Stratford Shakespeare Festival (2011)

In 2011, Stratford Shakespeare Festival (the Festival) in Stratford, Ontario, Canada was one of North America’s largest theaters, drawing patrons from throughout North America. However, in the past 10 years, the Festival’s most valuable and loyal audience segment, American patrons, had dropped from 36% of the Festival’s audience to 18%. Various environmental factors, including a global recession, an unfavorable exchange rate, and tighter border control, contributed to declining American attendance at the Festival. Total ticket sales for the 2011 season, including sales to Americans, Canadians, and others were down 13% from the previous year, representing a five-year low.

This case provides the opportunity to discus the complex issue of loyalty and customer retention marketing in an unfavorable external environment.