nm5188: one was commissioned by er the people that lived on his estate and it was considered to be a glorification of his image and one he had commissioned himself which was of him in his kitchen now the critical review is which is the best painting er it's the same with business sponsorship the Midland Bank's sponsorship of the Proms concert has come under a lot of criticism but i would point it the other way and say why don't the arts council stand up and actually shout out how well they do and what percent they contribute to the arts in this country you cannot fault Midland Bank for being a good marketing organisation that is why they've got the credit they have got implicitly the criticism is to the arts council for not actually standing up and shouting about the contribution that it makes to arts funding in this country so therefore the sponsorship isn't bad in itself it is the way that it's reflected so it comes down not to is sponsorship bad but its the implementation of sponsorship and the important thing that i think that gets left out more often than not is th-, th-, the emotion and the practicality and if you can actually either have a technical argument about sponsorship or the implementation of sponsorship it will make the discussion much easier nm5189: and theres also the questions raised the other question raised is the question of framework as well of what you know talking about sponsorship in isolation is not i'm afraid the best way you need to look at it in the context as put it this idea of plural funding context where money is coming from a lot of different sources er and whether sponsorships we've' talked about the layer of icing on the cake and one of the questions we have to ask ourselves is whether the icing is getting bigger or the cake is getting smaller and this is one of the things that Amstra put forward you know and they've argued about saying we need we're not arguing for sponsorship to take to to become the cake we want sponsorship to be something extra so they've actually been lobbing for for the government funding to stay at at levels consistent to keep to keep sponsorship as an extra not as a substitute mm as one would expect sm5190: yeah but you could disagree with that because er government funding has been freezed for years which means in real terms when you take inflation into account there has actually been a pro-censor pro-censor er decrease nm5189: yeah in real terms yeah sm5190: in real terms and er it it seems that many smaller organisations have become dependent on even those few five percentage which sponsorships ma-, ma-, make out but er as er Joseph put forward you can create your amount of time of getting those five percent of income but they're still dependent on you nm5189: but the other er sf5191: like it holds a balance of power you know like you say about the government you can have a small party that holds the balance of power it's like sponsorship is that extra money that makes makes the gap meet between pros and grants and er raising costs er so perhaps that's why it's more powerful than it should be according to its size nm5189: the er yeah no extra the extra is what makes the job worthwhile er sf5191: is what makes the system run nm5189: and also i suspect mot- in terms of motivation the extras within within work are often what motivates people to enjoy what they're doing so the extra projects that you are able to get sponsorship for may be the most interesting things that you're doing rather than bread and butter and and and that may explain why people spend spend time on on sort of getting money fundraising for particular projects whereas actually of course you know the time you spend on your annual grant application proportionally given the amount of money you get out of it you're probably getting a better cost benefit ratio there but you can see why people want to pursue that sf5192: and also and it also seems that mm the question of profile is important and although it might just be five percent there is actually five percent of the funding is going towards something which is going to raise the profile of the arts and criticism towards the arts council is that it doesn't raise its own profile and it doesn't raise the profile of the projects that it works with so why not use the five percent of funding for business to actually get your name known or the project the arts project you're working on known sf5193: isn't that what's happened with the royal theatre that the journal did nm5189: journ- journ- would actually want to call themselves the er sf5193: yeah nm5189: wanted to be called the journal theatre sf5193: journal theatre obser-, obser-, or something like that nm5189: yeah and admits and actually the festival studio theatre at Chichester i think it's the Mitsubishi studio is that right the er sf5193: yeah sf5194: its Gulbelkian nm5189: yeah nm5188: ah but th-, th-, the interesting thing about Gulbelkian's basics is that Gulbelkian is a historic supporter of community projects not necessarily just the arts and the decision of Gulbelkian as a person was philanthropic so that was not sponsorship that was philanthropic giving to society in general and i don't believe er sf5194: so is it a business can't give something for a philanthropic claim or er nm5188: i think that it is extremely rare er for a business to find any justification for philanthropic giving er in in maybe twenty years ago maybe ten years ago a chief executive could have the power and authority within a company to make a personal decision which is about as close as philanthro-, to a philanthropic decision as you can get but it was still a business decision philanthropy is basically mm not return other than societies return so i think you you have to take away mm Gulbelkian from the equation er the current furore over Paul Hamlin wanting to give to the South Bank Centre is an interesting one because i truly believe that Paul Hamlin wanted to give that money on a philanthropic basis he actually wanted to give the money and it was all tied up as to whether or not the amount of money he was giving was worth it in comparison to the amount of money that London had put in to the South Bank Centre and when that argument came to light he withdrew and i think that it was possible that the South Bank Centre offered to put his name on it but that Paul Hamlin didn't actually see that as part of his decision for giving money because he was giving private money not company money nm5189: well that i mean that sort of raises this question about the definition of what sponsorship is is quite you know i mean wha-, what's the difference between sponsorship and advertising and philanthropy and we perhaps need to establish that cause that that's quite important also in terms of if we're talkin-, if we're thinking ahead towards reform of taxation and having sponsors- , you know having certain kinds of giving tax exempt those definitions are very important the i- the definition of sponsorship is that there is a benefit for the business that's very you know that's part of the agreed i think that's that's the agreed answer definition so you if it's philanthropy it's not sponsorship at the same time there is also a distinction between advertising and sponsorship and that i i guess you know that it's it's a bra-, it's a more blurred definition but advertising is something that is whether is a direct buying of of air time or of you know where you're actually getting a direct input from financial input to buy something sponsorship works slightly more subtly slightly more indirectly i mean the obvious example i suppose is if you look at television programmes that are sponsored in this country there's a difference between that and adverts you have a kind of you have a logo you have an association but you're not necessarily you're not actually you'll probably have an advertisement as well to actually push the product so the Midland Bank do not don't actually run a commercial at the beginning of the proms obviously but they do have an association so there is er i i the reason for this focussing on this question i guess is it leads on to this question about dirty money and about transparency because one of the arguments that that Mandy put forward was that that you have this transparent open contract you know where you are er with a sponsorship deal you know you can see what you can see what the sponsor wants you can see what the arts organisation wants it's above board it's clear philanthropy or indeed public giving public sector funding is perhaps much more difficult to work out whose getting what so you know philanthropic donation from Carnegie or you know towards the towards the library surface what was he doing with that money was he being a nice guy or was he trying to push forward a certain idea of of D-I-Y capitalism although you know globally by putting up building libraries in Scotland you know you've got the American steel magnate so there are are kind of and similarly with public money you this is one of the questions you'll obviously look at throughout the course why does the government fund culture what do they get out of it are they equal are they dirt-, are they dirtier than the sponsors that's you know one of the questions you have to ask yourselves sf5194: i was just wondering could i have some more information about the compensations that er films expect actually because i was expecting mm a better image do they er make demands er of the arts organisation to change a consensus programme or to provide some i don't know some you know some offices or rooms in the museum or er dunno if can be er nm5189: it's probably difficult to generalise i don't know i mean you can i mean we gave you a sort of list a sort of list of headings of the kinds of things that people would get from sponsorship and it would depend on kind on the organisation on the kind of thing they're sponsoring you know the the things to do with profile things to er corporate entertainment i mean i you know i don't know whether you've got anything er nm5188: well er nm5189: to add to that nm5188: a-, again businesses who are sponsoring are acutely aware of setting objectives and they will have a list of what they want and rarely do arts organisations have a list of what they will give and as a consequence the business organisation presents a list and it's generally accepted and agreed and then the arts organisation finds that at the end of the negotiation they actually haven't raised any points themselves and it's almost always the fait complet so though they've accepted the business list and there's nothing there for the arts organisations er that's two ends of the scale one of the most important parts of my job was to make sure that the business had the opportunity to ask as many questions as possible but that i knew the limitations of the arts organisation so i was empowered by the arts organisation in this instance the the university's Arts Centre what constituted no and there was a policy decision within the university that it was the art centre's decision whether it accepted tobacco sponsorship so the university has a no smoking policy the university will be no smoking so it had its decision but it recognised that it was for the art's centre to make a decision based upon sponsorship of cultural activity the Arts Centre management board decided that it did not want to see tobacco sponsorship so my brief was contained because the arts organisation had thought about what it wanted to achieve and Natasha's point was very important it comes down to whether sponsorship is by choice or by necessity the Arts Centre chose to undertake sponsorship it therefore undertook to set perimeters and say no where it felt it was outside of its objectives when a small organisation that has suffered from a lack of government funding or a lack of public funding and then needs to make that five percent to survive then the decisions become much more difficult and they may be inclined to give away more than the money is actually worth an arts organisation has a return on investment just the same as a business does it's just that a business is far better at asking for that return than the arts organisation is and it comes back to the point about the arts council the arts council gets a tremendous return on its investment in business terms it just doesn't tell anybody about it nm5189: and one of the one of the changes that i i you know some of the arts have researched regional arts boards is that they've become far more aggressive in asking for credit for things that they fund so they're becoming far more like sponsors and actually wanting to have their logos a certain size on a poster and wanting to ensure that on the publicity material you quote you know this event is being supported by West Midland arts London arts board whoever and that that kind of corporate sector you know that say well we want to have our share of the of the publicity mm er sf5191: can i just go back to what Valerie said i mean it is quite common practice is it not for mm certainly for performing arts companies to produce a package er and it will list exactly what benefits sponsors will get i mean for five hundred pounds you might just get a credit in the programme for a thousand pounds you might get twenty tickets and a credit and it'll go on right up to production sponsorship where mm the company name will be on everything and there'll be you know more tickets there's there is normally a sliding scale i mean there is normally a document thats on the list of concerts that er nm5188: absolutely so if an organisation er yes if an organisation by choice has decided to enter into sponsorship they've generally got that sliding scale of what they are prepared to give and at some point in time and i accept that it happens that a company might say well we don't like that new contemporary play with foul language but if you did er an accepted Charles dickens adaptation that would be fine well you cannot blame them for asking the question if the arts organisation chooses to accept the money because they need the money i would say morally the decision is wrong but practically if it's one production out of five then it represents a small percentage of the artistic output sf5192: sorry i just wanna go back to the issue of transparency and theres this idea that sponsorship is very transparent so you know exactly what the goals are what the objectives are er not necessarily on both parties but especially biased for the sponsor mm and it seems to me that just because it tra- er it's transparent ie the limitations are explicit doesn't kind of justify them really because sometimes if you do accept into a sponsorship you are incredibly limited you have to meet certain goals which as you said if it wasn't by choice you then are expected to meet and just because it's transparent and explicit it doesn't mean that that makes the the power of sponsorship a good thing inherently or er nm5189: er i mean i think yeah there that transparency is part i i will depend upon circumstances in which the the deal is made sorry of the benefit of it be er being transparent i mean as you say it's all very well knowing that you're having lots of conditions imposed upon you but they're still being imposed upon you the fact that it's transparent doesn't make it any better but i guess that you know that the question is to do with partly to do with do-, it's down to the individual organisation to stand up for themselves but it's also of course down to the contacts and towards what the la what the bigger picture is which is why this relationship between public and private money is important and whether the whether there and the relationship is dependent whether it-, whether it's a buyers' market or a sellers' market whether the arts organisation is able to go out and shop around and find the best deal or whether it's the other way round and the and the sponsor has got a chunk of money and they're looking at fifty arts organisations wondering who to give it to well you know if you look at maybe some of the big er some of the big successful organisations perhaps they can they're they're in a slightly stronger position to negotiate because i would of thought the Royal Opera House Proms would be quite an attractive sponsorship opportunity as they say so you know there's it's gonna be easier for them to perhaps say well i'm afraid you can't have this or you can't have that you know the logos gotta be smaller or or we're not gonna do it al those kind of conditions can come in if you kind of you know me and my mates community theatre co company trying to you know trying to get some money we've written five hundred begging letters we get one reply from one charitable trust or one sponsor who says yeah we'll give you some money but you gotta do this this and this we're highly it's unlikely we're gonna say mm we're gonna negotiate with you come to some you know make some hard decisions here and you're you know you're gonna have to do what we want you to do so that you know it's partly to do with sale of organisation maybe it's partly to do with with with the environment you know look at look at the the amount of corporate money in the US versus the amount of corporate money in the UK and one can you know make other national comparisons maybe and regional comparisons and maybe it's easier in in London than it is in in the north in the north east i don't know you or maybe easier in cities than it is in rural you know areas mm depending on what the sponsor wants what kind of markets they're going after sf5191: mm talking about transparency i mean is there an issue here because i don't think the public know anything about the deals that are made between businesses and the arts unless it leaks out i mean whereas at least with public funding you've got a right to look up the figures you can you know anyone can get an annual report from the Arts Council nm5189: mm sf5191: mm whereas with businesses it seems to be always a lot more a lot more hush hush you don't know what pressures are being put on organisations how many tickets they'll give to sponsors nm5189: i don't i mean i'm not su-, i mean i think technically you're right but on the other i think if you go to a a theatre you know ho-, how much do you know really about about that i mean obviously it's as cultural policy students you all know these things but if you went along to say the Arts Centre would you know how much money they get from the regional arts board and would you care more to the point and i think the problem is that that public money is kind of invisible and you don't really notice it whereas soon you know private money is er sf5192: just a question er is there a legal requirement to actually disclose sponsorship i mean the arts council has to produce an annual report and tell you where it's given it's it's money does sponsorship with the arts have to be associated with a name and a disclosed name or not nm5188: er no there are there are nobodies even thought that far er it will appear as a line on part earned income in the majority of of accounts simply because to differentiate it from public funds but there are no legal disclosure obligations sf5191: you do occasionally get events that er are sponsored by an anonymous donor as well don't you nm5189: when the Royal Opera House was bailed out there was a big there was a you know an anonymous donor stepped in presumably because i i presumably because they don't want lots of other people to come after them for for some money as well i guess i don't know maybe it was individual sf5195: can i just ask a question about the ethical issue you were saying that organisations don't want to be as seen er as promoting sort of like smoking but i still seem Timothy was saying the public doesn't really find out about business sponsorship and isn't really interested in where the money comes from so why just say i dunno a tobacco company offered you millions of pounds and you'd say no just because it's smoking and and you don't advocate smoking like why is that as issue nm5188: well er if if you accepted the money but you didn't disclose by terms of including a logo on publicity or print then you you have a dilemma mm there would be no benefit to the to the tobacco company giving you money sf5195: yeah but i'm not saying that you wouldn't put a logo but i just don't see why it is bad to have a logo in it's not saying that it isn't really promoting smoking is it it's just it's just saying that this is where we got it from nm5188: well i personally was on the side of accepting money from whatever reasonable sources was available because my job was on the line i have no objection to tobacco sponsorship because i firmly believe that an audience in a classical music concert or a rock concert or a comedy event is more than capable of judging whether they wish to smoke or not i do not believe that advertising promotes smoking i believe it changes brand loyalty but it doesn't encourage smoking there are other issues involved so personally i accept and would have accepted tobacco sponsorship but it was a decision of the Arts Centre as a whole which was made up of commercial interest from my perspective and creative interest from the director's point of view and from the programming manager's so on on reasonable discussion it could be misinterpreted [laughter] sf5192: i think it's going back to a lot of the issues of actually having a mission statement or a policy and then having to evaluate what you do from the activities that you then produce and mm funding sources i think you do have to go back to your policy and i can totally understand why the Arts Centre would not want to associate itself with something which actually contradicted a fundamental policy it has so i can i can totally understand why they would refuse to have tobacco sponsorship of their er nm5189: can i have a quick show of hands who would who would take who would take the money from er Benson and Hedges the Benson and Hedges er studio theatre sm5190: well depending on what or- organisation er sf5192: well yeah i mean er nm5189: yeah yeah okay the Arts Centre let's be specific the Arts Centre should we er would if you were if you were Stella running the Arts Centre would you take smoking er sf5192: with a no smoking policy nm5189: with a no smoking policy would you ta-, would you take money from tobacco sf5191: well you'd have to weigh up the negative publicity i mean i used i worked briefly for opera north in their development department and British nuclear fuels are a corporate member of Opera North and they get a tiny one line entry among about fifty other members mm and i did ask them i said you know if they offered you more money would you take it and they said no probably not because we'd probably get people picketing performances and we'd get bad media coverage and in the er final analysis it wouldn't be worth it whereas we can have them as a corporate member because nobody really picks out their name so you know er sf5192: it just seems so sad that you have to actually start thinking of the financial reasons i mean that you are so dependent on sponsorship that you will actually change what your policy is what you your mission statement is just because you need the money i mean it's very sad to think you actually have to go so far as to totally re mm redefine what your organisation is just to get money it's er it's a bit like er sf5193: but you do that for public subsidy anyway nm5189: i was gonna say yeah er sf5193: it's no different you do it for public subsidy er change your mission statement to fit the er sf5192: yeah i suppose that's true nm5189: but isn't that isn't that one of the things that's happened over you know in in the public sector as the money sources have become more and more diverse arts organisations have chased after all kinds of pots of money in a desperate attempt to kind of compensate for the loss of core funding s they'll you know they'll they'll go after Home Office funding for drugs for example well that was i mean actually i think iv'e iv'e used this example before i know but it's a good example of public money being tainted you know the drum The Drum which was a er a black arts centre in Birmingham is a black arts centre in Birmingham when it was being set up took some money from the home office and the home office money was targeted towards re-educating people about drug use and you know the Home Office support you know linked in with the police and all the rest of it there are a lot of people in the black community in Birmingham who said this is we don't wanna have any part in it this is kind of this is stereotyping black people this is linking us to is linking us to this idea of us being criminals and that's the money that's coming into a black arts centre you know we don't want that so there's i think the the important issue as you say is what's your do you have a policy and are you gonna stick to it and that's gonna apply whether it's public money er sf5192: yeah nm5189: or private money you've' gotta be clear and and i guess that's what Peter's saying as well you know that you've gotta you've gotta have your perspective as an organisation what you do what you don't do what's acceptable what isn't acceptable and stand by it and don't be er don't be bullied by the you know the experienced business negotiator on the other side of the table who's probably who may be more experienced than you that's why you have to call in somebody like Peter to come and help you sf5192: i think it's fair enough to say that pubic money might be as dirty or or as tainting er as business sponsorship but it doesn't mean er just because something's just as bad doesn't mean that you er nm5189: no sf5192: have to i mean er no sm5190: well it's a political discussion whether we think it's it's more dirty or less dirty er say that arts should rather bank towards er democratic public bond er bolyer should embank towards commercial interests and and to concentration of of capital that's a political discussion and i think it's only er big organisations like Warwick Arts Centre who can afford to have a policy of choice so er nm5189: mm mm er mm sf5191: it's a luxury sm5190: it's a luxury sf5191: yeah nm5189: so is that i mean that goes on to er links into er this question about er the kind of organisations that benefit from sponsorship one you know one of the arguments about sponsorship is that it it reinforces hierarchies you know that it's all very well talking about sponsorship being this extra five percent but actually you know if you broke down how much of that money in the same way as public money of course goes to the big er the big organisations you know how easy is it for for cutting edge experimental work to get sponsorship how easy is it for small community based organisations now namex i don't think your organisations had any sponsorship er sf5193: no very little we get help in kind but we don't get money so people give us things and time and resources but not money nm5189: mm sf5193: so that's the way we get it sf5191: i mean there's one or two er charitable trusts like Lloyds T-S-B foundation who actually specialize in er projects which are you know are more or less on the social exclusion side you know there are there are er yeah sf5193: they are but they're oversubscribed though) sf5191: well of course they are yeah but mm nm5189: mm b-, i mean there is that devel-, that sort of graining about of you know that blurring of the line between sponsorship and and mm philanthropy when when the when the corpo-, the business actually sets up a foundation or a trust so you know the Sains-, Sainsburys have a separate trust which is a which is actually you know in the directory of grant making trusts you know it's a slight-, you know it's a different game when you're applying to a grant making trust so generally speaking you're you're smaller and your community based type organisations are going to be applying to trusts rather than to business sponsors because i if you're you're looking at it as a market you know competing for sponsorship money the smaller organisation has got less to offer basically and they don't have such big audiences they don't have such good entertainment facilities they don't they're not gonna have such an impact on the corporate image sf5193: well our last project was with homeless people and they'd be all you know they have no money so why would a sponsor come along and say you know buy a Jaguar car i mean er sf5191: but i think there is a genuine element of philanthropy some of those er with Lloyds T-S-B Halifax community affairs i mean the people you deal with are interested in the projects mm you know there's a a definite sense that they do want to give something back i mean alright i-, it probably is slightly cynically targeted to the areas where most of their customers are but you know nm5189: so in this relationship between public and private and and i guess trusts somewhere between the two is there a case for saying you know fo-, for thinking about areas of responsibility then saying certain kinds of organisation event should be left to fend for themselves and certain kinds of organisation event should receive a maximum share of public money and is that happening does it happen sf5191: well isn't it a case partly of er a larger company needs er it needs more money than a smaller company so to be allowed that public funding and also go for the sponsorship isn't it relative to the er nm5189: right that's one thing yeah that's one argument yeah but the oth- i mean another argument could be that mm mm something that's been that Jerry Robinson's been pushing a great deal in you know er is this is this idea that there are no er you know funding isn't for life it's for Christmas you know funding is short term and you go you get your money for doing f-, for to set you up towards getting money towards earning money yourself and the organisations big organisations should actually be taking more from the private sector and the fact that er the Royal Opera House was able to bail itself out miraculously from a sudden donation from an anonymous donor when it was when it was backs to the wall and it was almost it was almost a game of poker going on between the department of culture media and sport and and the and the you know the hidden private donors who didn't want to see the Opera House go down so you know maybe there's a case for saying that er that that you know that the kind of public sector money should be concentrating on on Vanessa's er theatre sf5191: yeah [laughter from group] i mean i think there's a need more er a law for more strategy for mm organisations to fill in the gaps that are left by others i mean for example i know this isn't a direct business sponsor but the foundation for sport and the arts seems to channel it's funding to fill the gaps in in public funding you know they for example they gave grants to dance and drama students who mm who fall out of the net because they're not eligible for local authority grants for those degree courses and the Foundation for Sport and the Arts actually funds some of those people so they've looked and they've seen that a gap where public funding doesn't fill and that to me is quite sensible what seems silly to me is when they're almost competing to support the same organisation so then the organisation can use that twice nm5189: mm mm well that's i mean that's when it gets er you know that's what worries me in a sense when the public sector organisations become like sponsors and want to buy want to buy a piece of an organisation because it's successful so they want to be associated with a particular brand and are saying you know which is which for a commercial sponsor is you know fine i mean that's understandable that's what they that's what they want but for you know public sector in a sense should surely have other priorities and other goals and yet there's a sense in which you can see certain organisations being attracted certain art forms being attracted to public funders sf5192: can i ask a general question to to you Peter er there was in the two presentations that we saw one of them said that business fundings great because it it's got something in common with the arts it loves innovation it loves experimentation and mm Natasha's one said that it plays safe and it never does anything innovative from your experience what is from which side does it tend to fall on nm5188: er i'd sort of anticipated the question and unfortunately on confusion would say both er the luxury that Warwick Arts Centre had and i accept that it is a luxury and it will continue to be is because it is such a diverse organisation a bank a conventional bank Midland Bank H-S-B-C as they call themselves classical music that is the way they wish to direct their sponsorship yet a small local company of architects can actually go for a young person's education programme so er to save the support for the I-C-A was a brave decision but it actually recognised it's target market so it had done its homework sf5192: so once again it's to do with profile nm5188: it's to do with profile it's to do with the result sf5192: yeah nm5189: companies set their objective based upon the result arts organisations actually sometimes look no further than th-, the accounting equation and don't consider the implications for their organisation sf5192: it's quite interesting because my my gut reaction was to say well there's this idea that maybe you can tax business and actually make business sponsorship something that is then fed back through the government and maybe it doesn't have the limitations and the objectives of the the specific businesses involved but then i suppose if you do that you lose the positive side of er just the image that is put forward with sponsorship and it seems to be so important and you lose that if you didn't actually have direct sponsorsi-, sponsorship because the business moulds it very much in that direction but it can also be very beneficial towards the arts so er nm5189: mm sf5194: when when because i was wondering do people really pay attention you know to the logo do people really know that er Midland Banks er sponsors er the Warwick Arts nm5188: well er i'm not sure Chris if you've got a copy of it Clerical Medical who are an insurance a medical insurance company did a very large survey which they sponsored they did the survey free of charge which evaluated audience perception and reaction to sponsorship and some very insignificant percentages of the audience actually knew that events were being sponsored so the it's the way you er er evaluate sponsorship Midland Bank taking one hundred people to a classical concert where the audience is a capacity of a thousand if you evaluate the thousand then you get a nominal percentage of people who recognise that the performance is being sponsored so on that basis it wouldn't be worth doing but if you evaluate the hundred guests of Midland Bank the evaluation would prove that a hundred percent of the people thought that the sponsorship was a wonderful thing sf5194: but among people who knew it was Midlands was sponsoring this concert er would they go right up to Midland Banks because it sponsors you know classical music nm5188: absolutely not sf5194: so actually what's er what's really the point of the logo nm5188: well the the decision that sponsors er can make is if they recognise that that their objective is the hundred people then the logo actually is just an added bonus but it's not really important so again it's the decision of why somebody is sponsoring sf5191: can i just say mm iv'e noticed in Manchester there's a er new concert hall that's been open for about two or three years now called Bridgewater Hall and they've obviously noticed this thing they've i talked to someone at the development department an they said mm not many people actually notice the logos in the programmes or those sort of things they've actually got up a gobo you know like a projection of a slide on to the wall as you come in so for each concert they have a projection of you know this concert is being sponsored by Midland Bank it's very conspicuous and it's easy for them to change for each event so they've obviously put some time into thinking thinking about it they've they've found they've got much higher percentages now of audiences who realize that it's being sponsored nm5188: sophisticated marketing identity sf5191: yeah nm5189: and there's al-, er also been a continuing controversy over crediting the sponsorship in reviews mm you know whether when you're reviewing a concert whether you should mention the sponsor and the the you know er i mean i guess when you were at Warwick Arts Centre you would have to have dealt with that but you you know you have to ri-, ring up the you know the newspaper and say look if you're gonna you know can you make sure that you mention x brand sponsor because if you don't it's gonna then they you know they're less likely to give us money next time round so and th-, and the newspaper was is again well it's all to do with power these decisions you know it doesn't it doesn't affect them they can afford to be purist about it and say well it really isn't part of you know we don't want to give free publicity in a newspaper and you know the way round that has been sometimes to that the newspaper would persuade the the sponsor to take out an advertisement as well along the side so that they the newspaper gets paid as well mm but that that those questions about credit and how much people how much notice people take of is is important sf5191: i mean it's editorial policy isn't it because mm i know mm er when i was working in Manchester the Manchester evening news every review it says sponsored by the Greenhalls Group or whatever at the end so it's obviously an editorial policy cos i certainly never told them to put that nm5188: yep right yeah sf5191: but it was always in there and as a matter of fact they were sponsoring one performance out of five and i thought it was slightly unfair but er nm5188: right sf5191: you know nm5188: yes er er the Birmingham Post and Mail has a policy where it doesn't credit sponsors sf5191: ever er yeah yeah nm5188: er and there is no doubt in the the greater sophistication of sponsors asking for the return of sponsors asking for the return on their investment they will list all of the things that they know they're going to get and it would be wrong from a business perspective if next year they didn't ask for more that that is part of an incremental relationship and er two points er one i wasn't allowed to speak to the press on behalf of sponsors and that was a decision taken by the Arts Centre because it wished to take a cultural decision and a business decision so that actually prevent-, put me put a gap between me and the publicity which i thought was negative but i accepted and understood why so i actually countered that by going to a local company getting them to increase the value of their sponsorship where i could justify changing the name of the event to the dot dot dot series where i thought there would be no alternative other than for the press to critically review the dot dot dot series and the Birmingham Post and Mail actually changed the name of the event rather than include the name of the sponsors now i still got my money but they didn't do it again so i tried and so the sophisticated marketing of the company said yes that extra effort on behalf of the arts organisation is worth extra money but it didn't work so it didn't re-occur it's a transaction it's it's er arts organisations have to try and be as sophisticated as they possibly can in the business perspective as do the businesses mm businesses have got the fast track approach though sf5192: which different kinds of sponsorship are there i mean there's it seems to be like there's a whole different range you actually get things like business arts where you have mm businesses involved with sponsorship of the arts who then also commission paintings for their walls and things like that mm do you get the opposite end of the scale which is almost totally financial where you get sponsorship and says well actually we want a direct percentage of money or is that not possible does that ever happen nm5188: how do you mean a direct percentage sf5192: i mean maybe the money that they that the organisation er a bit like a shareholder i spose but do you get a sponsorship that takes the form of getting a percentage back on what they put on the revenue say of the organisation nm5188: absolutely not i don't know of any arts organisation that actually links er the sponsors return to the earning capacity of the arts organisation and i would say that would be morally corrupt i mean that you know absolutely sf5192: well i was just wondering if they existed you know i was just er sf5191: does the lottery film funding work a little bit like that some of it nm5188: mm er sf5191: i mean thought it's not er nm5188: i don't think so er the i-, i-, it's not unreasonable for a company to say if we give you x that means that you're likely to increase your return on the investment so therefore can we have a percentage which is effectively what the lottery funding of film is doing that if this film becomes successful we get something back now i think that's a fair commercial equation sf5191: will get a percentage of the profit er it's just it's not a commercial source of money but but the process is commercial nm5188: but er mm er nm5189: the film is comer er is considered commercial sf5191: yeah nm5188: is funding a commercial ar-, art film nm5189: but i mean the in terms of in terms of getting returns you know you can you can look at you know when you look at er some of the one of the articles actually i've put in the box downstairs is about is an article about sponsorship and one of the articles talks about Becks sponsorship you know how they they targeted a kind of er sponsorship at young youthful trendy sort of comedy type events you know kind of going for a particular niche in the market in order to promote Becks beer and it was enormously successful in terms of raising their market share if if you need the article it gives you statistics on numbers of barrels which mm which is quite mm convincing you know in terms of the the commercial return but in other cases you know as Valerie was suggesting you know it's sometimes difficult to think well what are they getting and that's i think i think there is er it's it's obviously it's on the way and i think in terms you know looking at trends i think that the days of the you know of the the mm the chief executive who's got a pet project which he sort of you know in the slush fund that he gives money to are on the wain but at the same time there are certain kinds of sponsorship particularly particularly kind of the grand institutions like the you know like something like the Royal Opera House maybe er we keep going on about the Opera House er other Sadler's Wells or mm you know maybe some er the C-, er C-B-S-O where there's a kind of people want to be associated with it and they're not really that sure they're not so sure about what they're getting out of it and it's less it's less tightly targeted arrangement you know the benefits are less clearly quantified i want to just sort of mo-, er cos i think just to move on to some other que-, other issues er and one of the things that's been talked about is this question about mm plural funding and and accountability and Natasha talked about the problem of quality you know where you have you have people making er i mean Mandy put it forward as a positive and Natasha put it forward as the negative mm that you have people making decisions about the arts when the arts isn't really their business and effectively they through the through the the power of saying yes or no to a deal they have a a power over what kind of works get money what kind of projects get money mm and whether that is a bad thing whether that is a dang-, er well first of all do you accept the argument that they do that they have a right of veto because the alternative argument which i'm sure Peter would put forward is that if they don't get the money from one source they can get it from somewhere else but do you think that there's a danger of corporate decision making setting it's own agenda about quality deciding what gets funding not being accountable nobody knows why how they make the decisions you know Charles Saatchi changes a painters fortunes overnight just by buying all his pictures you know what what's going on there is that is that dangerous is that something you think you're worried by or not a problem sf5192: was it the the I-C-A that were sponsored by er nm5189: Toshiba yes sf5192: Toshiba would would that not affect i mean would they not there be having an affect on what kind of arts mm er nm5189: well he they have very prominent placings all their their installations that involve multi-media have Toshiba set-, t-v sets there are things like that you know er i mean i don't know whether it meant that they increased the number of of of er you know television installation projects that they has in the g-, er in the gallery space or you know in the in the performance arts space i don't know but there's certainly you know there i think that there was a presence definitely sf5191: mm i mean there's an element possibly i mean and it was mentioned in this article as well mm that often your talking to businesses and they don't know that much about the art form and they're quite likely to just let you get on with it nm5189: mm sf5191: you know they see you as experts in that field they hand it over at that stage the artistic quality is not their concern as long as they have an enjoyable evening i mean i think that i think that is very prevalent i mean you certainly get sponsorship deals when they've been allocated prime seats in a theatre or concert hall and they don't turn up i mean you know that does happen doesn't it nm5188: mm i it it happens it happens more rarely than than the publicity i i bad news is is good news mm i would suggest that if a situation arose where fifty seats were put aside for the sponsors and only twenty-five turned up mm that's mis-management and that's mismanagement both from the businesses' side and from the arts organisation's point of view so i don't i the situation is unforgivable mm i never had that situation because i always made sure that i professionally approached th- the whole event didn't just take the money er and put it into the pot er to determine that the guest list was the guest list as at the last moment so that even if a member of the public was given a ticket so that there weren't empty seats that was presenting the right approach that's professionalism that's nothing to do with whether sponsorships' good or bad sf5191: but i mean to be i mean i have seen numerous cases of org-, organisations and sponsors not attending performances at the last minute or not bringing the numbers they said they would you can see at any big theatre you go to they'll be empty seats in the corporate rows but mm which to me suggests an element of the company not really being that involved in attending the event nm5188: possibly so but again i would put say that is a fault of management not not of the arts mm er sf5191: oh yes i wouldn't i that's what i'm saying i don't think you can put that on the arts organisations they've done their best nm5189: but that's i mean taking that anoth-, another another approach to that question does it does it is it is it a good or a bad thing i mean lets lets say we accept the argument business business that sponsor the arts are not entirely concerned about content and they don't know that much about the content of the arts i'm i'm er sf5192: so on the whole is that is that true i mean would you would you assume that business sponsorship then lets people go i mean it's it's going back to the question of choice or necessity because even if you've got the argument that well if you don't want to be associated with Toshiba the don't accept their money well if it's a question of necessity then it it gets more difficult so do you find that the business sponsorship is actually does it does it impinge upon what art is produced or or does it not nm5188: er i think it would be wrong to suggest that the I-C-A didn't think about the implications but i would er i hand on heart i would honestly believe that they did not change their artistic policy they found a synergy with a young aggressive company into multi-media and if you historically looked at what the I-C-A create as exhibitions you would probably find that a high percentage of it is and was multi er media so they've found a synergy between between the two directions that their organisations take mm there is no doubt that i have experienced events where people have gone for the safe product classical music in in my particular instance bu-, they've chosen the wrong concert and the customers who are being entertained actually haven't enjoyed themselves now that that's a very difficult situation to find yourself in again it comes down to the Arts Centre having the choice back to Natasha's argument choice and necessity and i had a range of products and there would always be some more popular product in my er set of sales potentials and therefore i could generally satisfy the market requirement sf5191: so were you ever in a situation of you know trying to nudge your business towards something that you suspected they'd enjoy more nm5188: yes sf5191: yeah saying well you know have you thought about this package nm5188: absolutely but within fairly tight perimeters because a lot of a lot of companies will say well actually we want a concert now if somebody comes to you with a proposal if you've interested an organisation in coming to speak to you and they say well i think we'll go for a concert to then actually convince them to go for theatre is a very negative sales tactic you would probably lose the deal completely so at that point you'd say okay they-, they've set some perimeters now lets define it and we could actually go for contemporary music in a couple of weeks time the London Mozart Players er are are playing Nym- er a a Michael Nyman evening now that's contemporary music and i would be actually very conscious about explaining what that music is likely to be where i'm presenting it to a sponsor but if you actually went to the sponsor and say Michael Nyman contemporary music but do you remember the film the piano and then give them something to link into it is likely that they might be convinced to try something just a little bit different but it's still classical music nm5189: is there a learning curve that er nm5188: absolutely absolutely sf5192: so does that mean that sponsorship tends to be based in larger organisations and maybe even larger arts centres which have the choice between different kinds of media i mean with the Arts Centre at Warwick you presumably if a sponsor approached you and said i want a concert you could say okay we'll work with that and if we make money from the sponsorship from the concert then we'll be able to feed more money into pour theatre whereas if you're a small organisation that's only organising maybe one play and you get a sponsorship saying i want a concert will you can't say well we'll give you a concert because you don't have that that possibility nm5188: absolutely the the the er the Arts Centre was and is in a tremendously fortunate situation mm you've raised an interesting point which actually hasn't come up in in any of the presentations and i it's it's an area that most people are not prepared to admit to is that sponsorship certainly from my point of view never actually pays for a large or total proportion of an event i-, it's a contribution to general income of an organisation so that contribution of income may be directed at a classical concert but the benefits of having that additional income the expenditure may be on young people's work who would not attract sponsorship but could not take place were it not for the additional income that an organisation can generate from sponsorship sf5191: so it's kind of crossed subsidy nm5188: absolutely nm5189: yeah sf5191: so you're bringing the money in and then er yeah nm5188: i er i don't honestly believe that i know any arts organisation that directly relates sponsorship for an event to the expenditure for that event if they did they wouldn't do it because it wouldn't be worth it but in the total income mix of an organisation they con-, i i i sponsorship makes a contribution to the expenditure opp- opportunities of an organisation but if if if one actually sort of tried to mm equate the Midland Bank sponsorship of the Proms so the Proms that they sponsor then no business man would accept that deal that isn't the basis of the deal the basis of the deal is by association it's the subliminal er connection to the quality of out cultural industry that is being er gained by sponsorship nm5189: which does suggest that in terms of what Helene's was asking that there's a kind ofer if you've got a diversity of activities you've got a sort of sh-, things in your shop window that you can show to the sponsor and say well how about how about this how about that and if you're a if you've got if you go in there with just one objective one thing to sell you're you're incredibly limited as to what you can actually er ) sf5192: so it seems that sponsorship er nm5188: but that that is why Tescos are now selling cars and mobile phones and jeans mm a corner shop however however much you may dispute the the moral argument for out of town shopping centres and corner shops personally i would prefer a corner shop but i regret i shop at an out of town supermarket now i think if you entered a discussion with a business sponsor they would probably have empathy for a small struggling local organisation but then they'd look at their global market and they'd have to actually re-, er represent that global market in how they spend money sf5192: so that basically means er basically means that sponsorship is actually er small organisations can be closed off from it and local and maybe community er projects are closed off from it so it's nm5188: they are more er likely to be from the bigger players in the sponsorship market sf5192: yeah nm5188: but Chris has made out er the point that there is now an increasing number of medium sized businesses or large businesses who are actually concentrating on brand promotion who are targeting the the more innovative young people's contemporary work because instead of actually because instead of actually saying right we're not promoting er J Sainsbury?s the supermarket what is the target market everybody to to actually sort of going down well we-, we're doing a promotion on brussel sprouts so who buys brussel sprouts you know where they put it in the shop determines how many they they sell so instead of a company a drinks company sponsoring under their own brand name they will sponsor under u-, under the brand name of the actual product so Becks will sponsor Becks beer instead of the holding company which is Unhover er Bolsh nm5189: Bolsh er it's Bolsh and Newcastle isn't it nm5188: yeah yeah so you rarely these days see a large company sponsorship there are actually brand sponsorships which is an increasing trend nm5189: i mean it's an argument it's not not really about cultural diversity but about diversification within your organisation that as as you're moving towards an increasingly pluralistic funding environment from both from the private sector and from the public sector one of the ways that you survive in that environment is by diversifying your activities so that you've got different things to offer to different funders and yet at the same time retaining some kind of core identity of what you want to do like i mean a a very good example is Jubilee Arts who who are based based in Birmingham mm com-, stro-, very strong community based you know emphasis on cultural democracy been very successful in raising public money from al kinds of sources and private money you know Sony and all kinds of people put put have put money into into their organisation quite unexpectedly and one of the ways that they've been able to do that is they've got a whole range of things that they can actually put forward to different funders and say well what about this what about that then as Peter says there's a kind of there's that going on on the surface then the money comes into the organisation is then re-channelled into different directions and all cross-subsiding with different projects which allows them to maintain that diversity even though probably a lot of the sponsors you know wouldn't necessarily want the money that they put in to be used in the ways they are used mm sf5191: mm i know that er you know companies look at sponsorships in global terms and i i know that's that's correct mm i i do think there's er an important influence of location with regional identity i mean for example i used to live in Cheshire where there's big pharmaceutical companies like Dencor and it seemed to me in terms of Decor's local sponsorship it didn't matter what you did as long as it was in Maconsfield nm5189: mm sf5191: you know because they were trying to spread their company image they want to sponsor things that their employees would go to nm5189: and Kodak do that as well i mean you can't get money from Kodak unless you're' doing er sf5191: yeah and Birmingham er of course Cadburys in Birmingham you know there there is an element of kind of local this is our local patch you know we'll support the organisations in that area nm5188: absolutely a a and i i it depends on the point of view that you take Rugby Cement Eugby group based in Rugby they sponsored er a Rugby school to choose works of arts for a visual exhibition in the mead gallery and the mead gallery thought that it was absolutely wonderful because they had a lot of money to play with which they wouldn't normally have had the event took place the event was highly successful everybody enjoyed themselves and then it was evaluated afterwards and somebody actually asked me what was the real reason why Rugby Cement why Rugby Group were actually involved just because of the Rugby connection just because it was the local vicinity and plain and simply as far as i was concerned the reason that i approached Rugby group was because they had a planning application in for a new cement works in Rugby which was causing a tremendous degree of bad public relations and one of the decisions that Rugby Group decided to sponsor Warwick Arts Centre in this event was because they were getting good local public relations it was a business transaction and i was totally and absolutely aware of that when i went into it and one of the benefits of a large organisation being able to employ somebody to concentrate from a business perspective to concentrate on the sponsorship market is the fact that they are divorced from the creative process if you can actually create that gap between the two processes it is much easier for an organisation to take sponsorship on board and it comes back down to the point that Natasha made is it by choice or is it by necessity if it's by choice then it's a business transaction if it's by necessity it's survival and in survival we all take decisions which are not necessarily the right decisions sf5191: do you think there's an element as well er of the companies with the very dull product i mean for example i'm thinking of Buxton festival supported by mm cement companies road stone companies i mean there's an element of companies you know needing to inject some sort of glamour into their image i mean you can't really glamorise cement can you so i suppose if you if you take on some arts sponsorship er can you glamorise cement nm5189: well i dunno you could you could associate with mafia murders maybe sf5194: well i have er i have a good example er i used to work in a highway construction firm this summer and so er it isn't really famous in the western part of France because you know they construct the highways and stuff there are a lot of societies er against these highways and actually it was supporting a lot of arts events in the western part of France and i think it was in a way you know to give this glamour image to the firm in a way and it worked nm5188: er big company next to us on campus National Grid Company they own the electricity transmission pylons which some people would say desecrate mm well desecrate internationally the environment they basically don't have a product to sell it's an invisible product what they do have is public relations they need to sell good public relations and consequently National Grid are not seeking mm National Grid are seeking profile they're seeking by association that the company contributes to society and so therefore they give to nature reserves which they may have destroyed by putting up a pylon but never the less it's good news they support the arts because it's part of society it's cultural industry they have nothing to sell and none of the audience that attends an event sponsored by National Grid are gonna by anything there is no product that a member of the public can buy so again they set their sights on good public relations sf5192: were you talking about mm the different companies actually almost feeding off the profile of the arts in society mm did you actually approach companies thinking well actually we as an arts organisation can maybe not change our profile but use their profile for us as well is er or do you not actually use the identity of the sponsor as something very important just the money nm5188: ah ha er i think it's more commercially biased towards the business benefiting from the arts organisation that it is from the arts organisation benefiting from the bu-, business mm i don't actually think there is any arts organisation that i can think of that would honestly admit that they were er trying to associate themselves with either the professionalism or the business acumen o-, of a business that was sponsoring them i i don't think it's not an achievable objective sf5192: even not to maybe increase their their mm a appeal to a wider market maybe a business market nm5188: oh in the selling process mm to achieve sponsorship by a major international bank makes it much easier to go to another large international company and say the validity of our organisation is x because these people support us therefore it will be safe for you to support us obviously by association but that is purely a sales a sales tactic i'd be honest enough to to admit that whereas a large international company er is seeking the intangible of a cul-, of the cultural industry and indeed part of the sales tactic is that a a company is sponsoring is buying something which they can't actually buy in the open marketplace if they set out to buy the good feeling of a thousand people leaving a concert hall having had an absolutely storming evening you can't buy that so therefore all you can do is generate the atmosphere surrounding it sm5196: that's what a tobacco company are looking for i think they don't don't actually want to sell the product they want respectability i think they er nm5188: i think that's absolutely the case and i think that is the reason why the majority of arts organisations do actually have a problem in accepting tobacco sponsorship it is because they are fully aware sm5196: they want to change their image i mean er nm5188: yes that is actually nothing to do with the cultural industry that they're supporting it i-, it is the market that they are addressing and that is why i don't think that with mm corporate sponsorship being lost from motor racing i don't actually think that that will become a potential for the arts or for heritage er or for any other organisations i i think that motor racing and tobacco sponsorship go hand in hand and it's been such a close relationship for so long and nobody is naive as to what the relationship consists of and i don't think that money can be spent elsewhere they will they will try and spend it but i don't think that it will be accepted sf5194: er particularly how does it work er an arts organisation er will be approaching firms potential er potential support mm is it the contrary er are some firms and enterprise coming to to see an arts organisation to ask er er we would like to sponsor you mm what can you propose and er nm5188: er er i i would i i don't think there are any figures for it certainly i know of none i have never been approached out of the blue by a sponsor out of the blue saying we would like to be part of your organisation but that might be to do with the fact that i was aware of the potential of our organisation and therefore was already in touch with the potential market place