Philanthropy is crucial for the regions
The need for regional museums to diversify their income streams grows insistently as modes of public funding decline. Philanthropic giving …
The need for regional museums to diversify their income streams grows insistently as modes of public funding decline. Philanthropic giving has to become an increasing part of that mix.
It is desirable and necessary to enhance philanthropic fundraising in regional museums. There are, however, numerous ways in which the regions differ from London, and will require different fundraising strategies. Those differences apply at every level of giving – corporate, trusts and foundations, and individuals.
In February, Oxford Aspire hosted a round-table discussion on philanthropy in the regions as part of a programme of knowledge-sharing events. Museum directors and heads of development discussed a range of issues with a panel including representatives from Arts Council England (ACE).
The growing pressure on cultural organisations to leverage philanthropic support in response to public funding cuts represents a significant challenge to the cultural sector, but the task is even more difficult for regional organisations.
Recent reports have shown that in 2011-12, nearly 90% of individual giving, 68% of corporate funding and 73% of support from trusts and foundations went to London-based organisations.
One of the principal aims of the roundtable was therefore to discuss realistic methods and targets for philanthropic fundraising outside the M25, and to explore potential collaborative approaches.
Martin Smith, speaking from his experience as a philanthropist and a fundraiser, made a potent point that the cultural sector represents a particular challenge for philanthropists, who do not want to see their investments balanced out by reductions in public funding.
As a consequence, despite the government’s conviction that the holes created by austerity can be filled by philanthropic support, deep cuts may actually hinder the sector’s ability to leverage additional support.
One of the key outcomes of the discussion was agreement that it would be extremely useful if ACE could undertake a benchmarking exercise on behalf of regional cultural organisations to determine the range of costs and returns in philanthropic fundraising, to support organisations in setting realistic fundraising goals.
As an outcome of the discussion, ACE is now committed to gathering data and a range of case studies on different models of philanthropy and commercial activity, in a variety of museum types, to share across the wider sector and to contribute to the development of fundraising strategies.
Other significant points to come out of the roundtable included the need to engage the “new wealthy”, such as digital entrepreneurs, who have previously had little contact with philanthropic giving, and to think of bespoke ways of engaging them with museums.
Innovative methods of mobilising large numbers of small donors, including the merits and demerits of crowdfunding, were also discussed.
A key piece of advice was that organisations should approach philanthropists to invest in activity that will leverage further funding in order to maximise the value of the gift.
For example, at the Ashmolean Museum, Smith has invested in building commercial activity, which now generates more than £1m annually.
Although valuable, the roundtable managed only to scratch the surface of the fundraising challenges facing regional cultural organisations and their potential responses, but the day felt like a catalyst for broader regional discussions.
More meetings are planned to advance the debate. There is a long way to travel in the development of philanthropic support for regional museums, but there is a glimmer of light at the end of the tunnel.
Paul Smith is the director of Oxford University Museum of Natural History and chairman of the Oxford Aspire museum consortium
It is desirable and necessary to enhance philanthropic fundraising in regional museums. There are, however, numerous ways in which the regions differ from London, and will require different fundraising strategies. Those differences apply at every level of giving – corporate, trusts and foundations, and individuals.
In February, Oxford Aspire hosted a round-table discussion on philanthropy in the regions as part of a programme of knowledge-sharing events. Museum directors and heads of development discussed a range of issues with a panel including representatives from Arts Council England (ACE).
The growing pressure on cultural organisations to leverage philanthropic support in response to public funding cuts represents a significant challenge to the cultural sector, but the task is even more difficult for regional organisations.
Recent reports have shown that in 2011-12, nearly 90% of individual giving, 68% of corporate funding and 73% of support from trusts and foundations went to London-based organisations.
One of the principal aims of the roundtable was therefore to discuss realistic methods and targets for philanthropic fundraising outside the M25, and to explore potential collaborative approaches.
Martin Smith, speaking from his experience as a philanthropist and a fundraiser, made a potent point that the cultural sector represents a particular challenge for philanthropists, who do not want to see their investments balanced out by reductions in public funding.
As a consequence, despite the government’s conviction that the holes created by austerity can be filled by philanthropic support, deep cuts may actually hinder the sector’s ability to leverage additional support.
One of the key outcomes of the discussion was agreement that it would be extremely useful if ACE could undertake a benchmarking exercise on behalf of regional cultural organisations to determine the range of costs and returns in philanthropic fundraising, to support organisations in setting realistic fundraising goals.
As an outcome of the discussion, ACE is now committed to gathering data and a range of case studies on different models of philanthropy and commercial activity, in a variety of museum types, to share across the wider sector and to contribute to the development of fundraising strategies.
Other significant points to come out of the roundtable included the need to engage the “new wealthy”, such as digital entrepreneurs, who have previously had little contact with philanthropic giving, and to think of bespoke ways of engaging them with museums.
Innovative methods of mobilising large numbers of small donors, including the merits and demerits of crowdfunding, were also discussed.
A key piece of advice was that organisations should approach philanthropists to invest in activity that will leverage further funding in order to maximise the value of the gift.
For example, at the Ashmolean Museum, Smith has invested in building commercial activity, which now generates more than £1m annually.
Although valuable, the roundtable managed only to scratch the surface of the fundraising challenges facing regional cultural organisations and their potential responses, but the day felt like a catalyst for broader regional discussions.
More meetings are planned to advance the debate. There is a long way to travel in the development of philanthropic support for regional museums, but there is a glimmer of light at the end of the tunnel.
Paul Smith is the director of Oxford University Museum of Natural History and chairman of the Oxford Aspire museum consortium