Queues at Melbourne Museum. Photo: Melbourne Museum.
Colleen Dilenschneider, How free admission really affects museum attendance, Know your own bone, accessed August 2015
Spoiler alert: It doesn’t much…and misunderstanding this engagement tactic may jeopardize industry sustainability.
The debate about whether museums should be free is a big one right now. It’s the source of a lot of discussion in the popular press and nonprofit boardrooms alike. What seems to be lost in this discussion are due consideration of two very important factors: First, does eliminating the cost of admission actually help engage underserved audiences? And, second, in a time marked by increasing austerity measures that threaten traditional cultural funding, is eliminating a key earned revenue source sustainable as a long-term business model? The truth is that free admission comes with a cost. Free admission is far from the engagement cure-all that some of its supporters believe it to be.
Am I suggesting that free admission to museums and other cultural organizations is an altogether bad idea? Of course not. For those organizations whose financial models depend less on earned revenues (i.e. those with mega endowments or significant public funding), free admission may prove viable. However, for those organizations whose mission delivery depends on their business viability, then the issue of free admission is a far more complex topic.
Certainly, varying perspectives and important considerations inform this broader conversation, but I’m going to stick to the facts regarding only one aspect of this big issue. For the sake of facilitating intelligent, data-informed conversation about an emotional topic, let’s acknowledge some established facts regarding admission pricing and attendance:
1) Not everyone is interested in visiting museums – and admission price is NOT the primary barrier to engagement
This is a fact that data folks know well, but it’s one that we often overlook as an industry. At IMPACTS, we gather a lot of information on the general public, but we focus particularly on high-propensity visitors (those people who demonstrate the demographic, psychographic and behavioral attributes that indicate an increased likelihood of visiting a cultural organization). These are the people who actually go to museums and cultural organizations. They are the people who say, “Yeah! I’d like to do that!” when the suggestion of visiting a museum emerges. Not everyone is a high-propensity visitor – not by a long shot. In spite of all of our best engagement and marketing efforts, some people simply aren’t going to visit our organizations for several different reasons. As it turns out, admission fees are generally not a major factor in their lack of inclination to visit a museum.
Volker Kirchberg’s landmark analysis, “Entrance Fees as a Subjective Barrier to Visiting Museums,” published in the Journal of Cultural Economics, found that admission cost is a secondary factor when considering a museum visit. A lack of time (i.e. schedule considerations) or a simple lack of interest (i.e. relevance) were far more important factors in one’s decision not to visit a museum than were admission fees. In other words, a decision not to visit a museum is often more a function of lifestyle than finances.
When we consider the population subset of high-propensity visitors (HPVs) – our most likely audiences – cost absolutely pales in comparison to schedule and reputation when it comes to factors influencing their discretionary leisure activities. A big contributor to this often-overlooked fact is that, for both the general public and high-propensity visitors in particular, their time is more important than their money. This data from IMPACTS shows this well: