In this recent webinar present to the League of American Orchestras, Eric Nelson at TRG Arts and Karen Yair at The League of American Orchestras unpacked revenue, subscriptions, and donor trends from approximately 40 U.S. orchestras. Here’s a brief overview of some data points and strategic implications discussed:
1. Revenue Insights:
- The Benchmark data can help compare current performances against both recent and pre-pandemic data to help pinpoint successful strategies and areas needing improvement. One specific orchestra significantly outperformed the aggregate data by achieving 14% higher revenue than in 2023 and 38% more than in 2019. In contrast, the aggregated data from other orchestras showed a 7% decline compared to 2023.
2. Ticket Sales and Customer Behavior:
- Analysis highlighted a trend where 31% of recent ticket purchases were made by new customers, indicating a robust acquisition strategy.
- The conversation also addressed the performance of specific genres within the performing arts sector, noting a general increase in ticket revenue across all genres compared to pre-pandemic figures.
3. Donations and Funding:
- Eric shared how one orchestra’s proactive donor engagement strategies, despite a challenging environment, resulted in $5.5 million in donations, slightly ahead of the benchmark’s $5.3 million. Eric emphasized the importance of understanding donor behavior and adapting fundraising strategies to meet the evolving economic landscape and donor expectations.
4. Strategic Questions and Operational Adjustments:
- Attendees were encouraged to critically evaluate whether their current programming and promotional strategies align with audience expectations and market demands. Eric also shared the importance of continuously adapting offers and experiences to meet the dynamic preferences of today’s potential arts patrons.
5. Future Trends and Adjustments:
- The session included a forward-looking component, discussing the necessity of reevaluating subscription models and donor engagement strategies in light of evolving consumer behavior and economic factors.
As ever, the Benchmark Updates seek to provide a comprehensive look at how data can inform better decision-making in the performing arts sector, encouraging organizations to adapt and innovate in response to new data, and the comparrison of their numbers to that of a broad field of peers.
