News

Arts and business news from around the country.

RSS

Corporate Funding Came Back After the Recession, But Did it Leave the Arts Behind?

Posted by Michael Stroik
0 Comments

While a new report shows that the global recession shifted funding away from the arts, is there a silver lining in how companies have changed their view of investing in communities?  CECP, in association with The Conference Board, recently released Giving in Numbers: 2013 Edition, an annual analysis of corporate giving trends among the world’s largest businesses. Despite a slow economic recovery, the majority of companies gave more in 2012 than in 2007, before the recession, yet the majority of funders decreased their funding of the arts. Companies decreased arts funding annually in each year from 2007 to 2012. The steepest declines occurred in 2008 and 2009, at the height of the global recession.

 

The news is not all bad for arts organizations. While the majority of arts funders have decreased funding, many continue their support today. In fact, behind only education and health and social services organizations, more companies supported the arts than any other program area in 2012, albeit at lower financial levels (Giving in Numbers, page 20). Revenues and profits have increased for large businesses since 2009, and giving budgets are expected to grow in coming years.

 

The shift away from the arts is likely related to many factors and trends occurring across the corporate philanthropy field. Companies aim to drive measurable societal impact with each grant, and many focus efforts on single program areas with the hope of moving the needle on specific societal problems. So why haven’t arts agencies reaped the benefits of an increased focus on individual program areas? Based on our research, there are a variety of reasons. Most notably: 

 

  1. The Recession: During the recession it was no surprise that the fastest growing program area was community and economic development. The world’s largest businesses aimed to support community efforts to rejuvenate local economies. The hope was that economic growth, no matter how small, could spur consumer confidence and pay dividends for companies in the long-run. Many companies prioritized these programs over arts initiatives in the last half decade.
     
  2. Education Issues in America: CECP’s research sample is global but 92% of companies are based in the United States and focus the majority of funds domestically. In 2012, education support topped the list of program areas supported by large businesses for the first time since CECP first published Giving in Numbers in 2006.  American students are falling behind global peers in math and science achievement, and companies are concerned about the future of the American employee base. In addition, the racial achievement gap in student test scores (click here for more information) spotlights the social justice factors that are at stake when dealing with education programs.
     
  3. Non-Cash Giving: In-kind contributions, consisting primarily of product donations and pro bono service, accounted for more than 95% of aggregate giving growth from 2007 to 2012. Arts agencies often have fewer opportunities to work with bulk product donations; only 4% of corporate contributions to arts agencies came in the form of non-cash gifts in 2012. See Figure 11 (page 20) for more details.
     

So what can we learn from these trends to help secure future arts funding? As the field of corporate community engagement expands, arts agencies should focus on their societal impact on communities, including the educational benefits of arts programming for disadvantaged children, when approaching large businesses for funding partnerships. Arts agencies should also emphasize the strong benefits their programs have for corporate employees that engage with them. Whether this includes volunteer offerings or arts performances at corporate offices, make sure corporate giving officers understand how your work will benefit their workforce in a variety of ways.


If you work for an arts agency, have you received less funding from large corporations since 2007? How do you plan to align with corporate funders in the future?  We would love your feedback on our findings -- info@cecp.co.

 

(This post, originally published in The Line is one in a weekly series highlighting The pARTnership Movement, Americans for the Arts’ campaign to reach business leaders with the message that partnering with the arts can build their competitive advantage. Visit our website to find out how both businesses and local arts agencies can get involved!) - See more at: http://blog.artsusa.org/2013/09/26/art-and-business-connect-at-a-pop-up-think-tank-from-the-partnership-movement/#more-21829

(This post is one in a weekly series highlighting The pARTnership Movement, Americans for the Arts’ campaign to reach business leaders with the message that partnering with the arts can build their competitive advantage.)

Related
Comments
blog comments powered by Disqus

More News

Frieze Partners with Tishman Speyer at Rockefeller Center
Feb 15, 2019 0 Comments
Frieze Los Angeles may have opened today in Los Angeles. But this new announcement shows that things are starting to heat up in NYC ahead of Frieze New York.   Rockefeller Center Tishman Speyer and Frieze New York announced...
Go to full post
Annoucing our 2019 Judges!
Feb 06, 2019 0 Comments
We are excited to share this year's esteemed judges for the BCA 10 Awards: Best Businesses Partnering with the Arts in America. We are honored to have their expertise!     Toni Freeman The Arts and Science Council (ASC)...
Go to full post
How the Arts can Solve Top Concerns of CEOs
Feb 01, 2019 0 Comments
CNBC reported on The Conference Board’s latest study, C-Suite Challenge 2019™, which lists the top three internal concerns for CEOs as the following:   1.       Attracting and retaining top talent 2.       Creating new business...
Go to full post
Square Partners with Exit12 Dance Company
Jan 23, 2019 0 Comments
2018 David Rockefeller pARTnership Award winner Square released the next film in its remarkable series For Every Dream: Exit12: Moved by War.   The latest installment follows veteran and dancer Roman Baca and his company Exit12...
Go to full post
Checking in with Creativity
Jan 15, 2019 0 Comments
Normal 0 false false false EN-US X-NONE X-NONE /* Style Definitions */ table.MsoNormalTable {mso-style-name:"Table Normal"; mso-tstyle-rowband-size:0; mso-tstyle-colband-size:0; mso-style-noshow:yes; mso-style-priority:99;...
Go to full post
Vans Custom Culture Announces 2019 Shoe Customization Contest
Jan 02, 2019 0 Comments
Today, Vans Custom Culture announced the opening of the 2019 Vans Custom Culture Shoe Customization Contest. From January 2-January 31, art teachers and administrators register their high schools on the Vans Custom Culture website...
Go to full post
BCA 10 Nominations Now Open!
Dec 10, 2018 0 Comments
Every year, Americans for the Arts through its Business Committee for the Arts, honors the 10 best businesses partnering with the arts in America.   As today’s business landscape continues to shift, companies need talent that...
Go to full post
A Theatre Company in Good Company
Nov 29, 2018 0 Comments
Kenny Leon's True Colors Theatre Company   The Tony Award-winning director founded the eponymous organization in 2002 with a mission “to celebrate the rich tradition of black storytelling while giving voice to bold new artists...
Go to full post
Private Sector Takes a Stand
Nov 15, 2018 0 Comments
Normal 0 false false false EN-US X-NONE X-NONE /* Style Definitions */ table.MsoNormalTable {mso-style-name:"Table Normal"; mso-tstyle-rowband-size:0; mso-tstyle-colband-size:0; mso-style-noshow:yes; mso-style-priority:99;...
Go to full post
2018 BCA 10 Honorees in Forbes Magazine
Nov 02, 2018 0 Comments
This year's BCA 10: Best Businesses Partnering with the Arts in America honorees were in the September 30 issues of Forbes Magazine.   Read more about this year's honorees: Churchill Downs Fifth Third Bank Fosun International...
Go to full post
What's so important about creativity?
Oct 30, 2018 0 Comments
We might work in the arts field, but our day-to-day work looks like any other business. We stare at Excel charts, spend hours on conference calls, write reports, and try to find the bottom of our never-ending email inboxes. Like...
Go to full post
Business Contributions to the Arts Survey 2018
Oct 10, 2018 0 Comments
Business Contributions to the Arts: 2018 Edition is the second edition published by The Conference Board and Americans for the Arts of the annual study. Conducted in the summer of 2018, the survey garnered 132 responses from...
Go to full post
David Rockefeller pARTnership Award: Square + Cheyenne River Youth Project
Oct 01, 2018 0 Comments
Square and Cheyenne River Youth Project will receive the David Rockefeller pARTnership Award at the BCA 10 Gala on October 2, 2018 in New York City. Click here to learn more about the BCA 10.   "Our hope with the project, “Lakota...
Go to full post
BCA Leadership Award: Chandrika Tandon
Sep 27, 2018 0 Comments
Normal 0 false false false EN-US X-NONE X-NONE /* Style Definitions */ table.MsoNormalTable {mso-style-name:"Table Normal"; mso-tstyle-rowband-size:0; mso-tstyle-colband-size:0; mso-style-noshow:yes; mso-style-priority:99;...
Go to full post

Already a partner?

Already a partner?

Learn easy ways to take your partnership to a new level.

Use our ads locally

Use our ads locally

View The pARTnership Movement ad campaign and find ways to use the ads.

pARTnership videos

pARTnership videos

Watch and share our videos from The pARTnership Movement.

Partnership ideas

Partnership ideas

Inspire employees with tickets to the ballet or a concert.

Are you an arts group?

Are you an arts group?

Get listed in our searchable directory.

Recruit talent

Recruit talent

Employees want to live and work in a vibrant community.