New Report Paints Grim Picture For Chicago Arts Sector; Subscribers Down 39% Over 4 Years

A new report commissioned by Chicago’s Department of Cultural Affairs and Special Events by Southern Methodist University’s DataArts group paints a grim picture for Chicago's arts organizations on the sector's post-COVID-19 recovery.

The report notes that within the financial and operating trends of the Chicago organizations analyzed, most follow an emerging national pattern.

Key findings of the report included:

-Earned revenue supported an average of 6% less of total expenses in 2022 than in 2019 among the Chicago organizations studied, and 15% less of total expenses for theatres included in this cohort.

-In-person attendance recovered somewhat in 2022 but was still 60% lower than it was pre-pandemic. In-person attendance decreases for performing arts (-59%) and other arts and cultural organizations (-73%) were far more severe than those of museums (-14%) in the Chicago organizations studied.

-From 2019 to 2022, Chicago performing arts organizations and museums in the study saw 26% and 29% further declines in the number of subscribers and members, respectively, reflecting the national trends. For Chicago theatres in particular, the 4-year drop in the number of subscribers averaged 39%. Across all arts sectors in Chicago, subscriber and member revenue was 61% lower in 2022 than in 2019.

-The pandemic exacerbated the ongoing trend of declines in relational customers in the performing arts and museum sectors. From 2019 to 2022, Chicago performing arts organizations and museums in the study saw 26% and 29% further declines in the number of subscribers and members, respectively, reflecting national trends.

-Budget reductions were mainly achieved through cutbacks in the scale and number of programmatic offerings such as productions, exhibitions, education programs, lecture series, and the like. In the organizations studied, there were nearly two-thirds fewer programs offered in 2022 than in 2019.

The report also notes that private donations for cash-strapped performing arts organizations have failed to keep pace with inflation, resulting in less working capital.

By scaling back operations, smaller venues reportedly have weathered the storm better and have increased their level of working capital relative to expenses. Large organizations saw diminished working capital over the period included in the report.

The full report is available here.