Creative New Zealand | Move on Up - 21st Century Audience-Focus Coaching Programme 2010
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“Move on Up has provided a catalyst to bring all staff on board through a creative strategic process that has revealed a confidence and excitement about our future.” Euan Murdoch, CEO, Chamber Music New Zealand Creative New Zealand | Move on Up 21st Century Audience-Focus Coaching Programme 2010 A Creative New Zealand National Audience and Market Development initiative in partnership with Morris Hargreaves McIntyre
Introduction Creative New Zealand, in partnership with Morris Hargreaves McIntyre (MHM), launched Move on Up, a 21st Century Audience Focus Coaching Programme, in 2007 to enable organisations to move through a change process to become increasingly vision-led and audience focused. The aim of Move on Up is for participant organisations, by making this transition, to understand, reach out to, communicate and engage with more people, more effectively and, in doing so, to be more successful and stable organisations. This exemplar programme is designed to take four organisations through this development process in 2010. For the programme to work as an exemplar, it is important that the three organisations selected to participate are able to embrace and deliver a project that other organisations can emulate. To do this, selected organisations must have the following five characteristics: Financially solvent / strong financial management Strong leadership Strong artistic vision Open to change Access to their own audience data Context The Evolution of Arts Marketing Research by MHM shows that the development of arts organisations, the kinds of objectives they set and the changing relationship they seek with the audience can be mapped onto four distinct stages of evolution described in the following model: 2
PRODUCT FOCUS SELLING FOCUS MARKETING FOCUS AUDIENCE FOCUS PRODUCT PRODUCT PRODUCT PRODUCT Assume product is Won’t sell without Enhanced by services Audience focused: desirable. substantial effort. and responsive product differentiated relationship. by segments. MARKETING FUNCTION MARKETING FUNCTION MARKETING FUNCTION MARKETING FUNCTION Important to sell Communicating Philosophy shared Information and benefits and build efficiently with throughout promotion. brand. customers. Feeding organisation. market intelligence into Organisation MARKETING the company. responsive and MARKETING RESOURCES MARKETING communicating RESOURCES Increasing resources. RESOURCES effectively. Low resources, low Tactical management Increasing resources. MARKETING status. status. Research budgets. RESOURCES Strategic management Allocated as MARKET KNOWLEDGE status. appropriate to achieve MARKET KNOWLEDGE Needed to know where MARKET KNOWLEDGE objectives. Research Irrelevant. to find the market. Understanding of budgets. location, profile and MARKET KNOWLEDGE behaviour of existing Understanding of market. needs, wants, attitudes and benefits sought. In each successive stage, the organisation becomes increasingly focused on its desired relationship with the audience, the impacts that constitute success and the infrastructure necessary to achieve that success. In the UK, many performing arts organisations moved away from their original ‘product’ focus and had initial commercial success in adopting a ‘selling’ or ‘marketing’ focus. Much of the sales and marketing practice they adopted was imported from the USA. However, most have found that they were unable to sustain this initial success and that the inevitable increasing focus on financial targets has produced short-termism and low planning horizons in both audience and artistic development. Ultimately, they’ve found that this sales-driven approach conflicts with their artistic vision and audience development ambitions. During recent work in New Zealand, MHM found similar patterns and trends; organisations adopting common practices in international arts marketing that they do not regard as good practice and which are not routes to ultimate artistic or audience success. Move on Up helps arts organisations move swiftly through his evolutionary curve, reaping the benefits of good sales and marketing practice but 3
focusing clearly on the strategic benefits of an artistically-led but audience focused approach. Box Office Data The most significant characteristic of New Zealand performing arts organisations is that, historically, many do not have control over or ownership of their Box Office data. This is because many reply on third party ticketing agencies. Ticket agencies restrict access to the data and therefore organisations cannot interrogate their own booking records, nor build close relationships with their patrons. This situation restricts the ability of organisations to operate as anything other than selling-focused operations. Use of third party ticket agents, therefore, engenders a passive approach to audience development. This development programme aims to help organisations become more proactive in building and conducting relationships with their customers. Arts organisations in New Zealand are already recognising the need for control of their data. Creative New Zealand has taken the initiative here in the commissioning of FULL HOUSE: Turning Data into Audiences. A number of recent developments include the installation of PatronBase and Tessitura systems in leading organisations and Creative New Zealand’s Vital Statistics Agency project. What is the process of change? Real strategic change requires a fundamental process of review and planning. It needs to involve everyone in the organisation, from board members to front of house and draw in funders and other stakeholders. It requires organisations to revisit and re-articulate their vision and purpose, to describe how they want to work and how they want to relate to their audience. It challenges them to define the impact they want to have and to measure that impact. It requires leadership from the most senior staff and the re-engineering of the business and its practices. The external management consultancy that MHM will provide combines the role of challenger, critical friend, mentor, coach and advocate. It is an opportunity for professional as well as organisational growth. 4
Programme Schedule for 2010 Overview The Move on Up Audience Focus Coaching Programme provides the only opportunity of its kind in New Zealand. Participants concentrate on all aspects of the audience focus process, benefiting from expert coaching and sharing experiences with one another, away from the everyday working environment. The aim is to introduce participants to a set of concepts that will facilitate a process of change to become an audience focused organisation. This will involve a seven-stage process: 1 Review 2 Concept, Vision and Objectives 3 Strategy development 4 Performance measurement 5 Implications and planning 6 Implementation 7 Evaluation Creative New Zealand also requires the organisation to evidence progress and disseminate learnings to other arts organisations in their role as exemplars. The model below illustrates the process: 5
Stage 1 | Review Morris Hargreaves McIntyre (MHM) will provide an induction manual and a template for the organisation to undertake a thorough self-audit, drawing together data about their market, competition, audience, patterns of attendance, their marketing and its effectiveness. MHM will request a report on staff and governance structures and their skill base. Finally MHM will ask the organisation for existing and previous planning documentation – mission and vision statements, forward, business and marketing plans, budgets, details of communication spend, subscription schemes etc. although the organisation will have thorough guidance notes (paper and web), MHM will also provide advice, support and clarification by phone and email. While the organisation is undertaking its own audits, MHM will undertake a broader situational analysis, looking at any broader market data available; estimating the size of the market for various art forms; exploring the political, economic, social, geographical and technological context in which arts organisations in New Zealand are operating. Stage 2 | Concept, Vision & Objectives MHM will spend a full day with the organisation first meeting with/interviewing key senior managers and then facilitating a day-long workshop for staff and stakeholders. The workshop will introduce the concept of audience focus and challenge the organisation to apply the seven characteristics of an audience focused organisation to its own situation. MHM will lead participants through a process of re-visiting and re-articulating its vision and objectives to ensure that audience focus is embedded. Stage 3 | Strategy development The organisation will then review its existing strategies and plans and identify the changes to practices, product, marketing and audience development required to achieve its audience-focused objectives. MHM will support this review process remotely with advice and guidance and then spend a second day with the organisation to help finalise key decisions and identify any changes to structures and practices that may be required. 6
Stage 4 | Performance measurement MHM will guide the organisation through the process of identifying measures and targets that will constitute a framework of performance indicators for the development process. Stage 5 | Implications and planning The organisation will then turn the agreed strategy into specific detailed plans that allocate responsibility, resources and timescales. Again MHM will review these and offer feedback, support, advice and guidance as necessary. Stage 6 | Implementation The organisation will implement its plans. MHM will monitor their progress and provide advice on how to keep their development programme on-track. MHM will spend a third day with the organisation, reviewing progress and helping to resolve problems that are a risk to the programme’s success. Stage 7 | Evaluation Using the performance indicator framework, the process and its outcomes will be documented. MHM will help the organisation to gather and evaluate three types of information: impacts of Move on Up on the audience impacts of Move on Up on the organisation reflections on the operation of the Move on Up programme itself The latter two will have meaningful results by the end of June 2010. The organisation is required to continue reporting the first two over a longer timescale (2 – 3 years). 7
Consultancy Team Morris Hargreaves McIntyre is a creative and intelligent UK-based arts management consultancy working in the interests of audience and organisational development. The company combines thorough project planning with incisive, deep analysis, lateral thinking and detailed, intelligent strategic planning to produce relevant, helpful and high quality reports with practical recommendations. Their services include: • strategic analysis, planning, and development • product and service development • feasibility studies • market appraisals • marketing audits, strategies and plans • audience development strategies and implementation • access strategies • in-service training • training needs analysis • training programmes • organisational development • change management. Most of their projects are research-based. They have a fully integrated market research service that undertakes: • quantitative research • qualitative research • telephone marketing • community consultation Move on Up will be led by Andrew McIntyre Co-Director of Morris Hargreaves McIntyre with input from his colleagues. Andrew is one of the UK’s leading authorities on arts marketing and audience development. He has devised some of the most innovative techniques, led highly successful projects and published widely read texts on how to attract, retain and develop audiences. 8
Andrew is a popular speaker and trainer, giving arts professionals real insight into the minds of the audience, a toolkit of skills and techniques and the inspiration and confidence to try them out. He doesn’t just do theory – he is best known for devising the Audience Builder system and powerful tools such as TestDrive, TelePrompt and Audience Atlas. Andrew has served as Chair of the Visitor Studies Group UK and teaches cultural policy at Goldsmiths College, London. Earlier this year, Andrew was a speaker at Creative New Zealand’s 21st Century Arts Conference and in 2006 he helped set-up the Test Drive pilot initiative with Auckland Theatre Company, Auckland Philharmonia Orchestra, The Court Theatre and Christchurch Symphony Orchestra. Fees The programme fee is $5,000 plus GST. In return each organisation will receive a consultancy to the value of $20,000 plus GST through input and support in three ways: direct contact (workshops, interviews, coaching) telephone and email support written materials (audit structures, planning framework, conceptual models, insights) As the programme develops, the organisation may also gain access to tactical funding for Test Drive, data or other implementation costs. 9
Timetable of Outputs Module Date Stage 1: Review January ‘10 Stage 2: Concept, Vision, w/c 8 Objectives February ’10 Andrew McIntyre visit to NZ Stage 3: Strategy w/c 9 April ‘10 Development Andrew McIntyre visit to NZ Stage 4: Performance * measurement Stage 5: Planning * Stage 6: Implementation w/c 14 June ‘10 Andrew McIntyre to visit NZ Stage 7: Evaluation * * further dates to be advised Testimonials from 2008 Participants Chamber Music New Zealand, Centrepoint Theatre and the Fortune Theatre were the participant organisations in the inaugural Move on Up programme. Comments from these organisations on the programme include: “On a daily basis we using the terms 'on-brand', 'outcomes', 'essence' as a shared vocabulary which is very useful. We are now refining and developing the identified 'strategies' and 'actions' as constant reference for priorities / planning / programming.” Rhana Devenport – Gallery Director, Govett- Brewster Art Gallery “Move on Up has provided a catalyst to bring all staff on board through a creative strategic process that has revealed a confidence and excitement about our future.” Euan Murdoch, CEO, Chamber Music New Zealand “Profound. The programme has personally come at a time that management was in need of inspiration and encouragement. It has also provided us with the 10
tools to start developing thought and discussion with board, artists and partners. Response has been uniformly creative, reciprocal and positive. Move On Up has reintroduced us to our vocation.” James Ashcroft – Creative Director, Taki Rua Productions "Move on Up has revolutionised and revitalised our company. We feel like a bottle of Fanta, given an almighty shake, with the cap ready to blow! Through Move on Up we have gone from an introspective, dependent company that chased multiple strategies in the aim of fulfilling shifting objectives to an audience focused, vision led company that is determined to create its own future. The brand focus has had an immediate effect; it shapes every decision we make, from where we invest our financial resources to what loo paper we choose. Our strategic plan was a document of 35 pages that sat in the drawer. It is now a one page visual, living document that sits above my desk. I use it daily to guide my decision making and measure my success. It works for me, not me for it." Simon Ferry, Artistic Director Centrepoint “[Move on Up] has taught me that the business and creative sides of arts management come from the same impulse and it has clarified for me the purpose and importance of a strategic audience focus in a practical and useable way.” Simon Vincent – Council Member, Circa Theatre “I feel that if we knew then what we know now about the process, we would have been more diligent about the level of Board involvement. I was lucky enough to attend all three sessions and despite the 100's of these sorts of things I have been to over the last 20 years, I would rate this as one of the best.” Scott Mason, Treasurer, Fortune Theatre “If I have a dilemma or question about what action to take in a situation, a glance at the plan helps clarify my decision making. When allocating resources, the plan is clear. It is brilliant having the plan on the wall in front of me instead of having to leaf through a multi-paged boring document that, generally, I didn't even believe in that much.” Julie Barnes, Business Manager, Centrepoint Theatre “It has given me a new way of looking at how we work and more importantly – the people we do the work for – our audience.” Janice Marthen, CEO, Fortune Theatre Further Information If you have any questions, please contact Jooles Clements, Senior Adviser Audience Development, on 09 377 8750 or jooles.clements@creativenz.govt.nz 11
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