MEMBERSHIP 101. Presented by: Jamie Clements, President NPO Direct Marketing. Diane Ward, President Membership Matters!
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1 MEMBERSHIP 101 Presented by: Jamie Clements, President NPO Direct Marketing Diane Ward, President Membership Matters!
2 CONTACT INFORMATION Jamie Clements, President NPO Direct Marketing , x22 Diane Ward, President Membership Matters!
3 MEMBERSHIP PROGRAM Acquisition Retention Member Services
4 IN RECENT ECONOMIC TIMES Retention Acquisition Member Services
5 MEMBERSHIP RENEWALS Segmentation Solicitation Cycles Upgrading Internet Appeals Direct Mail
6 DIRECT MAIL RENEWALS
7 DIRECT MAIL RENEWALS
8 MEMBERSHIP RENEWALS Segmentation Solicitation Cycles Upgrading Internet Appeals Direct Mail Telemarketing
9 MEMBERSHIP UPGRADES Renewals Mid-Term Major Donor Direct Mail Telemarketing Increase Value
10 MEMBERSHIP ACQUISITION On-Site Sales
11 ONSITE SALES PASSIVE RECRUITMENT Membership Desk Join Brochure
12 JOIN BROCHURE
13 ONSITE SALES PASSIVE RECRUITMENT Membership Desk Join Brochure Membership Literature in Shop, Café, Entrance and Exits
14 SIGNAGE
15 ONSITE SALES ACTIVE RECRUITMENT Admission Desk Recruitment Staff at Membership Desk Greeters at Entrance Gift Shop Recruitment
16 ONSITE SALES LEAD GENERATION Admission/Gift Shop/Café Raffles (qualify prospect) Guest Directory/Visitor Cards
17 MEMBERSHIP ACQUISITION On-Site Sales Direct Mail
18 DIRECT MAIL OFFER Event Marketing special exhibition members-only event
19 MEMBERS-ONLY EVENTS
20 DIRECT MAIL OFFER Event Marketing special exhibition members-only event Experience/Benefits
21 EXPERIENCE/BENEFITS
22 DIRECT MAIL OFFER Event Marketing special exhibition members-only event Experience/Benefits Value/Discounts
23 VALUE/DISCOUNTS
24 DIRECT MAIL PACKAGE
25 DIRECT MAIL LISTS Lapsed Members In-House Prospects Exchange Commercial
26 MEMBERSHIP ACQUISITION On-Site Sales Direct Mail Telemarketing
27 MEMBERSHIP ACQUISITION On-Site Sales Direct Mail Telemarketing Membership Promotions Grassroots Prospecting
28 MEMBER SERVICES Acknowledgement Benefits and Privileges Market Benefits/Encourage Visits Communication/Social Media Handle Inquiries/Complaints
29 Membership 101 FOOD PYRAMID Membership Renewals BASIC NUTRITION - The Power of Vitamin O! Onsite, Online and Other Acquisition Methods ADDITIONAL SUPPLEMENTS Mailings, Offsite Engagements & Social Media YOU ARE WHAT YOU EAT ( TRACK & MEASURE) Acquisition Measurement informed decision making NUTRITIONAL VALUE OF YOUR MEMBERSHIP PROGRAM
30 Renewals: Food Pyramid Renewals are your most important and consistent source of income Unrestricted Operating High Return on Investment Grass Roots Support
31 Membership Retention Common Questions When should the renewal cycle start? How many printed notices should be sent? How many electronic notices should be sent? Based on our renewal rate, should we make a greater or lesser investment in renewing members?
32 Where do we start? The Renewal Process Understand Renewal Profile Tweak & Test - Analyze & Adjust Track & Measure Demonstrate Impact Renewal Numbers to Know
33 Renewal Analysis #1 Renewal Response DURING the cycle Determine if renewal rates are on track to hit your renewal goal Majority of response must be achieved by the month of expiration
34 Renewal Profile Predictable response rate per renewal initiative Similar to direct mail but more mailings Quickly know if renewal response is on track Notice # Mailed R1 1,000 R2-900 Number renewed in 30 days 100 % renewed in 30 days 10%
35 Track Renewal Response Notice # Mailed R2 900 R3-750 Number renewed in 30 days 150 % renewed in 60 days 17% Notice # Mailed R3 750 R4-600 Number renewed in 30 days 150 % renewed in 60 days 20%
36 Demonstrate Current Profile 38% 49% 24% R1 60 Days R2 30 Days Month of Exp.
37 Use Data to Define Strategies Define your goal and strategy (reasons for change) Make the case by return on the investment (ROI) 52% 49% 38% # Billed 1,000 24% Cost $0.55 each or $550 # Renew 80 members or 8% $80 avg. $6,400 8% 24% 38% R1 60 Days R2 30 Days Month of Exp. R1 90 Days R1 60 Days R2 30 Days Month of Exp.
38 Additional Reminders Additional Mailing 48% 57% 1% 12% 20% 5% 1% (1) 30 Days 60 Days Additional Notice 90 days (2) 120 DaysMonths After Exp
39 Additional Follow-up Efforts
40 Demonstrate Impact 57% 62% Notice 48% Postcard 20% 1% 12% 5% 1% 3%
41 Renewal Analysis Additional Renewal Numbers Overall Renewal Rate Renewal Rates by Level of Membership How does each renewal initiative perform? Renewal rates for new vs. longer-term members
42 Membership Acquisition Current Trends Hitting the target is tougher Industry standards are changing
43 Onsite Sales Membership Sales BASIC NUTRITION Proportionally the largest source of new member acquisition 60% - 90% of new sales based on type of organization Highly measurable performance Based on most eligible prospects to join at arrival Determining Eligible Prospects: Not all visitors are eligible prospects (schools and tour groups) Free admissions (comps/ 2 for 1) Advanced sale purchases may not qualify Excludes current and renewing members Onsite transaction PAID visitors usually most eligible prospects
44 Onsite Sales Conversion Rates 1% - 1.5% ew member per 100 eligible prospects Special Exhibitions 2% - 3%+ Family- Based 4% - 6%+
45 Membership Penetration Math Sample Attendance Profile: 100,000 Visitors 25,000 School/groups (subtract) 25% 33,000 Member visits (subtract) 30% 10,000 Comps, free days (subtract) 10% 68,000 Subtotal of ineligible prospects 68% 32,000 Eligible prospects 32% 150 New/rejoining memberships <1% (exclude renewals)
46 Seasonal Fluctuations 14,000 Prospects PenetraEon 4% 12,000 3% 10,000 3% 8,000 2% 6,000 2% 4, % 0.90% 1% 2, % 1% 0 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 0%
47 Specialized Mailings Lapsed Member Mailing A one a day pill for all everyone needs one Go back to the flock with proven interest Electronic, printed and/or telemarketing New Member Mailing Build internal list of fortified prospects promotions to self-identify Store purchase (AE credit cards) On and offsite name captures (raffles and sweepstakes) External Mailing Lists List exchanges with like-minded organizations Commercial list purchases
48 Offsite Engagements Direct and Indirect Sales Opportunities Reaching prospects that don t get to you Indirect: name capture and collect s Listen and observe Targeted follow-up plan Use membership volunteers Farmer s Markets, Wine & Jazz Festivals, Township Concerts
49 Social Media Ladder of Engagement conversations with touch points Smart objectives, holistic approach, full transparency The Networked Non Profit, Beth Kanter & Allison H. Fine AWARENESS UNDERSTANDING ATTITUDE BEHAVIOR Pathway of Engagement not exact to traditional membership sales Friend Participation (virtual) Advocacy Support Action (donate/join) Measurement - Hits? Views? Fans? Tweets? Likes? Moved beyond can t be measured to what should be measured? Includes measuring conversations and communities Beth s Blog Betj@bethkantor.org
50 Acquisition: Getting Organized #1 Review database codes Proper assignment at time of entry Consistency among staff Streamline and simplify for analysis #2 Review data collection and reports Add new areas (website - ticket center - TM) Review old areas - enhance/streamline Retire old areas - no longer needed
51 Acquisition Source Codes Honor/Memorial 1 Individual 5 Individual 1 Individual 1 Gift Membership 17 Gift Membership 17 Gift Membership 33 PreColumbian Society 1 PreColumbian Society 1 Womens' Committee 4 donation 1 donation 1 Maya Weekend 9 PreColumb. Society 1 New--Source Unknown 25 PreColumbian Society 2 New--Source Unknown 33 Phone Inquiry 1 expired renewed 2 Phone Inquiry 9 Board-Solicited 3 New--Source Unknown 45 Board-Solicited 5 Members' Event 5 Phone Inquiry 20 Events Calendar 3 Donated Membership 1 Board-Solicited 4 Web Page-Gen. Mus. 2 Summer Camp 1 Chinese New Year 1 Arch and Bible 1 Etruscan/Roman Gall. 2 Pubs Catalogue 2 Alumni Census mailin 7 Young Friends 18 Events Calendar 8 Roman Glass CGS 1 Event Requirement 4 Maya Weekend 1 Donated Membership 4 Unknown 15 Wom. Comm. Tours 3 44 Eyes Participant Beer Event Totals 202 Board Member Solicit 1 Totals 181 ==== Web Page-Publication 3 ======= Web Page-Gen. Mus. 9 Friend of Ban Chiang 1 Canaan & Anc. Israel 11 Donated Membership 1 East Wing Campaign 1 Third Thursday 1 Birth of Art 1 Arch and Bible 8 Alumni Census mailin 1 Unknown Totals 271
52 54% 10% 20% 5% 25% Door Exhibit Office Misc Unknown Over 50% of revenue can t be identified by the initiative or origin (how achieved)
53 You Are What You Eat Tracking and Measurement for Informed Decision Making
54 Flickr Photo by Brett Morrison
55 Build Knowledge Track the details
56 Acquisition Profile Profile is a Road Map for informed decision making Requires proper coding Review, rethink and retire coding & legacy rpt. Offsite Events % Onsite % Online % Streamline: management and leadership meaning Partnership is the solution to the common error Mailings % Store Gift Mbr. %
57 Sample AcquisiEon Profile Onsite Sales 33% 32% 30% Website Sales 22% 24% 33% Direct Mail 9% 17% 9% Events 13% 5% 7% Phone 4% 8% 8% Comps 3% 4% 6% PromoEons 3% 3% 2% Unknown 13% 7% 5% 100% 100% 100%
58 Why invest? Value of Membership to Your Organization
59 Members as an Audience Museum Visitation Museum Engagement
60 Members Additional Spending Additional Spending PER Membership Other Events $ 14 Annual Fund $12 Museum Store $12 Concerts $9 Cafe $8 Lectures $1 Total $56
61 MEMBERSHIP 101 Question & Answer
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