Index-Specific Drivers Relational Revenue

What organizational characteristics affect this performance?

Earned revenue from subscriptions and memberships increases with sector, organizational age, square footage, budget size, the number of programmatic offerings, ticket price, the amount spent on marketing and on programming, website page views, targeting kids or young adults, and being awarded NEA or IMLS grants.
When organizations have a higher number of programmatic offerings, present higher numbers of world premieres, or target Asian-Americans, African-Americans, or Hispanics/Latinos, earned revenue from subscribers and members tends to be lower.

How do community arts and leisure characteristics affect performance?

Earned relational revenue tends to be higher for organizations in communities with higher levels of total arts dollar activity, total number of arts providers, more public broadcast dollar activity, and more leisure activities, which in this case act as complements.
Having more organizations that compete in each arts and cultural sector drives down revenue earned from subscriptions and memberships for all organizations in the sector.

How do socio-demographic characteristics of the community affect performance?

Earned relational revenue is higher for organizations in communities where total population is higher, median income is higher, and the percentage of the population that is under 18 or Asian-American is higher, and the socioeconomic level is higher.
As the socioeconomic level increases or either the percentage of African-Americans or Hispanics/Latinos increases, earned revenue from subscriptions and memberships go down.

What impact does cultural policy have on performance?

Government grant activity in the market has a positive effect on earned revenue from subscribers and members.

What organizational characteristics affect this performance?

Higher total expenses — i.e., larger budgets — tend to occur for older organizations, those with high levels of funding from local or state government, with more members and/or subscribers, and with larger staffs. Total expenses also are higher for those organizations that spend more on marketing, offer more programming, and present more local premieres.

How do community arts and leisure characteristics affect performance?

Total expenses are higher for organizations in communities with high levels of total arts dollar activity, total number of arts providers, more public broadcast dollar activity, and more leisure activities, which in this case act as complements.

The more art museums or ‘other museums’, the smaller the budget tends to be for the organizations in each of these two sectors. By contrast, having more arts education organizations in a market tends to mean larger budgets for those competing organizations.

How do socio-demographic characteristics of the community affect performance?

Total expenses are greater in communities with a higher percentage 18-24-year olds, larger population, or higher socio-economic level.

What impact does cultural policy have on performance?

Higher levels of state and federal government grant activity in the local market tend to result in higher total expenses.