Ticketing, Giving Trends Boost Performing Arts

Heading into 2020, performing arts marketers can take advantage of positive trends in both fundraising and ticketing sales according to recent studies. While the Giving USA 2019 report released in June showed declines for many charitable-giving sectors from 2016 to 2018, arts fundraising stood out by remaining relatively flat. Adjusted for inflation, giving to arts, culture, and humanities increased 11.1% between 2016 and 2017, declined 2.1% between 2017 and 2018 (though a 0.3% increase in current dollars) and ended up with a cumulative increase of 8.7% between 2016 and 2018, thanks to 2017 donations that reached the highest inflation-adjusted amount for the sector on record. Underneath the numbers are three important lessons for our performing arts clients, as fundraising counsel Alexander Haas points out in a recent post. First, a focus on high net-worth individuals via upper-level membership programs, project-related major gifts, and targeted marketing campaigns is likely to pay off, as proven by 2018’s 2.6% increase in gifts of $1,000 or more, and the fact that, of the 90% of high-net worth households giving, a quarter focused on arts donations. Second, targeted campaigns and quality donor lists are essential as fewer individuals give and a greater percentage of philanthropic revenue comes through larger gifts. Finally, online giving can be a boon to performing arts; for example, the Blackbaud Institute’s 2018 Charitable Giving Report showed that online gifts represented 9.5% of overall giving to arts organizations in 2018, and the 5.8% growth in online giving to the arts outpaced other nonprofit sectors by four times. Making online giving a convenient option for donors and members is one way to offset the decline in smaller gifts. Meanwhile, an October Reportlinker market research report forecasts a 5% compound annual growth in ticket sales from sporting events, movies, concerts, and performing arts events in the 2020-2024 period. While sporting event and concert popularity is a key driver of growth, the research also credits a number of innovative marketing strategies for pushing ticket revenue, such as flash sales, early-bird offers, access codes, public discounts and adoption of mobile applications to make tickets more readily available to consumers. For more, see our onsite blog post at https://www.acculist.com/ticketing-and-giving-trends-are-positives-for-performing-arts/

Magazine Business Models Harness Growth Trends

AccuList's many business periodical clients will face challenges and opportunities in the fast-moving currents of publishing in 2020. The good news for printed magazines: Print is not only viable but thriving in many cases, with 64% of printing industry members telling Quocirca’s Global Print 2025 study that print will remain important well into 2025. At the same time, surveys show that digital subscriptions, advertising and content are increasingly necessary drivers of the bottom line. In fact, worldwide news publishers surveyed now say digital publishing subscriptions are their top revenue stream. Given mobile and social audience trends, publishers also say they are increasing efforts to recreate quick-loading content for any device and are using more digital content, including videos and podcasts, to drive audience development--and that includes distribution via social media networks. At the start of the year, a What's New in Publishing post by magazine consultant Mary Hogarth suggested that the best way to navigate the challenges of digital expansion, content innovation and multi-channel audience-building is to develop a solid business model that includes expanding revenue streams across print and digital channels. Here are some of Hogarth's suggestions for boosting revenue streams:

• Brand extensions, such as digital editions, sister publications, books, events, conferences, courses and festivals;
• Advertising sales strategy innovations, for example selling online plus print advertising as one package;
• Expanding sponsorships/promotions and services by facilitating strategic partnerships or third-party sponsorship of in-house events, plus selling design and content packaging services;
• Increased copy sales via digital/print magazines on newsstands, subscription growth, in-house back issue sales, and direct sales to partners/advertisers if appropriate;
• Memberships schemes that can help cash-flow and likely increase audience reach and reader loyalty;
• Online content/paywalls, such as using a micro-payment system to sell additional content;
• Product licensing, such as selling the rights to content to be re-purposed in an existing title, or licensing the brand in terms of merchandising.

For more and a link to the article, see our website blog post at https://www.acculist.com/the-right-business-model-helps-magazines-harness-industry-trends/

Case Studies Showcase Museum & Zoo Direct Mail

AccuList USA provides mailing lists and direct marketing support for a growing number of museum and zoo marketers, and we thought our museum and zoo clients, and other nonprofit marketers, would be interested in recent case studies of how combining direct mail with digital marketing can successfully drive gift membership purchases. The case studies were presented by The Lukens Company, a nonprofit agency, for the American Museum Membership Conference. Seattle's Woodland Park Zoo was concerned that its costly traditional direct mail letter package promoting gift memberships was experiencing declining ROI and relied on a complex process for signup. Tasked with finding solutions, the agency came up with a new two-drop postcard combined with a three-part e-mail series timed after a Cyber Monday campaign. The campaign directed recipients to an online signup with a promo code to track gift sales.  Targeting prior gift membership purchasers and offering a standard $15 discount, the new approach resulted in a 173% increase in number of purchases and 88% increase in revenue. A similar strategy provided positive ROI results for a gift membership drive by the San Francisco Museum of Modern Art (SFMOMA) in its first holiday season after reopening following a three-year closure. Marketers faced a dual challenge: fatigue of the traditional direct mail package to the existing gift membership audience, plus a new audience unfamiliar with SFMOMA gift membership offerings. Seeking to energize both targets, the agency's creative shifted from the traditional package to a two-drop postcard and five-part e-mail series, directing recipients online to a new custom landing page, along with phone and onsite support. Mailing to current members, lapsed members, and general admission and event ticket buyers, the campaign offered 10% off gift memberships for members and prospects who became members. For more ways direct mail can drive results, more case studies and samples of actual creative go to http://www.acculistusa.com/case-studies-showcase-zoo-museum-direct-mail-strategy/

Top NonProfit Subject Lines: Personal, Fun, Thankful

The most effective e-mail subject lines for nonprofit and association marketers in 2015 had some key lessons for any e-mail effort: The best were personal, fun and expressed gratitude for loyalty and support, according to digital-marketing agency Informz's study of 80 million A/B tested e-mails and 58 million e-mails with 40%+ open rates. As reported by NonProfit PRO magazine, the study found that personalization continues to prove its worth. For example, the subject line "FirstName, Your Membership is About to Expire" delivered a 13% better open rate than the impersonal "Your Membership is About to Expire." Subject lines that used humor and informality succeeded in punching up response to ordinary topics. For example "It's a trashy party, and you're invited!" got a 35% open rate, higher than the staid "Join Us at the Red Clay Valley Clean Up" (28%). Of course, caution is advised in this area, since there can be a fine line between lighthearted and unprofessional or offensive. Finally, the high open rates of simple thank-you subject lines proved that you can't overappreciate donors and members. "Thank you for making a real difference" earned a 66% open rate, for example. For more on subject line trends, go to http://www.nonprofitpro.com/article/the-best-nonprofit-email-subject-lines-of-2015/