Post-COVID Financial Recovery

April 12th, 2022

As we begin to see the easing of many COVID-related restrictions across the globe, there is a feeling of business returning to usual in many sectors. Yet, does the financial recovery match the operational return?

Our latest Arts Executive Poll asked leaders about their upcoming fiscal year budgets and revenues, the changes they are foreseeing in their audience returns and programming, as well as changes in staffing and fundraising.  Key findings include:

• Nearly half of respondents expect a deficit in next year’s budget; on average this deficit is between 10-29%

• Compensation is the biggest expense category to rise; 85% plan on salary expenses with 37% providing increases to match the cost of living

• It is expected to take 1-2 years before audience or visitor capacity rates reach pre-COVID levels, with older audiences and subscribers/members the most feared to not return