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Lyric Opera of Chicago: Setting the Scene to Grow Ticket Sales (Teaching note)

KEL-5-123-004(TN)
Résumé
In the summer of 2022, the Lyric Opera of Chicago (Lyric), a major opera company, is facing a deepening challenge. Lyric has seen ticket sales decrease, declining from 54% of revenue in 1998 to 33% by 2018. Since 2010, the primary source of this decline has been a loss in subscribers--high-value patrons who attend several operas per year. This subscriber lack is concerning not just for the lost ticket sales but also because subscribers are far more likely than single-ticket buyers to make gifts (a stream that now constitutes 51% of Lyric's revenue). As it plans to counter this downward trend, Lyric's marketing team has two questions to answer: First, the team must decide which audiences to focus on to fill its empty seats--past subscribers, "opera-primed" lookalikes of past subscribers, more diverse audiences closer to Chicago's urban core, or millennials; then, once the team chooses a target audience, it must determine how Lyric should address that audience with its product, customer experience, and opera programming choices.
Mots-clés
Arts, Brand management, Consumer marketing, Customer experience, Customer retention, Marketing, Marketing strategy, Nonprofit organizations, Sales, Sales and marketing
Secteur d'activité
Performing arts and museums
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