Innovative and nontraditional revenue generation in New Zealand museums

Abstract

Improving income in museums around the world is vitally important and New Zealand museums are no exception. There is little literature in Museum Studies offering practical strategies for fundraising, with much research focusing on the morality of revenue sources rather than best practice. Research in other disciplines on museum revenue has been problematic as the theories it has attempted to apply are not always applicable. There has also been little research on the local dynamics of revenue generation, and there is therefore an urgent need for practice based research on this topic, such as data for comparative analysis of revenue sources.

Responding to gaps in the current literature this thesis analysed innovative and nontraditional revenue generation in three Wellington museums. Innovative and nontraditional revenue encompasses programs, partnering, fundraising, museum-operated businesses, venue hire, museum and third-party websites, phone applications for smartphones, crowdsourcing and e-commerce. Pragmatism provides the research paradigm for this empirical study into current professional practice. The paradigm was enhanced by several concepts including Hansen and Birkinshaw’s, Innovation Value Chain. To examine the local museum situation, data was gathered from the Museum of New Zealand Te Papa Tongarewa; the New Zealand Cricket Museum; and Pātaka Art + Museum. Semi-structured interviews with key staff and revenue records were analysed following qualitative and quantitative methods.

There were several key findings which highlighted the direct and indirect benefits of innovative and nontraditional revenue. External partnerships, museum staff and volunteers were highlighted as crucial for revenue viability. Ethics and perceptions of revenue also affected revenue generation. Overall the research enhances our knowledge of museum economics in the New Zealand context. I argue that commercial operations need to be integrated into museum practice and that the benefits of this approach should be demonstrated to all staff. Finally, several recommendations are made which I believe will enhance the future practice of revenue generation in New Zealand museums.