Study: Australian performing arts revenue from sponsorship and donations is up

A study by Creative Partnerships Australia and the Australian Major Performing Arts Group (AMPAG) showed a rise in revenue from corporate sponsorship, donations and net fundraising events within the major performing arts sector.

Tracking Changes in Corporate Sponsorship and Donations 2018 showed that a 16.1% increase (or specifically an additional $15.4 million) on 2016 to $111.1 million in 2017.

Results found that cost efficiency on the raising of donations has improved by 22% on 2016 levels, with costs at 14.5% of total donation income compared to 18.6 % in 2016.

Of the $111.1 million total, 65.1% was received as donations, 32.2% from corporate sponsorship and a net amount of 2.7% came from fundraising events.

The 16.1% growth in total private sector earnings was significantly higher than the growth reported in the groups’ total earnings of 4.3 per cent.

Private giving now makes up 19% of total income in 2017 up 17% in 2016.

In 2001, corporate sponsorship made up 71.6% of total sponsorship and donations revenue. By 2017, this share had fallen to 32.2%.

Executive director Bethwyn Serow said ‘The support of individual donors, trusts and corporate partnerships is incredibly important for the arts sector.

“While revenue from sponsorship has been growing in line with CPI, donations have gained more share of the total revenue, tracking well ahead of CPI and driving the overall increase in earnings for the sector.

“The consistent and heartening increase in both the number of donors (up 15.9%) and in the average donation value (up $179), reflects a broadening base of and increasing engagement among donors.

Last year, 50,379 donors supported the MPAs, a “further testament to the growing recognition of the importance and value of the arts for Australians,” Serow opined.

She added, “This support has helped to enable the companies to develop artists and creatives, as well as commission new works, strengthen sector infrastructure and ensure broad access to large scale and highly accomplished performances, quality arts education programs and workshops and continue their custodianship of their respective artforms – and there is always more that needs to be achieved.”