final revised slides membership 101 for ammc in philadelphia...acquisition measurement – informed...
TRANSCRIPT
MEMBERSHIP 101
Jamie Clements, President NPO Direct Marketing Diane Ward, President Membership Matters!
Presented by:
CONTACT INFORMATION
Jamie Clements, President NPO Direct Marketing 703.961.9669, x22 • [email protected]
Diane Ward, President Membership Matters! 484.461.8466 • [email protected]
MEMBERSHIP PROGRAM
➢ Acquisition
➢ Retention
➢ Member Services
IN RECENT ECONOMIC TIMES
➢ Retention
➢ Acquisition
➢ Member Services
MEMBERSHIP RENEWALS
➢ Segmentation
➢ Solicitation Cycles
➢ Upgrading
➢ Internet Appeals
➢ Direct Mail
DIRECT MAIL RENEWALS
DIRECT MAIL RENEWALS
MEMBERSHIP RENEWALS
➢ Segmentation
➢ Solicitation Cycles
➢ Upgrading
➢ Internet Appeals
➢ Direct Mail
➢ Telemarketing
MEMBERSHIP UPGRADES
➢ Renewals
➢ Mid-Term
➢ Major Donor
➢ Direct Mail
➢ Telemarketing
➢ Increase Value
MEMBERSHIP ACQUISITION
➢ On-Site Sales
ONSITE SALES
PASSIVE RECRUITMENT
➢ Join Brochure
➢ Membership Desk
JOIN BROCHURE
ONSITE SALES
PASSIVE RECRUITMENT
➢ Join Brochure
➢ Membership Literature in Shop, Café, Entrance and Exits
➢ Membership Desk
SIGNAGE
ONSITE SALES
ACTIVE RECRUITMENT
➢ Staff at Membership Desk
➢ Greeters at Entrance
➢ Admission Desk Recruitment
➢ Gift Shop Recruitment
ONSITE SALES
LEAD GENERATION
➢ Raffles (qualify prospect)
➢ Guest Directory/Visitor Cards
➢ Admission/Gift Shop/Café
MEMBERSHIP ACQUISITION
➢ On-Site Sales
➢ Direct Mail
DIRECT MAIL
OFFER
➢ Event Marketing • special exhibition • members-only event
MEMBERS-ONLY EVENTS
DIRECT MAIL
OFFER
➢ Experience/Benefits
➢ Event Marketing • special exhibition • members-only event
EXPERIENCE/BENEFITS
DIRECT MAIL
OFFER
➢ Experience/Benefits
➢ Value/Discounts
➢ Event Marketing • special exhibition • members-only event
VALUE/DISCOUNTS
DIRECT MAIL PACKAGE
DIRECT MAIL
LISTS
➢ In-House Prospects
➢ Exchange
➢ Lapsed Members
➢ Commercial
MEMBERSHIP ACQUISITION
➢ On-Site Sales
➢ Direct Mail
➢ Telemarketing
MEMBERSHIP ACQUISITION
➢ On-Site Sales
➢ Direct Mail
➢ Telemarketing
➢ Membership Promotions
➢ Grassroots Prospecting
MEMBER SERVICES
➢ Acknowledgement
➢ Benefits and Privileges
➢ Market Benefits/Encourage Visits
➢ Communication/Social Media
➢ Handle Inquiries/Complaints
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
Membership 101
Renewals: Food Pyramid
Renewals are your most important and consistent source of income
Unrestricted Operating
High Return on Investment
Grass Roots Support
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?
Where do we start?
The Renewal Process
Understand Renewal Profile
Tweak & Test - Analyze & Adjust
Track & Measure – Demonstrate Impact
Renewal Numbers to Know
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
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%
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%
Demonstrate Current Profile
24%
38%
49%
R1 60 Days R2 30 Days Month ofExp.
24%
38%
49%
R1 60 Days R2 30 Days Month of Exp.
Define your goal and strategy (reasons for change)
Make the case by return on the investment (ROI)
Use Data to Define Strategies
8%
24%
38%
52%
R1 90 Days R1 60 Days R2 30 Days Month of Exp.
# Billed 1,000
Cost $0.55 each or $550
# Renew 80 members or 8%
Revenue @ $80 avg. $6,400
1%
12%20%
5%
48%
1%
57%
Email (1) 30 Days 60 Days AdditionalNotice
90 days Email (2) 120DaysMonths
After Exp
Additional Email Reminders
Additional Mailing Email
Additional Follow-up Efforts
Demonstrate Impact
1%
12%20%
5%
48%
1%
57%
3%
62%
Email Email
Notice
Postcard
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
Membership Acquisition
Current Trends
Hitting the target is tougher
Industry standards are changing
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
Onsite Sales Membership Sales
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
1% - 1.5%
1 new member per 100
“eligible prospects”
Family- Based
4% - 6%+
Onsite Sales Conversion Rates
Special Exhibitions
2% - 3%+
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)
Seasonal Fluctuations
1.00%0.90%
0.60%
0%
1%
1%
2%
2%
3%
3%
4%
0
2,000
4,000
6,000
8,000
10,000
12,000
14,000
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
Prospects PenetraEon
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 • Email 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
Offsite Engagements
Direct and Indirect Sales Opportunities
• Reaching prospects that don’t get to you • Indirect: name capture and collect emails • Listen and observe • Targeted follow-up plan • Use membership volunteers • Farmer’s Markets, Wine & Jazz Festivals, Township Concerts
Social Media
AWARENESS UNDERSTANDING ATTITUDE BEHAVIOR
Ladder of Engagement – conversations with “touch points”
• Smart objectives, holistic approach, full transparency • The Networked Non Profit, Beth Kanter & Allison H. Fine
Friend Participation (virtual)
Advocacy Support Action (donate/join)
Pathway of Engagement – not exact to traditional membership sales
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 – [email protected]
#2 Review data collection and reports Add new areas (website - ticket center - TM)
Review old areas - enhance/streamline
Retire old areas - no longer needed
#1 Review database codes Proper assignment at time of entry
Consistency among staff
Streamline and simplify for analysis
Acquisition: Getting Organized
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 18 -------
Beer Event 1 ------- 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 10
-------
Totals 271
Acquisition Source Codes
10%20%
5%
25%
54%
Door Exhibit Office Misc Unknown
Over 50% of revenue can’t be identified by the initiative or origin (how achieved)
You Are What You Eat
Tracking and Measurement for
Informed Decision Making
Flickr Photo by Brett Morrison
Build Knowledge Track the details
Onsite
%
Online %
Store Gift Mbr.
% Mailings
%
Offsite Events
%
Acquisition Profile
• Profile is a Road Map for informed decision making • Requires proper coding • Review, rethink and retire coding & legacy rpt.
• Streamline: management and leadership meaning • Partnership is the solution to the common error
SampleAcquisiEonProfile 2008 2009 2010
OnsiteSales 33% 32% 30%
WebsiteSales 22% 24% 33%
DirectMail 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%
Why invest?
Value of Membership
to Your Organization
Museum Visitation Museum Engagement
Members as an Audience
Additional Spending PER Membership
Other Events $ 14
Annual Fund $12
Museum Store $12 Concerts $9 Cafe $8 Lectures $1 Total $56
Members Additional Spending
MEMBERSHIP 101
Question & Answer