Coleman Art Museum Case Analysis

1262 words - 6 pages


Coleman Art Museum

Instructor: Nguyen Quoc Cuong


Part 1: Background information

• The Coleman Art Museum (CAM) is a non- profit corporation located in Universal City, USA, a large metropolitan area in the western United States.

• Founded in 1925, the museum was originally chartered as the Fannel County Museum of Fine Arts, and funded by an annual appropriation from Fannel County.

• In 1997, CAM benefited from a $28 million county bond election. Thus, the construction of a new and expanded facility in central of Universal City was carried out. It had extensive ...view middle of the document...

➢ Development & Community Affairs

Headed by Donald Smith, is responsible for marketing/PR/membership/grants, fund-raising for the museum, handles all applications for foundation, federal, state, and local grants.

➢ Finance and Administration

Headed by Ashley Mercer, is responsible for daily operation of the museum, managing the museum’s profit centers.

Museum Finance

➢ The 3 years loss in a row followed 7 consecutive years of either break-even or profitable status.

➢ Special exhibitions and events were very profitable but decreasing in 2005.

| |2002 |2003 |2004 |
|Total revenues |$ 10,794,110 |$ 7,783,712 |$ 8,694,121 |
|Total expenses |11,177,825 |7,967,530 |8,920,674 |
|Net loss |( 383,715) |(183,818) |( 226,533) |

Museum’s financial condition needed attention:

a. The appropriation for Fannel County decline

b. Low interest rate in 2003 and 2004 lead to low earnings from CAM endowment and investment

c. Membership revenues were down for the fifth consecutive year.

d. Income from auxiliary activities continued to show a positive contribution.

e. Income from grant and other donation were still the same amount with previous year in 2005.

I. Museum Marketing

A. Museum Image

• Many people think this museum has NO image.

• CAM is one of the most public in the U.S.

• It is more heavily dependent on the membership contribution than any other museum.

• It has the best balanced collection between Western & non-Western art of any museum in the country.

B. Museum Visitation

• Promotion of special exhibits and activities via press releases and close relationship with local media

• Maintaining a close relationship with the local media.

• CAM has many programs directed toward educating the public.

• Advertisements for special exhibitions aired on local radio and newspapers

C. Museum Membership

• The museum and its members have a symbiotic relationship.

• CAM has 2 distinct memberships: personal & corporate.

• Recruiting new members via mail, telephone, and personal solicitations.

Part 3: SWOT Analysis


Firstly, the museum is located in a popular area in the western U.S. Secondly, it was publicly mandated. Thirdly, the CAM was free admission, membership purchases, host of traveling exhibits, host of special events (foundation, fund-raising). Finally,...

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