In 2004, JALC moved to the Time Warner Center – a high end commercial and corporate complex located on Columbus Circle. The move provided JALC with new, state-of-theart facilities, greater capacity (from 3000 to 4000 seats), and performance venues with expansive views of Central Park.
JALC receives three primary revenue streams: subscriptions, single ticket sales, and donations. JALC, like all major performing arts organizations, relies on patron subscriptions to smooth demand and provide up-front cash flows. The general rule of thumb is that 50% of tickets should be sold to subscribers and 50% to single ticket holders.
The move to Time Warner Center has been a mixed blessing for JALC. In response to significantly higher fixed costs (rent, utilities, etc.), JALC had to increase ticket prices an average of 75%. However the move has also generated significant press attention and general buzz across New York City. Although attendance has been up since the move, subscription rates have declined in each of the first two years in the new venue. You have been hired by JALC’s Director of Marketing to assist in boosting subscription rates.