THEATRE MARKETING: YOUTH MARKET SEGMENTATION Mirna Leko Simic Faculty of Ecomonics, Osijek, Croatia Martina Mikrut Faculty of Law, Osijek, Croatia IAPNM 2015, FUCAPE, VITORIA, BRASIL

INTRODUCTION Where are we? What are we talking about?

INTRODUCTION MARKETING ISSUES OF CLASSIC THEATRE Still living paradigm of non-applicability of marketing concept in arts and culture (Hirshman, 1983; Clopton et al., 2006) Icreased exposure to market pressures (shrinking budgetary financing, competition) Aging and decrease of loyal customers

INTRODUCTION THEATRE MARKETING IS A NECCESITY! „..cruical to economic viability of cultural products..” (Finn et al., 2004) „.. a philosophy of reaching targeted market segments and producing major cultural events consistent with its mission..” (Oom de Valle et al., 2010) Market segmentation – efficient tool for identification of target customer groups and provision of supporting data for effective product positioning

THEATRE MARKET SEGMENTATION SEGMENTATION CRITERIA number of tickets sold (Withers , 1980; Thorsby and Withers, 1979) – demand is a function of price Demographics and geographics – education and income (Kotler and Scheff, 1997) Price, quality, type of performance, socioeconomic variables (Corning and Levy, 2002, Akdede and King, 2006)

RESEARCH AIM: to segment the youth audience (18-35) of classic theatre and analyze major characteristics of each segment in order to suggest the most appropriate marketing strategies Due to previous research (Leko Simic, Mikrut, Štimac, 2014): lack of interest of youth for classic theatre products HNK Osijek survival

RESEARCH SAMPLE:

RESEARCH SEGMENTATION CRITERIA: RESULTS: 4 segments theatre visit frequency RESULTS: 4 segments Loyal „ THEATRE FRIEND” – 1% Present „THEATRE ACQUAINTANCE” – 5% 3. Available „PASSER-BY” – 45% 4. Unreachable „STRANGER” – 49% VISITORS NON-VISITORS

RESEARCH „THEATRE FRIEND” SEGMENT Loyal costumers, mostly annual subscribers The most important segment for theatre Sociodemographics: age group 21-25, live in Osijek and nearby rural area, female, higher income, higher education/students Lifestyle:significantly more open-minded than other segments, theatre visit is a family lifestyle, not subject to stereotypes about theatre Relation to theatre: also visit special theatre events, open to all types of performances, the most critical in evaluation of theatre performance quality (3.77), like to see more contemporary performances by young authors, concerned that best „names” of HNK Osijek are leaving; significantly more sastified with information availability and image and reputation.

RESEARCH „THEATRE ACQUAINTANCE” SEGMENT: visits theatre at least 6 times a year Sociodemographics: female, age group 21-25, live in Osijek, mid-to high education Lifestyle: more limited choices of everyday activities, often no family tradition in theatre visits, least subject to stereotypes Relation to theatre: theatre visits strongly dependent on type of performance (preference of „easy” performances, dislike of „unknown”), highest level of sastisfaction with overall theatre performance (3.83), majority of information gathering on Internet or social networks, no „special feeling” in theatre visit

RESEARCH „PASSER-BY” SEGMENT visits theatre a few times a year, mostly top popular guest performances The highest potential for theatre Socio-demographics: relatively highest ratio of 18-21; 2/3 female; mostly students Lyfestyle: Internet and friends are highlights of everyday activities; most often go out with friends and read newspapers and magazines; not subject to stereotypes Relation to theatre: mostly satisfied with theatre milieu and atmosphere, but least with repertoir (high preference for comedies and „easy content”); like the attractive gust perfomances; information gathering via journals and social networks; evaluation of theatre 3.49

RESEARCH „STRANGER” SEGMENT never been to the theatre Socio-demographics: 18-21 age group, relatively most male, majority from Osijek, lower levels of education, no family tradition in theatre visits Lifestyle: relatively highest importance of Internet and TV, non-conumer of other cultural products (cinema, concerts, exibitions..) Relation to theatre: theatre is ok (3.55), but not for me; strong stereotypes: theatre is not „cool” among my friends, no one to go with even if wanted, not for everyone, needs special preparation..; Would be interested only in „easy content” and more quality information via Internet

CONCLUSION -MARKETING IMPLICATIONS THEATRE FRIENDS Keep them loyal, but also utilize their loylaty and positive exprience – make them opinion-leaders to attract other segments; make them benefactors in the future Blogging about (positive) theatre experience Special activities („bring a friend along”, rating of performances..) HOW? Direct personalized marketing to make them feel special and important Birthday card with ticket as a present or a drink after performance, annual party for the loyals, priority list for guest performances..

CONCLUSION -MARKETING IMPLICATIONS THEATRE ACQUAINTANCE Goal: to make them loyal HOW? Need an extra value in theatre: Meeting with „theatre names”, organization of special theatre events connected with performances (Friday - a theatre day 2+1), bringing in the most popular performances, unusual places of performance (summer festivals, theatre terrace..), ticket availability online…

CONCLUSION -MARKETING IMPLICATIONS PASSER-BY Goal: to get them into theatre more often HOW? Repertoire: more „easy contents”, price differentiation (family, group, student discount)

CONCLUSION -MARKETING IMPLICATIONS STRANGER Major challenge: to get them to theatre at all HOW? Virtual theatre and communication (web, social networks) Break the stereotypes (youth day at the theatre, getting in touch with theatre names, making them part of theatre publicity…)

Thank you for your attention! Questions, comments….