New York's Museums Respond to a Difficult & Changing Market: A Quarterly Report

by Joan Baldwin

A lot can happen in three months. Last fall when MANY approached its members about the plunging stock market more than a few said there was belt tightening going on, but maintained a wait and see attitude. All that seems to have changed with the New Year. To monitor changes from rough to dire, MANY has developed an Economic Health Index Survey for New York’s museums, polling 37 member organizations on such areas as visitation, government support, operating deficits and the like. Results from the survey will be reported in MANY’s enewsletter quarterly throughout 2009.

The news, based on the January 2009 survey, isn’t good. For 40-percent of the responding organizations school visitation is down, a victim no doubt of dwindling state and local budgets. In line with that 17 or 53.1 percent report that state or federal support has decreased. A quarter of the group (25.8 percent) has also cancelled programs, while 11 of them have experienced staff cuts or freezes. Twelve organizations or 38.7 percent report an increase in their operating deficit, and that same group (38.7 percent) reports a decrease in their number of employees. While 25.8 percent of respondents said they had scaled capital programs back.

After a number of articles appeared in the national press about the “death of the gala,” MANY asked specifically what responding organizations were doing in terms of their annual fund-raising events. Roughly 20 percent reported no change in plans. Either they had already held their event and emerged unscathed or they felt confident enough to go forward. A few respondents were more direct. One said, “Our primary focus is insuring all that we do is on mission. We are not cancelling events and programs, just being visibly cost-conscientious while trying to still attain the "wow" factor. It's important to remain the "shining star" in our community, especially during the rough road ahead.” Another quipped, “Galas should die a natural death. They are ineffective, time consuming ways to raise money and virtually all organizations would be better off if they morphed fundraising emphasis to ASKING MAJOR DONORS FOR MONEY FOR MISSION. I call it the "Willie Horton School of Fundraising".

The only good news the group reported was that 40.6 percent said that their general visitation had increased, while roughly a third or 10 percent reported their annual appeal contributions were up as well. And on the staff side where many respondents said the cuts will be (or have been) the most difficult, 41.4 percent reported no change in staffing.