Marketing General’s 2021 Membership Marketing Benchmarking Report reveals fascinating statistics on why members don’t renew their association membership. Find out how to improve member retention by addressing these preventable issues.
Member retention: It’s always on our minds, this year more than ever. When your members face so many competing demands for time, attention, and money, how do you plan to get them to stick around?
Renewal strategy is a critical component of revenue. When it’s neglected, your association risks undermining your financial health and your overall ability to serve members long-term.
The 2021 Membership Marketing Benchmarking Report asked associations why they think members don’t renew. Do these answers look familiar?
If you’re wondering how to attack the retention question this year, these stats are a pretty good indicator of where you should start. Based on this list, there are obviously some common problems that plague associations. While a poor retention rate is bad news, the good news is there are things you can do about mostly every reason. We’re not telling you these problems will be quickly solved – they’ll require serious attention from your association – but most of these can be solved.
Let’s go through and address each issue and how it can be fixed.
Engagement has a serious impact on retention. According to the report, the biggest reason members aren’t renewing is because they don’t feel engaged. Focus on improving real engagement as a part of your membership renewal strategy, and you’ll see improved retention.
Also? A reported 24% of associations do not have a tactical plan to increase engagement. If that’s you, or even if you think your members are pretty engaged, this is an area to focus on if you want your members to stick around.
Check out our tips on how to craft your winning member engagement strategy.
How to fix it: Provide opportunities for members to engage
You want to engage with your members – but they also want and need to engage with each other.
How to fix it: Make every outreach relevant
Next, recognize that tackling member engagement means asking yourself and your organization how you can create a relevant member experience. What is valuable to one member may matter very little to another. It’s about finding out who they really are, what they want, and providing it to them at the right time.
With these types of powerful, data-driven tools at your fingertips, you’re now engaging members with highly relevant content that inspires them to engage (since you’re targeting them based on what you know they’re interested in).
Don’t miss our Guide: Reignite Your Member Engagement Strategy in 2021.
Let’s look at these together, since they’ve got similar root causes and solutions. Almost 40% of members aren’t renewing because they don’t see value in paying for your organization. Since we both know your association offers amazing member benefits, the problem may simply be miscommunication.
Providing ROI to members entails a few key communication needs:
How to fix it: Cover the common bases
Of course, there are a few buckets of “association membership value” you can generally expect members want, such as professional development, networking, advocacy, or certification in the industry. From that perspective, here are a few practical ways to provide more value to your members, using engagement tech:
How to fix it: Meet individual needs
But how can you know what members want, specifically, without undertaking a significant project where you ask each one individually and start catering to their unique requests?
Don’t let your members leave your association because they don’t have a clear understanding of the value you offer. Make sure you’re communicating the value you offer that they want. This is a key piece of your membership renewal strategy.
Check out 8 irresistible member benefits you could offer this year.
Of the six retention issues, this one will probably be the toughest for you to solve, since these reasons for not renewing are external. However, the best way to meet these kinds of retention issues is to make your association membership so valuable that dropping it is out of the question, even during a tough time. (Unfortunately, when a member leaves the field – you likely won’t be able to renew them. So this is one where the best cure is prevention!)
How to fix it: Make member success your top goal
One of your top goals to address leaving the field should be to provide members with the resources they need to succeed in the industry.
Overall, the best defense against this retention issue is going to be your engagement and value offense.
Of the six retention issues, this one will probably be the toughest for you to solve. If you can make your association membership so valuable that dropping it is out of the question, even when you’re no longer in the industry (for example, retired people who want to stay connected), you may retain a few. However, you likely won’t be able to renew them, which means you’ll need to account for that in member recruitment to grow overall.
No, no, no. You can’t let members forget that renewal is coming up. Lack of action on the part of the association (unless the member dropped off the face of the earth and stopped checking any form of communication for three months) is the easiest issue to control. Your members should decide not to renew for a relevant reason, not because you let them forget.
How to fix it: Notify members about renewal
Don’t miss our eBook: Streamline Your Membership Renewal Process: Go From Outdated to Automated.
These automated email campaigns will build on your engagement and value strategy. You’re not only providing value to members, you’re letting them know when they’re about to miss out.
Members deciding not to renew isn’t a problem you’ll ever solve once and for all, and retention is never 100%. But you can take control of the problem by addressing the top reasons members don’t renew.
Engaging your members, communicating your value, providing tools for member success, and reminding your members about renewal are just some of the ways you can improve your retention rate.