials go out to eat more often than do other generations.

There are quite a few studies on this. And when we do go out to eat, we generally spend more money.

 

2) Millennials are more socially conscious consumers.

That said, this trend is also increasingly affecting all generations. This is relevant because most cultural organizations tend to be at least somewhat considerate about their food and beverage offerings. Think about the Monterey Bay Aquarium’s Seafood Watch, and other organizations with food options or initiatives focusing local, sustainably sourced food in their cafes. In fact, food offerings with supporting narratives that underscore food ethics (and then put signs on the table, notes on the menu to help tell that story) tend to result in more sales than food options without a narrative.

 

3) Millennials were raised in an aggregated experience environment.

Instead of an individual store, we went to malls growing up…and some of these malls had movie theaters, restaurants, bowling alleys and climbing walls. “One stop consuming” may be a concept that makes sense to this generation in this situation – and may be why some studies have even uncovered that millennials may prefer brick-and-mortor store shopping to online shopping when they can go. Not to mention, an aggregate environment makes things a whole lot easier for folks with small children.

 

Millennial trends are affecting our retail and food and beverage sales in a big way. Let’s harness the factors fueling this opportunity so that we can provide the best possible experiences for our visitors. Not to mention, let’s make the most of these opportunities so that we can secure additional funds to support our missions and operations.

 

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, Financial Solvency, IMPACTS Data, Millennials, Trends Comments Off on Millennials Spend More Than Others On Food and Retail at Cultural Organizations (DATA)