The Nederlander Organization has been managing Broadway-type theaters in several states and the U.K. for more than 100 years. It is a theatrical organization that owns concert venues and Broadway theaters. Nederlander describes itself as a lifestyle company, which puts it in a specific niche with a specific type of customer. Josh Lesnick, former President and CEO of Audience Rewards, explains, “I think with something like the arts, customers obviously want a good deal. They want a value-add, but it’s really about the experience.” 

The organization engages in promotional activities for various concerts as well as production of Broadway shows. The success of such activities relies on building and maintaining strong relationships with the many theater owners and ticketing organizations. Nederlander Organization has leveraged these relationships with its Audience Rewards program, a type of sales promotion that has allowed it to build strong relationships with customers by enhancing their experience. 

Questions for Discussion

1. Why do you think more targeted promotional efforts, such as personal selling and sales promotion, are necessary for Nederlander’s specific target market

2. How does Nederlander’s Audience Rewards program result in a competitive advantage

3. Describe how Nederlander’s strong customer relationship management results in increased loyalty to the organization