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Arts Quarter Announces Findings From Fund-raising and Revenue Generation Survey

11 March 09

To request a copy of the full report free of charge, click here

Arts Quarter has announced the findings of its recent Fund-raising and Revenue Generation Survey conducted over January and February 2009.

The findings of the Survey reveal a mixed picture with many organizations across the cultural and wider not-for-profit communities reporting declines in many areas of fund-raising activity while for wider revenue generation, a significant proportion are reporting increases - both based on comparisons with last year’s performance.

The findings from this Survey in which 306 organizations across the UK participated, draws fund-raising comparisons between the cultural and wider not-for-profit sectors as well as looking at regional variations between London and the rest of the UK. The level of responses from cultural organizations has allowed us to compare performance between the UK theatre community and the wider cultural sector.

A number of respondents also provided insights into a range of ways in which they are seeking to address any potential shortfalls in the medium term which we have included within the full report.

Key Findings from Respondents

Cultural Sector vs Wider Charity Sector Perspectives:

In terms of corporate support from fundraising activity, the cultural sector has suffered marginally more from a decline in revenues than the wider charitable community. Respondents from all backgrounds provided anecdotal evidence of the need for them to strive to demonstrate greater value to their corporate funders and sponsors above and beyond what may already be delivered in order to justify relationships being extended. Others provided evidence of significant losses of relationships where companies had withdrawn completely from support.

On Trusts, the position appears to be reversed with cultural organizations reporting a greater degree of success in retaining relationships and securing support particularly for project-based funding compared to their last financial year.

As for individual support among those making gifts of less than £1,000, overall cultural sector reported a higher rate of decline than the wider charitable community.

 

London vs Rest of UK:

Organisations (cultural and wider charitable bodies) outside of London appear to be suffering greater declines in corporate support than those based in London.

London-based organizations reported a greater decline in support from Trusts for both project support and core funding than those based elsewhere in the UK.

As for individual giving, those organizations based out of London reported higher levels of increasing support and lower levels of declining support than reported by organizations in London.

 

Theatre Community vs Other Art Forms:

Theatre community respondents nationally reported a greater decline in corporate, trust and individual support compared to the rest of the cultural sector. This position is mirrored in predicted year-end positions.

A significant proportion of cultural sector respondents (theatre and others collectively) reported that ticket income/ admission income to date for their current financial year has remained in line with last year or indeed increased.

Many reported however that more peripheral income streams from café/ bar receipts or on-site merchandise sales have performed less well indicating perhaps that while visitors are still keen to engage with the arts, they are looking to curtail other on-site spending at this time.

 

Possible Impacts - Overall:

Taking all reported revenues into consideration from both fund-raising and earned income sources, many respondents are evidently reflecting on possible impacts from a lack of on-going growth or a potential decline in revenues.

All three respondent groups felt that their most likely response to a decline in revenues could be to make cost savings that would be unlikely to impact on public programmes.

Wider charity respondents and non-theatre cultural institutions stated that their next most likely response overall might be to revert to their institutional funders, to seek additional support.

For theatre respondents, their second most likely course of action after looking to make cost savings could be to delay filling currently vacant posts.

 

This AQ Online Survey was launched on 8th January 2009 and remained available for completion until 16th February. The survey was launched initially via email to AQ’s own email list of 1230 individuals working within the UK cultural and wider not-for-profit sectors. Once again we are grateful for the support of Arts Professional in publicizing the survey to its readership in addition to a number of other regional and national bodies who supported our dissemination efforts.

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