Creative Trust: Constituent Briefing February 9, 2009 at 2:30 p.m. - - PowerPoint PPT Presentation

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Creative Trust – Constituent Briefing

Creative Trust: Constituent Briefing

February 9, 2009 at 2:30 p.m. Toronto

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Creative Trust – Constituent Briefing

Agenda: 3:00 - 5:30 p.m.

• Emerging Practices in Arts Consumer Segmentation
• Discussion
• Peer-to-Peer Marketing In Practice
• Discussion

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Creative Trust – Constituent Briefing

Emerging Practices in Arts Consumer Segmentation

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Creative Trust – Constituent Briefing

http://eq.canada.travel/?sc_cid=eq1

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Creative Trust – Constituent Briefing

How do you think about your audience? What attributes distinguish them from each

• ther?

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Creative Trust – Constituent Briefing

Segmentation Models: Performing Arts Ticket Buyers: Major University Presenters (2007)

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Creative Trust – Constituent Briefing

Online Survey Methodology

• Protocol builds on qualitative data from 195 interviews
• 51,541 invitations sent to 14 email lists
• 7,645 responses received (~15% response)
• Lengthy survey (about 15 minutes to complete)
• Aggressive use of incentives
• Survey data matched to purchase data through email

address

• Acknowledge bias from self-selection and bias from online

administration

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Creative Trust – Constituent Briefing

Ticket Buyer Model: Input Variables

• Core values (13 inner-directed, 9 outer-directed)
• e.g. “ Rej ecting authority and making your own rules”
• Cultural attitudes (e.g, interest in specific cultures)
• Preference levels for 27 types of performances
• Appetite for educational content
• Price sensitivity
• Social context of attendance
• Political and religious beliefs
• Innate intelligences (Howard Gardner’s model)

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Creative Trust – Constituent Briefing

Analysis Approach: Cluster Analysis

• Different combinations of variables were tried
• Segments are designed to be as different as possible
• Data on Gardiner’s intelligences are intuitive and useful
• Very multi-dimensional model
• Driven by core values, cultural attitudes, preferences and

tastes

• NOT driven by demographics or purchase behaviors

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Creative Trust – Constituent Briefing

Purchase behaviors paint an incomplete picture of preferences

UFPA UMD UMS % of all respondents who bought modern dance 9% 13% 16% % of respondents who reported high interest 35% 25% 27% in modern dance (6 or 7 on scale of 1-7), but who did not purchase modern dance in the past 2 years % who reported moderate to low interest in 56% 62% 57% modern dance 100% 100% 100%

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Creative Trust – Constituent Briefing

Overview of the Ticket Buyer Model: Ordered by Risk Tolerance

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Creative Trust – Constituent Briefing

• 1. Mavericks
• Fearless, values-driven consumers
• Core value is challenging authority
• Thought leaders with existential intelligence
• Primary attraction is to linguistic art forms
• Fantasy-seeking theatre-goers
• About six in ten are students, many are artists
• Quintessentially adventurous
• Risk for risk’ s sake
• Very price sensitive
• Most attend with friends, but also not afraid to attend alone

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Creative Trust – Constituent Briefing

• 2. Experientials
• Trust the presenter
• Want to be taken on the full ride
• High tolerance for risk
• Most likely to seek out adventure, discovery, surprise
• More intellectually driven than emotionally-driven
• Attracted to politically-charged content
• Preference for contemporary dance and theatre
• Advance planners, working full-time
• Multi-buyers, most likely to subscribe

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Creative Trust – Constituent Briefing

• 3. Remixers
• Urban arts omnivores
• Love that art can be digitized, remixed and sampled
• Culturally-directed
• S

trong sense of their own cultural roots

• High interest in specific cultures
• Preference for contemporary art forms, not classical
• Healthy appetite for new work by living artists
• Multiple intelligences
• Socially-driven, most likely to be Initiators
• Embrace technology
• Younger, but not students

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Creative Trust – Constituent Briefing

• 4. Diversity Seekers
• Most outer-directed of all segments
• Driven by a need to understand the world and their place in it
• S

ense of duty to mankind, commitment to social j ustice

• Most emotionally reflective of all segments
• Need and ability to empathize with others
• High preference for world/folk music and dance
• Naturalistic intelligence
• Not into urban culture
• 80% female, strong nurturing instinct
• Likely to attend with children

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Creative Trust – Constituent Briefing

• 10. Serenity Seekers
• Take comfort in the familiar, do not want to be challenged
• 90%

prefer ‘ a sure choice’

• Desire a peaceful, calming experience
• Not looking for emotional intensity
• High preference for symphonic music, chamber music
• Little appetite for new works
• Attracted to authenticity and historical accuracy
• Tend to be males, retired, age 65+
• Attend with spouse
• Conservative political views

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Creative Trust – Constituent Briefing

Segmentation Models: Performing Arts Donors: Major University Presenters (2007)

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Creative Trust – Constituent Briefing

Five Segment Donor Model, Based on Motivations for Giving

PERFORMING ARTS DONOR SEGMENTATION MODEL (N=1,738)

Intrinsics 22% Networkers 23% Co-Creators 11% Marquee Donors 23% Youth-Focused 21%

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Creative Trust – Constituent Briefing

Institution-Specific Attitudinal Customer Models: Steppenwolf

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Creative Trust – Constituent Briefing

Steppenwolf Customer Model

• Motivated by a desire to more deeply engage single-ticket

buyers

• Research supported by Wallace Foundation
• Survey probes knowledge and background in theatre,

attitudes about risk, etc.

• A major focus on how people engage with the art form
• Before shows, after shows

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Creative Trust – Constituent Briefing

Five-Segment STC Customer Model

STEPPENWOLF CUSTOMER MODEL (Does not reflect frequency of attendance, but rather the overall proportion)

High Impact Loyalists Ensemble Followers 22% Progressive Theatre Geeks 19% Topic- Driven Socializers Selective Story- Seekers 15%

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Creative Trust – Constituent Briefing

Key Indicators of Risk Tolerance

SEGMENTS, BY KEY INDICATORS OF RISK

1 2 3 4 5 6 7 High Impact Loyalists Ensemble Followers Progressive Theatre Geeks Topic- Driven Socializers Selective Story- Seekers

(1=Disagree, 7=Agree)

I avoid plays with vulgar language, violence, or explicit sexual content I enjoy being taken beyond my comfort zone with a piece of theatre I don't like radical re- interpretations of classic works I avoid plays that address sensitive issues or problems such as domestic violence I enjoy plays without a clear narrative (i.e., abstract or non-linear form)

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Creative Trust – Constituent Briefing

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Five Underlying Dimensions of Engagement

Q# Item

TQ12B Read a review of a production you are going to see 0.81 0.18 TQ10A Read critical reviews of theatre productions 0.74 0.20 0.17 0.13 TQ14D Read a review of the play 0.66 0.28 0.16 TQ12F Read program notes before curtain 0.44

• 0.15

0.34 TQ10C Read plays on your own for enjoyment 0.84 0.14 TQ12A Read the play in advance of attending 0.15 0.73 0.15 TQ10D Write, perform in or work on plays or musicals

• 0.11

0.71 0.20 0.16 TQ10E Travel to other cities for the purpose of seeing theatre 0.17 0.34 0.21 0.12 TQ14E React to the play in an online blog or forum 0.76 0.16 TQ10B Read blogs about theatre or comment on blogs 0.10 0.17 0.73 TQ12C Seek out information about the play online 0.28 0.58

• 0.11

TQ14F Find out more about the cast, director, or production team 0.22 0.23 0.55 0.22 0.12 TQ14A Talk about the play on the way home or over drinks or dinner 0.72 TQ14C Discuss the play with others over the ensuing days and weeks 0.11 0.19 0.18 0.70 0.16 TQ12G Discuss an upcoming play with friends who've already seen it 0.30 0.14 0.15 0.58 TQ14B Stay afterwards for post-performance discussions 0.16 0.82 TQ12D Attend pre-performance talks 0.16 0.25 0.17 0.70 TQ12E Read Steppenwolfs Backstage magazine 0.37

• 0.18
• 0.11

0.39

Five Factors

Factor Analysis of Engagement Variables (Principal Components Analysis)

Readers (1) Actors (2) Bloggers (3) Talkers (4) Listeners (5)

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Creative Trust – Constituent Briefing

Institution-Specific Attitudinal Customer Models: The Philadelphia Orchestra

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Creative Trust – Constituent Briefing

Philadelphia Orchestra Ticket Buyer Model: Input Variables

• Musical tastes: eclectic vs. classical-focused
• Knowledge level about classical music
• Appetite for new works by living composers
• Preferences for different concert formats
• Motivations for attending
• Influence of purchase decision factors
• Demographics and purchase behaviors were used only as

descriptive variables, not segmentation variables

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Creative Trust – Constituent Briefing

Four-Segment Customer Model

PHILADELPHIA ORCHESTRA CUSTOMER SEGMENTATION MODEL (N=1,075)

Old School Connoisseurs 24% Warhorses 23% Casual Followers 28% Adventurous Intellectuals 25%

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Creative Trust – Constituent Briefing

Three out of four segments prefer a format with brief introductions from the stage.

PREFERRED CONCERT FORMAT, BY SEGEMNT

5% 66% 10% 5% 21% 74% 34% 70% 67% 62% 20% 19% 28% 17% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Warhorses Old School Connoisseurs Adventurous Intellectuals Casual Followers TOTAL AUDIENCE Interpretation-rich educational format Format with brief introductions Traditional format (no talking)

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Creative Trust – Constituent Briefing

Three out of four segments prefer a format with brief introductions from the stage.

DESIRED FREQUENCY OF HEARING NEW PIECES ON POA PROGRAMS, BY SEGEMNT

5% 13% 10% 7% 5% 15% 43% 24% 22% 44% 44% 61% 51% 53% 61% 18% 19% 5% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Warhorses Old School Connoisseurs Adventurous Intellectuals Casual Followers TOTAL AUDIENCE Never or Almost Never Every 3rd or 4th Program Every Other Program Every Program

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Creative Trust – Constituent Briefing

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Creative Trust – Constituent Briefing

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Creative Trust – Constituent Briefing

Tactical Implementation: “Scaling Up the Model”

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Creative Trust – Constituent Briefing

Next Phase: Commitment to Tactical Implementation (POA, MUP)

• Revise the segmentation protocol
• Add other, actionable data elements
• Design a new marketing data warehouse (already

prototyped, in partnership with TRG Arts)

• Survey the entire database
• Survey new buyers continuously
• Use the data on a daily basis for targeting offers and

information

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Creative Trust – Constituent Briefing

Discussion: What is the future of this work?

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Creative Trust – Constituent Briefing

Peer-to-Peer Marketing

Creative Trust Constituent Briefing February 8, 2009

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Creative Trust – Constituent Briefing

Discussion Outline

• P2P basis in research and practice
• Definitions and key concepts
• P2P implementation approaches
• P2P marketing practices and enabling tools

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Creative Trust – Constituent Briefing

P2P – Basis in Research and Practice

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Creative Trust – Constituent Briefing

An Industry In Search of a New Marketing Model

• Subscribe Now! is 30 years old
• S

ubscription is a great product but not a long-term strategy solution to audience growth

• Irreversible trend towards late buying
• Lots of grasping for new tactics
• Tinkering with packaging instead of looking at sales channels
• Fear of change; new practices are slow to emerge
• No resources for R&D or diffusion of new practices
• Everyone is asking who is doing exemplary work

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Creative Trust – Constituent Briefing

Historical Focus on Consumers Who Influence Others

• Opinion Leaders, Change Agents, Early Adopters
• Rogers, Diffusion of Innovations, 1962
• Mavens, Connectors and Salesmen
• Gladwell, The Tipping Point, 2000
• The Influentials (“The spiral of influence”)
• Keller and Berry, 2003
• Initiators and Responders
• Knight Foundation/ Audience Insight, 2003
• Arts Ambassadors
• Arts Council England, 2003

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Creative Trust – Constituent Briefing

Initiators and Responders

PLANNING MODE: INITIATORS AND RESPONDERS 56% 18% 29% 25%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Responders Initiators

% OF CULTURALLY ACTIVE ADULTS

Agree a lot Agree a little Disagree a little Disagree a lot

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Creative Trust – Constituent Briefing

Initiators are Attractive Cultural Consumers

• Three times more likely to be “extremely interested” in arts

activities

• Attend at twice the frequency of non-Initiators
• Constantly scanning the media for things to do
• Very interested in the educational aspect of attending
• Six years younger, on average, and 50% more likely to be

single

• Two to three times more ethnically diverse
• In sum, they are NOT subscribers.

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Creative Trust – Constituent Briefing

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Creative Trust – Constituent Briefing

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Creative Trust – Constituent Briefing

“The Cellular Church”

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Creative Trust – Constituent Briefing

Film Clubs

• “The latest form of communal entertainment”
• Film club for mothers and daughters who gather to talk

about important issues

• Film clubs for film buffs who read screenplays in advance
• Husbands who band together defiantly
• They go see movies that their wives won’ t see
• The Mnookin’s hosted potluck film club in Cambridge,

Massachusetts

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Creative Trust – Constituent Briefing

Clevedon Film Club

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Creative Trust – Constituent Briefing

“A product that connects people to one another doesn’t have to do much else.”

• Rob Walker, New York Times

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Creative Trust – Constituent Briefing

The Long Lineage of Personal (Direct) Selling…

• Tupperware (Find a “Tupperware consultant” in your area)
• Amway (“Amway business owners”)
• Mary Kay Cosmetics (“independent beauty consultants”)
• AtHome America (“HomeStyle specialists”)
• PartyLite (“consultants” sell candles and décor items)
• Pampered Chef (“kitchen consultants”)
• Red Bull (“student brand managers”)

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Creative Trust – Constituent Briefing

… And it’s Growing Significantly

• Significant expansion over past 10 years
• According to the U.S. Direct Selling Association, the

number of people involved in this form of selling doubled to 13.3 million from 6.3 million between 1994 and 2003.

• Why is direct selling on the rise in the age of online

retailing?

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Creative Trust – Constituent Briefing

P2P – Definitions and Key Concepts

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Creative Trust – Constituent Briefing

What is P2P Marketing?

• P2P marketing is a sales channel that leverages social

context within peer networks to stimulate arts attendance in small social groups.

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Creative Trust – Constituent Briefing

Key P2P Concepts

• The objective of P2P marketing is to recruit, motivate and

satisfy a network of resellers

• Resellers might be called “Activators” or “Initiators” or

“Ambassadors”

• “ Activators” are content experts, such as artists
• “ Initiators” fit a gregarious psycho-social profile
• They must be motivated, but not necessarily paid
• They can become powerful advocates for your organization

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Creative Trust – Constituent Briefing

Key P2P Concepts

• P2P is values-based, not product based
• What belief systems and common interests can serve as a foundation for

bringing people together for arts activities?

• P2P transcends pre-existing interests and creates relevance

when there is none

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Creative Trust – Constituent Briefing

Key Concepts: P2P Marketing Creates Relevance When There is None

1. Relevance of the specific work(s) of art

“ I saw S wan Lake when I was nine years old.”

2. Relevance of the artist or company

“ I’ ve never heard of Matthew Bourne.”

3. Relevance of the genre, idiom, medium or discipline

“ I don’ t know anything about modern dance.”

4.

Relevance of the institution presenting the art 5. Relevance of the activity category

“ I don’ t identify with people who dress up and go to theaters.”

6. Social relevance

“ My friends don’ t usually do that sort of thing.”

7. Cultural relevance

“ I’ m not interested in a play that was written 500 years ago.” << Effort it Takes to Sell >> High Low

SEVEN LEVELS OF RELEVANCE

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Creative Trust – Constituent Briefing

Key P2P Concepts

• The communications strategy that supports P2P is

“structured Word of Mouth”

• Builds up over the weeks and days before a show
• Validates late buying behavior
• Allows for “brand hijack” – affiliation through

customization – a different kind of loyalty

• Eventually takes on a life of its own

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Creative Trust – Constituent Briefing

P2P – Implementation Ideas and Practices

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Creative Trust – Constituent Briefing

Implementation Models

• Arts Ambassadors case studies
• Play Groups pilot program
• “ It's like a book club but with plays.”
• Arts In Motion, Philadelphia
• Attracting audiences that do not respond to traditional media
• Activator networks, Urban Voices Series
• Counter-branding

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Creative Trust – Constituent Briefing

Recruitment Methods

• Various methods used to reach out to Initiators
• Letter to high volume S

TBs, program stuffers, flyer distribution in gathering places, e-blasts, web postings

• Drove them to theatre website for pre-recruitment via
• nline survey
• Designed to identify and measure positive indicators of “ initiating”

behavior

• Personal interviews with those who express interest in

the program and who qualify

• Generates a detailed profile
• S
• licited input on the program design and functionality

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Creative Trust – Constituent Briefing

Case Study: Building a New Audience Through P2P

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Creative Trust – Constituent Briefing

Implementation Process

• Assess the product line to identify programs that might

benefit from a P2P approach

• Articulate the values that underlie these programs
• Identify target groups that share these values
• Set timeline, design incentive system, tools
• Recruit, induct and orient Activators within each target

group

• Provide values-based language, and WOM enabling tools
• Ongoing support, validation, assessment

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Creative Trust – Constituent Briefing

Value Associations for Urban Voices Series

• “I reject traditional views of how I should fit in.”
• “I challenge authority and question what I’m told to

believe.”

• “I don’t need any one else to validate my way of life.”
• “Hip Hop is a legitimate culture.”
• “You never know what’s going to happen when art forms

smash together.”

• “Good art is unpredictable, like me.”
• “New technologies are an important part of my life.”
• “I’m a progressive thinker.”

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Creative Trust – Constituent Briefing

“Social Spheres” for Urban Voices Series

• Student “arts activists”
• accessed though existing student committee
• Socially ambitious, young professionals who want to be on

the bleeding edge

• Hip Hop Youth
• accessed through student orgs.
• Black Youth
• accessed through community centers and churches
• Urban Creatives
• accessed through theatre department faculty, local businesses, individual

artists and artist networks

• Art film community
• multi-media nature should be appealing; accessed through film groups

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Creative Trust – Constituent Briefing

P2P Enabling Tools

• Pass-along emails
• Print-to-Web redemption tactics
• Automated reminder services
• Online invitation tools
• Instant feedback loops
• Blogging
• Online social networking: adapt existing tools
• www.meetup.com
• www.ning.com

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Creative Trust – Constituent Briefing

The Vision: In Five Years…

• You have a “Lead Activator” on staff
• You have a self-motivated network of Ambassadors,

Initiators and Activators

• In your database, they are categorized by values, interest

area, target group

• On your website, anyone can sign up to join a group hosted

by one of your Activators

• Your audience is composed of hundreds of small social

cells, each of which has a customized experience