Trends Shaping Associations Today and Tomorrow Greg Melia, CAE Chief Member & Volunteer Relations Officer ASAE @gmeliacae
Nov 11, 2014
Trends Shaping Associations Today and Tomorrow
Greg Melia, CAEChief Member & Volunteer Relations Officer
ASAE@gmeliacae
The Agenda
• What is causing people to look at association membership differently?
• What is causing association executives to have rising concerns about parts of the association business model?
• What are associations doing differently to respond?
First, a little background ….
Traditional association business model
• Annual Individual or Company membership
• All members pay similar dues, receive similar benefits Photo credit:
Angusf on flickr
• Many “checkbook” members with limited usage
• Sponsors and advertising subsidize education, meetings, and publications
• Joining is the operative norm
Annual Mtg/Conf Participation
Live Education Participation
Volunteer Participation
Membership Recruitment
Sponsorship Revenue
Membership Retention
22.5
22.5
22.9
25.6
27.9
37.9
50.9
50.9
56
52
47.2
45.9
26.5
26.5
21.1
22.3
24.9
16.2
More Concerned Same Concern Less Concerned
What concerns are troubling association execs?
Members’ Responses on Association Value(on a 1-5 scale, 5 = “strongly agree”)
3.563.50
3.35
3.233.19
2.96
3.68
3.50
3.62
3.313.25
3.06
3.83
3.723.81
3.57
3.32
3.49
2.9
3.1
3.3
3.5
3.7
3.9
In an economic downturn my
association(s) will be needed to help me
network with others for professional or business
help.
When money is tight the value of my association affiliation(s) is generally GREATER than the cost
of dues.
My employer is LESS likely to pay association dues in a tight economy.
It is more important to support my
association(s) when the economy is down than when the economy is
better.
In an economic downturn my personal
participation in association activities is
curtailed.
My association(s) provides me wIth the
resources I need to cope with a down economy.
Winter 09 Summer 09 Winter 11
Recru
it
Members Likely Action on Next Renewal
• Time squeeze• Value expectations• Market Structure:
Consolidation & Specialization
• Competition• Technology• Generational
Differences
6 marketplace realities
https://www.facebook.com/RaceForRelevance
Instant Access
2006 2011 Net changeSocial media n/a 7.2 7.2E-newsletters 52.3 57.4 5.1
Communities of practice 11.9 14.6 2.7Blogs or podcasts 2 4 2Internet searches 17.6 18.7 1.1Peer networks 12.5 13.1 0.6Association website 47.2 45.4 -1.8Print newspapers 3.3 3.4 0.1
General interest magazines 4 3.4 -0.6Other print sources 6.7 6 -0.7
Conferences/meetings 53.3 49.5 -3.8Magazines/Journals 63.6 50.8 -12.8
Formally Edited
2006 2011 Net changeE-newsletters 52.3 57.4 5.1Print newspapers 3.3 3.4 0.1
General interest magazines 4 3.4 -0.6Other print sources 6.7 6 -0.7Association website 47.2 45.4 -1.8
Conferences/meetings 53.3 49.5 -3.8Magazines/Journals 63.6 50.8 -12.8Social media n/a 7.2 7.2
Communities of practice 11.9 14.6 2.7Blogs or podcasts 2 4 2Internet searches 17.6 18.7 1.1Peer networks 12.5 13.1 0.6
Addressing the Time Squeeze
• Design programs and volunteer experiences that respect member time.
• Provide tools and resources that help members save time.
• Make help easy and quick to find.• Incorporate added-value when possible.
Value expectations
Credit: Brett L on flickrCredit: Brett L on flickr
Value Proposition Car Rental Discount:
$55
Insurance Discount: $150
Payroll service: $400
Magazine: $65
Website access: PRICELESS
Membership saves you over $670!
Value Proposition Car Rental Discount:
$55
Insurance Discount: $150
Payroll service: $400
Magazine: $65
Website access: PRICELESS
Membership saves you over $670!
What is this organization about?• Win a Free Hertz Car Rental
Certificate and AMEX Gift Card• Quicken WillMaker Discount• Credit and Debt Counseling• Maintaining Your Standard of Living
in Retirement• Importance of Risk Management -
Insurance• Financial Literacy Lessons in English
and Spanish from Wells Fargo• Member Discounts for Bose Radio
Systems.
• California Casualty – 20 Year Partnership.
• Protect Your Home While on Vacation.• One Credit Class Coming – “Keys to
Financial Health.”• Win Free Stuff in May and June
from ??? Member Benefits.• ??? Delegate Assembly Showcases
Member Benefits.• The Green Book – 39% Discount.• Save This Summer with Your ???
Access Card.
• BENEFITS OF MEMBERSHIP– ??? represents its members' interests, provides money-saving services, promotes them in this country and across the world, and alerts them
to the pitfalls of current legislation and regulation. We are proactive on their behalf, taking the lead in matters affecting the trade, seeking to articulate their views and taking new initiatives to support them and the ??? trade as a whole. As well as the Association's advice and active support, members are entitled to a wide range of benefits:
• FINANCIAL BENEFITS:– Insurance; Free legal advice; Free Tax advice; Healthcare; Credit and Debit Card processing; further discounts; free entry for
all members on the Association's site; and Gift Vouchers and Wedding Present Service: available to the public and only redeemable through a ??? member.
• PROMOTIONAL BENEFITS: – ??? Logo; :Code of Practice recognized by the buying public and press as the trade standard.; Due Diligence Guidelines;
Conciliation; Publicity; Directory of Members; Publications; Government Representation; and Conferences and seminars.
What is this organization about?
Addressing Value Expectations
• Get people to join for the right reasons.• Design programs that do something for
members that they cannot easily do for themselves.
• Regularly ask your members about their biggest challenges and provide programs that help address those needs.
• Communicate how you help members succeed.
Changing market structure
• Employee tenure is decreasing
• Specialization raising the need for differentiated knowledge
• Mergers and acquisitions consolidating the market
• Increased competition from afar
Addressing Market Change
• Help members tackle nuances of the changing marketplace (training new employees; competing in internet/global market).
• Ensure your dues structure does not unduly constrict your success in case of mergers.
• Consider differentiated dues structure for differentiated benefits (pay less, get less; get more, pay more).
Competition
From three basic TV and radio stations to millions of options
Addressing Competition
• Be realistic that everything that competes for the time, attention and money from your potential members is competition.
• Understand the importance of affiliation and leverage your core supporters.
• Carefully choose when (and with whom) to collaborate.
• Ensure strong ROI for members and sponsors.
Evolution of Technology
Addressing Technology
• Use technology to better serve members 24/7.
• Move beyond the limitations of “lowest common denominator” technology.
• Understand how tech leaders in your membership are using technology, and help extend that learning to others.
Generational Change
Typical age distribution of a professional
society
…today
McKinley Marketing Member Research
Generational change
Typical age distribution of a professional
society
…in 10 yearsMcKinley Marketing Member Research
What about Millenials?
• Overall, less favorable attitude about Associations• Looking for immediacy that is lacking in traditional model• Different motivations to learn
•Top motivation: “To increase competence in your job”•6th out of 13 motivation: To receive a promotion or pay raise (versus near last for others):
• Different preference in instructors•Less interested in suppliers, vendors and practitioners•More interested in academics and professional trainers
Legislative & Regulatory Issues
• Revision of tax code
• Relative prioritization of nonprofits
• Government employee meeting participation
• Association participation in democratic process
• Implementation of Affordable Care Act
Learn more and get involvedwww.thepowerofa.org
Thank you!
Email: [email protected] @gmeliaCAE
Let ASAE help you succeed.www.asaecenter.org
www.associationsnow.com (Subscribe to FREE daily e-Newsletter)
Greg Melia, CAEChief Membership & Volunteer Relations OfficerASAE: The Center for Association Leadership