Indian music experience: A strategic analysis; Brigade Group

Abstract

Indian Music Experience (1MB), India's first experiential music museum is going to set up by Brigade Millennium Welfare Trust (BMWT) with the help of Brigade group in JP Nagar, 7th Phase, Bangalore. Currently it is under the phase of conceptualization. It is expected that this dream will come into reality by the end of2011 or early 2012. This strategic analysis is done keeping the main focus on the revenue generation model and sustainability of 1MB. To perform this analysis, some factors are taken into account. Firstly, what are the inherent strength and weakness of the project, considering possible opportunity and threats from the environment? Then the macroeconomic factors were considered which comprises of political, economic, social, technological and environmental domain. The current scenario of museum attendance and fundraising activities is a major challenge for the nonprofit sectors. Taking that into account a comparative study is done to identify the recent trends in museums, how much revenue is shared between earned and unearned activities, trends of museum visit with respect to age, socio economic profile and education etc. Then a focus was made about the branding of IME, considering the risk in nonprofit branding and commercialization and at last how the branding can be done at minimal cost. After that, proceeding towards the analysis a discussion made on the pricing strategy of the museums, what are the ideal situation, pros and cons for each of the strategy. ffitimately a pricing strategy is proposed for 1MB based on the current demand and supplies present for museum services. Then a comprehensive study is done based on 20 most popular music museum across the world, considering each of their revenue generation model, how much percentage of revenue is coming from each of those activities. It is found that the most common practices for them are admissions, concessions, retail and memberships, while the vast majority of funding has come from grants, governmental assistance and private donations. Based on the trends found in the museum sectors, analysing several reports from American Association of museum, UNESCO and considering above mentioned factors, some recommendations are proposed for 1MB. These include engaging into social media, enabling online retail, consolidating and professionalising business units, Exploring new opportunities, pursuing creative strategic partnership, opening up 1MB after normal operation hour and diversifying the fundraising strategy.