TRG Webinar: Plant Loyalty Now


Published on

Patron relationships matter more in 2013 because the arts landscape is “ more like shifting sand than fertile soil,” said Jill Robinson, President, at the TRG Arts May 7 webinar, Plant Loyalty Now. The higher the portion of patron-centric revenue is, “the more organizations need to focus on, invest in, and partner with patrons to sustain income. The webinar offered strategic tactics around starting campaigns early, building on blockbusters, and patron upgrades at every level engagement.

Published in: Business
  • Be the first to comment

No Downloads
Total views
On SlideShare
From Embeds
Number of Embeds
Embeds 0
No embeds

No notes for slide
  • If our discussion today prompted any interest how TRG works with clients, let’s talk. We’ve got “Meet TRG” sessions coming up. These sessions are set up much like this webinar, but we’ll talk more specifically about TRG’s consulting approach. If you’re interested, email and let us know. And, if you have any questions that you think of after the webinar or you’d like to talk one-on-one about how TRG can help, you can also send those requests to
  • Thank you so much for attending.There will be video of the webinar on the TRG website posted in the next week. We will send you an email with the link once it is posted.
  • TRG Webinar: Plant Loyalty Now

    1. 1. Copyright © 2013 TRG ArtsAll Rights Reserved
    2. 2. PLANTING SEASONTime to grow loyalty1. Arts landscapeContext and challenges2. Operational framework to grow loyaltyInformed cultivation and collaboration3. Best ways to plant loyaltyStrategic tactics that work
    3. 3. GROWTH BUDDINGSource: TRG Pre-webinar SurveyBetter51%About theSame34%Worse15%Paid Attendance or Visitation2013 compared to 2012
    4. 4. GROWTH BUDDINGSource: TRG Pre-webinar SurveyBetter54%About thesame34%Worse12%How is your total income trending?2013 compared to 2012
    5. 5. GROWTH BUDDINGUncertain groundNonprofit Finance Fund2013 National Survey• Sector in state of uncertainty• Thin margins, low liquidity• 50% say 2013 same or worseSource:
    6. 6. “We found out in the 7th month of ourfiscal year that our State funding wasreduced by 40%, and that contracts would bedelayed another six weeks... another blow ...andmeans more fundraising and less time toadvance our mission.…..We are proceeding as if [public] fundingwill be gone within 5 years. Advocacy is at anall-time low in the arts field in NY.”
    7. 7. • 13% got full amount in state andlocal funding expected.• 21% got full federal amounts.• Over 50% reported overdue paymentsfrom state & local funders• 40% said the federal government wasslow to pay.NONPROFIT FINANCE FUND2013 National SurveySource:
    8. 8. “Both federal and state governmentappropriations to the arts have declinedsince the 2007-2009 economic recession…”Quote Source: NEAState agencies face defunding, notably in:• Kansas• WisconsinNATIONAL ENDOWMENT FORTHE ARTSNovember 2012
    9. 9. 9%11%21%22%22%Cut-backs in federal funding or grantsexpected or earmarked for my organization.Proposed cap on the federal charitablegiving tax deduction.Don’t know.Cut-backs in state or local funding or grantsexpected or earmarked for my organization.Changes or cut-backs to non-governmentalfunding, such as from foundations andcorporations.Which funding issues present thegreatest risk to your organization?Source: TRG Pre-webinar Survey
    10. 10. GIVING AT RISK?Tax deduction limitsStrong industry advocacyAgainst lowering income cap• Down to 28% from 39.6%• Lost incentive for a selfless act• “One thing is clear. Giving will decline.”• TRG: patron relationships will matter more
    11. 11. REVENUE RISK% of Patron-to-Total $How much patrons contributeVia self-dependent revenue sources• Ranges widely• U.S. Performing organizations 30-90+%• Higher the %, higher your risk• What if you lost it?
    12. 12. ACTIVE PATRONSProspect PoolIs number growing, flat, declining?Illuminates sustainability risk.• Buyers: STBs, Subscribers• Supporters: Members, Donors, School, Other• Larger the number, greater the potential• Indicator of self-dependent health
    13. 13. ACTIVE PATRONSDeclining050001000015000200002500030000350002008 2009 2010 2011 2012 2013 YTDNumber of Household in DatabaseDonorNutcrackerSingle Ticket BuyerSubscriberTotal HH
    14. 14. ACTIVE PATRONSGrowing05000100001500020000250003000035000400002009 2010 2011Number of Households in DatabaseSubscribers Single Ticket Buyers Donors Education Net
    15. 15. 1
    16. 16. START EARLYGrow # and $More single ticket sales for best-sellersMore subscribers, members, annual fund donors• Ardent patrons decide and buy early• Early is the right time for some patrons• The longer you sell, the more you sell• Early buyers don’t need every detail
    17. 17. START EARLYMyths vs. RisksMyth RiskEveryone buys late. Sell late, sell less.All details mustbe in place.Lost “lowhanging fruit”If blockbuster goeson sale now, patronswon’t buy anythingelse.Lost sales andup-sell opportunity
    18. 18. START EARLYWhat to doAnticipate biggest opportunitiesBlockbustersAnnual fund, subscription campaignsLaunch as early as possibleOptimal 6 to 8 months in advanceStart with the information you haveDecision-making facts, not every detail
    19. 19. START EARLYWhat to doTake care of loyalists firstBest access, best price, first in lineDirect contact with best prospectsMulti-media and multiple contactsDon’t wait for the catalog if a letter will do
    20. 20. “We managed to go outwith our campaignalmost 2 weeks earlierthan last year. Nineweeks into the campaign, wewere $63,000 ahead ofthe same campaignweek last year—up 246subscribers in our 8-showpackage and 211 subsoverall. WOW!”More on this case at
    21. 21. 2
    22. 22. BLOCKBUSTERSBuild # and $Best-selling programs and events• Biggest incentive to buy, come back• Deserves greatest investment• Greatest ROI• Rewards all levels of loyalty
    23. 23. BLOCKBUSTERSWhat to doHave a priority plan for every levelKnow how you’ll invite every type of patronTake care of loyalists firstFirst in line for the best seats
    24. 24. Personal contactAsk them to add it on, or ifthey’d like extra ticketsThanks. Welcome!“Don’t miss this.”
    25. 25. • Subscription revenueup 49%• Single ticket sales forthe first three showsin season surpassedexpectations by$225,000More on this case at
    26. 26. 3
    27. 27. UPGRADESEvery patron’s next stepMake a plan for every patron typeFocus first on biggest opportunities• Consider the whole picture• Choose efforts you can do best• Collaboration gets the best results• Learn to up-sell
    28. 28. Next Step: ReactivateMessage: “Welcomeback”How? Treat them like afirst timer and a valuedpatron.Next Step: Come backMessage: “Welcome—thanks for joining us”How? Make the firsttime the best possible.Next Step: Come back againMessage: “Thanks, and mightyou wish to _____?”How? Foster furtherengagement by making the ask
    29. 29. Add a donationRenew Flex to FullRenew & Upgrade
    30. 30. Net RevenueSingle TicketBuyersNewSubscribersRenewingSubscribersRenewingSubscriber-DonorsPer Ticket/Package Yield $53.84 $156.05 $341.51 $550.42Cost of Sale 20% 25% 3% 3%RenewalRates23% 46% 69% 88%
    31. 31. More on this case at www.trgarts.com453 Super SubscribersGave $51,100 in FourMonths65% were first timers,subscribers of 5 or feweryears, or patrons returningafter lapsing.70% had no previousgiving history.
    32. 32. Upcoming “Meet TRG” sessionsInterested in learningmore about how TRGhelps arts organizations?Get on the invitation list:email
    33. 33.