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2013 Membership Marketing
Benchmarking Report
Putting Membership Marketing Practices &
Performance in Perspective
1
If You Want to Ask a Question…
Twitter: mktgeneral
E-mail: info@marketinggeneral.com
Booth #347 at the ASAE Annual Confere...
Speaking Today
Erik Schonher, MBA, CeM
Vice President, MGI
Adina Wasserman, PhD
Director of Research, MGI
3
Why do this research?
“The purpose of this study continues to be the
development of meaningful benchmarks by
which the lea...
Agenda
1. Study Methodology
2. Industry Review: Top 5 Findings
3. Tactics that Drive Membership
1. Awareness
2. Recruitmen...
What are the Trends in
Association Membership?
2013 Membership Marketing
Benchmarking Report
• Fifth Year Produced by MGI
...
Research Goals
1. Gain an understanding of the membership marketing
practices of associations
2. Determine the challenges ...
Survey Overview
1. Survey open from January 8, 2013 to February 20,
2013 – 7 Weeks Total
2. 7,857 requests to participate
...
Industry Review
Top 5 Findings
9
Stability
10
1
New Member Acquisition is Up!
CHANGE IN NEW MEMBER ACQUISITION OVER PAST YEAR — COMPRESSED
2013
(n = 690)
2012
(n = 687)
2...
Changes in Renewal Rates –
Slightly down
CHANGE IN RENEWAL RATE OVER PAST YEAR — COMPRESSED
2013
(n = 691)
2012
(n = 683)
...
MEAN MEMBERSHIP RENEWAL RATE
Individual
Member
Trade/
Organizational
Hybrids
All members 79% 87% 76%
First-year
members
64...
Overall Membership Size - Stable
CHANGE IN MEMBERSHIP OVER PAST ONE YEAR—COMPRESSED
2013
(n = 691)
2012
(n = 689)
2011
(n ...
Market Dynamics
Growth
• Finance
– Accounting
– Banking
– Insurance
• Healthcare
Loss
• Building
– Construction
• Manufact...
The Top Goals for Membership
are…
16
2
Top 3 Membership Goals
74%
74%
38%
33%
28%
21%
16%
9%
2%
Increasing member engagement
Increasing both membership acquisiti...
One-half of associations raise dues
only 1% to 5%
18
3
Percentage of Last Membership
Dues Increase
19
51%
25%
9%
7%
4%
1%
1%
1%
2%
1% to 5%
6% to 10%
11% to 15%
16% to 20%
21% t...
Social Media is beginning to
become a structured medium.
20
4
SOCIAL MEDIA OUTLETS OFFICIALLY USED BY ASSOCIATIONS
2013
(n =690)
2012
(n = 685)
2011
(n = 641)
2010
(n = 405)
Facebook 8...
Top Social Media Used by Associations
• Facebook
1. Generating Awareness
2. Promoting Association Events
3. Promoting Indu...
Department Responsible for Social
Media Programs
23
52%
44%
31%
8%
7%
6%
4%
12%
Communications
Marketing
Membership
IT
Edu...
Associations reporting increases in
overall membership over the past
year are significantly more likely to
use research.
2...
GROWTH STATISTICS FOR INDIVIDUAL MEMBERSHIP ORGANIZATIONS
WHO INTRODUCED MEMBER RESEARCH IN 2012
Change in
Overall
Members...
Using a variety of research
techniques
70%
39%
30%
30%
22%
17%
8%
8%
77%
41%
31%
24%
23%
13%
8%
7%
Quantitative survey res...
Tactics that Drive Membership
Awareness
Recruitment
Engagement
Retention
Reinstatement
27
Awareness
28
How do members discover your
association?
• Word-of-Mouth 86%
• Association Website 80%
• Email 66%
• Conference Promotion...
How do maintain awareness of
your association?
• Association Website 86%
• Email 81%
• Word-of-Mouth 79%
• Association Spo...
Membership Recruitment
31
Reasons Members Join
• Networking 24%
• Access to specialized information 13%
• Advocacy 8%
• Best practices 8%
32
Most Effective Channels for
Promotion
IMO Trade Both
1. Word-of-Mouth 60% 60% 51%
2. Email 35% 32% 36%
3. Association Webs...
Membership Engagement
34
60%34%
6%
2013 (n = 688)
Yes
No
Do you have a separate
strategic initiative or
tactical plan to increase
engagement?
35
Qu...
Top 3 Methods Used to Onboard
New Members
1. Email Welcome
2. Mailed Welcome Kit
3. Membership Card or Certificate
36
How has Engagement Changed?
• Increased
1. Participation in Public Social Network
2. Participation in Private Social Netwo...
Membership Renewals
38
MARKETING CHANNELS USED FOR MEMBERSHIP RENEWALS
2013
(n = 690)
2012
(n = 685)
2011
(n = 644)
2010
(n = 405)
2009
(n = 333)...
RENEWAL RATES BY NUMBER OF RENEWAL CONTACTS
INDIVIDUAL MEMBERSHIP ASSOCIATIONS (n = 289)
1 to 6 contacts 7 or more contact...
When to start?
Two to Four Months from
Expire.
41
RENEWAL RATES BY START OF RENEWAL EFFORT
INDIVIDUAL MEMBERSHIP ASSOCIATIONS (n = 289)
Three months or less
prior to expira...
When to stop?
Two to Four Months After
Expire.
43
RENEWAL RATES BY WHEN RENEWAL EFFORTS STOP
INDIVIDUAL MEMBERSHIP ASSOCIATIONS (n = 286)
Up to 3 months after
expiration
Mo...
Top Reasons for Not Renewing
1. Budget cuts
2. Lack of engagement
3. Could not justify the cost of membership
4. Employer ...
Member Reinstatement
46
LENGTH OF TIME FOR CONTACTING LAPSED MEMBERS TO REINSTATE THEIR MEMBERSHIP
2013
(n = 689)
2012
(n = 686)
2011
(n = 641)
20...
RENEWAL RATES BY HOW LONG LAPSED MEMBERS ARE CONTACTED
INDIVIDUAL MEMBERSHIP ASSOCIATIONS
(n=238)
1-3 years after expirati...
Other Observations
49
What should my membership
marketing budget be?
50
MEAN AMOUNT SPENT ON MEMBERSHIP MARKETING PROGRAMS
BY ORGANIZATION TYPE
...
ASSOCIATION MANAGEMENT SOFTWARE USED BY STUDY YEAR
2013
(n = 684)
2012
(n = 640)
iMIS (ASI-iMIS) 20% 19%
Avectra Inc. 13% ...
“In your own words, what are the most important or successful
lessons have you learned in the area of membership marketing...
Special Reports
• Individual Member Organizations
• Trade Associations
• Both IMO and Trade
• Renewal Rates of 80% or high...
Sources for MMBR Updates!
• Marketing General Blog
http://www.marketinggeneral.com/blog/
• Association Research Blog -
htt...
Thank you.
55
Adina Wasserman, PhD
Director, Market Research
703.706.0373
AWasserman@MarketingGeneral.com
Erik Schonher MB...
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2013 Membership Marketing Benchmarking Report: Putting Membership Marketing Practices & Performance in Perspective

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Presented on 7/30/2013 as the inaugural webinar for Marketing General Incorporated's new webinar series. The goal of the presentation was to use results of the 2013 Membership Marketing Benchmarking Report (2013 MMBR) and show industry wide trends in membership marketing strategies and tactics, benchmarks for specific tactics used by individual member and trade associations (ie: average overall and 1st-yr renewal rates) and recommendations on how to use this information with real-life examples taken from Mr Schonher's nine years of experience working with associations in membership marketing. The hosts for this presentation were Erik Schonher, vice president and project director, and Dr. Adina Wasserman, director of research and lead researcher for this study.

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  • If you would like a copy of the 2014 Membership Marketing Benchmarking Report, you can download it at: www.marketinggeneral.com. The new report contains both trend information from previous annual reports and new questions.
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  • Thank you Page and thank you to everyone who is attending today. Adina, Page, and our producer Malcolm, we all hope you find today’s presentation useful and informative.For those of you who may be unfamiliar with Marketing General, for over 35 years we’ve continued to bring strategic insights from testing, market research, and data analysis of member behavior and membership marketing to associations and businesses who use a membership model to drive revenue.These insights reveal … Why people join, why they leave, and how they are engaged. The right marketing mix to optimize membership and revenue growth. Best practices that can be applied to nearly all membership organizations. We package these insights into membership programs to recruit and retain members. Our approach follows a marketing model called the Membership Lifecycle. It begins with Awareness, which is the springboard for Recruitment. Next, Engagement enhances Renewal, and the cycle comes full circle with member Reinstatement.
  • Why do this research?Let just read…
  • To present this information in as organized a fashion as possible, our Agenda today is as follows:Please remember that we will field questions during the presentation as the opportunity allows in addition to allowing about 10 to 15 minutes at the end for Q&A.While I was fortunate enough to be Director of this project, I think its more appropriate for MGI’s Director of Research, Dr. Adina Wasserman, to walk us through the design of the study. Adina…
  • While we start the process for this survey a few months in advance, the survey is always launched at the beginning of the calendar year. We sent invitations to clients, recipients of our e-newsletter, the Tipster, to previous participants, and to prospects and friends on our contact rolls. The link was also posted on our website, and on our multiple blog sites. If you did not get an invitation to participate, but would like to in the future, you can sign up for our e-newsletter and you will automatically get an invitation to participate.We use only one response per association or organization.
  • So let’s begin with an Industry Review…
  • In an effort to provide a general description of our industry, taking into consideration overall responses to questions on member acquisition and retention, it seems that the term “Stability” best describes how I see the association marketplace right now.
  • When we view the changes in New Member Acquisition, from the lows reported in 2010, we see that “percentage increased overall” is flattening along with “percentage unchanged” and “percentage declined.”Of interest here is the dramatic decrease in the number of “Unsure” responses.
  • When we view the changes in Renewal Rate we note a slight decrease in those that reported an “Increase” and a dramatic increase in those associations reporting a decline.
  • While we’re on the topic of renewals, recognizing that many of you are often asked by your boards and leadership to provide some overall “average” or “mean” for the reason of comparison, our team pulled the responses and calculated the “Mean Renewal Rate” by association type.
  • Finally, given the variables of Acquisition and Renewal, our assumption is further confirmed by the responses to the question posed ‘Have you seen a change in membership size over the past year.”However, given that this is a very general view, we decided to break this down and look at the responses of associations by the markets that they serve.
  • This is what we found out.If your association services areas of finance or healthcare, you are most likely seeing some growth in your membership while those of you whose associations service building and manufacturing may be experiencing a loss in membership. Adina…
  • As we are reporting on the responses of associations to questions about the membership marketing activities, we need to understand the motivation or goals that respondents are looking to achieve. To this point we asked What are your association’s Top Three membership goals?
  • Obviously the top goals are increasing member engagement, member acquisition and retention.If engagement is based upon member participation, I found it interesting to see how few associations thought “understanding member needs” should be one of the top three goals for membership.Moving on, Adina…
  • One of the questions we get asked frequently is about dues…how much to raise dues, and how often. What we found out was that about half of associations that raise dues, only do so by 1-5%.
  • What is interesting about this is also 63% of associations only raise dues when needed. But our findings indicate that associations with the highest percentage of new member renewals (80% or higher) are more likely to have a dues increase annually.
  • Our results indicate that associations are beginning to regularly use social media to achieve specific goals.
  • At this point, we still see FB, Twitter and LinkedIn (public access) as the primary social media channels. HOWEVER, we’re seeing dramatic increases in the reported use of Association Blogs and LinkedIn (Members Only).
  • Further analysis of the data indicates that the top 3 uses for each of the primary channels are:At this point I’d like to remind everyone that we do have a Twitter feed to field your questions and remarks on today’s webinar.
  • While historically the Communications or Marketing departments managed social media programs, of interest to me is the appearance of “Social Media Departments.” Perhaps recognition of the complexity and special skill-sets necessary to properly manage this channel?Adina…
  • Research is an integral part of marketing and running an association because it allows the association executive team to understand what it is that your members need, want, and value. It keeps you aware of possible shifts in the membership, whether there is a desire for new products or services that your association isn’t providing, or what products and services need improving. What we found is that associations that report increases in overall membership over the past year are more likely to use research to help guide their decisions and strategies.
  • You can see from both of these charts that associations, either IMO or trades, that used research more often reported increases in membership compared to associations that showed no growth or membership declines.
  • ERIK: This goes back to what we talked about with engagement and renewals. There are lots of ways to do research and “Listen” to our membership to find out what they want and how they want it. To achieve the goal to increase renewal rates, members need to engage and they only will engage in those activities that provide a benefit to them.
  • Moving along let’s now look at the Tactics that associations reported they are doing to Drive their Membership. To maintain clarity, we’ll utilize the MGI Membership Lifecycle, which outlines membership marketing as composed of 5 separate activities, to facilitate the presentation and discussion of these tactics. The 5 separate activities are:
  • In regard to awareness, this is really two steps: 1) how do members find out about the association?; and 2) how do you maintain awareness of the association?
  • Given over 25 different channels, over 50% of the responses cited the following:I’m sure that this is no surprise to many of you. But, what I think there are two points here to make that, on a strategic level, we need to pay attention to. The first is the importance of utilizing components in the execution of membership acquisition programs. To maximize our marketing impact, we need to coordinate our efforts with all services provided by the association that could deliver a benefit to a member or prospective member. The second is simply acknowledging the growing importance of social networking or technology in driving member acqusition. 15 years ago, email was new and exciting and not many were using it. 5 years ago, the same could be said about social networking sites.
  • Again, given over 25 different channels, over 60% of the responses cited the following:If you’ve downloaded a copy of the 2013 membership marketing benchmarking report, and you review this information (p.17 for those of you who are interested), what stands out is the drop of associations citing the website and email from 92% and 94% last year, and the continued increase of association sponsored social networking sites from 51% in 2011, only 2 years ago. aDina..
  • Membership recruitment is an obviously important end goal for marketing your association. Understanding membership drivers is the best way to enhance your recruitment efforts.
  • The top reasons why members join an association include…..Keep in mind that this is across all industries, and we do see differences based on industry type when we do client work.
  • ERIK: It’s interesting to note that when we look at this data from other angles, these evaluations may change. Of point is that while Direct Mail be considered, over all, to be least effective, when looked at for associations with more than 20,000 members, it remains being one of the most effective marketing channels used to drive membership acquisition.
  • Engagement is key to retaining members. The more times members can interact or engage with the association, the greater the probability is that they will renew. But historically it seems that the problem with conceptualizing engagement as a renewal strategy as been the level of cross priorities between departments within the association. The conference is looked at as a primary revenue source and not a component of the renewal process.But this is changing for many associations as they take a deeper look into their data and increase their understand of their membership.
  • So Engagement is …
  • Logic dictates that members can only gain benefits from those features that they know about. And since they need time to use and evaluate a feature before they determine it to be a benefit, it is essential for them to find out about the features as soon as possible. Therefore, new member on boarding is a critical part of any new member engagement strategy.Over 50% of the respondents indicated that they use these three methods as part of their new member on boarding :It’s interesting to note that these have not changed in order since 2010.
  • Renewals are an integral part of membership marketing. We all know that it costs more to acquire new members than it does to retain current members, so renewals are not only important to maintain the organizations numbers, but to maintain the fiscal health of the organization.
  • ADINA: What we are seeing is that the top three marketing channels used in membership renewals have not changed since the inception of the research in 2009, but that email marketing for renewals is being used increasingly more and direct mail for renewals is being used less.
  • ADINA: When we asked people how many contacts are in their renewal series, almost 60% of association executives report they have 1 to 6 contacts, and only 36% have 7 or more. Yet the research illustrates a relationship between having 7 or more contacts in the renewal series, and renewal rates of 80% or higher.
  • ADINA: We often hear association executives ask, when is the best time to start the renewal campaign? 36% start their renewal efforts at 3 months prior to expiration, and 33% start later than that (2 months or less before the membership expires).
  • When looking at those associations with over an 80% renewal rate, we find a statistically significant relationship with also implementing their renewal program more than 3 months before expiration.
  • When should the effort stop? Well, I believe that the efforts should stop only when it the expense of promoting to them is greater than the potential return.However, in review of the responses, it appears that the majority of respondents indicated between 2 and 4 months after expiration.
  • There is a statistically significant relationship between an 80%+ renewal rate and extending renewal efforts past three months.Adina
  • ADINA: The top reasons association executives believe that members do not renew include issues such as engagement, value, and ROI. While budget cuts and the economy are issues that all associations struggle with, value, engagement, and ROI are problems that can be addressed.
  • A final part of the Membership Lifecycle is Member Reinstatement.
  • ADINA: 32% of associations continue to contact lapsed members indefinitely to reinstate their membership. Surprisingly, 10% of associations do not contact lapsed members.
  • As you can see, there is a statistically significant relationship between those associations who market to lapsed members for more than 3 years after expiration with over an 80% renewal rate.
  • ADINA: Other questions that we get asked focus on budgets and AMS software. This year we included questions about these issues.
  • ADINA: As you can see, IMO’s tend to spend more on both acquisition and retention marketing compared to trade or combination associations. The data also indicated that associations with higher renewal rates tend to spend more on both acquisition and retention than those associations with lower renewal rates.
  • The most used software programs are iMIS and Avectra. However, what is most interesting is that there is a sharp decline in the number of associations that do not use any type of association management software.
  • we included 5 open ended questions and the value of these questions. We thought it would be good to simply present some “words of wisdom” as presented by your fellow association membership marketing professionals.
  • I also earlier mentioned the potential danger of using any benchmarking data to a very specific situation. To hopefully help, using the data from the 2013 Membership Marketing Benchmarking Report, we created a suite of reports which I’m happy to provide free to everyone who participated in today’s webinar. Simply email me which report and I’ll forward it to you.But please note that these are still broad strokes and we do offer a Personalized Report where we will compare your association to other associations based upon one of the following:MarketRenewal RateType (IMO or Trade)Clients have used these reports for refining their strategic and tactical plans as well as presentations to their boards. If you’re interested, please feel free to contact me.
  • Transcript of "2013 Membership Marketing Benchmarking Report: Putting Membership Marketing Practices & Performance in Perspective"

    1. 1. 2013 Membership Marketing Benchmarking Report Putting Membership Marketing Practices & Performance in Perspective 1
    2. 2. If You Want to Ask a Question… Twitter: mktgeneral E-mail: info@marketinggeneral.com Booth #347 at the ASAE Annual Conference in Atlanta 2
    3. 3. Speaking Today Erik Schonher, MBA, CeM Vice President, MGI Adina Wasserman, PhD Director of Research, MGI 3
    4. 4. Why do this research? “The purpose of this study continues to be the development of meaningful benchmarks by which the leadership of individual membership and trade associations can effectively evaluate their own membership marketing strategies and tactics.” 4
    5. 5. Agenda 1. Study Methodology 2. Industry Review: Top 5 Findings 3. Tactics that Drive Membership 1. Awareness 2. Recruitment 3. Engagement 4. Retention 5. Reinstatement 4. Other Observations 5. Q & A 5
    6. 6. What are the Trends in Association Membership? 2013 Membership Marketing Benchmarking Report • Fifth Year Produced by MGI • Over 695 Participating Associations • Up Front Disclaimer  What not Why  Correlation not Causation 6
    7. 7. Research Goals 1. Gain an understanding of the membership marketing practices of associations 2. Determine the challenges in membership marketing faced by individual membership and trade associations 3. Define what practices they believe are most effective 4. Understand through cross tabulation with new member, renewal and growth numbers what practices are related to better outcomes 7
    8. 8. Survey Overview 1. Survey open from January 8, 2013 to February 20, 2013 – 7 Weeks Total 2. 7,857 requests to participate 3. 751 (9.56%) completed surveys 4. 695 (8.85%) participating associations (one response per association) 5. Margin of error + / - 3.7% with a 95% confidence level 8
    9. 9. Industry Review Top 5 Findings 9
    10. 10. Stability 10 1
    11. 11. New Member Acquisition is Up! CHANGE IN NEW MEMBER ACQUISITION OVER PAST YEAR — COMPRESSED 2013 (n = 690) 2012 (n = 687) 2011 (n = 638) 2010 (n = 405) 2009 (n = 325) Percentage Increased Overall 63% 60% 57% 42% 49% Percentage Unchanged Overall 17% 17% 21% 20% 22% Percentage Declined Overall 16% 15% 16% 26% 21% Percentage Unsure 4% 10% 8% 12% 10% 11
    12. 12. Changes in Renewal Rates – Slightly down CHANGE IN RENEWAL RATE OVER PAST YEAR — COMPRESSED 2013 (n = 691) 2012 (n = 683) 2011 (n = 638) 2010 (n = 403) 2009 (n = 326) Percentage Increased Overall 35% 36% 32% 21% 22% Percentage Unchanged Overall 30% 33% 37% 27% 39% Percentage Declined Overall 31% 22% 24% 44% 31% Percentage Unsure 4% 10% 7% 8% 9% 12
    13. 13. MEAN MEMBERSHIP RENEWAL RATE Individual Member Trade/ Organizational Hybrids All members 79% 87% 76% First-year members 64% 78% 61% 13
    14. 14. Overall Membership Size - Stable CHANGE IN MEMBERSHIP OVER PAST ONE YEAR—COMPRESSED 2013 (n = 691) 2012 (n = 689) 2011 (n = 642) 2010 (n = 405) 2009 (n = 331) Percentage Increased Overall 52% 52% 49% 36% 45% Percentage Unchanged Overall 16% 16% 16% 14% 16% Percentage Declined Overall 31% 29% 34% 48% 35% Percentage Unsure 1% 3% 2% 3% 5% 14
    15. 15. Market Dynamics Growth • Finance – Accounting – Banking – Insurance • Healthcare Loss • Building – Construction • Manufacturing 15
    16. 16. The Top Goals for Membership are… 16 2
    17. 17. Top 3 Membership Goals 74% 74% 38% 33% 28% 21% 16% 9% 2% Increasing member engagement Increasing both membership acquisition and retention Increase understanding of member needs Increasing non-dues revenue from members Increasing dues revenue Increasing membership retention Increasing membership acquisition Increasing member diversity Other 2013 (n = 690) 17
    18. 18. One-half of associations raise dues only 1% to 5% 18 3
    19. 19. Percentage of Last Membership Dues Increase 19 51% 25% 9% 7% 4% 1% 1% 1% 2% 1% to 5% 6% to 10% 11% to 15% 16% to 20% 21% to 25% 26% to 30% 31% to 35% 36% to 40% More than 40% 2013 (n = 636)
    20. 20. Social Media is beginning to become a structured medium. 20 4
    21. 21. SOCIAL MEDIA OUTLETS OFFICIALLY USED BY ASSOCIATIONS 2013 (n =690) 2012 (n = 685) 2011 (n = 641) 2010 (n = 405) Facebook 85% 86% 91% 75% Twitter 76% 79% 71% 66% LinkedIn (Public Access) 54% 56% 53% 59% YouTube 52% 53% 45% 35% Association Blog 35% 30% 27% 30% LinkedIn (Members Only) 34% 30% 28% N/A Association Listserv 24% 22% 24% 31% Flickr 17% 15% 15% N/A Private Association Social Network 16% 19% 18% 17% Google+ 11% 11% N/A N/A Pinterest 10% N/A N/A N/A Wikis 5% 8% 9% 13% Ning/Groupsite 2% 4% 4% 6% MySpace 1% 1% 1% 4% None 4% 3% 6% 8% Other 5% 4% 4% 6% Top three social media platforms. Top social media platform. Upward trend 21
    22. 22. Top Social Media Used by Associations • Facebook 1. Generating Awareness 2. Promoting Association Events 3. Promoting Industry Events • Twitter 1. Promoting socialization/discourse among attendees at events 2. Promoting specific sessions & programs at meetings/events 3. Promoting association events • LinkedIn 1. Harvesting contact information for recruitment 2. Generating awareness for your association 3. Soliciting new members 22
    23. 23. Department Responsible for Social Media Programs 23 52% 44% 31% 8% 7% 6% 4% 12% Communications Marketing Membership IT Education Advocacy and policy Social media Other 2013 (n = 657)
    24. 24. Associations reporting increases in overall membership over the past year are significantly more likely to use research. 24 5
    25. 25. GROWTH STATISTICS FOR INDIVIDUAL MEMBERSHIP ORGANIZATIONS WHO INTRODUCED MEMBER RESEARCH IN 2012 Change in Overall Membership (n=102) Change in Renewal Rate (n=100) Change in New Members (n=92) Increased 59% 45% 65% Stayed the Same 16% 32% 20% Decreased 26% 23% 16% GROWTH STATISTICS FOR TRADE ASSOCIATIONS WHO INTRODUCED MEMBER RESEARCH IN 2012 Change in Overall Membership (n=66) Change in Renewal Rate (n=64) Change in New Members (n=64) Increased 53% 38% 72% Stayed the Same 21% 28% 16% Decreased 26% 34% 13% 25
    26. 26. Using a variety of research techniques 70% 39% 30% 30% 22% 17% 8% 8% 77% 41% 31% 24% 23% 13% 8% 7% Quantitative survey research Focus groups Phone interviews On-site interviews/intercepts Secondary research Online panels/bulletin boards None Other 2013 (n = 691) 2012 (n = 687) 26
    27. 27. Tactics that Drive Membership Awareness Recruitment Engagement Retention Reinstatement 27
    28. 28. Awareness 28
    29. 29. How do members discover your association? • Word-of-Mouth 86% • Association Website 80% • Email 66% • Conference Promotion 55% • Association Sponsored Social Networking Sites 54% • Local Events/Meetings 52% 29
    30. 30. How do maintain awareness of your association? • Association Website 86% • Email 81% • Word-of-Mouth 79% • Association Sponsored Social Networking Sites 74% • Conference Promotion 69% 30
    31. 31. Membership Recruitment 31
    32. 32. Reasons Members Join • Networking 24% • Access to specialized information 13% • Advocacy 8% • Best practices 8% 32
    33. 33. Most Effective Channels for Promotion IMO Trade Both 1. Word-of-Mouth 60% 60% 51% 2. Email 35% 32% 36% 3. Association Website 34% 20% 33% 33
    34. 34. Membership Engagement 34
    35. 35. 60%34% 6% 2013 (n = 688) Yes No Do you have a separate strategic initiative or tactical plan to increase engagement? 35 Quickly becoming a strategic part of the membership marketing strategy
    36. 36. Top 3 Methods Used to Onboard New Members 1. Email Welcome 2. Mailed Welcome Kit 3. Membership Card or Certificate 36
    37. 37. How has Engagement Changed? • Increased 1. Participation in Public Social Network 2. Participation in Private Social Network 3. Young Professional Program • Decreased 1. Directory purchases 2. Conference attendance 3. Donations to foundation or PAC 37
    38. 38. Membership Renewals 38
    39. 39. MARKETING CHANNELS USED FOR MEMBERSHIP RENEWALS 2013 (n = 690) 2012 (n = 685) 2011 (n = 644) 2010 (n = 405) 2009 (n = 333) Email marketing 90% 88% 88% 88% 83% Direct mail 79% 81% 82% 85% 91% Staff phone calls 53% 53% 52% 49% 56% Peer member contacts 26% 23% 20% 24% 31% Telemarketing 20% 21% 24% 23% 27% Board phone calls 17% 17% 18% 15% 28% Magazine cover wraps 15% 17% 15% N/A N/A Chapter phone calls 15% 13% 14% 14% 15% Social media contacts 12% 15% 13% N/A N/A Employer contacts 8% 6% 8% 7% 4% Fax 7% 9% 10% 11% 17% QR codes 3% N/A N/A N/A N/A PURL 2% 3% N/A N/A N/A Texting 1% 2% N/A N/A N/A Renewal app for mobile devices 1% 1% N/A N/A N/A Other 6% 3% 3% 3% 4% Top three channels for renewals. Top channel for renewals Downward trend. 39
    40. 40. RENEWAL RATES BY NUMBER OF RENEWAL CONTACTS INDIVIDUAL MEMBERSHIP ASSOCIATIONS (n = 289) 1 to 6 contacts 7 or more contacts Less than 80% renewal 43% 33% 80% or higher renewal 57% 67% 40
    41. 41. When to start? Two to Four Months from Expire. 41
    42. 42. RENEWAL RATES BY START OF RENEWAL EFFORT INDIVIDUAL MEMBERSHIP ASSOCIATIONS (n = 289) Three months or less prior to expiration More than three months prior to expiration Less than 80% renewal 41% 32% 80% or higher renewal 59% 68% 42
    43. 43. When to stop? Two to Four Months After Expire. 43
    44. 44. RENEWAL RATES BY WHEN RENEWAL EFFORTS STOP INDIVIDUAL MEMBERSHIP ASSOCIATIONS (n = 286) Up to 3 months after expiration More than three months after expiration Less than 80% renewal 41% 35% 80% or higher renewal 59% 65% 44
    45. 45. Top Reasons for Not Renewing 1. Budget cuts 2. Lack of engagement 3. Could not justify the cost of membership 4. Employer won’t pay 5. Lack of value 45
    46. 46. Member Reinstatement 46
    47. 47. LENGTH OF TIME FOR CONTACTING LAPSED MEMBERS TO REINSTATE THEIR MEMBERSHIP 2013 (n = 689) 2012 (n = 686) 2011 (n = 641) 2010 (n = 403) 2009 (n = 333) We don’t contact lapsed members 10% 10% 11% 10% 8% 1 year after expiration 19% 22% 22% 24% 25% 2 years after expiration 12% 13% 14% 15% 13% 3 years after expiration 8% 10% 9% 6% 6% 4 to 5 years after expiration 5% 5% 4% 6% 5% 6 to 10 years after expiration 1% 1% 1% 1% 1% We continue indefinitely to contact lapsed members 32% 31% 30% 24% 30% Other 7% 4% 3% 7% 6% Not sure 5% 5% 5% 7% 7% 47
    48. 48. RENEWAL RATES BY HOW LONG LAPSED MEMBERS ARE CONTACTED INDIVIDUAL MEMBERSHIP ASSOCIATIONS (n=238) 1-3 years after expiration More than 3 years after expiration Less than 80% Renewal 40% 35% 80% or Higher Renewal 60% 65% 48
    49. 49. Other Observations 49
    50. 50. What should my membership marketing budget be? 50 MEAN AMOUNT SPENT ON MEMBERSHIP MARKETING PROGRAMS BY ORGANIZATION TYPE Individual Member Trade Hybrids Acquisition $169,123 $99,408 $141,876 Retention $126,967 $59,227 $65,861 MEAN AMOUNT SPENT ON MEMBERSHIP MARKETING PROGRAMS BY RENEWAL RATE Less than 80% 80% and higher Acquisition $134,399 $137,295 Retention $92,838 $100,532
    51. 51. ASSOCIATION MANAGEMENT SOFTWARE USED BY STUDY YEAR 2013 (n = 684) 2012 (n = 640) iMIS (ASI-iMIS) 20% 19% Avectra Inc. 13% 11% Personify/TMA Resources 7% 6% Home grown or tailor-made system 6% 11% Microsoft Excel 4% N/A Microsoft Access 3% N/A Microsoft CRM 3% N/A Salesforce 2% N/A Aptify 2% 2% Affiniscape 2% N/A Protech 2% 2% YourMembership 2% 2% CDC gomembers 2% 1% ISSI (Impak) 2% 1% MemberClicks 1% 1% Wild Apricot 1% N/A ACGI Software 1% 2% CiviCRM 1% N/A Euclid Clear Vantage 1% N/A Timberlake Software 1% -- 123Signup Association Management Solutions, Inc. 1% 1% JL Systems (NOAH) 1% 1% None 4% 9% Other 22% 32% 51
    52. 52. “In your own words, what are the most important or successful lessons have you learned in the area of membership marketing?” • Membership marketing is most successful when you ask members/potential members what they want and then you give it to them how they want it. Additionally, employing multiple marketing tactics – direct mail, email, social media, and word of mouth is the best way to get the word about your association's value out there. No one tactic will work. • Listen, listen, listen. Be aware of the changing world around you and spoon feed members the information and benefits they want and need. Don't try and offer too many choices – determine your 3 core offerings and message them to death. • Test, test, test! And try things over – things change every year so something that didn't work 3-5 years ago might work now. • Try to understand how members actually use your association and their experiences rather than relying on your own limited perception. • Segmenting is incredibly valuable—people need to feel like you understand their specific needs and can offer products or services that respond to those needs. 52
    53. 53. Special Reports • Individual Member Organizations • Trade Associations • Both IMO and Trade • Renewal Rates of 80% or higher • 5,000 – 20,000 member organizations • Healthcare • Education • Professional Services: White Collar 53
    54. 54. Sources for MMBR Updates! • Marketing General Blog http://www.marketinggeneral.com/blog/ • Association Research Blog - http://associationresearch.blogspot.com/ • Experts in Membership Marketing Blog – http://expertsinmembershipmarketing.blogspot.com/ • Membership Marketing Blog – http://membershipmarketing.blogspot.com/ 54
    55. 55. Thank you. 55 Adina Wasserman, PhD Director, Market Research 703.706.0373 AWasserman@MarketingGeneral.com Erik Schonher MBA, CeM Vice President 703.706.0358 Erik@MarketingGeneral.com
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