Best Practices Study of Museum
CD-ROM Production
1. Most museums have not generated significant, if any, net revenues through the production of CD-ROMs. If net revenue was generated, it was likely a result of special circumstances. For example, the institution may have received a grant for production, a corporate sponsorship, or a large one-time purchase of product. Also, in many cases, the museum's overall cost does not account for the staff time contributed to the production. Moreover, when net profits have been realized, the profits tended to be relatively small. Accordingly, museums should be very cautious about developing CD-ROMs primarily to generate revenues. Even when CD-ROMs are developed for other purposes (e.g., for educational or marketing reasons), museums should carefully undertake a cost-benefit analysis of any such initiative (including the imputed costs of staff time).
2. Notwithstanding the above, museums do have artifacts, collections and expertise that can be the basis for very interesting, educational and attractive CD-ROM offerings. As a rule, though, rather than attempting to develop CD-ROMs completely in-house (a strategy that can have a very steep learning curve unless the institution has in-house capability), museums should consider a partnership with established commercial organizations in the development, marketing and distribution of titles. Such an approach will help the museum share financial risk, as well as improve the quality of the final product. Production partners bring to the relationship expertise in the development, production, marketing and distribution of CD-ROMs, whereas the museum brings the content of the production. Both are critical elements of a successful CD-ROM.
3. In the negotiations between the museum and the production house, museums should, where possible, negotiate the following:
- compensation for ¾ or an upper limit to ¾ the amount of time and expertise provided by museum staff
- involvement in decisions regarding the distribution of the CD-ROM
- percentage of sales
- prominent display of the museum branding ¾ its name, image and logo on the packaging
These principles should apply regardless of the scale of production.
4. In the current environment of rapidly changing technology and explosive growth in multimedia, CD-ROMs should not be considered as stand-alone initiatives. Rather, they should be thought of as a component in the museum's multimedia strategy. This strategy, in turn, is likely to reinforce other institutional objectives such as marketing, programming, exhibit interpretation, outreach, etc. The costs and benefits of producing a CD-ROM should be viewed relative to using other digital media such as the museum's web site, hybrid CD-ROM products containing, for example, embedded hyperlinks to the museum's web site, or the sites of other museums and relevant organizations. Alternatively, if a CD-ROM is being developed for the first time, it can be undertaken as an initial stage in the development of the museum's web site, or as a component of other multimedia and technological initiatives undertaken by the museum. The relative costs and benefits of each strategy are likely to change with time.
5. The checklist of critical success factors in working with partners should be considered by any museum planning to develop a CD-ROM in partnership with another organization.
