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Cost of Making Things Free

May 31, 2011

by:

Joe Patti

So I am off on vacation for a couple weeks. Regular readers fear not! I have set up a series of entries to appear according to my usual posting schedule.

Since summer officially started, I thought it appropriate to take a look back at my post about how the Public Theatre manages to offer Shakespeare in the Park for free. Please be sure to read to the comments section in the entry where my misunderstandings were corrected by a reader two years after the post. In my defense, the Shakespeare in the Park website still doesn’t do much to clarify that.

Audience Relations, Business Models, Marketing/PR

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News You Can Use: Musicians Are Delicious

May 25, 2011

by:

Joe Patti

As you can see in the above, the Centers for Disease Control have finally acknowledged the threat of a zombie apocalypse. Hat tip to Tyler Cowen for bringing this important government service to my attention.

From the CDC website:

“If zombies did start roaming the streets, CDC would conduct an investigation much like any other disease outbreak. CDC would provide technical assistance to cities, states, or international partners dealing with a zombie infestation. This assistance might include consultation, lab testing and analysis, patient management and care, tracking of contacts, and infection control (including isolation and quarantine)…Not only would scientists be working to identify the cause and cure of the zombie outbreak, but CDC and other federal agencies would send medical teams and first responders to help those in affected areas.”

Actually, while this is really on the CDC site, they use the subject of a zombie attack to reinforce the need to have good emergency plans and supplies prepared for any disaster. Some examples:

“First Aid supplies (although you’re a goner if a zombie bites you, you can use these supplies to treat basic cuts and lacerations that you might get during a tornado or hurricane)”

“Pick a meeting place for your family to regroup in case zombies invade your home…or your town evacuates because of a hurricane.”

“Plan your evacuation route. When zombies are hungry they won’t stop until they get food (i.e., brains), which means you need to get out of town fast! Plan where you would go and multiple routes you would take ahead of time so that the flesh eaters don’t have a chance! This is also helpful when natural disasters strike and you have to take shelter fast.”

While the whole zombie attack craze may have peaked and is already on its way out. (Yeah right, zombies are not that easy to kill!) The tongue in cheek approach mixing “fiction” (the government will never really seriously admit the zombie problem we face) with the real message they are trying to communicate–and offering social media options to spread the word–could easily be used by arts organizations to communicate their core message.

On a related topic, a study was recently released providing information that will be of great importance to arts people when the zombie attack comes. According to the Freakanomics website,

“A new study argues that musicians have more highly developed brains than the rest of us….New research shows that musicians’ brains are highly developed in a way that makes the musicians alert, interested in learning, disposed to see the whole picture, calm, and playful. The same traits have previously been found among world-class athletes, top-level managers, and individuals who practice transcendental meditation.”

So when the zombies come, all you really need to do is be faster than the musicians or point out the location of their delicious, highly developed brains to the zombies. Of course, given that musicians have a heightened alertness and calmness, they will likely possess the composure needed to effectively flee themselves, so you will have to be especially canny.

(Thank god for the CDC. I was wondering how I was going to address the Freakanomics piece without feeding the egos of my Inside the Arts brethren who are mostly musicians.)

Arts in an Age of Technology, General Musings, Info You Can Use, Marketing/PR

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Solving Other People’s Problems

May 24, 2011

by:

Joe Patti

Daniel Pink recently wrote a piece in The Telegraph about how people are more effective at solving problems if the problems are not their own. In a recent study, those who were told they were solving a problem for someone else found more effective and creative solutions than those who were told they were solving the same problem for themselves.

In another study, people were asked to choose a gift for themselves, for someone close to them and for someone they barely knew. The less familiar the person, the more innovative the gift that was chosen.

Over the years, social scientists have found that abstract thinking leads to greater creativity. That means that if we care about innovation we need to be more abstract and therefore more distant. But in our businesses and our lives, we often do the opposite. We intensify our focus rather than widen our view. We draw closer rather than step back.

That’s a mistake, Polman and Emich suggest. “That decisions for others are more creative than decisions for the self… should prove of considerable interest to negotiators, managers, product designers, marketers and advertisers, among many others,” they write.

[…]

And while much of our business world is ill-configured to benefit from Polman and Emich’s insights, the rise of crowd sourcing and ventures such as Innocentive (which allows companies to post problems on a web site for people around the world to solve) suggests that the moment may be right for reconfiguring the broader architecture of problem-solving.

Pink offers five suggestions for either seeking the independent viewpoint of others or try to disassociate oneself from their business. A commenter, Lowell Nerenberg, talked about mentally calling on the spirit of his dead father to help him with his writing which I thought was an interesting approach.

What popped most prominently to mind, however, when I was reading the article was the question- If this is true, why aren’t non-profit boards more effective at leading and finding better approaches to doing business? While non-profit boards do essentially run and have ultimate ownership of an organization, most board members have a generally disassociated view of their relationship to the organization. This is essentially built into the basic design of non-profit boards. They generally don’t meet to discuss the business of the organization more frequently than once a month. According to the research, they should be fairly well positioned to generate creative solutions to the problems their organization faces.

And maybe they do come up with grand ideas. From what I gather from the research Pink references, no one looked into how often a solution generated by an outsider was actually compelling enough to be implemented. Good ideas may be generated, but perhaps there are impediments to actually putting them into effect. People may not feel confident enough in the idea to champion it. There may not be sufficient collective will to effect the necessary changes, especially if some sort of sacrifice was required. Or perhaps the board might feel it is the place of the senior staff to provide leadership in bringing about the change.

Operating under the assumption that non-profit boards of directors do possess the mental distance necessary to generate creative solutions, we get back to the oft mentioned discussion about training/creating a board which is knowledgeable and empowered about its role and responsibilities and is providing effective guidance and direction to the staff.

If the board finds it is too close to the problems of the organization to address them, then obviously the counsel of disinterested parties mentioned by Pink is likely to be necessary.

One implication of these studies I don’t even want to consider is that the nosy neighbor who is always butting into your business and giving unwanted free advice might actually be saying something of value. (Though likely they are too closely involved in monitoring our lives to enjoy the proper perspective of distance.)

Boards, Leadership

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Info You Can Use: Speak Passionately, Persuasively…and Briefly

May 23, 2011

by:

Joe Patti

I love it when, in the course of a few minutes, I come across different web pages that seem to go together like chocolate and peanut butter in a Reese Peanut Butter cup.

In this instance one link was provided by Drew McManus who noted Harvard Business School’s “Elevator Pitch Generator.” Based on the old scenario that you might get lucky enough to gain access to a powerful decision maker in a place away from their gatekeeper staff like an elevator, enterprising people are encouraged to find a way to talk about their idea or business in a compelling way in under a minute. The pitch generator coaches you through the process of formulating that pitch.

After answering who you are, what you do to bring value, why you are unique in delivering value, what your immediate goals are and how the listener is involved in those goals, the generator analyzes the pitch. The generator tells you your word count, how long it might take to deliver it and notes how many times you repeated words. You have the opportunity to revise your pitch or email/print it off for use.

The second web page I came across (I apologize for not properly noting the source of the link) was on Katya’s Non-Profit Marketing Blog. Katya Andresen references Charles Green’s Trust-Based Selling where he talks about the six toughest questions customers ask sales people.

Katya uses this to create the 5 Toughest Questions Donors Will Ask:

1. Why should we choose to donate to your organization?
2. What makes your organization different?
3. What experience do you have?
4. We aren’t interested, why should we pay attention to you?
5. Why is your overhead so high?

She provides suggested answers to each and acknowledges there may be more toughest questions to add by asking readers what tough questions they have been asked.

The response I liked the best was to the last one, probably because it was expounded up at length in a separate blog post of its own.

“This is not about salaries. This isn’t about overhead. It’s about your heroic staff, creating amazing arts programs that transform the people you touch. The end results of your efforts is the story you tell in your fundraising pitch. That’s not self-serving! Your CEO talking about the lives you change is not self-promotion—it’s the beating heart of your mission. Say it loud and proud.

If I were at your arts organization, I’d tell an incredible story about one child touched by a single performance. And I’d say what made it possible was my small, dedicated team. With a donor’s support, more of that magic can happen.

You raise money by talking about the impact of your work—not about budget line items. If a donor demands to see the numbers and asks about pay, tell a great story about one of your staff to illustrate my point: that nothing wonderful happens without a creative, committed team. (I assume your staff isn’t being paid $1 million a piece—that’s something I can’t spin.)

The bottom line: Don’t be afraid of talking about your people. They aren’t overhead – they are change agents. If they do great work, put them front and center in your stories of transformation. To use a theater term, they deserve center stage.”

There is so much focus on minimization of overhead as a measure of a non-profits success, mostly brought on by a very small number of charities paying executives a great deal of money, that it is helpful to have a little guidance on the subject. Mostly, she is reminding us that it is the work that really matters and that is what should be talked about. Saying we need to pay a liveable wage to retain talented people may sound too similar to the arguments banks make that they need to pay big bonuses to retain the top talent for people to make a distinction. It is probably better to focus on the fact you are employing people who bring both talent and passion to effect change and follow Katya’s advice not to focus on the money.

It seems to me that you can use the elevator pitch generator to hone how you talk about your organization, especially to donors. Talking about how people have been affected may need to take longer than a minute to be properly persuasive. But while you don’t want to gloss over a compelling anecdote in order to tell the story of your organization in under a minute, what is said still needs to be lean and to the point.

Fundraising, Info You Can Use, Leadership, Management Philosophy, Marketing/PR, Terms and Ideas

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