Industry Pro Newsletter: Does the nonprofit model still work for arts organizations? And the FTC Issues New Rule on Ticketing “Junk” Fees

From the start of this newsletter in the pandemic, we’ve been covering the evolution of the performing arts industry, and the articles we’ve compiled this week underscore that evolution in a big way. The first of those articles being the very question on if the nonprofit model is still working for arts organizations anymore. Then, in England, we have a story of how drama schools are adapting their curriculums to adapt to the wide changes that are occurring across the industry. What is abundantly clear is that we are still in the middle of the transformation, and that the industry that will ultimately emerge in the post-pandemic world is going to be very different than the one we had going in.

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Employment Opportunity

Executive Director - Geva Theatre Center

As a co-leader with Geva’s Artistic Director, the Executive Director’s focus will be on the overall health and welfare of the institution with a major focus on building an expanding culture of philanthropy and igniting a more cohesive and aggressive approach to brand awareness.

Industry Trends

San Francisco Classical Voice: Is There a Future for the Nonprofit Arts Model in the U.S.?

This article explores the sustainability of the nonprofit arts model in the United States, particularly in the context of challenges brought about by the COVID-19 pandemic. It delves into the intricate financial dynamics that arts organizations face and the need for innovative strategies to secure their future. The piece discusses potential models and strategies, including the possibility of partnerships with other sectors and adapting to changing audience behaviors. It emphasizes the importance of collaboration and adaptability to ensure the nonprofit arts sector's survival and continued contribution to culture in the United States.

The Hollywood Reporter: FTC Proposes New Rule to Address "Junk Fees"

The Federal Trade Commission (FTC) has proposed a new rule to address "junk fees," which are additional charges or hidden fees imposed by businesses. These fees, often undisclosed or unclear, have been a point of consumer frustration. The proposed rule aims to make such fees more transparent and ensure that consumers are well-informed about the total cost of a product or service. This effort by the FTC is part of a broader initiative to protect consumers from deceptive business practices and promote transparency in pricing.

Broadway/New York

Industry Trends Weekly: Producers Incentivize Buying Tickets Late, Despite Desiring Early Purchases

This week, I’m going to answer questions I received in the past few weeks.

Late Ticket Buyers

My column a couple of weeks ago mentioned a change in ticket-buying habits. Post-reopening Broadway producers have said people buying tickets later. The question posed to me was: "Why?"

Part of it is related to post-reopening buying habits more generally. Studies in 2020 showed people planned to buy airline tickets later, for example. But, as airline prices skyrocketed, experts emphasized that buying early was wise. Broadway producers cannot state the same. In fact, Broadway producers have disincentivized early buying. And I’m not just talking about TKTS existing—it’s way more than that. There are certainly instances when, after exciting casting is announced or rave reviews come out, show prices increase. But we also see how premium seat prices drop right before performance dates. So, as long as you think there will be tickets in the orchestra available close to the performance date, it doesn’t pay to buy early. People can spend hundreds of dollars less per ticket if they buy last minute. Airfare is typically the opposite. Producers also run ads that say: “Additional tickets now on sale!” No one knows what this means when it’s not accompanied by a limited run extension, but again, it seems to indicate to the buying public that instead of needing to buy early, if you just wait, better tickets might become available.

Interestingly, early studies of regional theater buying habits do not show a move to later single-ticket purchases. This could of course be because regional theater is not as dependent on travel as Broadway is. If you’re planning trips later, you’re buying tickets later. But it could also be because, aside from rush tickets, buying tickets late to a regional theater does not mean you pay less.

Producers want people to buy earlier, so they can plan and budget better. They also want to sell tickets for the maximum amount. There is a tension there. 

Halloween Spectaculars

We’ve all seen the Halloween-related show roundups this month. And I had someone ask me if New York has an annual Halloween show. Like A Christmas Carol but for the candy holiday.

The answer is that I don’t think so. The Bowery Boys do a spooky tales show at Joe’s Pub annually. There are some other one-offs. Outside of NYC, there are amazing annual jack-o’-lantern events. (More have sprung up in recent years. I’m taking my nephews to one in Pomona, NY called Pumpkin World. Can’t miss with live pumpkin carvings and music.) However, we don’t have an annual theater show in NYC that is a mainstream attraction.

When Hell House—directed by now-Tony winner Alex Timbers with dramaturgy by one of my favorite Times arts writers, Alexis Soloski—was produced at St. Ann’s Warehouse in 2006, it seemed like that might be the one to come back. It got a ton of press. It had a built-in hook, as it was from Pastor Keenan Roberts' Hell House kits. People liked it. But alas. It closed its very limited engagement right before Halloween and did not return in 2007. I suspect the cost-benefit analysis didn't warrant it being annual.  

Addendum

With everything going on, I thought of writing a more serious column. I got quotes from actors with the aim of doing just that. Then I sat down to write it and I couldn’t do it. Too little sleep, too much emotion. I do want to say though—almost nothing makes me happier than the theater. It’s an impossibly horrible time. If you can escape it, even for a couple of hours in the dark with strangers, it might be good for your mental health.

Regional

Philadelphia Theatres Combine to Launch Audio Description Learning Network

Several Philadelphia theaters have joined forces to create the Audio Description Learning Network. This network aims to provide more accessible and inclusive theater experiences for the blind and visually impaired. By offering audio description services, which provide live or recorded commentary on the visual elements of a performance, the network seeks to make theater performances more engaging and informative for all audiences. This collaborative effort highlights the commitment of Philadelphia theaters to enhance accessibility in the arts.

American Theatre Magazine: Lance Gardner Named Artistic Director of Marin Theater Company

Marin Theatre Company has announced the appointment of Lance Gardner as its new Artistic Director. Gardner, an experienced director, actor, and producer, will bring his extensive knowledge of the theater industry to lead and shape the artistic direction of the Marin Theatre Company. His appointment marks an exciting chapter for the theatre, known for its dedication to supporting new works and diverse voices in American theatre. Gardner's leadership is expected to contribute to the company's mission of creating bold and engaging theatrical experiences.

International

The Stage: Step Change: How Drama Schools' New Leaders Are Moving With the Times

A new generation of leaders in the UK's drama schools is bringing change to the industry. These leaders, many from diverse backgrounds, are implementing reforms to ensure drama schools are more inclusive and supportive. Their initiatives include making auditions more accessible, fostering a diverse curriculum, and providing mental health support. Amanda Parker, head of the Royal Birmingham Conservatoire, is one of these leaders driving this change. Her goal is to make the arts more reflective of society by addressing systemic inequalities and improving the experience for students.

Rapid TV News: Belgian Theatre Live Stream Showcases Power of 5G Production

A live theater performance in Belgium has highlighted the capabilities of 5G technology in content production. The production, "Chez Renée," was streamed live to a remote audience using 5G, demonstrating the potential for high-quality, low-latency streaming. This innovative use of technology enhances the accessibility of theater, enabling audiences to enjoy performances from anywhere. The success of this endeavor suggests that 5G technology can significantly impact the future of theater and live entertainment by expanding the reach of cultural events.

Missed our last few newsletters?

October 10, 2023 - High Staff Turnover in Pittsburgh, Chicago's Storefront Scene Faces a Storefront Crisis

This week, we’re looking at a few different crises facing theatres across the globe - from Pittsburgh, a story on staff turnover causing many organizations to raise wages, causing a new kind of financial strain. Data from Colleen Dilenschnieder suggests that many patrons of performing arts organizations might not realize that the organization is a non-profit, and in the UK, National Theatre Wales is at risk of closing following cuts to their governmental support.

October 2, 2023 - Record Number of New Musicals on Broadway, Some Regional Theatres Report a Rebound

In Minnesota, the Hennepin Theatre Trust recently reported a more than $115 million impact to the local economy, directly tied to their Broadway touring season. We’ve also got a story about the way in which some regional theatres have been able to rebound this past season, and are looking to capitalize on that momentum. Amidst what has felt like some doom and gloom prognostications lately, these are both highly encouraging signs of an industry that is working very hard to build back in a stronger, more sustainable way.

September 25, 2023 - The Second City Announces New York Opening, Prominent NYC Theater Leaders are Departing Their Roles
The Writers Strike is (likely) coming to an end - with a tentative agreement, Hollywood has taken a major step toward getting back to work. In New York, major changes to the leadership landscape are pending as both Carole Rothman and André Bishop announced that they will be departing their posts at Second Stage and Lincoln Center Theater, respectively. Leadership changes also continue on the regional front, and Cara Joy David takes a look at the evolving ticketing landscape of Broadway.

BroadwayWorld Resources

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As audiences get set to return to in-person performances, and as your company works to market your own return to the stage, make sure you've got your upcoming shows in our regional events calendars. Listings are free of charge, with boosting options available. Get your show listed now

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