Defining and Communicating Value through Emotional Drivers

Have you ever been asked what differentiates your membership from the others that are available? In marketing terms, do you know what is your “unique selling proposition” (UPS)?

This is the type of question I often ask of prospective clients when I meet with them. A lot of times I do not get very compelling or confident answers.

A first step in defining this value is to define the motivations of members and prospective members.  What are their deep seated needs? Here is one way to think about and define these needs.  Way back in 1956 a book written by Victor Schwab, "Mail Order Strategy" (Hoke Communications, 1956). Schwab was a famous copywriter -- an Ad Age person of the Century -- who detailed the 40 key "emotional drivers" that influence people’s actions.

Here are a few of Schwab’s drivers that I think might be particularly relevant for membership marketing.

People want to be:

• Up to date
• Recognized authorities
• Efficient
• Good parents, bosses, and employers

People want to gain:

• Time
• Comfort
• Praise of others
• Health
• Popularity
• Personal prestige
• Money

People want to save:

• Work
• Discomfort
• Embarrassment
• Worry
• Time

People want to do:

• Satisfy their curiosity
• Win others’ affection
• Improve themselves generally

Understanding the motivations and needs of members and prospects in your marketplace will drive everything from your messaging to your product development.  Take time through brainstorming, research, and testing to build an understanding of these emotional drivers.

 

Just Released: The Association Innovation Benchmarking Report

 

Innovation is one of the keys to maintaining a resilient and growing association. One definition of innovation is, “the act or process of introducing new ideas, devices, or methods.” For associations introducing new products, services, and methods is critical to attract new members and retain current members. 

So if this is so important, what are the characteristics that define innovative associations? 

The Association Innovation Benchmarking Report

That’s the question Marketing General Incorporated (MGI), in conjunction with the National Business Aviation Association (NBAA), decided to ask professionals in the association world. 

The research focused on how associations set innovation goals, how they support innovation, what rewards and recognition they offer, and how they set metrics for innovation.  The research resulted in the publication of the Association Innovation Benchmarking Report. 

A total of 344 associations participated in the research, and the findings reveal a wealth of insights on the role of innovation within associations. Here are some of the top findings: 

• Most associations (73%) began to focus on innovation only within the past five years.

• Innovation is most often prompted internally by the CEO of the association.

• Associations most often focus their innovation on websites/social media, conventions/conferences/seminars, and education programs.

• The majority of respondents (72%) do not have any form of rewards or recognition for innovation at their association.

• Finding financial resources and fighting the status quo have proved to be the two biggest challenges in becoming an innovative organization. 

The full Association Innovation Benchmarking Report is now available as a download.  Please use this link and scroll down the page to receive a copy of the complete study. 

 

How to Simplify Your Membership Marketing

Frequently, I have the opportunity to review the membership marketing programs of various associations.

Sometimes, I find that organizations are doing too little to get and keep members.  They need to increase the frequency and reach of their marketing efforts.

However, of late I have observed another problem; overly complex and tradition bound membership marketing plans. Here are some of the issues that I have seen and some fixes to these challenges.

1. Not Keeping a Focus on ROI: Some organizations continue efforts year in and year out without stepping back to really look at the time, effort, and budget required to deploy an initiative compared to the return it produces.  At some point, almost every promotion needs to be retooled or sunset.  Regularly identify and drop the poor performing promotions and reprogram the budget toward innovative new opportunities.
2. Over Testing: Any good marketer is in favor of testing.  However, too much of a good thing may not make sense.  It makes sense to test big elements (offers, lists, channels) because the results will normally come back with a statistically valid outcome.  However, testing little elements like a color, a signature, or a font will very likely produce such a minor difference in response that any variance will be statistically insignificant.  Test big items for big wins and save the time and energy on launching inconsequential tests. 
3. Too Much Segmentation: Every market can be segmented by a host of demographics, behaviors, and list selects.  But at some point providing a unique message and offer to each segment becomes inefficient and ineffective.  More often than not when I have tried to tailor unique “special messages” to each slice of prospective members a generic option has outperformed the highly targeted approach.  Present your most powerful and compelling message to your market instead of diluting it by trying to be all things to all people.
4. Too Many Steps: How many clicks and how much information is required to join or renew your organization’s membership?  It is great to gather a detailed profile of on member and you want to ensure that he is qualified, but over time your application process may have added requests that cause a member to abandon the transaction because it takes too much time or they do not have the information at hand.  In fact, many organizations report exceptionally high shopping cart abandons during the join process on their websites.  When you are asking a prospect or member to complete a transaction, require the minimum time, clicks, and information possible before the dues payment is received.
5. Too Much Research: Research is a foundational discipline for effective marketing.  However, research can become like pealing an onion.  There always seems to be another layer of the unknown.  At some point, gaining understanding has to give way to execution. And indeed the best research can simply be whether or not someone will write a check in response to your offer.  Lean toward a “ready, fire, aim” approach in your marketing by gathering real data from actual promotional efforts.

Here is the bottom line.  When you are developing a plan or a marketing campaign ask the hard questions.  Is this promotion really worth the time and effort required for the expected return?  Do we have the quantity necessary to get a legitimate statistical outcome from this test?  Are these demographic differences really significant enough to warrant a different message or is our core value proposition strong enough for each market segment?  Would I really take the time and effort to go through all of the steps needed to make this transaction or is it too much to ask?   And am I willing to take the risk to gain understanding by acting on what I know instead of waiting for more information? 

Delivering Member Value through Association Sponsored Research

Whether you serve members in a trade association or individual membership association, value is something that members want to receive from you.  And sometimes one of the most valuable benefits that can be uniquely supplied by a membership organization is research conducted with or on the behalf of your members.

Here are some examples of association sponsored research that members value either because it provides guidance to them or visibility to their profession. 

·        Member Polling Research – Gathering member perspective on important, newsworthy topics and then sharing it with the media can demonstrate the influence and support that an association is providing to members.  Here are samples of how one association has gained national attention by sharing their findings from member polls on critical healthcare issues.

·        Compensation Research – Because associations serve a defined constituency, they are well positioned to gather and report on employee compensation.  Both employers and employees are served through this information and access to the research report is a powerful incentive for member recruitment and retention efforts each year.   

·        Industry Benchmarking – Good benchmarking helps move planning from using antidotal information to data driven insights.  One trade organization, for example, provides benchmarking reports to help other member companies with data on sales force performance, number and size of orders, and web statistics.  Another association benchmarks critical purchasing data that now influences decision making for the entire economy.    

·        Consumer Opinion Research -- Helping members understand customers’ needs and desires within a defined marketplace can provide invaluable assistance.  Often this type of research is too costly or complex for an individual member company to produce, but done on behalf of many members, it can provide statistically valid and actionable information that easily pays for member’s annual dues. 

To recruit, engage, and retain members creating compelling and useful value has to be a top priority. But ideally that value needs to something more than a discount that is available from any number of organizations.  The value should be something that fits within the mission of the association and that others cannot easily replicate or find in the general market or through a Google search.  Research for members and about members can supply that specialized information that delivers indispensable value.   

Membership Marketing Benchmarking Final Report Now Available

We just publicly released the Membership Marketing Benchmarking Final Report for you to download. Only a registration on the site is required to get a copy.

I wanted to thank those who participated in our formal presentation of the report Monday, at the ASAE Annual Convention.

Please feel free to share the report with others in your organization. Post your comments here on this site and please let me know if you have any questions. I look forward to your thoughts and feedback. Here is the link.

This has been one of the more interesting projects that I have worked on in a long time. I hope you find it a help in your membership marketing efforts.

Associations Report Continued Membership Growth

Is membership growth a possibility even in today’s economy? Our membership marketing benchmarking data would indicate that it is.

As you may recall, I am analyzing data from over 400 associations that participated in our membership marketing benchmarking survey this spring. We inquired about growth over the past year and over the last five years.

Here is what we are finding. Over the past year, 46% of associations are reporting that they have seen their total membership grow. While 16% have remained the same and 35% have seen a decline in membership numbers. The numbers do not add up to 100 because some respondents were not sure whether membership grew or declined.

The numbers show a stronger picture when looked at over the past five years. During this time period, 60% of respondents reported growth. And 26% of the associations had membership growth of over 10%. At the same time, 8% reported no change and 26% reported a decline.

In addition to seeing strong growth in overall membership, the data indicates that new member input has also been strong over the past year with 54% reporting an increase in new member input. While 22% have seen a decline and 24% have remained the same.

Although we did not ask for trend data on renewals, we might infer from the data that since new member input is up over the past year at a higher rate than overall membership growth, renewal rates must be lower on average for associations.

Membership Marketing and the Web

I have begun the review of the raw data from the Membership Marketing Benchmarking Survey that we launched this spring. We had over 400 survey participants.

From my initial review of the data there are many surprises and confirmations of what I expected.

My first surprise was how little associations are using the web opportunities to acquire members compared to other membership marketing channels.

We asked participants to highlight what channels they use to get new members and how they allocate their membership marketing budgets over these channels. The results showed that some commonly used web channels for acquisition see limited very use by associations and make up a very small portion of their budgets. For example:

• Only 8.3% of those who responded use search engine advertising to acquire members and this channel only made up 0.29% of membership marketing budgets.
• Only 12.2% use banner ads and links on others web sites to market membership and this only made up on 0.13% of the survey participants’ overall membership marketing expenditures.

Based on what the opportunities are using these channels, associations are under utilizing these tools to reach out and attract members. I suspect that these numbers will grow dramatically in the future.

On the other hand, 35.2% are using social networking to help attract members. Still this only makes up 0.78% of membership marketing budgets. Interestingly, 26.8% of associations who report using social media to attract members reported a decline in new member acquisition compared to 21% of the total respondents.

Does this mean that necessity is the mother of invention and these groups are giving social media a try or that social media diverts resources from more productive acquisition opportunities?

The vast majority of respondents -- 84.8% -- use their association website and this only makes up 3.2% of membership marketing budgets.

By the way, just a reminder that the world is changing and we need to keep pushing the envelope. Here is a post card promoting my grandfather’s Chrysler dealership. He is pictured on the left.

Last Call for Participating in Membership Marketing Benchmarking Survey

How does your organization compare to others in membership acquisition, engagement of new members, retention and renewal marketing?

If you would like to find out answers to these and other questions, please take a few minutes to participate in the online membership marketing benchmark survey.

Simply click here to start the survey.

To thank you for participating, we will send you a free copy of the results analysis and final report. Individual responses will be kept strictly confidential.

Use the link below to complete the survey now:

http://tinyurl.com/MGI-MMSurvey

Thanks in advance for your help.

Get Your Free Copy of the Membership Marketing Research Benchmark Report

If you are a regular reader of this blog, you may recall that last year, we produced a comprehensive study on best practices in dues increases based on our research from hundreds of associations.

We are now deploying a survey to benchmark membership marketing practices.

I think you will find the research will offer very helpful insights on membership acquisition, new member engagement, and member retention. If you are part of a membership organization and would like a free copy of the final report from this research, all you have to do is complete the survey.

Responses will be strictly confidential and all participants will receive a copy of the full survey report and analysis. Simply click here to start the survey. Your participation is much appreciated.

You can fill it out in the time it takes me to go for a short walk with my dog. Use the link to complete the survey now. Thanks in advance for your input.

Membership Development Ranked as Top Priority in 2009

When new association research is released, I try to stay on top of it and share the highpoints on this blog.

A recent report, “Associations: A Benchmarking Report on Association Priorities, Challenges and Strategies for the Coming Year” by McKinley Marketing, Inc., had some insights on what the priorities for associations are in 2009.

I was encouraged to see that the responses heavily focused on getting and keeping members. In challenging times, I cannot think of a much better priority. The ongoing, renewable membership relationship can sustain an organization like no other revenue stream.

Here is how respondents answered the question, “What are your three highest priorities for 2009?” They said:

1. Improving member retention -- 50%
2. New Member Acquisition -- 41%
3. Branding/Increasing Awareness -- 36%
4. Developing new methods for member engagement -- 34%
5. Increasing meeting attendance -- 25%

By the way, “incorporating social media into marketing strategy” came in 7Th place with 18%.

The report also concluded that “Direct mail, event marketing and public relations are considered the most effective tactics to accomplish all [marketing} goals; online media tactics are considered the least effective.”[1] However, as expertise grows, I suspect that online tactics will become more important in coming years.

The survey went to over 2,500 associations and participating associations included well known groups like the: American Library Association; Association Forum of Chicagoland; American Society for Quality; American Society of Heating, Refrigerating and Air-Conditioning Engineers; American Society of Mechanical Engineers; American Institute of Certified Public Accountants, and National Society of Professional Engineers

What would you set as your organizations top three priorities in 2009? Please feel free to share them.

[1] 2009 Economic Impact on Associations, page 10

A Big Membership Decision – College

The past year has been a lot of fun. I have been able to watch my son – who is a high school senior -- be marketed to by hundreds of colleges who want him to “join” them as a student.

Joseph and I talked this weekend about what has worked best to attract him to particular colleges. Here are the three elements that were most effective in encouraging him to actually apply to certain colleges.

• Consistency – One contact did not work for us. Over the year we have collected a large laundry basket of mailings from colleges. Those who sent one letter got a quick look, but those that had a steady stream of communication were more successful in making us aware of what they had to offer and at least helping us reach a point of considering them for a visit.


• Personal Contact – Before the process began, there was one in-state school that we wrote off from consideration, but they actually turned us around and my son is applying there for admission. How did they do it? Through personal contact. They consistently had students from the school calling my son urging him to take the next step by requesting an application, scheduling a visit, sending them SAT scores, etc. They won us over by making him feel that they were interested in him as an individual.


• Enthusiasm – Once the school got us to the campus for a tour or interview, hearing from an enthusiastic speaker or guide and talking with enthusiastic students had a big impact. The presenter at my Alma Mater, Dickinson College, took the prize for the most inspiring presentation. But casual conversations with students who were passionate about what they were studying were also memorable.

As I always argue on this blog, taking the experience of one person and projecting it on everyone is NOT a good idea. However, can any of these sales or marketing elements be applied to get people to join or continue membership with your association?

By the way, thanks to Matt Baehr for the inspiration for this post. On his blog, he challenges several of us to look at things from a different angle. So I took a look at being marketed to as a consumer instead of marketing for an organization. Good idea Matt.

Research for Membership Marketing

Once a solid membership benchmarking tool is established (see post on July 9), the second major function for capturing data for an association should be research Well-run associations are full of questions. Three major techniques are useful for associations to capture actionable research data from the market.

1. Primary Research

Primary research involves listening to members and prospects through formal quantitative research techniques such as surveys and through qualitative tools such as executive interviews, focus groups, and even conversations over a cup of coffee. This helps an association understand the attitudes of members. In 7 Measures, for example, staff members from Associated General Contractors explain the benefit of posting surveys on AGC’s website that ask members a variety of questions about potential products and services. “We know who the product is for, who the market is, before production even begins,” (p. 42) said one employee.

2. Secondary Research

Secondary research focuses on scanning the environment for new trends and opportunities. At the American College of Cardiology, two groups conduct environmental scanning. The staff group tracks trends in five major areas including demographics and economics. A member group then adds insights and perspectives to this analysis to help develop annual initiative and long-term strategic goals for the college (p. 40).

3. Data Mining

Data mining takes advantage of the directional information found in the associations database through the tracking of purchasing and behavior patterns. What members actually do, instead of what they say they will do is some of the most predictive research an association can gather.

The Society for Human Resource Management, for example, uses extensive database analysis. “We look at what books they’re buying, what they’re doing, what questions they’re asking, what resources they use", (p 41) said one member of the SHRM staff.