FULL HOUSE Turning Data into Audiences - ARTS Australia

A MULTITUDE OF CUSTOMER TYPES,BUT ONE VIEWThe use of the word ‘customer’ in the arts is increasinglymulti-dimensional and multi-level. An organisation hasmore types of customers to service than just ticket buyers.These can include first-time attenders, regular attenders,subscribers, members, donors, patrons, Friends, boardmembers, funding organisations, schools, sponsors, industrymembers; the opening-night invite list, and so-on. All needto be recorded and the evolving (and often inter-related)relationships managed. All staff need to understand thesemulti-level relationships, so information must be sharedwithin the organisation to build on these relationships ina coordinated manner. In fact, in Australia, the legislationin the Privacy Act has imposed an obligation to managethis information resource accurately and responsively (readmore about this issue in Chapter 5: Permission Marketingand Privacy).A broad definition of customers also means that peoplecome into contact with, or are serviced by, different parts ofan organisation. Hence, implementing CRM involves manyparts of an organisation and requires cross-organisationand cross-departmental engagement. The complete or360-degree view of a customer relationship entails collatinginformation into one database from all the areas of theorganisation which have dealings with them.Effective CRM can add value, make incremental sales, andmove attenders up the loyalty ladder, because it is possibleto use the 360-degree view of the attender and theirbehaviour in every customer contact and every transaction.This provides the information that enables the staff of theorganisation to respond personally and specifically to theinterests and preferences of the attender. By respondingselectively, individually and flexibly, based on the attender’shistory of attendance, it is possible to progress people upthe loyalty ladder, from the uninvolved person on the streetto, eventually, a committed supporter.The development of a relationship, and in particularbuilding trust, is particularly important for the arts becausethe ‘product’ can be a significant financial purchase, yet berelatively unknown to the potential attender (e.g. a newtheatre company from overseas). For some people theinformation around the decision to purchase tickets can beintangible and complex. Loyal customers are often valuableadvocates because they attend early and generate wordof mouth to confirm the attraction to the more ‘reticent’mainstream market.RELATIONSHIP ROUTESIt is therefore necessary for each organisation to develop aplan to develop the relationship with attenders, so that itcan encourage attenders up the loyalty ladder and, ideally,create that virtuous circle.There are six rungs to success:1. RecruitmentTo introduce people we need their contact details.Websites enable people to register and complete personalprofiles and preference questionnaires. Campaigns canbe aimed at recruiting people to lists or encouragingpeople to make exploratory visits (e.g. open days). Personalrecommendation from existing attenders can provide leadsto new attenders. These are all ‘suspects’ until we knowsomething more about them to enable a personalisedand tailored approach, once they become ‘prospects’. ‘TestDrive’ schemes and incentives can be effective ways ofencouraging first visits.2. WelcomingWhen prospects make the leap to become first-timeattenders, they deserve a warm welcome. Should therebe a welcome pack explaining all about the venue,the programme, and introducing the people of theorganisation? Will they be met by the front-of-house2. PEOPLE NOT ‘BUMS ON SEATS’, CUSTOMERS NOT ‘PUNTERS’23