Tara,
That is a great question - and a potentially smart business move. While I cannot answer your question for you, here are some general things to consider.
1) Your price sets the standard for the value of your offering. Consumers' perceptions about the quality of a product or experience can be influenced by the price.Things that can be had for little to nothing aren't as valuable or worthwhile as products or experiences that cost a bit more. Of course, that does have a limit. The key will be finding the
right pricing model. Even if you offer discounts and promotions to offset what people actually pay, you have established a firm sense of value for the experience.
In your current model, you are inadvertently placing a burden on your visitor: "Welcome, Visitor, but please tell us what YOU think this experience is worth." You immediately put your organization in position of weakness: You're letting others define the value of your mission and opening yourselves up to be taken advantage of by deal-hunters (when the "Groupon mentality" hurts more than helps - and non-profits are not immune from it).
If you think of a donation-based structure as a bucket, you have a wide brim at the top (optimistically hoping for generous visitors to over-pay - which is VERY infrequent), but you have a big hole in the bottom (allowing people to dramatically under pay or pay nothing at all - which is far more frequent). A plugged hole makes the bucket more effective than a wide brim.
2) The general public is already conditioned for admission fees to museums. While not uncommon, donation-based or pay-as-you-wish admission is the minority in the industry.You have a limited and finite group of visitors that know your current model - but those who haven't experienced you yet do not know any different.
Your loyal visitors, members, and supporters already know you are a thoughtful, intentionally-stewarding non-profit. They will understand any changes you make in order to sustain and grow your mission - especially if you reward their loyalty through member/donor benefits.
3) Technology can more readily support you. I'm not sure
how you are transacting at the front desk (fundraising software, cash register, etc.), but should you decide to employ any kind of ticketing technology, there aren't many systems that do pay-as-you well at all. Most will handle standard general admission well. The better options will give you seamless walk-up and online functionality.
Online ticket sales may have you thinking, "Let's walk before we run!" but it doesn't have to be difficult and there are many good reasons to leverage it:
- Visitors can take action when they're on your website checking hours and prices (standard thing to do before visiting anywhere these days)
- Earn and recognize revenue faster
- Eliminate the transaction component when they arrive: Set the stage for a warm welcome (studies show they are then freer to purchase a membership or spend in a gift shop)
- MOST OF ALL: YOU GET DATA. You may not be capturing much information from walk-up cash sales. Online sales give you names, email addresses, physical addresses, phone numbers, PLUS what they are interested by merit of their purchases. THAT gives you wonderful intelligence for follow-up communications (like "Thanks for your visit - here is how to become a member").
Some bits to chew on...
------------------------------
Mike Woods
Customer Success Manager
Blackbaud, Inc.
Charleston SC
------------------------------
Original Message:
Sent: 04-26-2017 11:31 AM
From: Tara Hitzig
Subject: donation admission vs. admission
Does anyone have experience with being a donation only admission based museum and then switches to admission? We are concerned if it will create an issue with visitors, but we are losing a lot of potential revenue by being only donation based. Our admission is $10 per adult, $8 per senior and $5 for children 11-17. Children 10 and under are free. We are hoping by changing we can see some increase to help us with exhibits.
Thank you,
Tara
Tara L. Hitzig
Executive Director
The Automobile Driving Museum
www.theadm.org
Direct Line: 310-658-5564
Museum Hours:
Tues-Sun 10AM-4PM
