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The Return Of The Gentleman Caller

September 24, 2012

by:

Joe Patti

A few months ago I saw an article by Peter Ling on History Today about how automobiles enabled a greater degree of sexual and social freedom in the 1920s.

I, of course, read it for the details of the social freedom cars afforded.

Ling talks about how there wasn’t really such a thing as dating before the 1900s. Arrangements would be made for a gentleman to call upon a young lady at her home where he would be entertained in the family parlor, speaking with the girl and her mother and perhaps witnessing the young lady’s skill at the piano.

With an increase in automobile ownership, the gentleman might show up to find the young lady waiting at the door, eager to go out somewhere. People were able to have new experience and interact across social classes.

“Money gave access to theatres, restaurants, galleries and clubs. By 1900, the traditional events of the season, such as the opera, began to be deemed passe by a growing number of privileged youths. These ‘bohemians’ began to perceive the possibility of a new freedom arising from the anonymity of crowded city streets…Thus, affluent youth figuratively ‘crossed the tracks’ to enjoy a surer privacy amidst working-class crowds than they experienced in their parents’ homes…

Women who regularly read the Ladies Home Journal, who could recall being warned in 1907 that it was scandalous to be seen dining alone with a man, even a relative, learnt from a debutante of 1914 that it was ‘now considered smart to go to the low order of dance halls, and not only be a looker-on, but also to dance among all sorts and conditions of men and women…’ Thus leisure-class and working-class youth began to date and sometimes to frequent the same venues

I have recently been wondering if we are seeing a reversal of this trend. With the poor economy, children are moving back in with their parents. People are staying at home to experience their entertainment from the internet and Netflix videos. And, young people today apparently aren’t interested in driving cars.

I don’t think we will see a return to courting and a rush to buy pianos for the parlor. Which is too bad because it would be nice for people to value musical skills more and most of Tennessee Williams’ plays, which often referenced courting practices, would gain renewed relevance.

If people are eschewing cars and staying closer to home, there are some possible benefits for the arts and culture. Back in June I wrote about how young people returning home from the big cities were bringing expectations and vitality back with them.

There may be a shift in importance for neighborhood arts and cultural spaces as people seek things to do closer to home. And if they don’t own cars, lack of convenient parking may vastly diminish as a consideration for attending or participating in a cultural experience which in turn provides more flexibility for establishing spaces.

These spaces may be smaller with versatile use so that they serve the varied interests of the more immediate community. Though I wouldn’t discount the possibility of larger facilities gaining renewed investment from the neighborhood and gladly renovating to accommodate more bikes and pedestrians.

Perhaps they can serve as latter day parlor for young people to call upon each other. Apparently Gen Y isn’t very good at dating and in fact can be very anxious about the whole process. There may be a very real need for a safe, chaperoned environment designed to facilitate interactions.

I make no claims at being a proficient trend spotter so who knows if any of this will really manifest. Still in some places around the country, there is probably some worth in looking around to see if former empty nesters in a short radius are seeing their chicks return and figuring out if there is something of value you can offer them.

Arts in an Age of Technology, Audience Relations, State of the Arts

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Passion About Your Work Is Hard Work

September 19, 2012

by:

Joe Patti

Apropos of my post a few weeks back about people thinking creativity as a lightning strike gift rather than a process of work over time is a piece on Harvard Business Review blog site in which the author, Cal Newport, makes a similar observation about the idea one should follow their passion when looking for a job.

Newport notes that following ones passion has become common career advice and includes a Google N-Gram charting the explosive rise of the phrase in print use during the 2000s.

“Why is this a problem? This simple phrase, “follow your passion,” turns out to be surprisingly pernicious…The verb “follow” implies that you start by identifying a passion and then match this preexisting calling to a job. Because the passion precedes the job, it stands to reason that you should love your work from the very first day.

It’s this final implication that causes damage. When I studied people who love what they do for a living, I found that in most cases their passion developed slowly, often over unexpected and complicated paths. It’s rare, for example, to find someone who loves their career before they’ve become very good at it — expertise generates many different engaging traits, such as respect, impact, autonomy — and the process of becoming good can be frustrating and take years.

The early stages of a fantastic career might not feel fantastic at all, a reality that clashes with the fantasy world implied by the advice to “follow your passion” — an alternate universe where there’s a perfect job waiting for you, one that you’ll love right away once you discover it. It shouldn’t be surprising that members of Generation Y demand a lot from their working life right away and are frequently disappointed about what they experience instead.”

The arts career path has long had a “paying your dues” period of near slavery labor for low or no pay internship followed by successfully transitioning to a near poverty level pay. I joke, but only because I don’t want to confuse the poor treatment many entry level people are subject to with the genuine need to actually go through an unsatisfying process of improving your abilities.

The dream of being discovered and making it big is what causes many to pursue a career in the arts. The fact that there are some who can make it big with no apparent effort is something of a plague on the arts industry.

Still for many people, this dues paying process gives people a realistic view of what is expected in the arts career path and they choose to leave it.

Pursuing an arts career with its abysmal pay can be something of a blessing in disguise as part of the dues paying process. The fact we have the stereotype of the actor who waits tables shows that many creative types are picking up other skills in the process of pursuing the dream.

Of course, the benefit of this all hinges on heeding the advice of our grandparents to do everything we do well. It is easy to fall into the practice of not taking a job seriously figuring your effort doesn’t matter since you will be gone soon enough. Then when you revise your career plans, you may suddenly find that as a result of your inattentiveness no one will credit you as having paid some dues.

One of my first jobs was doing yard work which involved everything from mowing and weeding to mucking out horse stalls and polishing brass and bronze pots. I don’t think it directly prepared me for a job in the arts, (though I did end up driving a farm tractor a lot the rural arts center I worked at), it probably instilled a work ethic, taught me about a lot uncommon practices like beekeeping and gave me many problem solving abilities. (Like the time I set fire to the…erm, well I have said too much already.)

Cal Newport calls for career advice to reference the inevitable sour period before you feel inspired by your work.

In some respects, I think the arts are blessed with the stereotype of the wait staff who wants to act. Even though no one believes they will ever have to work in a restaurant to support themselves, that waiter is in our collective unconscious and can’t be exorcised. Part of us always knows that possibility exists. Some may even be motivated to pursue excellence to ensure it doesn’t happen to them.

Still more discussion of that metaphorical waiter needs to happen to make people aware that the pursuit of their passion may not come easily or as directly as they imagine.

Many performing artists would acknowledge their awareness that the pursuit doesn’t come easily since many of them start working hard at eight or nine years old. The problem is that “practice hard to be a success” has been used to motivate them for all those years and it is not a foregone conclusion, especially in relation to orchestras these days.

Arts and culture industries needs to emphasize the fact that the path to success may not be as direct as it has been represented to encourage people to think about and be open to alternative routes.

Art(ist) Education, Working In The Arts

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What Pricing Is Right?

September 18, 2012

by:

Joe Patti

Back in June the MIT Sloan Management Review had an article in pricing strategies. The bulk of the article discusses research on practices of companies that have sales forces that goes out to solicit business and has some degree of control over the pricing.

However, the research found some basic elements of price setting that are common regardless of industry and geography. (my emphasis)

1. Cost-based pricing. Here, pricing decisions are influenced primarily by accounting data, with the objective of getting a certain return on investment or a certain markup on costs. Typical examples of cost-based pricing approaches are cost-plus pricing, target return pricing, markup pricing or break-even pricing. The main weakness of cost-based pricing is that aspects related to demand (willingness to pay, price elasticity) and competition (competitive price levels) are ignored. The main advantage of this approach is that the data you need to set prices are usually easy to find.

To a certain extent, this is the pricing strategy used by many non-profit organizations–and their critics. I say it is used by critics of non-profits because one of the common refrains one hears is that if non-profits can’t make enough to support themselves, they should be left to fail rather than supported by government funding.

Non profits use this approach to determine what level of revenue they need to cover their costs in the context whatever other funding sources (donations/sponsors) exist. But as the authors say, it can ignore the level of demand that may exist potentially increasing the revenue stream if the price were set higher (or perhaps ignoring the lack of demand and setting the price too high.)

2. Competition-based pricing. This approach uses data on competitive price levels or on anticipated or observed actions of actual or potential competitors as a primary source to determine appropriate price levels. The main advantage of this approach is that the competitive situation is taken into account, and the main disadvantage is that aspects related to the demand function are again ignored. In addition, a strong competitive focus in setting prices can exacerbate the risk of a price war.

I am not aware of too many price wars among arts organizations, but it can be a mistake to taking your pricing cues from competitors. For one thing, just because you perceive your product to be of equal value to your competitor’s doesn’t mean your customers necessarily do.

3. Customer value-based pricing. This approach, which is also often called “value-based pricing,” uses data on the perceived customer value of the product as the main factor for determining the final selling price. Instead of asking, “How can we realize higher prices despite intense competition?” customer value-based pricing asks, “How can we create additional customer value and increase customer willingness to pay, despite intense competition?” The subjective and quantified value of a purchase offering to actual and potential customers is the primary driver in setting prices. Customer value-based pricing approaches are driven by a deep understanding of customer needs, of customer perceptions of value, of price elasticity and of customers’ willingness to pay.

The advantage of customer value-driven pricing approaches is their direct link to the needs of the one constituency paying for the respective goods or services: the customer. The big disadvantage of such approaches is that data on customer preferences, willingness to pay, price elasticity and size of different market segments are usually hard to find and interpret. Furthermore, customer value-based pricing approaches may lead to relatively high prices, especially for unique products. Though that may seem optimal in the short run, these pricing approaches may spur market entry by new entrants or create a risk-free zone for competitors offering comparable products at slightly lower prices. Finally, it is important to note that it is an error to assume that customers will immediately recognize and pay for a truly innovative and superior product. Marketers must educate customers and communicate superior value to customers before linking price to value. Customers must first recognize value in order to be willing to pay for value rather than base their purchase decision solely on price.

Despite these shortcomings, many pricing scholars consider customer value-based pricing to often be the most preferable way to set new product prices or to adjust prices for existing products

Now I don’t have any real evidence that non-profit arts organizations use customer values as the basis of their pricing decisions, but damned if the language the authors use doesn’t match the language being used in discussions of arts management issues: increasing value and customer willingness to pay for it; the necessity of understanding needs of customers/community; high prices for unique products (unique at least from the NP org point of view); audiences not recognizing truly innovative and superior product; need to educate customers/community about the superior value of the artistic product.

Factor in movies/internet/video games as competitors offering what is perceived to be comparable product with lower monetary/social/time, etc. costs and it sounds like they are describing a the situation facing the non-profit arts and culture industries.

Except that these factors are rarely connected with discussions of pricing for non profit arts organizations. While creating the perception of value in audiences does often enter the discussion, I don’t know that it is necessarily accompanied with a “deep understanding of the customer needs, of customer perceptions of value, of price elasticity and of customers’ willingness to pay,” but rather with hopes and assumptions. How many pricing decisions arts and cultural organizations make every year are based on this understanding?

This may be due to lack of will as much as lack of funds to conduct the research necessary to achieve the deep understanding. Since customer value-based pricing seems to be recognized as the best approach, perhaps research into the intrinsic value of the arts should include a greater focus on pricing to see how value and pricing are connected.

Though I am not sure if the knowledge will be of practical use to a significant number of organizations. The authors point out the information is difficult to gather and interpret. I imagine the results will probably be specific to an organization or geographic region.

Business Models, Leadership, Marketing/PR, Terms and Ideas

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Info You Can Use: Playing With Your Volunteers

September 17, 2012

by:

Joe Patti

About a month ago I wrote about how our accreditation team used games to get the leadership ready for the accreditation process coming up this year. I had noted that while accreditation is a pretty oppressive and mind numbing subject, the games made learning about it easier. I had suggested that this was a good approach for tackling administrative and governance processes.

This weekend, we actually used a similar approach during the much more pleasant process of volunteer training so I thought I would share what we did.

We held a brunch in our lobby. My assistant theatre manager and I made Belgian waffles and pancakes to order for our volunteers (we also had eggs, breakfast meats and a pretty good toppings bar.) After eating our fill, we talked about the upcoming season of shows and why each was so interesting.

Then we had a scavenger hunt which actually proved to be a good tool for making people more aware of many aspects of their jobs and the theatre building. Some of the questions were just fun and silly like getting a picture of a prop backstage and some information from a set model. Others were more directly related to things we wanted our volunteers to know.

For example we asked how many theatre seats were in a row that had empty spots for wheelchairs so they were aware that the number on the right most seat wasn’t actually the seat count for the row.

Because there is construction next to the theatre we had them take a picture of one of the large signs directing people along the detour from the disabilities parking to the lobby which forced the volunteers to walk the path a wheelchair would have to follow.

We asked for the name of the person who sponsored the Green Room so that the volunteers knew where the green room was and were familiar with the name of one of our important donors.

And of course, we made sure they knew that most crucial of all information–where the bathrooms are–by making them count all the stalls available for use by audience members. (Which also helped them know which restrooms had the most capacity.)

I think this was a much more effective technique to simply giving a tour and pointing things out because it forced the volunteers to pay closer attention to the surroundings as they sought out our grand piano and the 2005-2006 season brochures hidden around the building. It also promoted team work and helped the volunteers bond over activities other than ripping tickets and stuffing program books.

Though to be clear, this doesn’t replace our orientation tours. Every volunteer is given a tour of the facility which points out the location of emergency exits and life safety equipment along with instruction about the procedures.

Nearly all of the volunteers are interested in going around the building again if provided the opportunity. Opening all the doors and turning on all the lights to let them scurry around looking for things changes their relationship with the facility and infuses the experience with a bit of the playfulness and fun that characterize the arts.

Art(ist) Education, Info You Can Use, Volunteers

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