A MARKETING PLAN FOR THE SACRAMENTO HISTOY MUSEUM
Wei Li Chan
B.A., National Chung Hsing University, Taiwan, 2007
PROJECT
Submitted in partial satisfaction of
the requirements for the degree of
MASTER OF BUSINESS ADMINISTRATION
in
MARKETING
at
CALIFORNIA STATE UNIVERSITY, SACRAMENTO
SPRING
2011
A MARKETING PLAN FOR THE SACRAMENTO HISTORY MUSEUM
A Project
by
Wei Li Chan
Approved by:
________________________________, Committee Chair
Ruth Wang, Ph. D.
________________________________
Date
ii
iii
Abstract
of
A MARKETING PLAN FOR THE SACRAMENTO HISTORY MUSEUM
By
Wei Li Chan
Statement of Problem
The Sacramento History Museum has changed its operational authority three
times since its opening in 1985. Other than the original marketing plan created in 1985,
the institution has not developed comprehensive marketing plans for the past fiscal years.
With the development of new exhibits, tours and programs, the Sacramento History
Museum expects to have a promising fiscal year of 2011/12. The critical element to its
success will be the brand awareness and image which are communicated to the public at
this time. This project attempts to develop a marketing plan to guide the revitalization of
the Sacramento History Museum.
Sources of Data
Two sources of data were applied: (1) secondary data of industry data and market
studies (2) primary data based on interviews with the museum personnel and surveys for
members, docents, and teachers.
Conclusions Reached
Utilizing market segmentation and target market techniques, a market plan was
developed for the new fiscal year of the Sacramento History Museum. With an estimated
budget of $ 23,366, the plan provides for valuable product packages, advertising and
promotions to enhance the local awareness and convey the strong image of the
Sacramento History Museum: that of a family-oriented and high quality museum.
Mechanisms for implementation and evaluation are necessary to ensure successful
execution of the proposed plan.
________________________, Committee Chair
Ruth Wang, Ph. D.
________________________
Date
iv
TABLE OF CONTENT
Page
List of Tables .................................................................................................................... vii
List of Figures .................................................................................................................. viii
Chapter
1. INTRODUCTION .......................................................................................................... 1
Purpose.......................................................................................................................... 1
Research Design............................................................................................................ 2
Limitations .................................................................................................................... 2
History of the Sacramento History Museum ................................................................ 2
2. EXTERNAL ENVIRONMENT ANALYSIS ................................................................ 4
Economic Conditions .................................................................................................... 4
Economic Trends .................................................................................................... 4
Funding Issues ........................................................................................................ 6
Political Conditions..................................................................................................... 12
OSSHP General Plan ............................................................................................ 12
The DSP’s Strategic Action Plan .......................................................................... 13
California Indian Heritage Center (CIHC) and Development of West
Sacramento ............................................................................................................ 14
Social Condition.......................................................................................................... 15
Population Growth Rate........................................................................................ 20
Age ........................................................................................................................ 20
Race/Ethnicity ....................................................................................................... 24
Education and Income........................................................................................... 26
What Motivates Museum Audience? .................................................................... 30
Competition with other Leisure Activities ............................................................ 30
Leisure Trends in 2011 ......................................................................................... 31
Technological Condition ............................................................................................. 32
v
3. MARKETING AUDIT OF THE SACRAMENTO HISTORY MUSEUM ................. 35
Market Size ................................................................................................................. 35
Market Segmentation .................................................................................................. 39
Marketing Mix Analysis ............................................................................................. 41
Product and Services ............................................................................................. 41
Pricing ................................................................................................................... 46
Place ...................................................................................................................... 50
Promotion.............................................................................................................. 52
Positioning Strategy .................................................................................................... 57
Competition................................................................................................................. 58
Submarket Analysis by Price ................................................................................ 58
SWOT Analysis .......................................................................................................... 59
Strengths ............................................................................................................... 59
Weaknesses ........................................................................................................... 60
Opportunities......................................................................................................... 60
Threats................................................................................................................... 61
4. THE MARKETING PLAN: GOALS, OBJECTIVES, AND STRATEGIES .............. 63
Statement of Goal ....................................................................................................... 63
Objectives and Strategies ............................................................................................ 63
Group 1: Market Objectives.................................................................................. 63
Group 2: Product/Service Objectives.................................................................... 65
Group 3: Pricing Objectives.................................................................................. 66
Group 4: Advertising/ Promotion and Media Objectives ..................................... 68
5. SUMMARY .................................................................................................................. 71
Implementation Plan ................................................................................................... 71
Evaluation Mechanisms .............................................................................................. 71
Conclusion .................................................................................................................. 72
References ......................................................................................................................... 73
vi
LIST OF TABLES
Page
1.
Table 1: Attendance Rates for Various Arts Activities: 2008 (In %) ................ 23
2.
Table 2: Attendance Rates for Various Arts Activities, 2008 (In Percent) ....... 29
3.
Table 3: Adult Participation in Selected Leisure Activities, by Frequency:
2009 .................................................................................................................. 31
4.
Table 4: Market size of Sacramento Metro and Bay Area................................. 38
5.
Table 5: Population of Counties within a Two Hundred Mile Radius of
Sacramento ....................................................................................................... 38
6.
Table 6: Sacramento History Museum Target Market Profile........................... 41
7.
Table 7: Sacramento History Museum Pricing .................................................. 49
8.
Table 8: Promotional methods and tools used by the Sacramento History
Museum ............................................................................................................ 53
9.
Table 9: List of detailed organizations cooperated with the Sacramento History
Museum ............................................................................................................ 54
10.
Table 10: Reduced or Free admission on the following special occasions........ 68
11.
Table 11: Marketing Budget for 2011/12 .......................................................... 70
vii
LIST OF FIGURES
Page
1.
Figure 1: Number of museums, historical sites and similar institutions and the
revenue gained by the museum industry in U.S. ................................................ 8
2.
Figure 2: Number of museums, historical sites and similar institutions and the
revenue gained by the museum industry in California. ...................................... 8
3.
Figure 3: Percentage of the Sacramento History Museum Funding sources ....... 9
4.
Figure 4: Old Sacramento State History Park Development Boundary ............ 16
5.
Figure 5: Related Development in Downtown Sacramento .............................. 17
6.
Figure 6: Access to Neighbor Area from California Indian Heritage Center .... 18
7.
Figure 7: Future Tourism Cluster along the Sacramento River ......................... 19
8.
Figure 8 The projected growth rates of U.S. from 2000 to 2050 ....................... 21
9.
Figure 9: Population projections in SACOG region .......................................... 21
10.
Figure 10: The Percentage of Museum Visitors’ Age
(Include all type of museums) .......................................................................... 22
11.
Figure 11: Visitors to Outdoor Historic Museums (2008) ................................. 23
12.
Figure 12: U.S. demographic trends and projections, 2000-2050s .................... 27
13.
Figure 13: California Race/Ethnicity trends and projects 2010-2050 ............... 27
14.
Figure 14: Sacramento Race/Ethnicity trends and projects 2010-2050 ............. 28
15.
Figure 15: California Median Income of Household ......................................... 29
16.
Figure 16: Where are the visitors to Old Sacramento come from?.................... 36
17.
Figure 17 : The Percentage of three ticket distribution channels....................... 51
18.
Figure 18: The Percentage of the usage of different information distribution
channels ............................................................................................................ 56
viii
1
Chapter 1
INTRODUCTION
The Sacramento History Museum is a medium-sized museum located at 101 I
street in Old Sacramento. It is the only museum in Sacramento dedicated to the history of
Sacramento. Although the building itself is owned by the City of Sacramento, the
operational authority of the Museum has been changed three times since its opening in
1985. The Museum has operated as the Sacramento History Center (1985-1993), the
Discovery Museum Gold Rush History Center (1993-2008), and as the Sacramento
History Museum (2008-present). The new operator renamed the institution and intended
to maintain a solid reputation in the community.
Purpose
This report specifies the results of a three-month study undertaken to develop a
marketing plan for the 2011/12 of the Sacrament History Museum. The purpose of the
study is twofold:
1. to analyze the current museum market through exploration of museum industry
trends which may bring more opportunities for the Sacramento History Museum.
2. to develop the marketing goals, objectives, and strategies for the Sacramento
History Museum’s new fiscal year starting in July, 2011.
The main problem is enhancing the awareness of the Sacramento History Museum to
increase growth and earning within a limited marketing budget.
2
Research Design
A thorough situational analysis of any business includes an examination of
external environment and an audit of internal elements. Two basic research strategies
were utilized to investigate the opportunities and threats facing the Sacramento History
Museum, and its current strengths and weaknesses:
1.
Secondary research about industry data and market trends are collected and
analyzed.
2.
Primary research consisted of extensive in-depth interviews with the Deputy
Director of the Sacramento History Museum and its staff members. Surveys for
docents, members, and staffs are also contained in this project.
Limitations
Since this project does not include a empirical survey on the demographics of the
visitors to the Sacrament History Museum, the finding on the target audiences are limited.
Moreover, this project only consists of the operational statistics of the Museum in the
fiscal year 2009/10, so the finding based on those statistics are limited due to the lack of
comparisons with the past data.
History of the Sacramento History Museum
The Sacramento History Museum is a replica of the 1854 City Hall and
Waterworks. The original structure, completed in the spring of 1854 at cost of
$120,000.00, was demolished in 1913. The reproduced building opened its door to the
public in 1985 as the Sacramento History Center. Artifacts and records exhibited in the
3
center are owned by the Sacramento Archives and Museum Collection Center (SAMCC),
a division of the City of Sacramento. In 1993, the Sacramento History Center and the
Sacramento Science Center merged as the Sacramento Museum of History, Science &
Technology (aka Discovery Museum), a not-for-profit corporation. When the alliance
between these two centers was dissolved in July 2008, the Historic Old Sacramento
Foundation, a 501 (3) public benefit corporation, took over operational authority of the
Discovery Museum Gold Rush History Center and renamed it as the Sacramento History
Museum.
4
Chapter 2
EXTERNAL ENVIRONMENT ANALYSIS
This external examination is captured in economical, political, social, and
technological analysis. The macroenvironment consists of factors and elements that shape
opportunities and pose threats to the Sacramento History Museum. Moving from the
general to the specific in each section, the analysis will provide added insights and
perspectives on the current characteristics of the museum industry.
Economic Conditions
Economic Trends
Long-term recession resulting in shortage of government funding will force
museums to rethink how to "provide greater value amidst declining household budgets"
to survive ("Museum & Society 2034" 11). Volatile oil prices will increase consumers’
travel costs and travel options. "Museums that require significant gasoline consumption
and are not major tourist destinations" will be affected enormously by the volatile oil
prices (10). Although the trend of establishments of new museums slower down every
year, the annual revenue generated by the museum industry has a growing tendency. The
bulletin point bellow will be used to specifically explain each sector.

"California roughly paralleled the nation through the recession and into the
modest recovery in 2010", however, the losses incurred during the recession made any
positive effect barely noticeable ("Governor's Budget 2011-12" 29). The cause of the
Great Depression, a financial crisis, has been found the same as the one leading to the
5
depression in Japan in 1989 ("Museums & Society 2034" 11). Based on historical
evidence, economic recoveries following recessions caused by "financial crises are
slower and more drawn out than those stemming from other causes" ("Governor's Budget
2011-12" 29). "The outlook for the national and California economy would be for tepid
growth in 2011, followed by moderate growth in 2012 and 2013" ("Governor's Budget
2011-12"35). A prolonged recession will have even greater impact on museums. "While
donations, pledges, endowments and government support are in jeopardy", museums
unable to acquire admission revenue will be at risk, even worse, cancellation of school
field trips will become "the norm rather than a temporary round of budget cutting"
("Museums & Society 2034"11). However, low-cost access, the adult admission fee is
even lower than the median price $7.00 (American Association of Museums), and
programming make the Sacramento History Museum a wonderful resort for people who
consider a less expensive form of leisure entertainment and for "schools with fewer
enrichment opportunities for their students" (11).

"In the current decade, oil prices have destabilized compared to such other staples
As bread" ( 9). The situation in the future will only be worse. Over the next 25 years, the
worldwide demand of oil is projected to increase by 34%, therefore the relatively low
supply of oil will lead to a rising in oil prices ("Energy Price by Sector and Source").
"Volatile energy prices will make travel costs an ever more important factor in
Americans’ decision about how to spend their leisure time and dollars" ("Museums &
Society"10). Increased gasoline prices may decrease car travels, so the Museum may take
6
advantages of its high level of accessibility contributed by a variety of public
transportation such as light rail, buses or trains. Located at the heart of the Old
Sacramento and close to the flourishing downtown area, the Museum will have a greater
opportunity to develop attractive travel packages to captivate consumers.

According to the latest available census data in 2007, the U.S. has 7120 museums,
historical sites, and similar institutions that generate $13 million in annual revenue ("
2007 Economic Census"). From 1997 to 2002, the museum industry increased its
numbers by 19% and attained a growth in revenue of 26% ("1997&2002 Economic
Census"). The percentage of museums being constructed has slowed down to 7% from
2002 to 2007; however, the market still accrued 52% of revenue progress. Even though
the number of museums is declining, the revenue from museum business keeps elevating.
The same scenario played out in California where most museums are located. The
growth rate of new institutions was 21% in 1997-2002 and 9% in 2002-2007 respectively
("1997&2002&2007 Industry Quick Report"). In 2007, 610 museums gained about $1.8
million, 66% increases from 2002, for California ("2007 Industry Quick Report"). Figure
1 and Figure 2 displayed the situation described above.
Funding Issues
Figure 3 shows the percentage of the sources of funding for the Sacramento
History Museum come from 3 categories:
1) Government supports: City and County of Sacramento.
7
2) Earned income: admission fees, tours, educational programs, facility rentals, museum
store and membership fees.
3) Private, or donor giving: corporate and individual donations.
Funding related issues for the Museum range from government budget cuts for
educational and other local institutions to trends in consumers’ travel preferences.
Financial status of local companies and the rising costs of manufacturing, consumer
goods and energy are also key factors of the museum’s funding issues.

Government Grants: Sacramento's recession ended in 2010; however, with the
relatively high unemployment rate of 11.5-13.5%, the Capital region is anticipated to
have the weakest growth in California during 2011; it may take 7 to 10 years to recover
the lost jobs ("Emerging Trends in Sacramento's Economy" 4). The high unemployment
rate in the Sacramento region will decrease the local government's tax revenue, therefore
leaving the Department of Convention, Culture and Leisure with insufficient financial
means to fund local organizations. Since about 40% of the Museum's funding comes
from both the city and county of Sacramento, continual budget cuts resulting from the
shortage of funding will negatively affect the museum's financial support.
8
14
13
12
10
8.6
8
6
6.8
7.1
6.7
5.6
U.S. # (thousand)
Revenue(million)
Trend of #
4
Trend of Revenue
2
0
1997
2002
2007
Figure 1: Number of museums, historical sites and similar institutions and the revenue
gained by the museum industry in U.S.
Based on the data from 1997, 2002 and 2007 Economic Census on U.S. Census Bureau
web
2
1.8
1.8
1.6
1.4
California # (thousand)
1.1
1.2
Revenue (million)
1
0.7
0.8
0.6
0.46
0.56
0.61
Trend of #
Trend of Revenue
0.4
0.2
0
1997
2002
2007
Figure 2: Number of museums, historical sites and similar institutions and the revenue
gained by the museum industry in California.
9
Based on the data from 1997, 2002, and 2007 Industry Quick Report on U.S. Census
Bureau
Funding sources
Donation, 8%
Government
Support, 40%
Government Support
Earned Income
Donation
Earned Income,
52%
Figure 3: Percentage of the Sacramento History Museum Funding sources
Source From: Sacramento History Museum

Donation: "The corporate sector in the Sacramento region will likely show
improvements and lead the economy in 2011 due to healthier balance sheet and growing
profitability… A more business-friendly environment within tax cut extension and less
regulatory uncertainty will help fuel broader growth in the firms" (12). The Museum will
have greater opportunities to recruit donors or sponsors from the gradually recovered
corporate business in 2011 and increase the percentage of donations in the budget.

Admission revenue: Although still under pressure, consumers are spending
relatively more in 2011 (12). Forecasts from U.S. Travel Association demonstrate an
average growth rate of 5.17 % on total travel expenditure in the U.S. from 2011 to 2013.
About 36% of 3000 U.S. travelers plan to spend more on vacations in 2011; 75% of
10
respondents plan to visit a U.S. city, and 85% of all respondents ranked "visiting the
historic site" top one among vacation activities (qtd. Bryant). "Surveys showed that
visitors to historic sites and cultural attractions stay 53% longer and spend 36% more
money than other kinds of tourists" ("About California Museums Fact Sheet"). The
Museum, with its abundant historic resources, will have better chances to draw
consumers' attention and increase admission revenue.

Admission revenue: Foreign students contributed $18.8 billion to the U.S.
economy in 2010 ("2009-2010 Economic Impact of International Student"). Despite the
slight decline from 2002 to 2005, this market will keep growing, even having the
potential to exceed 2001's peak of 3.7% ("International Student: Enrollment Trends").
The international students provide a unique market for the Museum in terms of the
international student travelers. With strong word of mouth and accessibility, research
shows this segmentation has huge potential if specific market strategies are implemented
("International Student Market"). The Museum should tap on this market not only
because California has the most international students among U.S. States ("Open Door
Data"), but also because the current data shows, that in this sector, there “still remains a
slower growth rate despite of global downturn" ("International Student Enrollments Rose
Modestly").

Educational Programs: economic downturn leads to education budget cuts, in
which curriculum related budget cuts force grade schools nationwide to continually
eliminate field trips (Ellerson. 11). The percentage of schools reporting this cut rose from
11
24 percent in 2009-10 to 51 percent in 2010-11(12). Not an exception, California decided
to reduce K-12 aid to local school districts by 2.6 billion dollars in 2011-12 school year
(Johnson, Oliff and Williams, 9). The budget cut in education may drop field trip visits to
the Museum, which accounts for 13 percent (third large resource) of the Museum's
earned income. Worst of all, a survey of over 40,000 museum-going household shows
that the childhood memories of visiting museum via school field trips have a long-term
impact on museum visitation as children become adults. (“Pathways to Adult
Engagement with Museums”). The result indicated that about one third of the core
visitors remembered school field trips as their earliest and strongest museum memories
(“Pathways to Adult Engagement with Museums”). Especially “for children grew up in
households with lower educational attainment and for minority children, school field trips
are an incredibly powerful and important pathway to future engagement with museums as
adults”(“ Pathways to Adult Engagement with Museums”). The cut of school field trips
will not only shrinks museums’ revenue but also decreases museums’ diverse audience
engagement.

Museum Store: the trend of increasing costs of raw material, labor, processing and
packaging is looming (Clifford, Rich and Neuman). The cost pressure may not only limit
the Museum's ability of product development in its Museum store, but also challenge its
ability of cost management. In addition to the manufacturing costs, the rising prices of
consumer goods and energy will add more pressure to the Museum's operating budget.
12
Political Conditions
The Sacramento History Museum is located at the heart of the Old Sacramento
State History Park and also resides on the boundary of the Downtown Sacramento district.
Therefore, two sectors will be mentioned in the following bulletin points: first, Old
Sacramento State History Park General Plan (OSSHP), and second, the Downtown
Sacramento Partner’s (DSP) Strategic Action Plan. In addition to the progress for the City
of Sacramento, the evolution of the City of West Sacramento will also play an important
role in the development of the Sacramento History Museum.
OSSHP General Plan
The Plan has been in the developmental phase since summer 2010 and will be
finalized in spring 2012. (“Old Sacramento History Park General Plan Presentation”5).
The main ideas of the plan will include building reconstruction, site configuration,
revitalization of underutilized lands, and the development of additional special events.
These elements of the plan will be dedicated to creating “a living history site for visitors
to OSSHP” and making OSSHP a “Life List” tourism attraction in California (“Old
Sacramento History Park General Plan and EIR” 2). Because of the invigoration of
OSSHP, the public transportation network will be further developed and improved, so it
may connect to more parks, museums and cultural destination in Sacramento (“Old
Sacramento History Park General Plan Presentation”8). Alternative transportation options
such as biking, walking, taking public transit and driving will be helpful in generating a
holistic visitor-friendly environment. OSSHP drew nearly 566,000 visitors in fiscal year
13
2009-2010 and is expected to attract more visitors after the rebirth of OSSHP (“Old
Sacramento History Park General Plan and EIR”). Due to more traffic resulting from the
revitalization of OSSHP and the new transportation network, the Sacramento History
Museum will have a higher potential to increase its customer base. Figure 4 shows the
boundary of Old Sacramento State Historic Park.
The DSP’s Strategic Action Plan
The Downtown Sacramento Partnership— a private and non-profit
organization— collaborated with private businesses, community representatives and local
government officials to create a Strategic Action Plan, which is a guide for development
of Sacramento’s central business district (Downtown Sacramento Partnership web). “The
Plan will help [lead] new development, jumpstart key projects, bolster retail, promote
investment opportunities, and further establish Downtown Sacramento as a truly national
destination” ( “Strategic Action Plan” 9). Among the future establishments, some will
have dramatic impacts on the Sacramento History Museum.
---Railyard development: The Railyard district (Figure 5) is in close proximity to the
Sacramento History Museum although it is still under construction; however, it is
expected to create 11,085 residential units and 1,370,000 square feet of commercial space
(“2010 Annual Plan” 9&10). Due to its adjacency to Sacramento’s downtown business
district, the completion of the Railyard district will “become an extension of the
downtown, effectively doubling its size” (Newman). The planning manager for the City
of Sacramento indicated that the project is “almost a city in itself” (Newman). In the next
14
20 years, the gradually completed Railyards will have greate potential to attract visitors
and the 100,000 new residents (Newman).
--- Anticipated Entertainment and Sports Complex (ESC) development: the King’s
leaving Sacramento has caught the eye of the Sacramentans and triggered the
consideration of a new ESC establishment. Due to the versatility of an ESC such as an
economic engine, a convention & tourism industry support and a job growth pusher, the
Sacramento community will have high possibility to “come together to make this project
a reality”(Downtown Sacramento Partnership). Research shows that “Indianapolis, which
used ESC development as part of a long-term downtown revitalization strategy, reported
a 78% increase in annual downtown visitors compared to 15 years ago” (“The future of
the Kings Franchise, Entertainment and Sports Complex Downtown Sacramento”). The
building of the new ESC will accelerate the economic development of downtown
Sacramento and drive more traffic to the central business district.
--- Neighbor area buildup (Figure 7): The completion of K street Entertainment Project,
Powerhouse Science Center, Ebner and Empire Hotel Buildings and Sacramento
Intermodal Transportation Facility will help refresh downtown area and enhance
downtown’s capability to captivate large number of visitors.
California Indian Heritage Center (CIHC) and Development of West Sacramento
The California State Park agency is preparing a General Plan for the CIHC, which
will be “world-class in content and design” (California State Park). The proposed site of
CIHC will be located along the Sacramento River in the City of West Sacramento. It is
15
anticipated to be “a destination for tourists from around the world to learn about Native
American culture in California” (California State Park). In its transportation network
design, visitors can take water shuttles or private vessels from CIHC to Discovery Park,
Old Sacramento, and Destinations South (Figure 6). Along the west side of the
Sacramento River, the City of West Sacramento is going to develop Washington Historic
District and Bridge District (Figure 7). On the southeast side of the Sacramento River, the
Dock Project is dedicated to the development of a mix of residential, commercial and
open spaces (Figure 7). The City of Sacramento and the City of West Sacramento is
planning to cooperate with each other to establish streetcar which can transport visitors
between these two cities (Downtown Sacramento Partnership). The Sacramento River
area will have great possibilities to become a tourism cluster which may become a new
landscape of California.
Social Condition
With the goal of enlarging and diversifying the museum-going audience, it is
important to discover the common factors that characterize museum visitors. These
factors include population growth rate, age, gender, ethnicity, income, education, lifestyle
trends and attitudes toward leisure. A more detailed examination of these factors will be
included in this section to provide information for marketing strategies and decisionmaking.
16
Figure 4: Old Sacramento State History Park Development Boundary
Source From: California State Park, Old Sacramento State History Park General Plan and
17
EIR
Figure 5: Related Development in Downtown Sacramento
18
Source From: Downtown Sacramento Partnership, “Strategic Action Plan 2007-2011”
Figure 6: Access to Neighbor Area from California Indian Heritage Center
Source From: California State Parks “Old Sacramento State History Park General Plan
and EIR”
19
Figure 7: Future Tourism Cluster along the Sacramento River
Source From: California State Parks “Old Sacramento State History Park General Plan
and EIR”
20
Population Growth Rate

California has nearly 39 million people in 2010 and is expected to reach about 44
million people by 2020 indicating a ten-year growth rate of 12.8 percent (“California
Department of Finance ”). The Department of Finance’s long-term projection series
predicted that California will almost approach 50 million residents by 2030. However,
“recent slower population growth (Figure 8) [caused by the recession] could delay that
projected date by several years” (“California Governor’s Budget”,72)

Sacramento has nearly 1.5 million people in 2010 and is projected to add to 3.23
million by 2030 and 3.95 million by 2050 (Levy and Boulos, 23). The population growth
rate (47%) in the Capital area between 2004 and 2030, is forecasted to be substantially
higher than in the state (31.5%) or nation (23.8%) (23). Figure 9 shows the population
projection for the Sacramento area.
Age

A survey in 2004 from the Smithsonian Institution, the world’s largest museum
and research complex, unveiled the various ages of its 4.4 million visitors to its 16
museums. Figure 10 revealed the following results. Without including children under age
12, the average visitor age was 37. Half of the visitors were between age 26 and 48.
Visitors between age 39 and 58, baby boomers, dominate the audience base (37%) as
generation Y, visitors between age 12 and 27, chase after (30%).
21
Population Growth Rate
0.2
0.15
0.1
population growth rate
0.05
0
2010
2020
2030
2040
2050
Figure 8 The projected growth rates of U.S. from 2000 to 2050
Based on the data from the California Department of Finance, “Population Projections by
Race/Ethnicity, Gender and Age for California and Its Counties 2000”
Figure 9: Population projections in SACOG region
Source from: Stephen Levy and Viviane Doche-Boulos “Projections of Employment,
Population, Households, and Household Income in the SACOG Region for 2000-2050”,
22
Sacramento Area Council of Governments
Generation X, visitors between 28 and 38, is the third largest source of visitors. The
percentage of visitors age 59 or older (pre-boomers) was in the last place. By museum
type, compared to science and children’s museums, art and history museums have a
generally older visitor base, with 65% of visitors over age 50 (Museum Audience Insight).
A national study (Figure 11) of visitors to outdoor history museums also shows that
empty nesters (adults in their 50s, married, no children at home) made up the largest
groups of visitors (28%). The second largest are moms in their 30s and 40s who visit with
their children (23%). Older men, those 60 or older (15%), responded more than older
women did (13%). The smallest groups of visitors are adults under 30, the Generation Ys
(4%). However, compared to other art activities, visiting historic sites seems to be
prevailing among all age groups (Table 1).
12-27
(Generation Y) 30%
59+
(Pre-boomer)
9%
59+ (Pre-boomer)
39-58 (Baby Boomer)
28-38(Generation X)
39-58,
(Baby boomer)
37%
12-27(Generation Y)
28-38 (Generation
X), 24%
Figure 10: The Percentage of Museum Visitors’ Age (Include all type of museums)
23
Based on the data from the Smithsonian Institution, “Results of the 2004 Smithsonianwide Survey of Museum Visitors”
Others
17%
Gen Y
(<30)
4%
Empty Nester
(50-59)
28%
Empty Nester(50-59)
Moms (30s and 40s)
Older men (60+)
Older women
(60+)
13%
Older men (60+)
15%
Older women(60+)
Others
Moms
(30s and 40s)
23%
Gen Y(<30)
Figure 11: Visitors to Outdoor Historic Museums (2008)
Source: Museum Audience Insight, “Historic Sites and Their Audiences”
Table 1: Attendance Rates for Various Arts Activities: 2008 (In %)
Source from the 2009 Statistical Abstract on Arts, Recreation, & Travel: Arts Activities
on U.S. Census Bureau web

The United States will witness a dramatic increase in senior population driven
24
largely by the aging of the Baby Boomers. “1 in 8 (12.5%) Americans are older than 65
in 2010 and the ratio will jump to 1 in 5 (20%) in 2034” (“Museum & Society 2034”, 5).
The same scenario plays out both in California and Sacramento. Between 2010 and 2020,
California will increase its senior population by 2 million people, or a growth rate of 43%;
likewise, Sacramento will see an increase of 79,062 senior people, or a growth rate of
47%. “Surveys consistently show that Boomers are far more interested than their parents
in continuing some form of work after retirement” (“Museum & Society 2034”, 5).
Museums should consider engaging this unprecedented amount of aging boomers by
creating plenty of voluntary opportunities for them (5). Traditionally, history museums
attract an older visitor base; therefore, the large number of aging boomers will be a very
good source of audience.
Race/Ethnicity

The Smithsonian survey also asked the respondent to identify their race and
ethnicity. 3out of 4 (74%) visitors are Caucasian. Only 1 in 14 visitors is African
American (7%) or Asian American (7%). 1in 33 visitors are multi-race (3%). A visitor
survey of 103 museums from the Museum Audience Insight also shows a similar pattern.
About 89% of the visitors are white while Asian, Hispanic, African American and Indian
share the other 20%.

We will witness a dramatic expansion of the minority population in the future.
The U.S. Census Bureau projects that the U.S. population will reach nearly 336 million
people by 2020 and will exceed 400 million before 2050 (U.S. Census Bureau). However,
25
it is minority populations that contribute to almost all the America’s population growth
(“Museum & Society2034” 6). While the Hispanic population growth is the most notable
(Figure 12), the increase of the Caucasian population, with a total growth rate of 4% by
2034, is barely seen. In the next decade, about one fifth of states in America will become
majority minority (6). However, even though the society is heading toward majorityminority, museums still have hard time reaching minority audiences, especially AfricanAmerican audience and Hispanic audience (“Talking a Bit More about Race/Ethnicity”).
“If 5 to 9 is the critical age for converting children in lifelong museum-goers and
advocates”, it is extremely critical for museums to attract minority children in this age
range whose support they want after 25 years? (“Museum & Society 2034”)

The racial composition of the California is more diverse than the nation. As
figure 13 shows, California is already one of the majority-minority states in 2010.
Hispanic population will exceed Caucasian population by 2020 and dominate half of the
California population by 2050. The percentage of Asian-Americans, 12-13%, and African
Americans, 5-6%, hold steady. With museums’ effort, Asians, Multi-races and American
Indians audience seem to be effectively engaged; however, “there are huge gulfs between
museums and African American audiences and Hispanic audience” (“Talking a Bit More
about Race/Ethnicity”)

The racial composition in Sacramento is more diverse than the nation and the
state. By 2020, the capital area will become a majority-minority society. Even though the
Caucasian population still dominates this region, the percentage of Hispanic and Asian-
26
Americans keep growing while the percentage of the African-American population stays
steady. According to the multifarious population that Sacramento has, museums in
Sacramento are in a unique position because they have more accesses to a potentially
diverse audience. However, Sacramento museums may need to make more efforts to
reach these potential audiences because the two most difficult groups comprise a third of
the Sacramento population (Figure 14).
Education and Income

The demographic data reported in Table 2 shows that visitors to a historic site,
across all racial and ethnic groups, are better educated and enjoy a higher income than
those who do not visit museums or historic sites. In a Museum Audience Insight study,
the respondents to the study tended to be well educated and very affluent. Respondents to
the survey are three times more likely to have a college degree than the U.S. adult
population (81% vs. 27%)”. The survey reveals that 82% of the respondents earn more
than the U.S. median income of $50,000/year.
27
100%
90%
80%
70%
60%
65.1
69.4
57.5
61.3
53.7
50.1
White
Hispanic
50%
24.4
40%
30%
20%
10%
0%
17.8
15.5
12.6
22.3
20.1
All other races
Asian
7.1
8.0
Black
3.8
12.7
4.6
13.1
5.4
6.2
13.5
13.9
14.3
14.6
2000
2010
2020
2030
2040
2050
Figure 12: U.S. demographic trends and projections, 2000-2050s
Based on the data from the U.S. Census Bureau, “Projected Population of the United
States, by Race and Hispanic Origin: 2000 to 2050”
100%
90%
80%
6%
12%
5%
5%
13%
13%
5%
13%
5%
13%
Multi-races
70%
Indian
60%
50%
45%
41%
37%
52%
49%
Black
Pacific Islander
40%
Asian
42%
30%
37%
Hispanic
33%
20%
30%
26%
10%
White
0%
2010
2020
2030
2040
2050
Figure 13: California Race/Ethnicity trends and projects 2010-2050
Based on the data from the California Department of Finance, “Population Projections by
Race/Ethnicity, Gender and Age for California and Its Counties 2000”
28
100%
90%
9%
10%
10%
10%
10%
80%
13%
13%
14%
15%
16%
28%
30%
70%
Indian
60%
50%
Multiraces
Black
Pacific Islander
51%
40%
25%
23%
21%
47%
Asian
43%
30%
Hispanic
39%
36%
20%
White
10%
0%
2010
2020
2030
2040
2050
Figure 14: Sacramento Race/Ethnicity trends and projects 2010-2050
Based on the data from the U.S. Census Bureau, “Projected Population of the Sacramento
County, by Race and Hispanic Origin: 2000 to 2050”

As Figure 15 shows the California median household income is decreasing. In
addition to the income decline, the distribution of income in California between upper,
middle and lower classes keeps expanding (Bernstein, McNichol, Nicholas). California is
in the top ten states with the greatest income inequality (13). The effect of the widening
income distribution gap indicates that rich people are still getting richer while poor
people are getting poor. It will be more difficult for museums to expand its visitor bases.
Moreover, because of the economic recession, the California government cuts back
higher education budget, therefore colleges and universities need to rise up the tuition to
support their operation. More and more people find that the tuition has gone up and is
29
now unaffordable. If museum goers tend to be well educated, the declining rate of
California higher education attainment may have negative impact on museum attendance
rates.
Table 2: Attendance Rates for Various Arts Activities, 2008 (In Percent)
Source from: Source from the 2009 Statistical Abstract on Arts, Recreation, & Travel:
Arts Activities on U.S. Census Bureau web
California Median Income of Household
60,000
50,000
40,000
30,000
California Median Income
of Household
20,000
10,000
0
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009
Figure 15: California Median Income of Household
Based on the data from U.S. Census Bureau, “Median income for states”
30
What Motivates Museum Audience?

The most common motivating factors for attending cultural events, including
museums, were socializing with friends and family (57%), finding the events emotionally
rewarding (53%) and gaining knowledge (46%); the least common one was learning
about or celebrate one’s cultural heritage (Ostrower, 10). However, compared to white
respondents (15%), African Americans (50%) and Hispanics (43%) were more likely to
visit museums celebrating their cultural heritage (10).

When it comes to visitors to historic sites, 62% of respondents said the most
common motivating factor was immersing themselves in the past (“Let the Data Dump
Begin”). Even though other responses seem to be much more spread out, the survey
shows that the outdoor history museums tend to attract a variety of visitors who visit for a
variety of reasons.
Competition with other Leisure Activities
Comparing the rates of participation in a range of leisure-time activities helps to gauge
the relative appeal of museum going among other leisure activities as detailed
in the U.S. Census Survey on Adult Participation in Selected Leisure Activities by
Frequency 2009 (Table 3). The rate of participation of visits to museums was ranked 10th
among 45 leisure activities.
Four types of alternative leisure activities compete with museums for audiences (Kotler):
1) Stay-at-home activities, such as: reading, entertaining friends, baking and board
games.
31
2) Cultural and educational activities other than going to museums, such as: taking
adult education courses, attending theaters, going to libraries and visiting art
galleries.
3) Miscellaneous activities, such as: dining out, going to shopping malls and visiting
theme parks.
4) Competition with other museums.
Table 3: Adult Participation in Selected Leisure Activities, by Frequency: 2009
Source from: Mediamark Research & Intelligence, Top-line Reports.
Leisure Trends in 2011
1. Wave of baby boomers: Millions of baby boomers will celebrate their 65th
birthdays in 2011. They not only have time and money, but also think of travel as a
necessity. The majority of people working in the travel and tourism industry care about
how the boomers will arrange their post-retirement lives and try to tailor their products to
32
draw more attention from the boomers (“Consumer Trends Impacting Travel in 2011”).
2. Value-oriented: Travelers will continue to expect and demand more in exchange
for their travel dollar. The majority of people have adopted a “New Frugal” attitude—
being monetarily conservative and green—that will dominate the travel planning and
purchasing habits of 2011(“Leisure and Business Travel Outlook for 2011”). Collective
buying like Groupon or vacation packages will be prevailing trend because travelers are
eager to score the best travel deals.
3. Meaningful experience: a good amount of travelers do not simply desire beautiful
surroundings, they also want spiritual, educational and unique experiences in their travel.
Consumers would like to have more time to experience the local culture and environment,
buy products from locally-owned business and eat at restaurant serving regional foods.
4. “Togethering”: Because reunion times are getting scarce, families and friends see
travel as a bonding opportunity. “ Grandtravel,” grandparents traveling with
grandchildren, has also become extremely popular (“Grandtravel, the Next Boom for the
Group Travel Industry?”). Another highlight is that there is a growing number of single
women over 50 traveling with friends (“Consumer Trends Impacting Travel in 2011”).
5. Techno-travel: With the rapid acceleration of a tech savvy community, the growth
of online booking and reservations by Smart phones is anticipated. Travelers seek a
variety of information to better fulfill their needs via internet.
Technological Condition
The New Media Consortium, an international non-profit association dedicated to
33
the exploration of new media and technologies, conducted a project about the emerging
technologies for museums. Following is a brief overview of the highlights of this study.

Cloud services is anticipated to be applied by more and more museums in the
following years. Museums, using cloud services, aim at not only the reduction of large
capital investments for computer hardware and maintenance, but also the enhancement of
the digital content displaying on their websites.

Smart phone user is the fastest-growing segment. With the technological
advancement, people expect to be able to learn, work, study and connect to the network
wirelessly whenever and wherever. Through smart phones, visitors can search for extra
information related to the collections and share comments on their social network with
other viewers on a real-time basis. Increasingly, there will be more applications like
audio tours that are designed to be used on personal mobile devices.

Game-base learning cooperated with technology, will present a new opportunity
for museums to partner with schools. For example, the combination of multimedia and
traditional scavenger hunt can leverage the physical and virtual nature of collections, and
refresh the learning experiences. In four to five years, gesture-based computing like
Nintendo Wii and Microsoft’s Project Natal will have highly potential to be applied in the
museums to enhance visitors’ experiences.

Open content will be an inevitable trend in two to three years. Many and many
museums consider making their collections available online and opening the door to
cross-institutional information-sharing. They believe that there will be unexpected
34
discoveries, knowledge creation and new interpretation through the interactions.

The technical of statistical machine translation keeps upgrading and tends to
become mature in the future. Museums, hoping to reach out the global audience, can
obtain rapid, automated and quite accurate translation on their web content without large
capital investment on maintenance of the multi-language websites.
35
Chapter 3
MARKETING AUDIT OF THE SACRAMENTO HISTORY MUSEUM
To complete a situational scan, the focus on the external environment is shifted to
an investigation of the Sacramento History Museum’s internal conditions. This section
aimed at evaluating that if the Sacramento History Museum has the necessary resource
and capabilities to carry out opportunities.
Market Size
A user survey, conducted by the California State Railroad Museum in late August
2010, revealed the Sac Metro and San Francisco Bay Area as the primary demand pool
for Old Sacramento visitors. Figure 16 also presents that the percentage of audience from
other regions in California is about the same as that of audience from other states.
International tourists are still the minority. Therefore, it is important to understand the
potential of the market growth in terms of Sac Metro and Bay Area.
International
4%
other state
14%
sac
Sac
43%
bay area
other ca
other CA
18%
other state
bay area
21%
international
36
Source from: The California Railroad Museum, “Final Summary Report of CSRM
Survey”
The U.S. Census Bureau estimated the total population of Sacramento County as
of 2009 to be 1,400,949. This represents a 13.88 percent growth from the 2000 Census of
1,230,150. It was ranked 8th among the fastest growth counties in California. Within the
city limits of Sacramento, the population is estimated at 466,676 as of 2009, 6th among
Figure 16: Where are the visitors to Old Sacramento come from?
the fastest growth cities in California. This represents a 14.66 percent growth from the
2000 Census of 407,018. The population is estimated at 7,116,481as of 2009 in Bay Area
counties of Alameda, Napa, Santa Clara, San Francisco, Solano, Marin, San Mateo and
Sonoma. This represents a 4.59 percent growth from the 2000 Census of 6,804,430. Table
4 summarized the market size of the Sacramento Metro Region and Bay Area in terms of
population growth rate, median age and the percentage of family with children between 6
and 17 years old.
Additional population estimates of 2009 for those counties that lie within two
hundred miles of Sacramento are contained in Table 5. These estimates indicate that the
total population market, within a reasonable driving distance for a day of visiting, is in
excess of 11 million people.
According to the U.S. Economic Census, there were 16 museums, historical sites
and similar institutions located in Sacramento County in 2002. This indicates an industry
37
growth of nearly 18 percent from the 2007 Economic Census of 19. Combined receipts
for these institutions were over 31 million dollars in 2007. In 2009, 27 museums
participate in the Sacramento Association of Museums. (“Business plan of Sacramento
History Museum”) The growth rate doubled in two years.
These statistics evidenced a huge growth in the cultural tourism industry. A study,
conducted by Mandala Research for the U.S. Cultural & Heritage Tourism Marketing
Council, in conjunction with the U.S. Department of Commerce, shows that “78% of all
U.S. leisure travelers (118.3 million adults) participate in cultural and/or heritage
activities while traveling, spending an average of $ 994 per trip and contributing to more
than $ 192 billion annually to the U.S. economy. …they are more likely to participate in
culinary activities, such as sampling artisan food and wines, attending food and wine
festivals, visiting farmers’ markets, shopping for gourmet foods, and enjoying unique
dining experiences as well as fine dining. Other cultural and heritage activities identifies
by travelers include visiting historic sites (66%); attending historical re-enactments (64%);
visiting art museums/galleries (54%); attending and art/craft fair or festival (45%);
attending a professional dance performance (44%); visiting state/national parks (41%);
shopping in museum stores (32%); and exploring urban neighborhoods (30%). The vast
majority of these travelers (65%) say that they seek travel experiences where the
“destination, its buildings and surroundings have retained their historic character” (Beteta)
38
Table 4: Market size of Sacramento Metro and Bay Area
Region
Sacramento City
Sacramento County
Bay Area
(9 counties
combined)
14.66%
13.88%
4.59%
6th among
8th among
N/A
California cities
California counties
Media age
33.3
34.4
38
Family with children
51.5%
54.9%
30.5%
Population growth
rate (2000-2009)
Rank in California
6-17 years old
(2005-2009)
Source from: The U.S. Census Bureau, “California- Population Finder- American
FactFinder” and the Association of Bay Area Governments, “Bay Area Census””
Table 5: Population of Counties within a Two Hundred Mile Radius of Sacramento
County
Population
County
Population
California
Alameda
1,491,482
Sacramento
1,400,949
Alpine
1,041
San Benito
55,058
Amador
37,876
San Francisco
815,358
Butte
220,577
San Mateo
718,989
Calaveras
46,731
Santa Clara
407,057
Colusa
21,321
San Joaquin
674,860
Contra Costa
1,041,274
Sierra
3174
El Dorado
178,447
Solano
407,234
Fresno
915,267
Sonoma
472,102
39
Glenn
28,299
Stanislaus
510,385
Lake
65,279
Sutter
92,614
Madera
148,632
Tehama
61,138
Marin
250,750
Tuolumne
55,175
Mariposa
17,792
Yolo
199,407
Merced
245,321
Yuba
72,925
Mono
12,927 Nevada
Napa
134,650
Douglas
45,464
Nevada
97,751
Lyon
52,641
Placer
348,552
Storey
4,441
Plumas
20,122
Washoe
414,820
Source: U.S. Census Bureau, “Population for all counties in California 2009”
Market Segmentation
Sacramento History Museum has simply segmented its market into three groups:
tourists, school children and local Sacramento residents. In addition to the three
categories, the personnel of the Museum identified it as a family-oriented museum;
therefore, the marketing effort was also focused on attracting family travelers. However,
the management has not specifically segment the market further, that is, mass marketing
has been used by the Museum in the past.
A more sophisticated basis of market segmentation will be necessary for
Sacramento History Museum to refine the most attractive part out of the mass market and
to serve the selected market more effectively. Particularly, the segmentation of the target
market will be based on three variables: geographic, demographic, and psychographic. A
differentiated marketing approach will be utilized, as the area targets several market
40
segments within the target market profile presented in Table 6.
Geographically, Sacramento History Museum will target those counties with the
largest population counts (Table 4). However, those adjacent counties --- Sutter, Yolo,
Solano, Placer, El Dorado and Amador--- should be also taken into consideration
regardless of their estimates population, as the driving time from those locations to
Sacramento is under two hours.
Age, income, and stage in the family life cycle supply the demographic bases for
segmentation. Through a differentiated marketing program, the area will appeal to
mothers in their 30s and 40s, who make plans for their children’s entertainment (between
age 6 and 11). Another target market will be older adults aged 60 years old and over, who
walk into the stage of retirement and look for travel opportunities. Target income levels
will be households with annual income in excess of $ 20,000, and the family life cycle
stage will be parents with children and empty nesters.
Finally, life style will be a key psychographic variable in Sacramento History
Museum’s target market approach. Family travelers seek for a safe, exciting place to
spend the day with their children; therefore, family orientation is maintained as the
tradition of the museum because the personnel feel that family institution will continue to
present an attractive market for a medium size, local museum like Sacramento History
Museum. The increasing number of cultural and heritage tourists will also offer another
alluring market for the Museum.
41
Marketing Mix Analysis
A more detailed audit of the Sacramento History Museum’s marketing practices
will cover the following parts: product and services, pricing, distribution place, and
promotion. Positioning strategy and the competition will be included in this analysis.
Product and Services
The Sacramento History Museum is a regional educational museum, marketing
intangible good--- experiences. Several key elements collectively build up the
experiences and determine a museum’s success. The following part will present an
examination of these elements---the accessibility, the capacity of the facilities, the quality
of the programs, and the diversity of products in the Museum store.
Table 6: Sacramento History Museum Target Market Profile
Basis for
Segmentation
Target market
segmentation
Variable
Geographic
County Size
Alameda, Sacramento, Contra
Costa, Fresno, San Francisco
San Mateo, San Joaquin,
Stanislaus
42
Demographic
Age group
Moms in their 30s and 40s
6 to 11 years old
60 + years olds
Demographic
Income
Annual household income
over $20,000
Demographic
Family life cycle stage
Parents with children
Grandparents with
grandchildren
Empty nesters
Psychographic
Life style
Family orientation
Cultural and heritage
orientation
Accessibility
Sacramento History Museum is located at the Old Sacramento State History Park,
which is on the boundary of the downtown Sacramento. The Capitol region is highly
accessible in all directions by car because it resides at the confluence of the major
highways. The condition supports the high approachability to the Sacramento History
Museum. In addition to car travel, adjacent to Old Sacramento is Sacramento’s Amtrak
train station as well as the bus terminal, with a two blocks walking distance. From the
Sacramento International Airport to the Sacramento History Museum, it only takes under
20 minutes. Moreover, inside of the Museum, persons with disabilities can reach all three
43
levels by elevator.
Facilities and Capacity
Sacramento History Museum is classified as a medium sized resort. The facilities
are well-maintained and neat. However, the personnel of the Museum stated that there are
inadequate interactive facilities to provide meaningful participatory experiences for the
audiences. The escalator connecting the first and third floor not only limits the activity
space at the first floor, but also blocks the sight from another side of the lobby. From the
outside of the museum, the building is not within the main line of the view sight, so most
of the time visitors may easily neglect it. Lack of the noticeable external signage and
direction sign aggravates the visibility. Limited parking spots are another shortcoming.
The Sacramento History Museum does not offer validated parking, which may cause
visitors’ inconvenience.
Exhibitions
About 9 to 10 exhibitions are currently contained in the Sacramento History
Museum. Due to limited budget and theme, it may take nearly 6 months to 3 years to
have new exhibits in place. One of the exhibits has even not changed in 26 years. With
less frequent rotations, the Museum will have difficulty continually attracting repeat
visitors and increasing the engagement with its visitors.
It’s also hard to investigate how the consumers will perceive an exhibition before
it was set up. Striking the balance between maintaining the educational function and
pursuing what people interest challenges all of the museums. Although referring to the
44
popular exhibitions other museums already had can be a choice, members--- the core
visitors--- will be the greatest touchstone of any prospective exhibitions.
The management feels there needs to be a long term exhibition plan and is
dedicated to have more national-level exhibitions in place, which local history of
Sacramento can be associated with. Exhibiting nationally but acting locally is able to
expand the regional History Museum and captivate broader visitor bases.
Programs and tours
7 educational programs and 4 tours are offered by the Sacramento History
Museum. The programs are Old Sacramento puppet show, May Woolsey’s trunk,
Niesnan, the Gold Rush and gold panning, Head West, Agriculture and life on the farm,
and historic print shop. Among these programs, the Gold Rush program with gold
panning has been the identified character for the Sacramento History Museum. The tours
include the Old Sacramento underground tour, Sacramento city tour, architectural tour
and self-guided museum tour. The Sacramento History Museum also offers the outreach
programs which intend to provide alternative for schools that are not available to support
field trip. If the total reservation is under 20 times for a specific program, it will be put on
probation.
Although the Museum is considered as family-oriented, the educational programs
mainly target at school children with little engagement with accompanied parents. There
are currently no children programs offered on weekend, when family visitors usually
come. The Museum needs more interactive programs specifically designed for the family
45
visitors. However, the educational programs have served 6000 school children in the
2007/2008 fiscal year. The teachers were satisfied with their visits to the Sacramento
History Museum and felt that the students enjoyed their experience. They also reveal the
likeliness to recommend the Museum to their friends or colleagues. One thing needs to be
noticed--- one of the teachers requested for a field trip package because she found it
inconvenient to book the popular programs on her own from different museums in
Sacramento. Program cooperation with other museums in Sacramento area may help
Sacramento History Museum to enhance its visitors’ perceive value. It can start by
offering program packages on its own and then move on to cooperate with other
museums.
In addition to programs targeting at family with younger children or school
groups, the Museum tries to expand its audience by providing tours suitable for adult
visitors. The start-up Underground tour, with quirkiness and mystery, will have huge
potential to become a landmark and build audience in all ages. This exclusive activity
helps differentiate the Sacramento History Museum from other museums. However, the
Museum still have potential on designing more programs and tours for different age
groups.
Museum stores
The major products carried in the Sacramento History Museum comprise of books,
apparel, gold pans and supplies, historical toys, souvenirs, exhibit specific products , gold
and relevant jewelry, gift (home décor, desktop), paper (prints, post cards, note cards),
46
three dimensional reproductions and original Sacramento art.
It’s crucial to develop products that cannot be readily duplicated because many
souvenir stores are located at the next door to the Sacramento History Museum. The more
exclusive products, the more unique the Museum Store. What can differentiate the
Museum and other stores are its unique exhibitions and special programs. More
investment to the development of customized products is essential.
Potential cooperation with local artisans is another future plan for the Museum
Store because more and more customers favor local products that are related to regional
cultural and historical and are made from local materials. Another important thing is to
thoroughly understand the visitors purchasing in the Museum Stores. The institution will
need to conduct surveys on visitors’ demographic and their shopping preference.
Completely catching the sales trend betters customized product development and
potentially promises the future business.
Website
The content on the website of the Sacramento History Museum provide comprise
of basic information and introduction. However, somewhat insufficient interactive design
such as little games or interesting quizzes may barely impress the viewers. Succinct
description and history-based photos help viewers to concentrate on what they search for,
but lack of colorful and visitor-related photos probably cannot keep the viewers long.
Pricing
“Museums select a pricing strategy based on three considerations: costs,
47
competitor prices, and visitor’s perceived value” (Kotler). This part will carry an
assessment of Sacramento History Museum’s pricing strategy on admission fee,
educational programs and tours.
Admission fee (Table 7)
California Museum Association revealed that the average adult admission fee is
$7. The Sacramento History Museum’s admission fee for adults, $5 dollars, is below the
average. Among 27 museums participating in the Sacramento Museum Association, the
highest fee is $10 and the lowest is free admission. The institution is in the middle close
to the low range. More than half of the museums in Sacramento offer free admission and
about a quarter are higher than the average of California museums, $7.
The Sacramento History Museum divides its admission into only three groups:
adults (18+), children (6-17), and children 5 or under. Some other museums further
divide the age group of 6-17 years old into 6-12 and 13-17. However, the admission fee
of the Sacramento History Museum tends to be fixed. It can consider differentiated
pricing offering:

providing reduced or free admission on special occasions such as visiting with
mothers on mothers’ day for free admission, or wearing green on St. Patrick day
for half discount on admission;

charging higher rates during peak periods and lower rates during slow periods;

including free parking or discount coupon for shop purchase
48
Prices of Educational programs and tours
The Sacramento History Museum provides its multiple educational programs and
tours at truly affordable costs without sacrificing the quality of them. The organization is
a cost-leader on charging fees. In the Sacramento area, museums offering educational
programs and tours for school groups charge about the similar fee, at $2 or $3 each.
Comparing to the most of the museums in Sacramento, the Sacramento History
Museum clearly lists the entire price on the website. This avoids unfairness and provides
transparent access to customers. However, there is no special discount for booking two or
more programs at the same time in the Sacramento History Museum. The program or tour
packages should be taken into consideration.
The Underground tour charges the highest fee among other tours or programs
offered by the Sacramento History. Although this product has great potential and can be
identified as its competitive advantage, the tour was priced in the middle level compared
to the tours offered by other museums or organizations. Especially for school children,
the price is reasonable and highly affordable. Table 6 lists the price of all the programs
and tours provided by the Sacramento History Museum.
49
Table 7: Sacramento History Museum Pricing
Admission fee
In-museum programs
Adult (18+)
$5
Youth (6-17)
$4
Children (0-5)
Free
School children
Teachers/ 1 chaperone with 8 students
Additional adults
Outreach programs
1 presentation
Each additional presentation
Mileage (outside city of Sacramento)
Underground tour
$3each
Free
$5each
$200
$50
Varies
Adult (18+)
$15
Youth (6-17)
$10
Adult members
$12
School tour ticket (with museum visit) $5($8)
Teachers/ Chaperone with 8 students
Free
Self-guided museum tours
Adult
$7
Historical walking tours
Youth (6-17)
$5
School tour
Teachers/ 1 chaperone with 8 students
Additional adults
Source: the Sacramento History Museum
$3each
Free
$5/$7
50
Place
“Distribution is about transferring a museum offering or service to the target
consumer effectively” (Kotler). In the Sacramento History Museum’s case, the only way
to appreciate the exhibitions and collections is visiting the Museum in person. Branch
locations for enlarging the geographical reach are not available at this time, but the
Sacramento History Museum supports some of the traveling exhibitions. Furthermore, the
Sacramento History Museum still has more potential to develop online learning resources
about the programs or exhibitions. The store in the Sacramento History Museum
currently neither provides online sales nor licenses to other intermediaries.
However, off-site educational programs have been offered to serve large numbers
of school children who are not able to visit the Museums. According to the survey
responded by the teachers who recently brought their classes to the Sacramento History
Museum, mailing the brochures to local park and recreation department is highly
recommended because almost all cites and districts provide summer camp programs
offering field trips.
The Sacramento History Museum also distributes its offering through e-newsletter.
Other than the e-newsletters, the costs for additional official publications such as
magazines, journals, videos and DVDs are not included in the budget so far. However,
the institution cooperate with the advertising agency to produce rack cards, brochures,
and pamphlets and distribute them to the hotels, visitor centers, tour operators, local
attractions and travel agencies to reach broader audience.
51
There are three ways for the visitors to purchase the tickets—online booking via
the Sacramento History Museum’s website, in person, and over the phone. The
Sacramento History Museum hasn’t cooperated with intermediaries such as business
organizations, travel agencies and hotels to sale the tickets. The comment cards for
visitors to the Underground tour in 2009/2010 fiscal year provide the some clues about
how visitors prefer to purchase the tickets. Figure 17 presents that more than half of the
visitors booked the tickets online, even though the processing fee is charged. 1 in 3
visitors purchased the tickets in person and 1 in 5 visitors preferred phone booking.
Visitors use more than one ways to purchase the ticket occupy the rest of the one percent.
mixed
1%
in person
29%
in person
phone
online
mixed
online
51%
phone
19%
Figure 17 : The Percentage of three ticket distribution channels
Source From: the Sacramento History Museum
52
Promotion
The Sacramento History Museum utilizes print advertisings, sales promotions,
direct marketing and public relations to promote children’s activities, exhibit openings,
special events, tours and fundraising events as Table 8 summarizes and Table 9 details.
The print advertisings including online and actual publications are heavily used. Sale
promotion such as coupon, sweepstakes, contests, rebates, gifts and discounts are seldom
adopted.
The Sacramento History Museum mainly focuses on short-term promotions, not
paying too much attention on developing flags or external signage. The name of “Historic
Old Sacramento Foundation” and “Sacramento History Museum” are both used on the
promotional materials. Without unified symbol and logo, viewers can be confused easily.
A specific logo only for the Sacramento History Museum can enhance the brand
recognition. In addition to the print advertising, some of the online presence lack of
uniform and management because the authorization of the Sacramento History Museum
has been changed several times.
Most of the time, established free promotional opportunities and paid agencies are
applied as before. Although new paid agencies are hired, the Sacramento History
Museum rarely conducts surveys or evaluations to measure the effectiveness of the
promotional methods and tools. Therefore, when consider changing or extending new
business relationships, the management will be more likely to follow the guts rather than
referring to the results from the quantitative researches.
53
The only measurement was the comment cards from the visitors of the
Underground tour in 2009/2010 fiscal year. Figure 18 revealed that most of the visitors
heard of the Sacramento History Museum from the word of mouth (31%) and the
advertisements (29%). About 12 percent of the visitors gained the information via
newspapers and the website. Nearly 5 percent of the visitors know about the Museum
through TV news. Members, company tourists and walk-in are minorities.
More on-site promotion such as posters or cutting boards should be taken into
consideration to catch the eye of people who walk in. Lower level of returning members
should push the Sacramento History Museum to reconsider the relationship with its
members. Not enough incentives may drop members’ responses. How to strengthen the
engagement with the members will be an important work because it is extremely precious
to possess their loyalty to the brand of the Sacramento History Museum! It costs way
more to attract a new customer than to engage an established customer. If visitors heavily
rely on word of mouth, the wonderful responses on the comment cards should be added
on the advertisement. The compliment will allow the public know how much the
participants would like to recommend the tour to others. The compliments can be also
added to the website of the Sacramento History Museum.
Table 8: Promotional methods and tools used by the Sacramento History Museum
Advertising
Sale promotion
Direct Marketing
Public Relations
Print ads:
Contests
Direct mail
Television
Gifts
Online marketing
Radio
Magazines
54
Newspapers
News release
Television
Sponsorships
Radio
Media relations
Direct Mail
Catalogues:
Newsletter
Brochures
Rack cards
Websites, social
media
Ad partnerships
Source from: the Sacramento History Museum
Table 9: List of detailed organizations cooperated with the Sacramento History Museum
Print & Online
California kids! Family fun
Sacramento Magazine
guide
Sacramento News & Review
Parent’s monthly
Sacramento Treasures
Sacramento visitor’s guide
Sacramento Sierra Parent
Sacramento Association of
Sacramento 365
Museums
Sacticket.com/Arts
Trade advertising
Midtown Grid
Downtown partnership
Gold County Families
55
Inside publications
newsletter
The Sacramento Bee—
TV Log trading advertising
arts and entertainment
calendar/community
Catalogues
Certified Folder brochure
E-Newsletter
Radio & Online
KXJZ
88.9
(public, Sacramento)
FM (format, region)
KXPR
90.9
(classical, Sacramento)
KREL 92.1
(country, Placerville)
KGBY 92.5
(adult contemporary, Sacramento)
KHWD 93.7
(alternative, Roseville)
KSSJ
94.7
(smooth jazz, Fair Oaks)
KSEG 96.9
(classic rock, Sacramento)
KZZO 100.5
(hot ac, Sacramento)
KNCI 105.1
(country, Sacramento)
KKFS 105.5
(Christian and contemporary, Sacramento)
KCFA 106.1
KSFM 102.5
(top-40, Woodland)
107.3, Mix 96
AM (format, region)
KAHI 950
(oldies, Auburn)
56
KHTK 1140
(sport, Sacramento)
KTKZ 1380
(talk, Sacramento)
KFBK 1530
Television
(news/talk, Sacramento)
KCRA 3/ KXTV 10 / KXTL Fox 40
(Sacramento)
KOVR 13/ KQCA 58
(Stockton)
KUVS 19
(Modesto)
Source from: the Sacramento History Museum
visitor center
2%
walk in
1%
ads
29%
ads
company event
members
tv news
word of mouth
31%
newspaper(sac bee 20)
other
company event
website
3%
word of mouth
members
visitor center
3%
website
12%
other
2%
newspaper
(sac bee 20)
12%
tv news
5%
walk in
Figure 18: The Percentage of the usage of different information distribution channels
Source from: the Sacramento History Museum
57
Positioning Strategy
Positioning is defined as “the act of designing an organizational image, values and
offerings so that consumers understand, appreciate, and are drawn to what the
organization stands for in relations to its competitors…Positioning involves mental
associations, image building, claims of distinctiveness, and the search for competitive
advantage” (Kotler).
There is currently no specific positioning strategy for the Sacramento History
Museum. The personnel identified the Museum as a family’s museum combining fun
and learning. Most of the audiences visiting the institution found it favorable, but it still
strives to enhance the brand awareness in the public’s mind. A distinct image needs to be
reinforced. More symbols, logos, and taglines, which associated with the Museum’s
image, are necessitated.
Nostalgia style differentiates the Sacramento History Museum from other
Sacramento museums with modern, innovative, energetic or premier styles. Other than
the established theme of gold rush and the local history of Sacramento, an unrivaled
Underground tour is developed to strengthen the Sacramento History Museum’s product
profile. The new development also helps captivate attention from the public. On the one
hand, the Museum is dedicated to become an indispensable resource for the public to
understand the history of Sacramento. On the other hand, it is still short of a more
emotional connection with the public. A humanistic personality can vitalize the image of
the Museum.
58
Competition
The Sacramento Association of Museums consists of 27 museums and attractions
located in the greater Sacramento region. Nearly two third of the member institutions
reside in downtown and midtown area; the rest of them are scattered at Davis, Woodland,
Folsom, Natomas, South and East Sacramento. The Association includes a broad variety
of museums and attractions, from the well-know Crocker Art Museum, the California
Museum to Sacramento Zoo and the local-oriented parks. It is over simplistic to assume
that all the museums and attractions in the greater Sacramento area are competitive with
each other. The museum market should be grouped into smaller submarkets on the basis
of their price.
Submarket Analysis by Price
The stratification of the Sacramento museum market according to scale yields the
following subgroups:
1. “The premium group”--- Crocker Art Museum, The California Museum, California
State Railroad Museum, Aerospace Museum of California, California Automobile
Museum, Heidrick Ag History Center.
2. “The medium group”: California State Military Museum, Discovery Museum Science
& Space Center, Governor’s Mansion State Historic Park, Sutter’s Fort State Historic
Park, Sacramento History Museum, and Folsom History Museum.
3. “Free admission”: California State Indian Museum, California Foundry History
Museum, The Don& June Salvatori California Pharmacy Museum, Museum of Medical
59
History, Old Sacramento Schoolhouse Museum, California State Capitol Museum, Old
Sacramento State Historic Park etc...
The Sacramento History Museum will compete in the medium segment noted
above. However, the premium museums and medium museums also rival each other to
some degree in the tours and educational programs even though the prices of admission
fee have historically separated the larger ones from the others. The Sacramento History
Museum’s educational programs and tours, while substantially diverse than the majority
of family-oriented museums, are still less diverse than that offered by the premium
museums. As a result, the Sacramento History Museum’s ability to directly compete with
the premium segment is questionable.
SWOT Analysis
Strengths

Proximity to Downtown Sacramento business district

Close proximity to market area

Unique and multiple theme: connection to the Local history of Sacramento,
underground tour and gold rush

Diverse and popular school educational programs

Skillful, efficient, initiative and friendly personnel

Affordable price
60

Highly neat and well-maintained facility
Weaknesses

Capacity of the facility

Lack of parking spaces

Lack of signposts (visibility) in the city

Not within the line of the main buildings

Struggling for brand awareness: mistaken as a subsidiary of California Railroad
Museum

Infrequent rotation of the exhibits

Inadequate interactive facilities to provide meaningful participatory experiences
for family

Lack of online or on-site marketing presence in the media related to cultural
tourism

Static website
Opportunities

Increased population in main markets (more potential travelers)

Enhancement of the research activities

Creation of customized products in museum store

Enrichment of the museum with teacher workshops, public forums and
presentations

New programs for kids on weekend
61

Elaborate underground tour with different holidays atmosphere

Revitalize the permanent exhibit spaces to provide a more engaging experience

Build more diverse visitors such as international students, minority audiences,
baby boomers and cultural tourists. Also, baby boomers volunteer engagement.

Cooperation with local business in downtown Sacramento area and development
of valuable tourists packages

Integration with refreshed Old Sacramento Old Sacramento State History Park
and prospective tourist cluster along Sacramento river area

Provide services for mobile devices users

Dynamic website design and multiple activities on social media
Threats

Not being incorporated in tourist packages of the wider area

Unpredictable government funding resulting from weak economy

Many museums gradually apply open content in the future

Decreasing rate of higher education attainment

Changing demographic profile. Diversity in California is increasing. Inadequate
knowledge on traditional non-visitors
62
63
Chapter 4
THE MARKETING PLAN: GOALS, OBJECTIVES, AND STRATEGIES
Statement of Goal
The Sacramento History Museum’s goal for the 2011/12 season, determined by Kristina
Swanson, Deputy Director of the Museum, is to increase visitorship by 10 percent (about
4,500 people) in a one year period.
Objectives and Strategies
Group 1: Market Objectives
1. Establish a distinctive image and awareness of the Sacramento History Museum
in Sacramento area.
2. Broaden and deepen the size and diversity of the audience the Sacramento History
Museum serves.
3. Capture at least 0.5 percent of visitorship from the Old Sacramento State Historic
Park.
Strategies
1. Use the logo of the Sacramento History Museum on all the promotional tools such
as flyers, brochures, print advertisements, etc…to allow the public identify the
brand of the Museum. Because the name of the Historic Old Sacramento
Foundation is not on the external signage of the Sacramento History Museum.
Visitors will be easily confused by two different names.
2. Establish external signage on the major roads in the City of Sacramento to
64
reinforce the brand recognition.
3. Position the Sacramento History Museum as the indispensable resource for the
public to understand the history of metropolitan Sacramento.
4. Create a personality for the Sacramento History Museum such as an elder
gentleman who is very intellectual, humorous and warm. The grandpa-like image
also would like to play with kids and share his fantastic experiences with the
adults. The home-like atmosphere of the Sacramento History Museum provides a
relaxing and enjoyable places for visitors from all range of age.
5. Conduct an in-depth visitorship survey of the Sacramento History Museum to
scan the environment in which it operates, and to understand the composition of
the Museum’s current audience, their attitudes and behaviors.
6. Implement metrics to measure customer satisfaction.
7. Bridge the gap between the Museum’s offerings and the underserved visitors’
expectations based on the results of the visitor survey.
8. Identify the key attendance motivators, barriers to participation and the most
effective marketing tools to reach the increasing baby boomer travelers and
grandtravelers (grandparents travel with their grandchildren).
9. Create and implement a plan to remove barriers and engage potential audiences.
10. Continually activate an ongoing series of conversations with regional leaders in
business, educational institutions, government agencies and other museums to
spot potential partnerships and collaborations.
65
11. Decorate the flyer rack in the Old Sacramento visitor center; invite all of the three
volunteer staffs to experience the tours, so they will be able to answer the visitors’
questions about the tours.
12. Place more colorful and attractive flyers in the Old Sacramento bulletin board and
on the tables outside of the Sacramento History Museum in order to have higher
level on-site presence.
13. Cooperate with the hotel (Delta King) in Old Sacramento to penetrate the Old
Sacramento market.
Group 2: Product/Service Objectives
1. Make the website of the Sacramento History Museum a true resource for learning
and a tool for experiencing the Museum.
2. Continue to offer innovative, high-quality exhibitions.
3. Provide diverse products for visitors to experience the local history of Sacramento.
4. Allow the Sacramento History Museum store offer multiple products suitable for
different groups of visitors.
Strategies
1. Develop interactive online games, quizzes and learning resources that will not
only create exciting online experiences for the public but also encourage visits to
the Museum.
2. Create a long-term plan of potential exhibitions and continue to offer appealing
programs of special exhibitions. Investigate diverse opportunities for exhibitions
66
with special attraction to families and the public.
3. Cooperate with Sacramento museums that provide educational programs to
develop a “field trip package”.
4. Build the connection between donors and schools by creating funding for school
field trip transportation support.
5. Cooperate with the business organizations such as bicycle stores and hotels in Old
Sacramento to develop valuable travel packages.
6. Cooperate with other historical sites in downtown and midtown Sacramento to
provide visitors with valuable cultural tourism packages.
7. Develop various seasonal tours and programs for audiences visiting in different
time. No matter when the consumers come to the Sacramento History Museum,
they will be able to enjoy different surprises and special experiences.
8. Provide membership for children and regularly award their visits as they reach the
required number of times.
9. Investigate the purchasing patterns, buying behaviors, and demographics of
visitors shopping in the Sacramento History Museum store.
10. Expand the Museum store product line based on the results of the survey.
11. Create a viable Sacramento History Museum E-store.
Group 3: Pricing Objectives
1. Flexibly price admission fee on special occasions to stimulate visits.
2. Build buying incentives into the pricing list to encourage purchase through
67
“admission package”
3. Target school field trip group and families with an attractive package deal.
Strategies
1. During special holidays such as mothers’ day, fathers’ day, Saint Patrick day,
children’s day and Halloween, visitors who bring their mothers or fathers or dress
up will accept a discount on the admission. The Sacramento History Museum will
also create its special days such as grandparents’ day or free admission every third
Thursday morning to encourage frequent visits. Detailed is listed in Table 10.
2. The Sacramento History Museum will combine all three tours—Underground tour,
Sacramento City tour, and the Architectural tour—into a tour package for visitors
to enjoy all the tours in one time.
3. Two of the most popular educational programs, Gold Rush and Head West, will
be grouped in a program package. Teachers can pick either two or three programs
and get one free on gold panning.
4. Daily museum packages will be offered at a substantial savings and will include
the following items: the Sacramento History Museum admission fee, bicycle
rental, one one-hour tour, a hot lunch and Leland Stanford Mansion State Historic
Park admission and California State Military Museum admission. Although exact
prices have not yet been established by management, the pricing objective in
determining the cost of these packages will be to achieve a reasonable gross
margin.
68
Table 10: Reduced or Free admission on the following special occasions
Free Museum Day—First Saturday in February
Mother’s Day – Moms get in free
Father’s Day – Fathers get in free
St. Patrick’s Day—wear green and get in half price
Grandparents’ Day— bring your grandchildren and get in free
Halloween—wear a costume and get in half price
Group 4: Advertising/ Promotion and Media Objectives
1. Generate strong area awareness and loyalty by serving as a start point for the trip
in Sacramento.
2. Create a clearly defined image for the Sacramento History Museum based on
product/service benefits.
3. Develop an advertising/promotion plan.
4. Enhance area awareness by concentrating in media which will cover the
Sacramento History Museum’s target audience; Moms in their 30s and 40s, senior
adults aged 60+, and youth between 6 and 17; household income over $20,000;
residents of; parent with children between 6 and 17; grandparents with
grandchildren; and empty nesters.
5. Utilize both paid and free media to maximize the public presence.
Strategies
1. Assess current Museum visibility and name recognition.
69
2. Create identifying slogan and tagline for the Sacramento History Museum.
3. Constantly use the Sacramento History Museum’s logo.
4. Associate unique product qualities with the Sacramento History Museum by
illustrating a distinctive, fantastic, and family learning experience.
5. Create a favorable personality to differentiate the Sacramento History Museum
from other museums.
6. The contracts with Certified Folder Display Service, Inc. (Rack cards), Bob
Nickerson (Getaway Sacramento Magazine) and Sacramento Magazine
(Sacramento Visitors Guide) will be used to aid in the design and implementation
of print advertising. These agencies mainly target at the family groups, tourists
and distribute the advertising materials in Sacramento, Bay Area, Lodi/Fresno,
Redding/I-5, Napa Valley and CA Welcome Centers in San Francisco, Anderson,
Auburn, Truckee, El Dorado Hills and Santa Rosa, hotels, chambers, conventions,
tour operators & local attractions, travel agencies and airport, etc.
7. Expand social media efforts to drive more potential consumers to the website of
the Sacramento History Museum. A series of sales promotion like sweepstake and
gift certificate will be consistently posted on the Social media such as Facebook,
MySpace, and Twitter.
8. Discounts and coupons—limit use and availability to increase effectiveness and
increase average price per tour to the Sacramento History Museum.
9. The total marketing budget is estimated about $23,366.59 (Table 11 )
70
Table 11: Marketing Budget for 2011/12
Activities
Cost
Notes
Visitorship study
$630
Print advertising
Rack Cards
Getaway Sacramento
Sacramento Visitor’s
Guide
Promotions
Discounts and free tickets
Gift certificate
Social Media
PR Fee
$4908.295
$1,950
$2125
$500
$100
$0
$2400
Source from: the Sacramento History Museum
37500 rack cards
Half page color ad (lower
cost available for half
page)
71
Chapter 5
SUMMARY
The main goal of the Sacrament History Museum is to serve as an indispensable
resource for the public to understand the local history of Sacramento. The proposed
market plan is aimed at promoting family participation and enjoyment to increase visits.
Utilizing a combination of valuable product package, advertising and promotion, the plan
can reach the goal within the budget constraints.
Implementation Plan
The strategic strategies and tasks incorporated into the plan must be carefully
timed and coordinated; therefore, the implementation of the marketing plan can be well
managed to decrease disorganization and confusion. In addition, a detailed budget should
be prepared in order to achieve the sales goals.
Evaluation Mechanisms
To measure the effectiveness of the implementation of various objectives and
strategies for the future, it is important to continually evaluate the success of the plan at
the Sacramento History Museum. The following evaluation mechanisms will help
achieve this purpose:

Conduct user’s study at least twice a year and properly document the results.

Monitor attendance levels and visitor comments on an ongoing basis through the
use of comment cards.

Net income and gross margin will be used to measure the effectiveness of the plan.
72
The evaluation of the marketing plan will provide management with a structured
process for identifying problems and highlighting variances in a timely manner.
Conclusion
The brand awareness and the image, conveyed to the public in the new fiscal year,
will be the vital element to the success of the Sacramento History Museum. The
implementation of the proposed marketing plan is expected to not only meet
management’s goals in terms of the increased number of visitors but also enhance the
local awareness about the Sacramento History Museum.
73
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