FC Buzz: The business of orchestras

BY BARBARA J. SMITH-SOROCA

Symphony orchestras have flourished for more than 250 years; today there is a question about their future.

Thirty-five years ago when I joined the Stamford Symphony as CEO, it was essentially a social club, run by a volunteer group of music lovers, with community musicians performing concerts in the high school. At the time, orchestras such as these were populating cities throughout America. The League of Symphony Orchestras was helping the mainly volunteer-run orchestras to learn the business of orchestra management. Today there are degrees offered in nonprofit arts management and the successful management of an orchestra requires business acumen.

How to ensure the business viability remains complex in the orchestra industry compounded for the Stamford Symphony by the proliferation of competition. Additionally, there is not a more efficient way to perform. Composers wrote symphonies for specific instruments; we cannot reduce the number of musicians and effectively perform the music. The orchestra industry is further challenged by the diminished interest in live performances, particularly classical music.

Full orchestra concerts as performed by the Stamford Symphony are costly, with the ticket income never paying for the full expense. (An orchestra is considered financially stable if 40 percent of the budget is earned and 60 percent contributed.) In the for-profit world, this would raise a flag suggesting the closing of the organization.

Today as the orchestra industry struggles to find the relevant business model, mergers, acquisitions and joint ventures have become necessary. Not only orchestra combinations, but other arts-related organizations are joining forces. Contracted services, whereby a concert is purchased by an organization for their own need has become significant. Orchestras are presenting great artists without the orchestra, in a recital format, in order to earn money.

The declining interest in classical music by the young population is attributed to the budget cuts for music education in the schools. Additionally, the time constraint from the pressure for students to participate in competitive sports as a ticket to college has left little time for music lessons. The ability to play an instrument (think bassoon) can also provide a college pass!

I believe that orchestras and classical music are an essential part of every developed civilization. I look forward to hearing from you.

Barbara J. Smith-Soroca is CEO and president of the Stamford Symphony, a member of the Cultural Alliance of Fairfield County.