Assessing the Value and the Assessing the Value and the Impact of the Performing Arts in Impact of the Performing Arts in

the U.S.Athe U.S.A

Presenting and Performing Presenting and Performing OrganizationsOrganizations

75%

25%

ValuableIndifferent

1. What do Americans think about 1. What do Americans think about attending live performance?attending live performance?

Do the performing arts improve the Do the performing arts improve the quality of life in your community?quality of life in your community?

80%

20%

AgreeDisagree

Do the performing arts contribute to Do the performing arts contribute to the development and education of the development and education of

children?children?

90%

10%

AgreeDisagree

Two Groups of Focus:Two Groups of Focus:

1. Not for profit presenting 1. Not for profit presenting organizationsorganizations

Non-Profit OrganizationsNon-Profit Organizations All money earned goes directly back into the All money earned goes directly back into the

organizationorganization

For-Profit OrganizationsFor-Profit Organizations All money earned is distributed amongst the All money earned is distributed amongst the

investorsinvestors

Category 2Category 2

Non for profit producing groupsNon for profit producing groups

Four Categories of Presenting Four Categories of Presenting OrganizationsOrganizations

1. University Presenters1. University Presenters

2. Large and Medium- sized Performing Arts Centers2. Large and Medium- sized Performing Arts Centers

3. Small arts organizations presenting primarily new 3. Small arts organizations presenting primarily new worksworks

4. Culturally specific organizations4. Culturally specific organizations

University Performing Arts CentersUniversity Performing Arts Centers

Main funding comes from two areas:Main funding comes from two areas:

1.1. The UniversityThe University2.2. Ticket SalesTicket Sales

Ticket SalesTicket Sales

55%

45% VariousTicket Sales

Performing Arts CentersPerforming Arts Centers Private FoundationsPrivate Foundations

Ticket Sales 30 – 50%Ticket Sales 30 – 50%

Government Grants (NEA)Government Grants (NEA)

Small Arts OrganizationsSmall Arts Organizations FoundationsFoundations IndividualsIndividuals City and State OrganizationsCity and State Organizations Ticket Sales (14%)Ticket Sales (14%)

Culturally Specific OrganizationsCulturally Specific Organizations Small budgetsSmall budgets Volunteer BasedVolunteer Based

Figures between 1982-1997Figures between 1982-1997

01020304050607080

Percentage ofCentersOpened

Revenue

Non-profitFor-profit

Not for Profit Producing GroupsNot for Profit Producing Groups

SymphoniesSymphonies Total number of concerts performed in the last Total number of concerts performed in the last

decade rose 30%decade rose 30% Between 2003-2004 orchestras performed Between 2003-2004 orchestras performed

more than 36,000 concertsmore than 36,000 concerts 17,000 were educational17,000 were educational Generated $1.7 billion in revenueGenerated $1.7 billion in revenue

Average Orchestra Ticket PricesAverage Orchestra Ticket Prices

01020304050607080

1985 1995

Ticket Prices

Increase in RevenueIncrease in Revenue

01020304050607080

1996 2006

ExpensesRevenue

Income PercentagesIncome Percentages

IncreasedIncreased ConcertsConcerts EndowmentsEndowments Private ContributionsPrivate Contributions Other earned incomeOther earned income

DecreasedDecreased Income from Income from

government grantsgovernment grants

RevenueRevenue

0102030405060708090

2003 2004

GovernmentGrantsPrivateContributionsConcerts

Expenses Expenses

05

1015202530354045

2003-2004

ArtisticPersonalConcertProductionFundraising

Classical MusicClassical Music Over half of the audience at traditional Over half of the audience at traditional

concerts is over the age of 55concerts is over the age of 55 12% attended a classical performance in 200212% attended a classical performance in 2002 25% listened to one on the radio25% listened to one on the radio 45-64 year olds are most likely to attend 45-64 year olds are most likely to attend

performances performances

TheatreTheatre 61% of the 1,447 theatres looked at have 61% of the 1,447 theatres looked at have

budgets of $250,000 or lessbudgets of $250,000 or less Non-profit theatres contributed over $1.6 Non-profit theatres contributed over $1.6

billion to the U.S. economy billion to the U.S. economy

Theatre’s Economic ImpactTheatre’s Economic Impact

$0$50,000,000

$100,000,000$150,000,000$200,000,000$250,000,000$300,000,000$350,000,000$400,000,000

1996 2002

110% Increase

Non-profit vs. CommercialNon-profit vs. Commercial

57%

43%Non-ProfitCommerical

Facts on TheaterFacts on Theater Theatres profiled in 2004 filled an average of Theatres profiled in 2004 filled an average of

71% of their seats with paying customers71% of their seats with paying customers Subscription prices have risen 21%Subscription prices have risen 21% While ticket prices have risen 24%While ticket prices have risen 24% Foundation money declined each yearFoundation money declined each year

Where the money is spent?Where the money is spent?

67%

15%

11%7%

PayrollMarketingOccupancyProduction

DanceDance Northeast and West regions of the U.S. have the Northeast and West regions of the U.S. have the

largest concentration of dance companieslargest concentration of dance companies

Tax Exempt Dance CompaniesTax Exempt Dance Companies

0

20

40

60

80

100

120

140

1987 1997

BalletModernFolk/EthnicNot Designated

IncomeIncome GrantsGrants AuctionsAuctions ContributionsContributions Ticket SalesTicket Sales

Ticket Sales vs. ContributionsTicket Sales vs. Contributions

0102030405060708090

1989 1999

ContributionsTicket Sales

Average Government Grants AwardedAverage Government Grants Awarded

$0

$10,000

$20,000

$30,000

$40,000

$50,000

$60,000

GovernmentGrants

19882001

OperaOpera Only 10% of patrons would not be interested Only 10% of patrons would not be interested

in trying a new operain trying a new opera 40% of these were in their 40s40% of these were in their 40s 25% were eager to attend new and rare 25% were eager to attend new and rare

performancesperformances 80% of opera goers will see the same opera 80% of opera goers will see the same opera

twicetwice

SubscriptionsSubscriptions

Support and sustain the artsSupport and sustain the arts Preferred seatingPreferred seating Advanced PlanningAdvanced Planning

Overview of All Performing ArtsOverview of All Performing Arts

Factors Contributing to RiseFactors Contributing to Rise Increasing quality of electronically reproduced Increasing quality of electronically reproduced

substitutes for live performancessubstitutes for live performances Rising costs of attending a live performanceRising costs of attending a live performance Preference for home-based leisure activitiesPreference for home-based leisure activities Flexibility in schedulesFlexibility in schedules

What type of performance where What type of performance where they attending?they attending?

02468

101214161820

1982 1992 2002

ClassicalOperaMusicalsPlaysDance

What type of music are these What type of music are these patrons listening to?patrons listening to?

46%

36%

18%

Classic RockCountryOther

Mid-sized OrganizationsMid-sized Organizations Strong, on-going programmingStrong, on-going programming Reduction of wage growthReduction of wage growth Avoidance of new works to avoid royalty Avoidance of new works to avoid royalty

paymentspayments Choosing productions that require fewer artists Choosing productions that require fewer artists

and/or scene changesand/or scene changes Cutting rehearsal timesCutting rehearsal times Targeting niche audiences with a predictable, Targeting niche audiences with a predictable,

loyal audiencesloyal audiences

EducationEducation Live arts in the schools have not been a Live arts in the schools have not been a

priority in many statespriority in many states Exposure to the arts at a young age coupled Exposure to the arts at a young age coupled

with a sound general education will result in with a sound general education will result in increased arts attendanceincreased arts attendance

FinanceFinance Larger organizations are more likely to sustain Larger organizations are more likely to sustain

themselvesthemselves Smaller organizations experienced decreased Smaller organizations experienced decreased

audiences and fewer donations after 9/11audiences and fewer donations after 9/11

Political StatePolitical State The current government's push for homeland The current government's push for homeland

security has made people fearfulsecurity has made people fearful

The FutureThe Future A recognition and respect for global A recognition and respect for global

interdependenceinterdependence

SpasiboSpasibo

Thank You Thank You