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The Future of Membership
American Museum Membership Conference!Philadelphia, PA!
October 26, 2011!
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§ Introductions
§ Trends and Transactions
§ Culture Track
§ The Interactive Imperative
§ The Membership Profession and The Pulse of Membership
§ Q&A and Conclusion
Agenda
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Introductions Dana Hines Membership Consultants!
dana@membership–consultants.com
Noreen Ahmad LaPlaca Cohen [email protected]
Rosie Branstetter fiveseed [email protected]
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Trends and Transactions
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§ Demographics.
§ How we transact membership.
§ Expectation of discounts.
§ Who our members are.
§ How we get and keep members.
§ The membership profession.
A Changing Landscape
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A Case Study: The Houston Zoo
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§ Set in a 55-acre lush tropical landscape, the Houston Zoo is home to more than 6,000 exotic animals representing more than 800 species.
§ The Houston Zoo has an annual attendance of more than 1.8 million visitors along with 45,200 member households.
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2010 U.S. Demographics
According to the 2010 U.S. Census, 16% of the!population is Hispanic. This is expected to rise!from 16% to 30% by 2050.
§ A higher percentage of Houston’s population is!Hispanic than most of the country.
§ In 2000, 37% of the Houston population was!Hispanic of any race and 61% were born!outside of the United States.
§ However, only 10% of the Zoo’s membership!base is Hispanic.
The Houston Zoo
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Introduction § Demographically, Hispanic guests were not buying!
memberships at the rate of their attendance at the!Zoo (10% vs. 38%).
§ Working with researchers from Rice University, the Zoo examined this issue.
§ Findings: The Zoo’s Hispanic consumers did not!react well to the term “membership.”
§ The Zoo decided to implement a Season Pass to!achieve an increase in Hispanic participation.
Goal § To engage interest in membership programs from!
additional ethnic groups, with a strong focus on the!Hispanic market.
The Houston Zoo
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Key Operational Methods § Created a six month individual pass in the summer!
of 2010 and named it Houston Zoo Season Pass.
§ Adult passes were $15 and children passes!were $12.
§ The only benefits attached to the pass were free admission for six months and usage of the member express entrance.
The Houston Zoo
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Key Operational Methods § No ticket upgrades were allowed with the passes.
§ The pass was marketed and sold only onsite.
§ Table set up in front of the Zoo with Spanish signage to sell the passes.
− Staffed with 2 Hispanic sales representatives!and 3 application processors.
− Anyone could buy the pass but marketing was!driven toward the Hispanic market.
§ The passes were sold over two weekends at the end of July and beginning of August.
The Houston Zoo
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Results
§ Sold more than 1,200 passes in 4 days.
§ Able to target multiple family sizes.
§ Passes assisted in driving attendance to the Zoo.
§ Guaranteed revenue from pass holders.
The Houston Zoo
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How We Transact!Membership
§ How are people joining?
§ How are they renewing?
§ Are direct mail and telemarketing dead?
§ Should all communications and transactions be electronic?
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Gen Y 20-30 yrs
Gen X 31-46 yrs
Boomers 47-65 yrs
Checkout donation (This is comparable to onsite sales!)
48% 57% 52%
Check by mail 26 43 54
Gift shop 28 35 32
Website 29 35 31
Third-party vendor 25 27 17
Phone 8 10 16
Monthly debit 11 17 14
Mobile/Text 14 13 4
Social networking site 9 6 4
Ways people have given money in the last two years: Source: Convio
How We Transact!Membership
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The Expectation !of Discounts
§ People are living by discounts.
§ Internal decisions to discount.
§ External means of discounting—Groupon and !Living Social.
– Memberships.
– Admissions.
§ Membership IS a discount.
§ What is happening to our perceived value of membership?
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Who Are Our!Members?
§ Know your member profile.
§ Age, presence of children, geographic pockets.
§ Target audiences.
§ What each market segment might be looking for in their membership relationship.
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The Biggest Issues!!Acquisitions
§ How to define, then find, new audiences.
§ Demographics are changing in the U.S., how do we make museums an attractive lifestyle choice?
§ How to engage a younger audience . . . is this!possible?
§ Should you be customizing solicitations by different!audience interest groups?
§ Should you be customizing your membership levels!by different interest options?
§ Mission vs. value members—how will you balance these motivations for joining?
How We Get and Keep Members
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Onsite Solicitations Become!More Important § More challenging to find new prospects.
§ Work with your visitors, but even smarter.
§ Gain new members and collect:
− Names.
− Addresses.
− Emails.
− Interests.
How We Get and Keep Members
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Renewals
§ How best to gain new members’ loyalty?
§ How to deliver an experience that satisfies year!after year?
§ Which will be the best solicitation strategies for!highest ROI—mail, email, 2-year members?
§ Where does discounting fit in terms of renewals for the future? It’s the mission vs. value motivation again.
§ First year renewals are the toughest—so make the first year more memorable.
§ Engaging welcome packet/communications/events.
How We Get and Keep Members
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Special Importance for Renewals § Some things never change . . .
§ Know your numbers.
– What are your renewal rates?
– How are people renewing?
– Why are they not renewing?
How We Get and Keep Members
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Whole Institution Approach § Collaborate fully with education, curatorial, visitor!
services, and marketing to ensure the promised!membership experience is delivered.
§ Develop new member welcome strategy.
§ Keep it fresh!
How We Get and Keep Members
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Maintain BEST PRACTICES § Know your numbers.
§ Be alert to new ideas and receptive to change.
§ Test new ideas.
§ Before you change the program, can you and your organization deliver the experience?
§ Without risk there are no new great ideas!
How We Get and Keep Members
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Multi-Everything (Cultural,!Generational, Interest) § Make your museum a valued lifestyle choice for
groups who have not traditionally been part of !your plan.
§ Be you, but reach out—how to do this best?
How We Get and Keep Members
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The Interactive Imperative
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The Interactive!Imperative
How to use online social media and mobile to!increase membership:
§ Awareness.
§ Engagement.
§ Conversion.
§ Retention.
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52 SOURCE: Museum Next
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53 SOURCE: Museum Next
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The Mobile Revolution
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The Mobile!Revolution
§ There are 5.3 billion active mobile devices in the!world (that’s 70% of the world’s population).
§ By the end of 2011, over 85% of hand-sets will be!able to access the mobile web.
§ There were over 6.1 trillion text messages sent !in 2010.
§ Smartphones will overtake feature phones in the!U.S. in 2012.
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Indy Museum Adventure Trek Indianapolis Jones needs your family to help locate seven treasures in the museum. Work together to figure out the clues to try and find the location of each treasure. Text “childrensmuseum” to 728647
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Getting More Memberships Online
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Getting More!Memberships!Online
§ Best practices in user experience.
§ Winning with promotions and contests.
§ Converting site visitors into members.
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Winning With Contests and Promotions
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Converting Online Visitors to Members
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Converting !Online Visitors !to Members
Give-to-Get § Premium content.
§ Enhanced personalized content.
§ Free content.
§ Discounts.
§ Online community.
§ Insider scoop.
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Optimize the Registration!Process § Shorten the registration form.
§ Adopt a progressive disclosure model.
§ Leverage the user’s existing identities.
Converting !Online Visitors !to Members
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Pulse of Membership 2011
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What is Pulse of Membership? § A survey of membership programs nationally.
§ An ongoing membership tracking survey, performed four times since the economic downturn.
§ Data collected from a pool of 2,000 membership managers, with approximate response rate of 10% each time.
§ A survey conducted by Membership Consultants as a service to the field to monitor the status of membership programs in challenging fundraising times.
Pulse of!Membership 2011
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What Does Pulse of Membership!Explore? § Membership statistics and trends.
§ Membership tools used and with what level of success.
§ Tracks and compares membership by types of!organizations: museums, gardens, zoos.
§ New in 2011: membership salary and position!statistics.
Pulse of!Membership 2011
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How Can I Access the Full Survey? Visit MembershipConsultants.wordpress.com to view a copy of the full survey.
Pulse of!Membership 2011
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Membership Revenue § Account for 8% to 15% of an organization’s overall!
operating revenue.
§ Some organizations are viewing membership!revenue as “earned” revenue rather than donated!revenue.
Pulse of!Membership 2011
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Membership Reporting Structure § Historically part of development departments.
§ In the zoo and aquarium world, membership!reporting structure is:
– 38% to development.
– 31% to marketing.
– 17% to a freestanding department.
– 10% to visitor services.
Pulse of!Membership 2011
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Membership Titles § Membership Director 44.1%
§ Membership Manager 36.2%
§ Membership Coordinator 17.5%
Pulse of!Membership 2011
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Length of Service In Years § < 1 year 7.9%
§ 1 to 2 years 15.8%
§ 3 to 4 years 24.3%
§ 5 to 10 years 28.2%
§ Over 10 years 23.7%
Pulse of!Membership 2011
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Length of Service!By Museum or Organization Type Zoos (31% with 10+ years of membership service)!have the membership personnel with the longest!longevity, followed by art museums (22% with 10+ years of membership service).
Pulse of!Membership 2011
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Membership Salaries
§ Mode: $30,000 to $40,000.
§ Median: $40,000 to $50,000.
§ 6% reported salaries in excess of $80,000.
§ 10% did not wish to respond.
§ Related to length of service: 6 out 7 respondents!who make more than $90,000 have served for 10!or more years in the membership field.
Pulse of!Membership 2011
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The Membership Profession
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How is Membership Perceived? § Within the museum world?
§ What is the positioning of the membership!department within the institution?
§ What is the status of the membership!professional?
The Membership!Profession
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The Membership Position Within the museum world:
§ Membership gaining more respectability.
§ Demands on membership revenue ever greater in the future.
§ Membership is growing in importance to all institutions from a(n):
– Financial perspective.
– Audience perspective.
– Involvement perspective.
The Membership!Profession
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The Membership Department What is the positioning of the membership!department within the institution?
§ More connected to the marketing side.
§ May move more to the transactional side.
§ If that proves to be true, may see more !institutions considering membership dues as!earned revenue.
§ Must still maintain close ties to development!functions.
The Membership!Profession
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The Membership Professional What is the status of the membership professional?
§ More respectability.
§ Longer service.
§ Salaries increasing.
§ Membership is a destination position.
The Membership!Profession
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Membership Trends § Membership is a destination position.
§ Longer service.
§ Salaries increasing.
§ Membership gaining more respectability.
§ Demands on membership revenue ever greater in!the future.
§ Membership is growing in importance to!all institutions.
The Membership!Profession
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Q&A and Conclusion
Download via Slideshare !slidesha.re/future_of_membership
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Dana Hines Membership Consultants!dana@membership–consultants.com
Noreen Ahmad LaPlaca Cohen [email protected]
Rosie Branstetter fiveseed [email protected]
Contact Us
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Thank You