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McNeilMuseum of Art
Billie J. Nelson Jr.
Kerin & Peterson (2010)
Objectives Describe the image of McNeil Museum of
Art in the community
Identify possible sources for strategic change
Describe the overall performance of the McNeil Museum of Art in the community
Determine what can be done to improve the auxiliary activities
Kerin & Peterson (2010)
Objectives
Discuss possible operations control issues
Determine what recommendations should be made for Board of Trustees
Kerin & Peterson (2010)
OverviewThe McNeil Museum of Art (MMA) is a not-for-profit museum founded in the city of Universal, in the western United States. Originally chartered in 1925, under the founding name Fannel County Museum of Fine Arts, the museum went through a name change in 2000 to reflect the museum’s main benefactor, Jonathon A. McNeil. Before the museum went through a name change, however, in 1997 MMA benefited from a $28 million dollar bond election. This election allowed MMA to expand their facilities in a newer building located in the central business district of Universal City.Kerin & Peterson (2010)
Museums Public Image
Constantly worried about public image
Some feel that movement to new location created ‘no image’
Mistaken Identity (bank/marble box)
Kerin & Peterson (2010)
Museums Public Image
Free access to the public
Best balanced collection between Western and non-Western art
Some are not aware of what MMA is, or feel it is only for specific people
Kerin & Peterson (2010)
Museums Public Image
Kerin & Peterson (2010)
Currently, the MMA has an image that the museum is only for the upper-white-educated class. The MMA management team must establish an image that will draw a wider base demographic that will allow the MMA to boost their declining revenues in the years to come.
Museums Main Demographic
85% college-educated
60% have household incomes over $70,000, mostly over the age of 40
98% white
Kerin & Peterson (2010)
Strategic Change
Definition:
Environmental change that will affect long-term well-being of the organization.
Kerin & Peterson (2010)
Strategic Change
Kerin & Peterson (2010)
Can result from several sources
Market evolution
Technological innovation
Market redefinition
Change in marketing channel
Strategic Change Possible sources
Kerin & Peterson (2010)
Change in the museum should begin with a top down approach that obtains ideas from the personnel.
focus on more special events that attracts potential new members and additional special events.
Create marketing campaign to improve the museum's image that begins with the building's image through public service announcements and printed ads.
Strategic Change Possible sources
Kerin & Peterson (2010)
Institute a student membership, for ages 13-22, and a senior citizen membership, for ages 60 and older, at a total of $30.
Charge $3 parking fee to all members and non-members.
Decrease the discount for Skyline Buffet and gift shop from 15% to 10%
Overall performance of MMA in the community
Kerin & Peterson (2010)
Declining
Net loss of $794,066
Membership, steady drop rate of about 5%
Improving auxiliary activities
Kerin & Peterson (2010)
Press Relations
Education and Outreach
Special Exhibitions
Improving auxiliary activities
Kerin & Peterson (2010)
Museum Membership
According to Mercer, museum membership and revenue earned from membership play a significant role in the success and daily operations of the MMA. The museum and its member have a symbiotic relationship. Members provide the museum with volunteer base, that helps the museum. Without the volunteers operation would be astronomical. Member volunteers provide tours, assist at information desk, help in gift shop and Skyline Buffet, and are invaluable in recruiting new members and renewing existing members.
Improving auxiliary activities
Kerin & Peterson (2010)
Member Categories
Personal
Corporate
Improving auxiliary activities
Kerin & Peterson (2010)
Personal Membership
Six categories ranging from $50 per year to $5000 per year
17,429 personal memberships in 2004
Accounted for nearly 80% revenues in 2004
Improving auxiliary activities
Kerin & Peterson (2010)
Corporate Membership
Four categories ranging from $1000 per year to $10,000 per year
205 corporate memberships in 2004
Given “Employee Memberships” depending on their category
Recommendations for Board of Trustees
Kerin & Peterson (2010)
Increase membership through calling non-members that have visited the museum within the last 2 years.
Use corporate executives to contact other
corporate executives for corporate membership.
Benefits for the membership should include larger discounts.
References
Kerin, R., & Peterson, R. (2010). Strategic marketing problems: Cases and comments (12th ed.) Upper Saddle River, NJ: Prentice Hall.
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Kerin & Peterson (2010)