Open Forum

Our team has been working with a number of museums, historic homes and arts organizations to increase the number of tourists, group tours and international visitors they see. It seems like we run into the same obstacle at each - finding the balance between more visitors and high volume ticket sales (revenue) with the more traditional curatorial, operations and visitor services needs which seem to be somewhat resistant to change and unaccustomed with non-traditional tourism audiences. 

An example...
We were recently asked to join an executive team meeting with one of our museum clients. During the meeting there was some recognition that these new revenue streams were paying off, visitation was up, the galleries were looking busy and those responsible for audience development were on track to meet organizational goals. The Senior VP of Operations chimed in with concerns that, because of the additional group visitors, the new carpets were at risk of wearing out more quickly, security staff were forced to be more attentive and that this presents a major concern. In the for-profit world, the CEO would have just shut the conversation down right there explaining that revenue keeps the lights on and that the operations team would simply need to adjust. In this case, the CEO did not chime in and the audience development folks later expressed their frustration in, what they called a lack of support from above and the sense that the new visitors simply weren't welcome. It's only with our museum/cultural clients that we see this sort of struggle.

What experience have you had trying to balance revenue generating activity with operational needs and what advice would you give to those tasked with audience development who find themselves torn between their revenue goals and internal pressure to appease operations staff?

------------------------------
Stephen Ekstrom
Founding Partner
Fire Starter Brands LLC
Fort Lauderdale FL | New York NY | Los Angeles CA
------------------------------

It's critical that museums, as nonprofit organizations, and the consultants serving them recognize that they have not one but two bottom lines. They don't exist to generate profit, so revenues are recontextualized - their value is in their ability to support and extend the museum's mission. And mission/impact can be measured in many dimensions, and numbers are only one of those. The events at the Louvre this week are an interesting potential case study - their numbers are up, way up, but the impact on the visitor experience has declined dramatically and the organization is suffocating under its own volume. 

It sounds as though you need to come to an agreement with your client about what metrics are important to them. If revenue/attendance increases are the most critical goal, you've identified barriers here and they would want to listen to that information. But it could be that you're running up against tacit goals that are not measured in dollars and numbers. Getting those out into the sunlight where they can be acknowledged, measured, and tracked is an important step toward understanding what kinds of growth will be meaningful for this organization and its audience. The resistance you're encountering could turn out to be resistance for the wrong reasons (the rug is only a concern if (a) it negatively impacts visit experience, (b) endangers people or objects, or (c) costs more to replace than the new volume covers). But you won't know that without surfacing the roots of resistance by finding out what it is the members of this group value about their organization, and how they see the role of increasing visitation as enhancing that value. If you have a lot of disagreement on the basic values, then really the work that needs to be done is about aligning the organization to a shared vision, before any strategic growth can take hold. 

We've been using a version of the BCG Matrix to think about our two bottom lines. It can be a helpful way to remember that numbers are only one of the dimensions we're looking at. An exercise for your team built around this tool, or some other way of surfacing goals and values, might be a good next step.

https://engagingplaces.net/2014/08/06/how-a-classic-business-matrix-can-help-museums-and-historic-sites/

------------------------------
Michelle Moon
Chief Program Officer
Tenement Museum
New York, NY
mmoon@tenement.org
------------------------------

Original Message:
Sent: 05-29-2019 08:36 AM
From: Stephen Ekstrom
Subject: Tourism & Museums

Our team has been working with a number of museums, historic homes and arts organizations to increase the number of tourists, group tours and international visitors they see. It seems like we run into the same obstacle at each - finding the balance between more visitors and high volume ticket sales (revenue) with the more traditional curatorial, operations and visitor services needs which seem to be somewhat resistant to change and unaccustomed with non-traditional tourism audiences.

An example...
We were recently asked to join an executive team meeting with one of our museum clients. During the meeting there was some recognition that these new revenue streams were paying off, visitation was up, the galleries were looking busy and those responsible for audience development were on track to meet organizational goals. The Senior VP of Operations chimed in with concerns that, because of the additional group visitors, the new carpets were at risk of wearing out more quickly, security staff were forced to be more attentive and that this presents a major concern. In the for-profit world, the CEO would have just shut the conversation down right there explaining that revenue keeps the lights on and that the operations team would simply need to adjust. In this case, the CEO did not chime in and the audience development folks later expressed their frustration in, what they called a lack of support from above and the sense that the new visitors simply weren't welcome. It's only with our museum/cultural clients that we see this sort of struggle.

What experience have you had trying to balance revenue generating activity with operational needs and what advice would you give to those tasked with audience development who find themselves torn between their revenue goals and internal pressure to appease operations staff?

------------------------------
Stephen Ekstrom
Founding Partner
Fire Starter Brands LLC
Fort Lauderdale FL | New York NY | Los Angeles CA
------------------------------

Great feedback, Michelle. I've already pulled up that link and will be taking a good look at it shortly.

------------------------------
Stephen Ekstrom
Founding Partner
Fire Starter Brands LLC
Fort Lauderdale FL
------------------------------

Original Message:
Sent: 05-30-2019 08:37 AM
From: Michelle Moon
Subject: Tourism & Museums

It's critical that museums, as nonprofit organizations, and the consultants serving them recognize that they have not one but two bottom lines. They don't exist to generate profit, so revenues are recontextualized - their value is in their ability to support and extend the museum's mission. And mission/impact can be measured in many dimensions, and numbers are only one of those. The events at the Louvre this week are an interesting potential case study - their numbers are up, way up, but the impact on the visitor experience has declined dramatically and the organization is suffocating under its own volume.

It sounds as though you need to come to an agreement with your client about what metrics are important to them. If revenue/attendance increases are the most critical goal, you've identified barriers here and they would want to listen to that information. But it could be that you're running up against tacit goals that are not measured in dollars and numbers. Getting those out into the sunlight where they can be acknowledged, measured, and tracked is an important step toward understanding what kinds of growth will be meaningful for this organization and its audience. The resistance you're encountering could turn out to be resistance for the wrong reasons (the rug is only a concern if (a) it negatively impacts visit experience, (b) endangers people or objects, or (c) costs more to replace than the new volume covers). But you won't know that without surfacing the roots of resistance by finding out what it is the members of this group value about their organization, and how they see the role of increasing visitation as enhancing that value. If you have a lot of disagreement on the basic values, then really the work that needs to be done is about aligning the organization to a shared vision, before any strategic growth can take hold.

We've been using a version of the BCG Matrix to think about our two bottom lines. It can be a helpful way to remember that numbers are only one of the dimensions we're looking at. An exercise for your team built around this tool, or some other way of surfacing goals and values, might be a good next step.

https://engagingplaces.net/2014/08/06/how-a-classic-business-matrix-can-help-museums-and-historic-sites/

------------------------------
Michelle Moon
Chief Program Officer
Tenement Museum
New York, NY
mmoon@tenement.org

Original Message:
Sent: 05-29-2019 08:36 AM
From: Stephen Ekstrom
Subject: Tourism & Museums

Our team has been working with a number of museums, historic homes and arts organizations to increase the number of tourists, group tours and international visitors they see. It seems like we run into the same obstacle at each - finding the balance between more visitors and high volume ticket sales (revenue) with the more traditional curatorial, operations and visitor services needs which seem to be somewhat resistant to change and unaccustomed with non-traditional tourism audiences.

An example...
We were recently asked to join an executive team meeting with one of our museum clients. During the meeting there was some recognition that these new revenue streams were paying off, visitation was up, the galleries were looking busy and those responsible for audience development were on track to meet organizational goals. The Senior VP of Operations chimed in with concerns that, because of the additional group visitors, the new carpets were at risk of wearing out more quickly, security staff were forced to be more attentive and that this presents a major concern. In the for-profit world, the CEO would have just shut the conversation down right there explaining that revenue keeps the lights on and that the operations team would simply need to adjust. In this case, the CEO did not chime in and the audience development folks later expressed their frustration in, what they called a lack of support from above and the sense that the new visitors simply weren't welcome. It's only with our museum/cultural clients that we see this sort of struggle.

What experience have you had trying to balance revenue generating activity with operational needs and what advice would you give to those tasked with audience development who find themselves torn between their revenue goals and internal pressure to appease operations staff?

------------------------------
Stephen Ekstrom
Founding Partner
Fire Starter Brands LLC
Fort Lauderdale FL | New York NY | Los Angeles CA
------------------------------

Stephen, Seems that the folksd at the top are totally disconnected from the busines model that most, if not all NFP museums operate within. I, as Director would have told them that hard work and replacement of durable finishes is the "price of being in business" and so get used to it. I was once VP of your local MODS right after it opened and transitioned from the old discovery Center (now FT L Historical Soc. i believe). I confronted much of this attitude from peer management but luckily had support at the top to plug in and get moving or get out.  Pound on them that this is why they are in the mission....

Jim

------------------------------
James Walther
Executive Director
National Museum of Nuclear Science and History
Albuquerque NM
------------------------------

Original Message:
Sent: 05-29-2019 08:36 AM
From: Stephen Ekstrom
Subject: Tourism & Museums

Our team has been working with a number of museums, historic homes and arts organizations to increase the number of tourists, group tours and international visitors they see. It seems like we run into the same obstacle at each - finding the balance between more visitors and high volume ticket sales (revenue) with the more traditional curatorial, operations and visitor services needs which seem to be somewhat resistant to change and unaccustomed with non-traditional tourism audiences.

An example...
We were recently asked to join an executive team meeting with one of our museum clients. During the meeting there was some recognition that these new revenue streams were paying off, visitation was up, the galleries were looking busy and those responsible for audience development were on track to meet organizational goals. The Senior VP of Operations chimed in with concerns that, because of the additional group visitors, the new carpets were at risk of wearing out more quickly, security staff were forced to be more attentive and that this presents a major concern. In the for-profit world, the CEO would have just shut the conversation down right there explaining that revenue keeps the lights on and that the operations team would simply need to adjust. In this case, the CEO did not chime in and the audience development folks later expressed their frustration in, what they called a lack of support from above and the sense that the new visitors simply weren't welcome. It's only with our museum/cultural clients that we see this sort of struggle.

What experience have you had trying to balance revenue generating activity with operational needs and what advice would you give to those tasked with audience development who find themselves torn between their revenue goals and internal pressure to appease operations staff?

------------------------------
Stephen Ekstrom
Founding Partner
Fire Starter Brands LLC
Fort Lauderdale FL | New York NY | Los Angeles CA
------------------------------

Thank you for the feedback and insight. And yes, I'd agree that there is a definite disconnect.  Audience development teams are given aggressive goals for # of visitors, receipts, etc. while the priorities of the maintenance/operations teams were focused elsewhere. 
By the way - i was in Albuquerque for a conference just last year, sorry I didn't get to check out your museum.

------------------------------
Stephen Ekstrom
Founding Partner
Fire Starter Brands LLC
Fort Lauderdale FL
------------------------------

Original Message:
Sent: 05-30-2019 10:11 AM
From: James Walther
Subject: Tourism & Museums

Stephen, Seems that the folksd at the top are totally disconnected from the busines model that most, if not all NFP museums operate within. I, as Director would have told them that hard work and replacement of durable finishes is the "price of being in business" and so get used to it. I was once VP of your local MODS right after it opened and transitioned from the old discovery Center (now FT L Historical Soc. i believe). I confronted much of this attitude from peer management but luckily had support at the top to plug in and get moving or get out.  Pound on them that this is why they are in the mission....

Jim

------------------------------
James Walther
Executive Director
National Museum of Nuclear Science and History
Albuquerque NM

Original Message:
Sent: 05-29-2019 08:36 AM
From: Stephen Ekstrom
Subject: Tourism & Museums

Our team has been working with a number of museums, historic homes and arts organizations to increase the number of tourists, group tours and international visitors they see. It seems like we run into the same obstacle at each - finding the balance between more visitors and high volume ticket sales (revenue) with the more traditional curatorial, operations and visitor services needs which seem to be somewhat resistant to change and unaccustomed with non-traditional tourism audiences.

An example...
We were recently asked to join an executive team meeting with one of our museum clients. During the meeting there was some recognition that these new revenue streams were paying off, visitation was up, the galleries were looking busy and those responsible for audience development were on track to meet organizational goals. The Senior VP of Operations chimed in with concerns that, because of the additional group visitors, the new carpets were at risk of wearing out more quickly, security staff were forced to be more attentive and that this presents a major concern. In the for-profit world, the CEO would have just shut the conversation down right there explaining that revenue keeps the lights on and that the operations team would simply need to adjust. In this case, the CEO did not chime in and the audience development folks later expressed their frustration in, what they called a lack of support from above and the sense that the new visitors simply weren't welcome. It's only with our museum/cultural clients that we see this sort of struggle.

What experience have you had trying to balance revenue generating activity with operational needs and what advice would you give to those tasked with audience development who find themselves torn between their revenue goals and internal pressure to appease operations staff?

------------------------------
Stephen Ekstrom
Founding Partner
Fire Starter Brands LLC
Fort Lauderdale FL | New York NY | Los Angeles CA
------------------------------

Original Message------

Thank you for the feedback and insight. And yes, I'd agree that there is a definite disconnect.  Audience development teams are given aggressive goals for # of visitors, receipts, etc. while the priorities of the maintenance/operations teams were focused elsewhere. 
By the way - i was in Albuquerque for a conference just last year, sorry I didn't get to check out your museum.

------------------------------
Stephen Ekstrom
Founding Partner
Fire Starter Brands LLC
Fort Lauderdale FL
------------------------------

​I would respectfully suggest that the CEO screw their courage to the sticking place and lead the organization towards a solution to a problem that many museums would be glad to have. Too many visitors seems kind of like the museum version of a first-world problem.

------------------------------
John Summers
Adjunct Lecturer, Museum Studies Program
Faculty of Information, University of Toronto
Toronto ON
------------------------------

Original Message:
Sent: 05-29-2019 08:36 AM
From: Stephen Ekstrom
Subject: Tourism & Museums

Our team has been working with a number of museums, historic homes and arts organizations to increase the number of tourists, group tours and international visitors they see. It seems like we run into the same obstacle at each - finding the balance between more visitors and high volume ticket sales (revenue) with the more traditional curatorial, operations and visitor services needs which seem to be somewhat resistant to change and unaccustomed with non-traditional tourism audiences.

An example...
We were recently asked to join an executive team meeting with one of our museum clients. During the meeting there was some recognition that these new revenue streams were paying off, visitation was up, the galleries were looking busy and those responsible for audience development were on track to meet organizational goals. The Senior VP of Operations chimed in with concerns that, because of the additional group visitors, the new carpets were at risk of wearing out more quickly, security staff were forced to be more attentive and that this presents a major concern. In the for-profit world, the CEO would have just shut the conversation down right there explaining that revenue keeps the lights on and that the operations team would simply need to adjust. In this case, the CEO did not chime in and the audience development folks later expressed their frustration in, what they called a lack of support from above and the sense that the new visitors simply weren't welcome. It's only with our museum/cultural clients that we see this sort of struggle.

What experience have you had trying to balance revenue generating activity with operational needs and what advice would you give to those tasked with audience development who find themselves torn between their revenue goals and internal pressure to appease operations staff?

------------------------------
Stephen Ekstrom
Founding Partner
Fire Starter Brands LLC
Fort Lauderdale FL | New York NY | Los Angeles CA
------------------------------

What struck me was the old "silo" issue.  If that's the way the organization operates, there is no winning. Every project, event, or routine activity has benefits and costs, and the costs split between fixed overhead and variable costs. So, in your case, the group that is developing traffic (i.e., maximizing your assets) should have known the variable costs, without it ever reaching a higher level. This is actually a leadership issue, not the fault of the group.

------------------------------
Greg Moss
Museum Planning Committee
International Society of Antique Scale Collectors (www.isasc.org)
Pittsburgh, PA
------------------------------

Original Message:
Sent: 05-29-2019 08:36 AM
From: Stephen Ekstrom
Subject: Tourism & Museums

Our team has been working with a number of museums, historic homes and arts organizations to increase the number of tourists, group tours and international visitors they see. It seems like we run into the same obstacle at each - finding the balance between more visitors and high volume ticket sales (revenue) with the more traditional curatorial, operations and visitor services needs which seem to be somewhat resistant to change and unaccustomed with non-traditional tourism audiences.

An example...
We were recently asked to join an executive team meeting with one of our museum clients. During the meeting there was some recognition that these new revenue streams were paying off, visitation was up, the galleries were looking busy and those responsible for audience development were on track to meet organizational goals. The Senior VP of Operations chimed in with concerns that, because of the additional group visitors, the new carpets were at risk of wearing out more quickly, security staff were forced to be more attentive and that this presents a major concern. In the for-profit world, the CEO would have just shut the conversation down right there explaining that revenue keeps the lights on and that the operations team would simply need to adjust. In this case, the CEO did not chime in and the audience development folks later expressed their frustration in, what they called a lack of support from above and the sense that the new visitors simply weren't welcome. It's only with our museum/cultural clients that we see this sort of struggle.

What experience have you had trying to balance revenue generating activity with operational needs and what advice would you give to those tasked with audience development who find themselves torn between their revenue goals and internal pressure to appease operations staff?

------------------------------
Stephen Ekstrom
Founding Partner
Fire Starter Brands LLC
Fort Lauderdale FL | New York NY | Los Angeles CA
------------------------------