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[0:00] Ken Davenport: Hey everybody, it's Ken Davenport here. Welcome back to the Producers Perspective Podcast, episode number 240. We're gonna talk about what all producers love to do, raise money. And specifically, we're gonna talk about how I learned not to raise money from the recent New York City mayoral race. Stay tuned. Coming up next.

[0:26] Ken Davenport: I wanna be a producer with a hit show on Broadway. You're listening to the Producers Perspective Podcast with your host, Tony Award winner, Ken Davenport. So we just had a big mayoral race here in New York City, which is still undecided because we went to ranked voting. We probably won't know the final answers for a few weeks. And if you live in New York City, you are certainly aware of this race because I would bet that your inbox has been flooded with requests for money from all the 147 candidates that were running for office in this very, very important election.

[1:05] Ken Davenport: So I actually love getting these emails because I try to learn from other industries and from other people who are doing something similar to what I do in the theater industry. So frankly, I can learn tips and strategies and what's working and successful for them and apply them to what I do, and that goes to anything from marketing to how to deal with employees and to the subject of today's podcast, yes, raising money. Because politicians have to raise more money than Broadway producers. They do it a lot, uh, and they're pretty good at it, most of them.

[1:45] Ken Davenport: Today, this episode, we're gonna focus on one of them who was not very good at it at all. In fact, I kept getting inundated with these emails, and I would be like, I can't believe this is how this politician is raising money. I'm not gonna mention the politician by name because I don't like to throw rocks, it's just not what's the point? Uh, we'll just use it as an example. I will tell you this: it doesn't look like this candidate is gonna win. I wonder why. This may be the reason.

[2:17] Ken Davenport: Um, so here's here's what happened. So, as let me just start by saying this. One of a Broadway producers' primary responsibilities is to raise money, right? This is what makes us different from movie producers, record producers, and TV producers. And I'll be honest and tell you that I used to complain about this. Um, oh, if only I didn't have to raise money, my shows would be that much better, right? Because I'd be able to focus more time on it. I'd be able to focus more time on selling them. They'd probably run longer. All that stuff is true.

[2:49] Ken Davenport: Uh, but as a mentor of mine said, that's the game, Ken. That's Broadway producing. If you don't like it, go produce movies instead of theater. To which I shut up big time when my mentor said that to me, because God knows I do not want to produce anything in Hollywood. What it made me do, actually, was go on Operation Billionaire just to find some Elon Musk out there uh so that I don't have to work as hard uh trying to raise money. Still, still working hard on that operation.

[3:16] Ken Davenport: But if anyone knows Elon Musk, by the way, and if he's a Broadway fan, just tell him to text me back because I've been trying to get a hold of him for a long time. Anyway, so uh, like I said, that shut me up big time because it reminded me that we have the choice to do whatever we want in this life that we've been given, right? I choose the theater. I have made that choice, and instead of complaining about what bugs me, uh, I'm gonna take the serenity prayer to heart.

[3:45] Ken Davenport: I accept the things I cannot change, and I work with a positive attitude to change the things that I can. Uh so like I said, one profession who has to raise more money than even me are politicians, and they have to do it often. They're constantly doing. Even when they win, they win. They like go out and use that opportunity to raise more money. Very smart. Um, actually, that's something that Broadway producers can learn. If you get a big hit, if you win a Tony Award, if you do any of those things, you should probably start raising money right after that.

[4:18] Ken Davenport: Get a good review. That's uh I just came up with that on the spot, actually. And I think it's a pretty pretty good strategy. I'm gonna write that down. So, anyway, like I said, I was getting inundated with all these emails from politicians, mayoral candidates, candidates asking uh for money, and I was watching very closely. Uh, and here are a few things that I've learned over the years from this mayoral race and also from presidential races. Barack Obama did it uh geniusly and really pioneered the small investor, a model that I've I've used a lot and I love because I love getting small investors involved with my show because I find that they're so passionate uh and they will stump for their shows so hard.

[4:59] Ken Davenport: It's how it's how I crowdfunded Godspell, right? Um, so here's here's what I've learned a few bullet points for those of you out there raising money. Uh, here's a few tips that I've learned from politicians. They follow up and then they follow up some more, like constantly, right? If you have ever been on a politician's mailing list, you know they're constantly coming after you. They ask through email, text, phone calls, direct mail, and they'd send a carrier pigeon if they could. So they're approaching in many different ways.

[5:28] Ken Davenport: Um, they love a big check, sure, but they'll take lots of little ones. Again, this was the Barack Obama strategy. And most politicians, like I said, are actually good at raising money because their jobs depend on it, right? They need it. They're actually very restricted, just like Broadway producers are in how much money they can take, from whom they could take it, all sorts of regulations, right? So it's similar.

[5:51] Ken Davenport: So big tip for you right now if you are raising money, go out there and sign up for a politician's mailing list. A few, both parties, right? Three party, whatever. Sign up for the party you are not registered with just to see how the other guys do it. Right? So check that out, and you will learn just by watching.

[6:10] Ken Davenport: So, anyway, what I learned from following one specific politician this season was that their team sent out emails describing how they were doing, describing their fundraising efforts. And some of the quotes from emails I got, direct quotes were this.

[6:38] Ken Davenport: Another email said, we expect to get pummeled. Yeah. Downers, right? Now, obviously, the strategy here was like we're gonna tell everyone we're really in trouble, and these are our supporters, and they're gonna want to double down so that we aren't pacing behind our goals or that things get better, or that we won't get pummeled. That is not the way to raise money or to gather support.

[7:08] Ken Davenport: Maybe from a few of your most fervent, fervent supporters, but from a generalist, that's not gonna work. No one ever wants to throw money at a sinking ship. One of the most powerful marketing strategies is what we call social proof. You should read the book Influenced by Dr. Robert Cialdini to learn more about this. Social proof is demonstrating that whatever it is you are selling, and in the politician's case, it's the politician, is popular with lots of people because people want to do what other people are doing.

[7:40] Ken Davenport: You see a long line at a restaurant or a nightclub, you want to know what's going on inside that restaurant or nightclub, right? You see a lot of people with the same sneakers or the same handbag or the same coat. Remember that Amazon coat from a couple years ago, it was everywhere and everyone wanted it. I wanted to buy one for my wife. It makes you curious what's so special. If so many people have it, if so many people are doing it, it must be good.

[8:04] Ken Davenport: So telling people that people aren't donating to your campaign when you're asking them over and over to do so, that will drive people the other way. They will just sink further in to their decision to not donate. Now, again, the exception to this rule would be if the politician was going to a very small inner circle with open and authentic asks for real help, like, look, I'm in trouble. And sometimes that will work. I know this has happened. You know, I've been in cases in my career where I've been in a tough situation.

[8:39] Ken Davenport: I've gone to my most loyal with a phone call, with a meeting and say, I'm in a bit of trouble. Can you help me? Because you've helped me before. Yes, but communicating the way that this politician was with potential backers who you don't even know, it's a surefire way to not raise money. You can bet that I did not click donate now when I read these emails.

[8:59] Ken Davenport: Now, look, I will say this just because oh, Ken's saying, go out there and say money is going great, it's doing this. Uh uh-uh. Remember, when approaching investors, you always have to be honest with where you are with your fundraising. But down in the dumps, negative marketing is rarely a solution to raising money or anything for that matter.

[9:21] Ken Davenport: I hope this tip helps you in raising more for your show. I did write a book on raising money called How to Raise Money for the Arts or Anything. It's available on Amazon.com. And I think it was a bestseller when we first released it. Go check it out. Uh, a lot of people have read it and it's worked for them. See? See how that gets you more interested in reading that book? Go check it out. It's how to raise money for the arts or anything. Hope this podcast has helped you.

[9:45] Ken Davenport: If it has, please share it with others and give it a good old positive review on Apple Podcasts. See you next time.

[10:10] Ken Davenport: Thanks again for listening to the Producers Perspective Podcast. If you found this episode informative, educational, inspirational, or just entertaining, uh do me a favor and share this episode with another theater maker or two in your life. My mission is to amplify the conversation about theater because if we get more people talking about it, we'll get more people making it, we'll get more people seeing it. It will be great for the industry as a whole.

[10:36] Ken Davenport: If you want more of my daily perspectives on theater and Broadway, check out my blog at the Producer's Perspective.com or check out my social media accounts at Ken Davenport B Way on Instagram and at Ken Davenport on Facebook, Twitter, and LinkedIn. We'll see you for the next episode.