the membership lifecycle by tony rossell
DESCRIPTION
Three decades of partnering with associations and other membership organizations has given Marketing General Incorporated unique insights into the workings of successful membership growth management. The people of MGI have drawn on their experience to develop a comprehensive membership marketing model we call the MGI Membership Lifecycle. The Lifecycle helps organizations appreciate how an integrated membership marketing methodology can increase success in finding and keeping members. The MGI Membership Lifecycle segments the membership experience into five consecutive steps: Awareness … when prospects first discover you. Awareness is developed through targeted messaging and multichannel brand recognition strategies. Go-to-market research and tactical analysis frame awareness campaigns that build recognition and generate new relationships through information exchange and lead generation. Recruitment … when prospects choose to try you. Recruitment utilizes many marketing disciplines that are consistently tested to discover the best performing strategies. This merges market segmentation, creative development, and value driven offers to maximize returns in the most cost-effective ways. Engagement … when new members feel they belong with you. Engagement is key to high retention rates and sustained membership growth. Successful engagement programs convert new members into active users of benefits and encourage involvement to build member loyalty. Engagement programs are a crucial lead-in to Renewal. Renewal … when lapsing members decide whether to keep you. Renewal is a confirmation of the value members feel they have received from their organization. It is a vote of confidence … or no confidence. Renewals are a critically necessary foundation for organizational growth that demand close attention to process and member communications. Reinstatement … when former members agree to return to you. Reinstatement programs offer opportunities for lapsed members to reconsider the decision to join when presented with fresh messaging and perhaps new offers. Reinstatements are a regular component of membership growth programs that every organization should have in place to bring the Membership Lifecycle full circle. The MGI Membership Lifecycle is a framework to design and implement customized solutions that maximize recruitment, engagement, and retention to optimize membership growth.TRANSCRIPT
The Membership Lifecycle:A Systematic Approach to Membership Marketing
Presented by Tony RossellSenior Vice PresidentMarketing General Inc. (MGI)
Presenter Background
Tony Rossell serves as the senior vice president of Marketing General, Inc., in Alexandria, Virginia. A frequent writer and speaker on marketing topics, Mr. Rossell is a contributor to publications including Associations Now magazine, Membership Developments, and the Chicago Forum, and he is a contributing author to two books, Membership Marketing (ASAE 2000) and Membership Essentials (ASAE 2008). He also launched the annual Membership Marketing Benchmarking Report.
Mr. Rossell developed the concept he calls the “Membership Lifecycle”. The lifecycle begins with awareness. Increased awareness facilitates new member recruitment. Engagement strengthens member ties and improves renewal. Finally, reinstatement seeks to restore relationships with members and completes the cycle.
“We tend to focus on snapshots of isolated parts of the system, and wonder why our deepest problems never seem to get solved. System thinking is a conceptual framework … to make the full patterns clearer, and to help us see how to change them effectively.”
Peter Senge, The Fifth Discipline
The Membership Lifecycle
We define five key membership life stages:
1. Awareness
2. Recruitment
3. Engagement
4. Renewal
5. Reinstatement
The Membership Lifecycle
Free Download
Download a free copy of the full report at: www.MarketingGeneral.com
Definition:
The process of establishing your brand in the minds of prospective members and building your knowledge base of who they are and how to contact them
Strategy:
1. Promote offers with “entry point” content.
2. Drive traffic to client’s web site, social media sites, blogs and microsites.
3. Generate measurable results and leads.
Awareness Strategy
Awareness Strategy
Online Behavior
Product SearchesInformation SearchesEventsSocial Media SearchesEducational SearchesProduct purchases
Special Offers
FREE WhitepaperFREE Trial MembershipE-NewsletterSign Up for Alerts
Online Media
Paid SearchCo-RegistrationAd NetworksOnline PR ReleasesArticle SubmissionsBlogs / Forum PostsSocial Media AdsSponsored LinksMember Referral
Leads Cultivated ThroughRecruitment Campaign
Awareness Strategy
Strategic Process Landing Pages
Web Site
Social Media
Blog
Designed a collection of WEF published
articles into cohesive free content.
PPC & Content Network Ads
Google gives you the ability to display your ads based on geography and time of day.
Landing page with no offer to join. Thank you page with “hard sell”.
Building Awareness and Relationship
Components of the Campaign
The Fulfillment Email contains a link to download the free content and contains a membership offer.
If the prospect has not joined from any of the previous components, a series of four emails is sent over 2 ½ weeks. Each email focuses on a different benefit of membership.
Awareness Microsite
Definition:
The process of proactively inviting new members to join your organization
Strategy:
1. High Intensity – Consistent campaigns to targeted core market opportunities2. Multi-Channel – Deploy mail, email, and phone using database records and
outside lists with tests of message, offer, list segments, media, and design3. Content Driven – Offer limited high value content on web microsites to
demonstrate relevance and attract potential members4. Analysis for Increased Efficiency – Use a testing and tracking strategy to
optimization results and define the best offer, message, lists, and media
Membership Recruitment Strategy
Personal Sales
Database Marketing
Telemarketing
Direct Mail Marketing
E-Mail Marketing
Social Media
Online Advertising
Search Engine Marketing
Multi-Channel Marketing
Membership Recruitment Strategy
Membership Recruitment Strategy
“For associations with over 5,000 members, direct mail is designated as the most effective channel for new member recruitment.”
(2010 Membership Marketing Benchmarking Report, p15).
Membership Recruitment Strategy
Membership Recruitment Strategy
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Definition:
The process of moving new members from observers into users of the resources made available by your organization.
Strategy:
1. Affirmation of Value – Welcome and benefit highlights should present valuable resources and services.
2. Interaction – Encourage member involvement and usage of member benefits.
3. Communicate Vision – Communicate actions on behalf of members that benefit the entire field or industry
Membership Engagement Strategy
Members “who are not involved lie perilously close to former members in the overarching assessment of ht value they derive from associations. If former members are thought to be dead, the uninvolved are close to comatose”
(The Decision to Join, p 4).
Membership Engagement Strategy
Membership Engagement Strategy
ASAE 2010 Membership – Recruitment and Retention
Data Analytics for one association on engagement.
– Members who attended an association meeting in the past year were 19% more likely to renew than those who did not attend a meeting.
– Members who attended four or more meetings were 30% more likely to renew than members who never attended a meeting.
– Members who placed a product order in the past year were 28% more likely to renew than those who had not placed an order.
– Members who upgraded their membership in the past year to a higher level of service were 12% more likely to renew.
Membership Engagement Strategy
Month Audience Activity
0 New Membership Confirmation Email
1 New Mailed Welcome Kit
2 New Member Benefit Highlight #1
3 New Member Survey Email
4 New Member Benefit Highlight #2
5 New “Hot Issues” Briefing
6 New Member Benefit Highlight #3
8 New Renewal Advisory - Questions?
Membership Engagement Sample Schedule
Membership Engagement Sample
Tiered Membership – Growing Revenue and Engagement
Definition:
The process of confirming the value that has been delivered to the member over the past year and requesting the continuance of the relationship
Strategy:
1. Renew Early and Often – Begin the renewal process in the eighth month of membership and continue renewal attempts through month fifteen
2. Multiple Channels – Push variable renewal messages to member segments with email, phone, and mail
3. Payment Options – Follow practices of for profits in breaking up payments
Membership Renewal Strategy
“Associations with overall increases in membership over the past year, as well as those with renewal rates higher than 80%, are more likely to attempt more renewal contacts. . . These increases in renewal rates appear after seven contacts.”
2010 Membership Marketing Benchmarking Report, page 22.
Membership Renewal Strategy
Month Media Message
8 Email “Save Time and Money”
9 Mail/Email “Renewal Notification”
10 Mail/Email “Now is Time to Renew”
11 Mail/Email “Time is Running Out”
12 Mail/Email “Expiration Notice”
13 Mail/Email “Did You Forget?”
14 Mail/Email/Phone “I am Concerned”
15 Mail/Email “Why are You Leaving?”
Membership Renewal Sample Schedule
Membership Renewal Strategy
“Associations with renewal rates of 80% or higher are significantly more likely to offer EFT renewals (14% vs. 3%) as well as installment payment plans (55% vs. 35%). Associations with renewal rates less than 80% are significantly more inclined to offer multiyear renewals (54% vs. 18%).”
2010 Membership Marketing Benchmarking Report, page 25.
Membership Renewal Strategy
Membership Renewal Sample
Multi-step, integrated channel, issue driven, digitally printed, renewal program.
Membership Renewal Sample
Definition:
The process of defining the where the breakdown occurred in the membership relationship and restoring former members to a paid status
Strategy:1. Conduct Lapsed Member Research – When members leave they highlight a
breakdown in the membership system. Conducting research to understand why members do not continue with an organization will impact all parts of the membership lifecycle
2. Develop Messaging – For many groups, former members are very likely to rejoin an organization, but messaging should be different than what is communicated to “never members”
3. Use Production Efficiency – Former members should be included as a separate segment in recruitment efforts to take advantage of production efficiencies
Membership Reinstatement Strategy
"Look not where you fell, look where you slipped.“ (African Proverb)
• Reinstatement programs test the effectiveness of your renewal program.
• Many organizations are sitting on thousands of members just waiting to return.
Membership Reinstatement Strategy
Awareness and Usage
*Used =subset of Aware Green = highest percentage Red = lowest percentage
• DL region has highest level of awareness of this product, but lowest level of usage. Why?
• What don’t they like about the product?
• DB region has lowest level of awareness, but highest level of usage!
• If more members were aware, usage would probably increase.
Board Member Superintendent DM JJC DB DL LD JC
(N=682) (N=409) (N=273) (N=121) (N=108) (N=122) (N=82) (N=136) (N=113)
Aware 83.0% 77.8% 90.8% 80.2% 83.3% 74.6% 84.1% 87.5% 88.5%
Used* 68.0% 67.3% 69.0% 71.1% 64.4% 64.8% 66.7% 68.9% 71.0%
Aware 74.2% 61.4% 93.4% 72.7% 70.4% 76.2% 80.5% 75.7% 70.8%
Used* 81.6% 72.1% 91.0% 81.8% 81.6% 89.2% 75.8% 77.7% 82.5%
Aware 70.5% 64.5% 79.5% 66.1% 65.7% 64.8% 72.0% 80.1% 73.5%
Used* 48.4% 47.3% 49.8% 51.3% 49.3% 49.4% 45.8% 50.5% 43.4%
Aware 55.6% 47.4% 67.8% 55.4% 47.2% 53.3% 58.5% 58.1% 61.1%
Used* 41.9% 38.6% 46.2% 39.5% 27.6% 31.8% 50.0% 52.0% 59.1%
Aware 48.4% 39.6% 61.5% 50.4% 43.5% 43.4% 47.6% 50.0% 54.9%
Used* 38.5% 34.0% 42.9% 37.7% 31.9% 45.3% 43.6% 36.8% 37.1%
Aware 42.4% 38.1% 48.7% 42.1% 39.8% 46.7% 36.6% 46.3% 39.8%
Used* 28.0% 32.1% 22.7% 44.4% 18.2% 60.0% 20.0% 14.3% 0.0%
Aware 37.7% 29.3% 50.2% 33.9% 26.9% 41.0% 34.1% 49.3% 37.2%
Used* 44.4% 38.3% 49.6% 43.9% 34.5% 42.0% 42.9% 52.2% 42.9%
Policy Reference Education Subscription
Service (PRESS)
PRESS Plus
Position Region
Policy Manual Customization
Policy Manual Update
E-tools for Boards and Districts
Service Total
Administrative Procedures Project
School Board Policies Online
• Fewer than half of the members even KNOW about these products.
Example of Awareness and Usage Chart
• Superintendents more aware of this product; more likely to use it.
Questions
Tony RossellSenior Vice Preident
Marketing General, Inc.Tony@Marketing General.com