INFORMATION SESSION A Pilot Collaborative Arts Marketing Initiative “I need someone to convince me, - say come!” SEPTEMBER 2012

CONTEXT The Victorian arts sector comprises hundreds of organisations who strive to develop new audiences, increase box office revenues, attract sponsorship and philanthropic support. Within an environment of fierce competition for people’s leisure time and dollars On limited resources and capacity – with varying degrees of success In aggregate, operating costs are increasing at a faster rate than revenue growth. Even where patronage is increasing, margins are declining. When we ask funded organisations, “funding aside, how can the government best support them?”, the response is consistently, “assistance with marketing, income generation, audience development, public relations….”

QUALITATIVE RESEARCH INSIGHTS Attitudinally, those who attend rarely or occasionally are: Proud of Victoria’s diverse arts and culture: “I think Melbourne is fantastic for the arts, it’s creative, it’s stimulating.” “It makes Melbourne unique.” “It affects your emotions….makes you laugh, shocks you – it’s beautiful.” Spoiled when it comes to choice about what to do with leisure time and dollars: “Sometimes there’s too many things.” “There’s so much going on I sometimes feel it swishes past me.”

RESEARCH INSIGHTS Are looking for a good night out: “The four of us we usually eat out beforehand – you look forward to it; make a night of it” “It has to be an evening out. Not just walk in, see the show, walk out. It’s bigger than that, it’s a night out.” “If my mates will come with me, it’s like a social thing.” Open to doubling their attendance: “I need to do this more often…. I feel really good… I feel exhilarated, and I feel really alive.” “I remember seeing it and thinking, ‘Oh, that’d be good’, and then I just never did anything about it….we always say, ‘Oh, we should do that more often’.”

QUALITATIVE INSIGHTS Often unaware of programming they would enjoy or like to attend: “They don’t sort of pop top of mind” “Where would I go for… no idea, no” “It’s invisible” “So these kind of things aren’t directly in front of you and we’re in that generation where if its not right there we don’t bother chasing it down.” “We don’t really know what’s on” “The ads are lost in amongst the movie theatre titles and what bands are playing at what pubs.” “No, never heard of it.” “I didn’t know those places existed.”

QUALITATIVE INSIGHTS Price and value sensitive: “Money, it really all comes down to the cost.” “It’s just so expensive and you know if you’re not quite sure whether you’ll like it or not.” “You want value for money. You’re there to be entertained – a laugh, a cry, to be uplifted by a story, to get the beat of the music, you want to walk away feeling ‘I enjoyed that – that was really good’.” “I’m scared that I’ll go there and I’ll be bored and then I’m reluctant to go.” “Actually very reasonable, I had no idea.”

QUALITATIVE INSIGHTS Need to be effectively marketed to in a changing media landscape: “Social media creates awareness more than anything.” “I’ve just got no idea what they’re talking about.” “I thought I’d consider it and I thought oh this looks boring, it looks like cricket, I hate cricket……” “Because it just looks cheap and nasty.” “Information is my big thing – getting it well ahead of time. I like to be pushed – the information pushed at me.” “You can’t see clearly what it is, you have to pick it up and make the effort to read the whole thing.” …You’re picking it up and squinting at it…”

Mainly singles, couples and sharers, aged per cent born outside Australia, often in Asia and Britain Highly educated professionals and managers Multi-dwelling units in the inner city attracting above average prices Over 50 percent of properties are privately rented High earnings are increased by shares and interest from savings High rents and home loan repayments Exercising, going out and technology are common interests Mosaic Group C – Young Ambition 5.9% The wealthiest households in Australia Various cultural backgrounds including Europe and Asia Educated professional or managerial couples raising mature families Most desirable suburbs in metropolitan and regional Australia Houses are owned or being purchased Incomes above $160,000 per annum The highest spending power of all Mosaic Groups Active lifestyles and keen users of technology Mosaic Group A – Privileged Prosperity 8.4% 126,000 in Greater Melbourne, with 8.66% penetration 149,000 in Greater Melbourne, with 6.91% penetration GEO-DEMOGRAPHIC PROFILING MOSAIC geo-demographic profiling has shown that penetration into key segments is low:

Middle-aged, professional families with preschool and university aged children Successful professionals employed in finance, health and education Located in family suburbs, with an over-representation of townhouses and terraces Highest ranking neighbourhoods of people with Jewish backgrounds High property prices regularly exceeding $1m Household incomes greater than $130,000 per annum Substantial home loan and rental payments and low credit risk Enthusiasts of cultural and sporting events, food, wine and national newspapers Mosaic Group B – Academic Achievers 6.2% 147,000 in Greater Melbourne, with 6.91% penetration Mosaic Group G – Learners & Earners Culturally diverse mix of young singles and home sharers aged Over a third of all students are attending university or TAFE Educated professionals working in the finance, leisure, or technical industries Apartments in the inner city and suburban centres Least likely Group to own a vehicle Students have little income, but workers earn an average wage Rental values are around average, although home loans are high Busy social lives, interest in world affairs and technology 70,000 in Greater Melbourne, with 3.79% penetration GEO-DEMOGRAPHIC PROFILING

HEAT MAP – AUDIENCE POTENTIAL

THE RESEARCH HAS SHOWN THERE IS AN OPPORTUNITY To stimulate the latent demand To engage more people from the segments most likely to attend To work together to get more people engaged in the arts – to make a bigger pie BUT We need to get the right message to the right people in the right way at the right time

WE’VE BEEN THINKING…. WHAT IF? 4-8 arts organisations work together in a collaborative marketing group (The Ginger Group) Commonality of geography and/or audience type and/or art- form Objective: Build profile and a cohort of supporters/patrons which leads to increased ticket sales, sponsorship support, donations = increased sustainability and financial independence

THE OFFER Arts Victoria will provide financial support and the appropriate experts, mentors and suppliers, to a Ginger Group comprising organisations who are eligible for funding Participating organisations need to: Give a whole-of-organisation commitment to the project for two years Be collaborative, open and prepared to share information with each other and Arts Victoria – and the project learnings and outcomes with the sector Have the internal capacity and capability to implement and embed Be prepared to take some risks and do things differently Have active and attractive programming

UNCHARTERED WATERS The composition of the group and their particular needs and objectives will inform the way forward - However, the steps involved will be: 1.Information Sessions – Sept/Oct 2.EOI/Selection Process – Nov/Dec 3.Strategic and tactical planning informed by research and market insights – Dec/Jan 4.Produce the channels and tools needed, e.g. CRM, digital platforms, PR, photography, copywriting, graphic design – Jan/Feb 5.Implement – Feb onwards 6.Measure: Combination of metrics including: ROI, ticket sales, revenue generation, sponsor support, database development, qualitative measures - as agreed with the Group

THANK YOU QUESTIONS & COMMENTS To discuss this idea, or your participation, please contact a member of the Arts Victoria marketing team: – – –