Museums, Zoos & Parks

Museums, Zoos & Parks

Brief Excerpt from Industry Overview Chapter:

Companies in this industry operate museums, historical sites, zoos, botanical gardens, parks and other institutions focused on preserving and exhibiting works of cultural or natural significance. Major US museums include the American Museum of Natural History, the Metropolitan Museum of Art, the National Gallery of Art, and the Smithsonian (National Museum of Natural History, National Museum of American History, and National Air and Space Museum). Top US zoos include Lincoln Park Zoo (Chicago), San Diego Zoo, and St. Louis Zoo.

COMPETITIVE LANDSCAPE

Demand is partly linked to growth in local income and to tourist travel. The profitability of individual institutions depends largely on good marketing. Large institutions have the advantage of name recognition or proximity to mass tourism areas. Small institutions can compete successfully by concentrating on specialty topics, or by operating in a favorable location. The US industry is fragmented: the top 50 institutions account for about 30% of revenue.

PRODUCTS, OPERATIONS & TECHNOLOGY

About 60% of revenue comes from contributions and grants from private and government sources. Admission fees account for about 25%. Other sources of revenue include retail sales of other goods and membership services. Among individual institutions, the revenue mix can vary significantly, as some receive significant support from endowments.