StrategicBusinessPlan

October2016

2

TableofContents

Background 3Lunenburgas“HeadoftheBay”forFolkMusic 3FormationoftheFestivalandSociety 3

Vision 4

Mission 4

Values 4

ValueProposition 4WhatWeDo 4WhatMakesUsUnique 5BenefitstoOurCommunities 6

LongTermGoals 6

2017GoalsandObjectives 6

MarketingandCommunicationsPlan 7

OrganizationalPlan 7

OperatingBudget 9

SWOTAnalysis 10Strengths 10Weaknesses 10Opportunities 10Threats 10

ActionPlan 10Management/GovernanceInitiatives 10OperationalInitiatives 10Marketing/CommunicationsInitiatives 11CommunityDevelopmentInitiatives 11

Appendices 11A. StrategicPlanningWorksheet–FolkHarbourintheFuture 11B. CommitteeCharters 11C. 2017OperatingBudget 11

3

Background

Lunenburgas“HeadoftheBay”forFolkMusic

ThegroupofindividualswhowouldeventuallystarttheLunenburgFolkHarbourFestivalmetunderaseriesofcoincidencesandovertimetheideaofafestivalsimilartothatinGloucester,Massachusettswasformulated.GloucesterandLunenburghadalonghistoryofco-operationandcompetition,especiallyintheschooner-anddory-fishingdays.Thisisstillplayedoutinanannualseriesofdoryraces.

BillPlaskett’soriginalthoughtwasthatthiswouldbecomeamusicfestivalcelebratingandpromotingBritish,IrishandScottishfolkmusic.However,accordingtoBill,JimPittman’svisionwasthat“therewouldbeafestivalwherefishingboatsfromallacrosstheAtlanticwouldfilltheharbour.TherewouldbeIcelanders;therewouldbeNorwegians;therewouldbeRussiansandPortuguese.Balalaikaswouldbegleamingonthedecks.”Lunenburgwouldbeatthecentreofthisnewgeographicalarea,notrestrictedbypoliticalboundaries.

JohnHoustonpicturedthisasamapthathedoodledonanapkininapuboneday.Heshowed“…morecoursesacrosstheoceansthanpathwaysovertheland.FolkHarbourcanonlybefoundonsuchamap.ItissituatedattheheadofthebaythatistheGreatNorthAtlanticOcean.Peoplewouldcometotheheadofthebay,thislittleplacecalledLunenburg,anditwouldbeFolkHarbour.Everybodywouldbeathomethere.”

FormationoftheFestivalandSociety

Therewereseveralseriousmusic-loverswhoenergizedtheearlydaysoftheSocietyandwhocreatedthefirstFestivalin1986.RonKelly,aone-timeHollywoodmoviemaker,whostayedintownafterhecompletedhisfilminLunenburg,agreedtochairthenewly-evolvinggroupoftraditionalfolkmusicenthusiasts.HeledthegroupthroughearlymeetingsatwhichseveralpeopleagreedtobeonthefirstLunenburgFolkHarbourFestivalCommittee.

ThefoundinggroupincludedBillPlaskett,AlmaHoustonandhersonJohnHouston,DorothyRead,ValMeister,KenMatheson.JimPittmanpreferredtobeaworkerandremainedofftheorganizingcommitteeandEarlMeistertookovermanysiteresponsibilitiessuchassound,chairs,tentsandfoodvendors.Aswithmanyvolunteerorganizations,turnoverwasaproblem.However,nooneexpectedtheleaderwouldresignbeforethefirstopeningday!Nevertheless,thatdidhappenandthegroupmanagedtoworktogethertopullitoffanyway.Theywereallfilledwithenergyandwillingtodowhateverwasnecessarytomakethingsworkout,allthewhilelearninghowitwasdonesothattheywereabletorepeatitthefollowingyearandmanyyearstocome.

Byallaccounts,Almawasthefirethatkepttheideaburning.Sheprovidedbusinessdirectiontothefledglingorganizationandhadthemosttodowithgettingorganizedproperly.TheCertificateofIncorporationfromtheProvince’sSocietiesActfortheLunenburgFolkHarbourSociety(LFHS)wassignedonMay30,1986.ThefollowingindividualsformedthefirstLunenburgFolkHarbourSocietyBoardofDirectors:BillPlaskett,President;JohnHouston,VicePresident,RosemaryRichards,Treasurer;EarlMeister,Secretary.TheFestivalCommitteewas,atthattime,separateandhadasitsChairman,KenMatheson,whowasawitnesstotheCertificateofIncorporation.Kenranthefirst10Festivalsandtoday’sKenMathesonProgramforlocalperformersisnamedinhishonour.Hewasassistedbythesevolunteers:ProgramCommittee:ValMeisterandJohnHouston;Site:ChrisAndersonandEarlMeister;Finance:TheHoustons,KenMathesonandRosemaryRichards;Fundraising:TheHoustonsandRogerPike.

4

Vision

ContributetoLunenburg’sreputationasaninternationalculturaltourismdestinationforexperiencesrootedinMaritimetraditions

ThevisionofLFHSisforLunenburgtobeathrivingcommunitythatleveragesourheritageforfuturesustainabilitythrougharobustcommunityofinnovativethoughtleaders.

Mission

Topromotethepreservationandcontinuationoffolktraditionsfromadiverserangeofculturesandregionsthroughemphasisonacousticinstrumentationandacapellasinging

LFHSisavolunteer-run,purpose-drivenorganization.OurpurposeistosharetraditionalandcontemporaryfolkmusichighlightingthecultureandhistoryofNovaScotiaandotherNorthAtlanticregionsthroughmusic,danceandotherformsofartisticexpressionpresentedthrougheventsandeducationalexperiencesthatcelebratetheever-changingnatureoftraditionalmusic.

Values

Honouringartisticandculturaldiversity

Respectfuloftraditions

Familyoriented

Innovative

Supportiveofotherlocalorganizations

Mindfulofourimpactontheenvironment

Webelieveinthesevalues.Theyguideourdecisionsanddescribehowweinteractwiththoseweserve.

ValueProposition

Itisourgoaltoprovideexperiencesthatchangepeople’slives.Wepresentprogramsforeducationandentertainment.Someareofferedasticketedevents;othersarecontributedtothecommunityatnocosttoparticipants.

WhatWeDo

Ticketedeventsinclude:

• Apreeminentfolkmusicfestival–theLunenburgFolkHarbourFestival(LFHF)beganis1986andhasbeenpresentedannuallysincethen.Itisnowthelongest-runningmusicfestivalinNovaScotiaandisrecognizedasoneofthetopninefolkfestivalsinCanada.

• SpringandFallconcertseries–theLunenburgFolkHarbourConcertSeriesbeganinOctober2006toprovideentertainmentoptionsfortheresidentsofLunenburgandsurroundingcommunities.Theseriesprovidesperformanceopportunitiesforlocalandemergingartistsandtheexposesthecommunitytoworld-classperformers.

5

Wecurrentlypresentthefollowingcommunityprogramsatnocosttoparticipants:

• Freebandstandperformancesandchildren’sactivitiesduringtheFestival• SummerconcertseriesattheHeritageBandstand• YoungFolksconcertpresentedbyandforyoungfolkmusicians• GreeningprogrameducatingthecommunityaboutwasteprocessingandtheBlueWprogram• KenMathesonProgramhighlightingemerginglocalartists• JimPittmanScholarshipsformusicstudentsingrades4-12

Wearecurrentlyintheprocessofdevelopingamentorshipprogramforyoungmusiciansandexpandingourgreeningprogramtoincludeyear-roundactivities.

WhatMakesUsUnique

1. ThetownofLunenburg(aUNESCOWorldHeritageSite)isourvenue.Visitorsarewithinwalkingdistancetoworld-classrestaurants,Inns,artgalleries,andmuseums.TheBluenoseIIandLunenburgHarbourprovidethebackdroptoourperformances.

2. Allofourvenuesaresmall,intimateandhistoric.Acousticallyrichhistoricbuildingsinanaturalsettingallowustoprovide(relativelycomfortable)seatingandtohavedryback-upvenuesincaseofrain.

3. Wearesmall.Wemeasureattendancein100snot1,000s.Thismakesforintimacyandfostersinteractionwiththeperformers.Oneofthefeaturesoftenmentionedbyaudiencesisthattheycanactuallyrunintoandtalktoperformersaroundtown.Performersstayinprivatehomes.

4. PerformerslovecomingtoLFHF,sotheygiveustheirverybestperformances.Wetreatthemwellwithourextraordinaryperformerservicesandprovidethemintimatevenuesinwhichtointeractwiththeaudience.Oneofourkeyareasofconcentration,fromthebeginning,hasbeensoundquality.

5. WedonotservealcoholatourmainFestivalvenues.Thismakesforacomfortableenvironmentforpatronsofallagesandasatisfyingexperienceforperformerswhointeractwiththeattentiveaudience.We’vealwaysreachedouttofamilies,andoftenhavebeenvisitedbyfamiliesofseveralgenerations.

6. Wesupportyouthandthecommunity.WeofferfreeperformancesforthecommunitythroughouttheFestivalandspecialworkshopsandstagesforyouth.Year-roundprogramsincludescholarshipsandfreeconcerts.

7. Webelieveinsustainabilityandworktoprotectourenvironmentsofuturegenerationscancontinuetothriveandenjoyourtraditions.

8. Wearemorethanafestival.WeprovideeducationalopportunitiesandentertainmentforLunenburgandtheSouthShoreyear-round.

9. Ouraudienceisloyal.Hundredsofpeoplereturnyearafteryear.Theaveragefestival-goerhasattendedatleastthreetimeswith14%havingattendedover20times.Peoplereturnandrecognizeeachother.TheFestivalis“oldhomeweek”formanypeople.

10. Weprovideeducationalandhistoricalthemedpre-festivalconferences,eachyear.Theseconferences,withrenownedandauthoritativespeakers,providedetailedinformationvitaltotheperpetuationofgenre-specificmusic,goingforward.

6

BenefitstoOurCommunities

Tofestivalpatrons • Unique,intimate,high-qualityfestivalexperience• Feelingofbeingappreciated• Exposuretonewanddiverseperformersandtraditions

ToSouthShoreresidents • Opportunitiesforeducationandentertainmentyear-round• Opportunitiestovolunteerandlearnnewskillsandmakenewfriends

Tomusicteachersandstudents • Financialsupportformusiclessons• Opportunitiestoseeandinteractwithprofessionalartists• Exposuretoworldtraditionsandworld-classperformances

Toperformers • Attentive,engagedaudience• Intimatevenueswithhigh-qualitysound• Mainstageexposureforemergingartists• Opportunitiestointeractandcollaboratewithotherartists• Investedover$120KinfeesandCDsalestofolkmusiciansin2016

Tothelocalbusinesscommunity • In2015,wegeneratedapproximately$400kincrementalspendingwithlocalbusinessesduringfestivalweekend

• Advertisingandsponsorshipopportunities

Tosponsors • Positiveexposurefortheirbrandtoatargetedaudience

LongTermGoals

Ourlongtermgoalsareasfollows:

• Sustainandexpandourreputationasapreeminentinternationalfolkfestival• BerecognizedasaleaderandkeycontributorinthebusinessandartscommunityinLunenburgandhelp

Lunenburgbecomerecognizedasa“musiccentre”andinternationaltouristdestinationformaritimeculturalexperiences

• Reducerelianceonticketsalesasarevenuestream;increaseplannedcontributionsbyindividuals• Fundfixedexpensesthroughendowments• Operate,withagoaltoowning,apremierperformancevenueinahistoricproperty• Maintainourstatusasacharitableorganization

SeeAppendixAformoredetails.

2017GoalsandObjectives

Ouroverallgoalsfor2017are:

• Presentourfestivalinconjunctionwiththetallshipsvisitinawaythatmaximizestheopportunityforinternationalexposureandenhancesourvisitorexperience

• PresentFallandSpringConcertSeriesof3-4concertseachwithatargetoffunding41%ofcoststhroughticketsales&continuetheSummerConcertSeriesofapproximately10Sundaypresentationsasacommunityservice

• Begintheshiftawayfromrelianceonticketsalesandtoplanningindividualcontributionsasrevenuesources

7

• Begindevelopmentofasuccessionplanforkeyleadershippositions,e.g.allExecutivepositionsaswellaschairsofSite,Program,ServicesandFundraising

• DefineandlaunchamentorshipprogramforyoungmusiciansinLunenburgCounty

MarketingandCommunicationsPlan

[TBD]

OrganizationalPlan

8

SeeAppendixBfordetailedcommitteecharters.

9

OperatingBudget

Thefollowingchartssummarizeourfinancialallocationtargetsfor2017.

SeeAppendixCfordetails.

10

SWOTAnalysis

Strengths

• Location,location,location• Longevity,maturity,reputation• Desiretoevolve• Strongprogramming,bothonandoffstages• Engagedinthecommunity• Offervaluetoallstakeholders• Diversevolunteercorps• Strongfoundationinentertainmentandeducation• Professionalapproachandappearance

Weaknesses

• Poorcommunications,internallyandexternally• Heavyrelianceonvolunteersforleadership;no

dedicatedresourcestokeyexecutivefunctionssuchasfundraising

• Strugglingtofindyoungerleadership• Averageageofexistingaudienceis60+• Difficultyreachingnew“younger”audiences• Areweinnovativeenough?• Needmorefunds• Lackofbiggersponsors,multi-yearcontracts,

sustainablefinancialmodel• Don’thaveendowments

Opportunities

• Tallshipsvisitin2017duringfestivalweekend• AvailabilityofCanada150funding• Engagewithtownandcounty• Collaboratewithotherorganizationstomaximize

eventschedulingthroughouttheyear• Engagewithmusicstudentsandmusicteachers,

e.g.,JimPittmanprogram

• Continuetomakeprogramminginformationmorereadilyavailableanduserfriendly

Threats

• Lossofouridentityin2017duetotallships• Unexpectedlossoffundingduetodecisionsby

sponsors• Competitionforaudiencemind-shareduetothe

largenumberofartsorganizationsinLunenburg• Controllingexpenses,e.g.Increasingperformer

feesandfixedcosts• Shortageofsupportfacilities,e.g.hotelsand

restaurants,in2017• Everincreasingsecurityconcernsinallcrowd

settings

ActionPlan

Management/GovernanceInitiatives

1. Formalize/documentcommitteeaccountabilitiesandmembershiptofostermoreteamworkandreduceriskcreatedbyrelianceonsingleindividuals.

2. Formalizecommitteebudgetsandreview/adjustquarterly.3. ReinstatetheFestivalCommitteestructurewiththechairsofProgram,Site,ServicesandMarketingmeeting

regularlyinthemonthsleadinguptoFestival.

OperationalInitiatives

1. Provideexpandedshuttleservicebetweenfestivalvenues.2. Usetallshipsprogrammingopportunitiestoexploremorefamily-orientedprogrammingsuchaspuppetandmagic

shows,comedyandotherformsofprogrammingtargetedtowardchildrenandtocreateexpandedopportunitiesforlocal,emergingandtraditionalmusicians.

3. Actively“program”foodvendorstominimizecompetitionandofferabalanceofhealthyoptions.

11

Marketing/CommunicationsInitiatives

1. PartnerwithWaterfrontDevelopmenttomaximizeLFHFexposureintallshipspromotions.2. Partnerwithatouroperator(Ambassatours?)toofferatourpackagefromHalifaxand/ortheValleythatincludes

transportationandfestivalevents.3. StrikeanadhoccommitteetodeveloprecommendationsforpromotionalpricingoptionsforConcertSeries,e.g.

seasonpasses,musicteacherorothergroupdiscounts,etc.4. Partnerwithlocalbusinessestoofferconcertweekendpackages,i.e.accommodation,meal(s),tickets.5. LearnrequirementsforqualifyingasaNovaScotiaSignatureExperienceanddeveloparecommendedactionplan

forcertification.

CommunityDevelopmentInitiatives

1. WorkwiththeTownandtallshipsprogrammingtoprovideoff-siteparkingwithshuttleservicetokeylocationsintownandatBlockhouseHill.

2. Workwithotherlocalorganizationstoexpandgreeninginitiativesbeyondthefestivalandtoalltallshipsactivities.3. Launchamentorshipprogramforyoungmusicians.

Appendices

A. StrategicPlanningWorksheet–FolkHarbourintheFuture

B. CommitteeCharters

C. 2017OperatingBudget

AppendixA:StrategicPlanningWorksheet–FolkHarbourintheFuture

12

Today 2017(Canada150TallShips) 2020(35thAnniversary) 2025(40thAnniversary)

FestivalAudience 36%beyondHRM&SouthShore60%over6035%attended>10yearsAttendingroups(Avg4)60-70%buyweekendpasses

Capitalizeontallshipsvisitorstogainexposuretonewsegments

Maintainpatronloyalty,butloweraverageageSellout(1000passes)inadvance

LocalAudience LocalresidentsAgedemographicforconcertssimilartoFestivalMedianageincounty49;lessthan1childperhousehold27%under25/28%over60

Moreaudienceengagedasnewmembers&volunteers

Moreengagementwithhighworthindividualsforplannedgiving

WhatWeOffer(whatpeoplepayfor)

RenownedFestivalConcertSeriesAdvertising/promotionalopportunities

NovaScotia“SignatureExperience”

Useofahigh-qualityperformancevenue

HowWe“DoGood”(whyweareanon-profit)

BringbusinesstotownOpportunitiesforworkingandemergingartistsOpportunitiesforvolunteersFreeconcertsScholarshipsAwardsPartnershipwithGrandBanker

PartnerwithWFD&TownforTallShipsMentorshipprogramforyoungmusicians(&employingmentors)IncreasescholarshipsPartnerwithotherartsorgsforplanningPartnerwithlocalbusinessestocreateauniqueNSexperience

Year-roundbenefit/contribution-basedconcertseriesLeadershipincommunitydevelopmentandsustainability

LeadershipinhelpingmakeLunenburgamusicdestination

AppendixA:StrategicPlanningWorksheet–FolkHarbourintheFuture

13

Today 2017(Canada150TallShips)

2020(35thAnniversary) 2025(40thAnniversary)

Staff Allvolunteerleadership2part-timeadminstaff2summerstudents

Addpaidconsultantforgrantwriting?Add1summerstudentforarchivingproject

1FTpaidfundraiser2FTadminstaff3summerstudents

PaidArtisticDirector1FTpaidfundraiser3FTadminstaff3-5summerstudents

OperatingModel WorkingboardmakesdecisionsVolunteercommitteesexecuteNoformalsuccessionplanningFirstyearwithabusinessplan

ClarifydifferencesbetweenpolicyandoperationaldecisionsandaccountabilitiesDevelopalongtermstrategicplanDevelopasuccessionplan

Updatedstrategicplan

FinancialModel $265KbudgetTkts–45%ofRevSponsors-22%ofRevGrants–18%ofRevStartfresheachyearMostlyimpulsecontributionsAllrentalequipment&venues

$400KbudgetIncreasedindividualdonorcontributionsMorehabitual/thoughtfulcontributions

$500KbudgetPlannedcontributionsOwnkeyequipment,e.g.sound,tents

$1millionbudgetProgramsfundedbyendowmentsOwnapermanentvenuewithperformance,office,storageandhospitalityspace

IndicatorsofSuccess 31yearsWordofmouthisourbiggestsourceofnewaudienceRespectedreputation

IncreasedFestivalattendance&revenueGoodvisitorexperienceduringtallshipsLesscompetitioninschedulingwithotherorgsAwards/recognitionforourgreeningefforts

FinancialandoperationalstabilityRecognizedleaderinhelpingmakeLunenburgamusicdestination

GraduatesofourprogramswinningmajormusicawardsIndustryawardsforourselvesaspresenteroffolkmusic

AppendixB:CommitteeCharters

14

TBD

AppendixC:OperatingBudget

15

AppendixC:OperatingBudget

16