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When Serving Bad Food To Patrons Can Solidify Their Loyalty

October 5, 2016

by:

Joe Patti

Over the years I have made many posts riffing on the idea that marketing it is the responsibility of the entire organization, not just a single department. For that reason, I was happy to see a recent case study report TRG Arts posted on that topic.

Working with Performing Arts Fort Worth (PAFW), they emphasized the need for everyone to be involved in the effort by simply including everyone in the conversation. PAFW started having patron loyalty meetings where they discussed the issues at hand, including the cost of retaining long time supporters versus attracting new individuals.

That’s when it clicked, and the floodgate of ideas opened up! House management said they were going to make patron loyalty a regular topic at their usher meetings. Someone suggested they send patrons a voucher for a free drink in their birthday month. Someone else suggested they turn the process for testing new concession products into a tasting event for loyal patrons. There were many more ideas that came up, and there were a number of people who said they would take responsibility for implementing ideas. “I never was a part of that process” quickly became “I understand our shared goal and I want to help.”

I particularly liked the idea of involving loyal patrons in a tasting of new concession products. Even if the new options weren’t tasty, the idea that your input was valued could go a long way to cementing a patron’s relationship with the organization. I am curious to know if PAFW has implemented that idea.

There was one thing the TRG piece mentioned that caught my attention:

And yet, there were legitimate operational questions that needed to be answered. If a VIP Presenter would like their complimentary drink in a souvenir cup, whose budget gets charged for the cup? How far can I go (and should I go) to make a patron happy?

The sentence evoked a memory of an episode of the West Wing when newly appointed chief of staff CJ Cregg is running into a lot of opposition from the Secretary of Defense over some new initiative (I think it was accepting the nuclear bombs form the Republic of Georgia). She has a realization that his resistance is based in the fear that the funds to implement this will come out of his budget.

As idealistic as you may be, there is always a cost of some sort associated with every good idea. So if you insist that marketing is everyone’s responsibility, you are insisting that everyone bear some degree of additional cost to implement this directive. The cost may be in time, resources or money.

It will be important to communicate that marketing/patron retention/whatever you call it, is a priority for the organization and allowances (and perhaps allocations) will be made to enable the achievement of this goal. Otherwise internal resistance may thwart your efforts from the start.

Audience Relations, Marketing/PR, Volunteers

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Wherein Resides The Identity of A Group?

October 4, 2016

by:

Joe Patti

When I was taking a college philosophy class we got into the classic debate about where identity resides in a person or thing. If you have a boat and gradually replace every board over the course of five years, is it still the same boat? When did it become a different boat?

The same with humans, if you replace every limb with prosthesis, when does the person cease to be themselves and become a cyborg? When are they essentially a machine?

Sci-Fi really lends itself to the debate: if Capt. Kirk is completely disassembled into atoms and beamed to a planet in a matter transporter and his atoms reassmbled, is he still the same Capt. Kirk that left the Enterprise?

I got to thinking about this topic when I saw the new version of The Magnificent Seven this weekend. There were some significant plot points shared by both the original version and The Seven Samurai, which inspired the original, that weren’t really featured in the newest version. The boastful young gunslinger was missing, for example, but there was a similar plotline in the Clint Eastwood movie, Unforgiven, which also has a lot of common plot points with both versions of The Magnificent Seven. Westerns in general probably share a lot of the same plot lines with each other if we get right down to it.

I am really only stopping off at The Magnificent Seven to pose a question about the ethics of presenting a group with a famous name which is comprised of few, if any, of the original members. Just because a group has the legal right to use a name, and the controversies over who gets to do so can fill a few blog posts, when does it become an issue of misrepresentation when it comes to audience expectations?

Yes, everyone probably knows that Glenn Miller and all of the members of the original orchestra are no longer playing together when they go to a concert. (There are, in fact, four different groups around the world licensed to use that name.) On the other hand, the keyboardist for the band War is the only original member still performing with the group.

There are some very public debates that rage about whether a band went downhill after a key member left or if the group was better off without the bum, but for the most part people aren’t terribly aware of the shifting line ups of most groups over the years.

If you are thinking of presenting such a group, you may have the unenviable task of determining if the soul and identity of the group has departed and deciding whether to pursue the engagement.

Then there is the related question of, what are people buying? Are they buying an opportunity to relive memories of what they were doing when they heard this song and the line up doesn’t matter so much? Or are they buying a return to their past fandom when they originally saw the group in concert and details do matter?

This isn’t just a question that nags at popular music. What if the conductor who is closely identified with an orchestra and creating their distinctive sound moves on? Or even going back to the original idea, if there are 80 odd musicians who were part of the ensemble that created the signature sound of the orchestra, as each departs over the years, what is the tipping point where a new orchestra exists?

How much do any of these things matter? Well, in terms of popular music, there is potential for issues as members of groups die and the prospect of a reunion of the originals wanes. Not everyone can afford whatever preservation techniques The Rolling Stones are using.

Is it just the case that people need to move on and accept progress? Is this true in all scenarios? How do you know which scenario is a bridge too far in terms of faithfully and ethically providing what you are advertising?

Audience Relations, Marketing/PR, State of the Arts

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Info You Can Use: Revise Your View Of Contracts

October 3, 2016

by:

Joe Patti

I don’t regularly crosspost about things I have written on Arts Hacker. I sort of feel like I am cheating readers by trying to make one post do double duty on two websites.

However, I have a post today about a session on contracts conducted by the partners at GG Arts Law at the recent Arts Midwest conference. As I mention in that post, contracts and legal issues always seem to be a concern for arts managers. I have attended multiple conferences in different regions and contracts and law sessions are always well attended, even if they deal with the exact same subject matter as the year before.

What grabbed me about this session was that Brian and Robyn from GG Arts Law started by telling attendees to shift their thinking about why contracts exist and what they are used for. On television and in the movies, we often see someone suffering under the constraints of a contract they signed and perhaps they get saved by some obscure provision on the bottom of page 731.

While that might be closer to reality for big corporations, it isn’t really applicable on the scale most arts organizations operate on.

Which isn’t to say it doesn’t happen or people don’t try. I believe it was Brian from GG Arts Law that related a story about a contract that was being translated from Spanish where the person was only going to translate part of the contract because they intended to spring a “gotcha!” on the other party using the contents of the untranslated portion.

What Brian and Robin tried to convey was that contracts should be used to memorialize the details of an agreement at the end of a conversation rather than be used at the start of a conversation. If someone follows up an inquiry by immediately sending their contract, don’t be afraid to start taking notes or marking it up with the changes you want. There are no iron-clad, non-negotiable industry standards no matter how much people may swear there are.

Even though people are often intimidated by contracts or see it as a bludgeon with which to enforce behavior, that isn’t really what it is for.

Take a look at my post and give the concepts there some serious thought. It may change your whole relationship with the contracting process.

There will be two other posts about contracts coming up on Arts Hacker. The second should appear on Wednesday and is a continuation of my goal to provide general information about contracts. The third is more focused on collaboration and commission contracts and will appear at some point in the future.

Info You Can Use, Legal Topics, State of the Arts, Working In The Arts

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Non-Profit Arts Version Of “The Talk”

September 28, 2016

by:

Joe Patti

From what I have been reading, the new Fair Labor Standards Act regulations regarding overtime pay is going be pretty tough for non-profit arts organizations to handle. If you aren’t up on the news, the salary threshold part of the overtime exemption criteria will rise from $23,660 to $47,476. Anyone making less than that or who doesn’t meet the other criteria for exemption will need to be paid overtime.

Generally, most of the criteria hasn’t changed so the big issue for non-profits is the salary threshold. Last month, American Theatre did a pretty good job of covering how the new rules will impact theaters specifically. There have been articles about non-profits in general, but few that discussed how arts organizations were planning to address the change.

The reason I say this new requirement is going to be tough is because some of the comments of the interviewees made me cringe. One person mentioned the benefit of staffing their organization with young 20-somethings to take advantage of the fact they would still be living at home and under their parents healthcare. Another respondent estimated the cost of living in their anonymous mid-size Midwest city was $20,000/year which I suspect is misinformed. The lowest costs of living, even for small Midwest cities, I found hovered around $25,000.

While I cringed at some of the tactics people were generating to deal with the projected expense they were going to incur, I didn’t view them as particularly extraordinary. The alternative approaches being considered are absolutely typical of the problem solving process arts organizations engage in. This is the sort of unorthodox creativity you have to employ to pull things off in the non-profit arts.

The problem is that depending on stop-gap measures and pressure of organizational culture will no longer be viable in the face of this new salary threshold and expectations of a work-life balance that new employees are bringing to the workplace. The gulf will literally and figuratively be too wide to straddle.

This is going to be one of those situations that is going to result in a lot of negative news before it gets better. Doubtless there will be cases we will be amazed have lingered only to explode somewhat scandalously a decade down the road (or sooner since the salary threshold for non-exempt moves to $51,000 in 2020).

The situation is likely to force long delayed conversations between arts organizations, their funders, boards, audiences and employees about what is really required to operative effectively.

The only consolation is that this conversation will still be way easier than talking to your kids about sex.

I don’t think I am being especially prescient when I say now would be a good time to develop a cogent response to the statement “Arts need to be self-supporting or close,” and start distributing the talking points to everyone. It is guaranteed that sentiment will be expressed constantly.

At the same time, a serious discussion about business plans and legal structures employed by arts organizations may become unavoidable. We may see groups recreate and reinvent themselves. Especially if non-profits are permitted to retain their assets as they transition into a corporate entity with a different tax structure.

All this being said, the American Theatre piece discusses how organizations are already making efforts to implement constructive measures to prepare for these changes.

Maybe around this time next year when people have been operating under the new rules for 9-10 months, I will suggest to Drew McManus that ArtsHacker do a series on some practices and restructuring efforts that initially seem to be working. The salary changes are going to have too significant an impact on the arts industry not to share advice about what has been successful for the organization and beneficial to employees.

In the meantime, I will work on learning more about the implications of FLSA rules in order to provide tips about how to prepare for the changes.

For example, many organizations may not know that use of comp time to offset “binge-and-purge” schedules around production time is already illegal and is about to become more so for a wider range of employees.

But this kind of comp-hours time-shifting isn’t kosher under FLSA provisions. If a non-overtime-exempt employee works 60 hours one week, say, they can’t offset that by clocking just 20 the next week; they’ll be earning their regular salary for the 20-hour week and time-and-a-half for the hours over 40 in the 60-hour week. This was always the case under the FLSA, but with the new $47, 746 threshold, it will apply to many more employees than before.

Government Relations, Info You Can Use, Legal Topics, New Initiatives, State of the Arts, Working In The Arts

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