• Paper: Seven Theaters in Search of Revenue: A Study of Pricing Strategies in the Arts Sector (2008)

    By: Bec Rindler, MFA/MBA '09.

    This paper examines the ways in which seven theaters from around the United States are capitalizing on high-demand shows while keeping programs accessible to all audiences. Theaters weigh a number of concerns when deciding how to set admission prices. Revenue is important, of course: theaters price tickets at the highest level the market will bear. But theater is different from other goods, and finances are just one factor that influences pricing decisions. Capacity also matters a great deal: companies want full audiences as well as revenue-generating ones. They must balance the need to maximize revenue with the need to maximize audience. In addition, most arts organizations attempt to expand the breadth of their audiences by reaching out to groups that seldom attend the theater. Revenue, turnout, and audience diversity are all factors that theaters take into account when setting ticket prices.

    Seven Theaters in Search of Revenue: Pricing [PAPER]
    Filed in: Marketing & Development, Papers and Presentations
    Keywords: ,
    Added on: May 13, 2008