Emerging hybrid membership models Greg Melia, Mick Fleming Vice Chair,

Traditional business model Company membership All members pay similar dues Many “checkbook” members with limited usage Sponsors and advertising subsidize education, meetings, and publications Joining is the operative norm Photo credit: Angusf on flickr

E-Chambers/Chambers online Global Mobility Youth entreprenuership training Networks Power of crowd Public law chambers – what future? Trust in government World Chambers Competition: Best unconventional project

Eight Influences 1. Nature of Belonging & Gathering 2. Communications Technology 3. Scarcity & Abundance 4. Global Impacts 5. Composition of Populations 6. Social & Political Fragmentation 7.Resource Alignment 8. Leadership

#1: Nature of Belonging & Gathering

Revolution in Who and How Revolution in Who and How Joining v. Associating Joining v. Associating Choices for the first global generation Choices for the first global generation Value ≠ Events Value ≠ Events An audience is seldom a network An audience is seldom a network

#2: Communications Technology Wave upon wave of toys Wave upon wave of toys Tech won’t differentiate you Tech won’t differentiate you All power to the analysts! All power to the analysts!

#3: Scarcity & Abundance For chambers, it’s all about abundance For chambers, it’s all about abundance Rapid swings in supply, demand, value Rapid swings in supply, demand, value Cruel Migrations Cruel Migrations Chambers as K.A.P.S. Chambers as K.A.P.S.

Not just about trade Not just about trade “Your best self” “Your best self” Reliance on chamber will grow Reliance on chamber will grow Stars will exploit every opportunity Stars will exploit every opportunity #4: Global Impacts

2025 – Small world, huge movement 2025 – Small world, huge movement New mixes New mixes New “generations” every ten years New “generations” every ten years Population change affects everything Population change affects everything Few chambers have acted Few chambers have acted Still “Old Guys in Suits?” Still “Old Guys in Suits?” #5: Composition of Populations

Global Generation On the Move!

#6: Social & Political Fragmentation

“Polarization” is not an adequate term “Polarization” is not an adequate term Politics, society AND chamber affected Politics, society AND chamber affected Trend won’t reverse by 2025 Trend won’t reverse by 2025 Chambers and the sane center Chambers and the sane center

#7: Resource Alignment Reduction in cross-subsidization Reduction in cross-subsidization Intentional funding of the mission Intentional funding of the mission Volunteers who invest beyond the rate card Volunteers who invest beyond the rate card ROI unlikely to be “engagement” ROI unlikely to be “engagement”

GET DONE GET DONE [thru the chamber] (Community Focus) GET FROM GET FROM [the chamber] (Enterprise Focus) INVESTED INVOLVED Community Builders Business Builders Business Investors Community Investors i.e. Attends events for sales contacts Motivation- Fulfillment

#8: Leadership 2025 “the combination of the forces within big cities, great universities & powerful local leaders.” Jim Clifton, Coming Jobs War Non-hierarchical Non-hierarchical Networked Networked Aligned Aligned Catalytic Catalytic

Opportunities New lens for value New ROI frames Extend reach GROWTH Challenges Complexity New thinking required Meeting different needs Stagnation/Decline

We may be moving to a world of networks well led, as opposed to organizations well managed. Jim Collins, May 29, 2012 Inc magazine

Dealing with Diversity Provides businesses of all sizes with access to D & I assessments, consulting, support Mission: Mosaic will educate, lead, and influence businesses on creating diverse and inclusive workforce cultures to enhance their competitive advantage.

The Whitney Museum The Art of Membership by Sheri Jacobs, CAE

Insider MembershipFamily Membership The Art of Membership by Sheri Jacobs, CAE Same Product, Different Interests

What are some innovations membership organizations are using?

Some Membership Strategies Tiered service levels Hyper-bundling by adding benefits to membership Specialized offers for segments within existing membership or new markets Differentiated value for individuals Focus on market creation/affinity program value

Dual membership structure: Hi tech, and Hi touch Core membership - geared to provide a relevant and immediate response to members' most frequent questions through peer assistance and a sophisticated online knowledge system. $250 Premium membership - access to an account management team which provides advanced business consulting, customized research, public relations consulting, peer assistance, and a professional e- journal. $2500

Extending your relationship Promotional benefits “for an additional $$ Annually” Higher rate for Real Estate Brokers than Agents Additional Special Membership aspects such as Global, Green, and/or LGBT Membership resources Member Plus Program

Durham Chamber of Commerce Three membership tiers Durham 2.0 – “key investor group”, highest level Business 2.0 – mid-level, mid-benefits Entry-level – $99, all electronic Custom options – Enhanced online listing. Customer options – Non-member Cert. of Origin; Relocation Guide; Map

Tiers: HyperBundling Three levels, Building greater levels of promotion value and involvements Five levels, Building greater levels of promotion value and involvements, plus unique status builders Three levels, Building greater levels of promotion value, involvement, status builders, plus services like custom research support

Tiers: HyperBundling Instituting new tiers of bundled credits to make it easier to facilitate engagement in Chamber programs

Niche business needs Individual membership for those exploring starting a business. 1 year limit. ENTREPRENEURHome-Based Businesses Targeted welcoming messages; Home- based Business Roundtable; co- working facilities Membership category with three tiered levels 10 membership categories including taverns (with limited PR), government, and home demonstration businesses Niche based Tiers

Nat’l Defense Industry Assn. Government members were an underserved segment – changes grew membership from a handful to 21,000 Automation of join process removed barriers to joining Allow individuals to join, then sell upgrade to organizational membership Data-mining & Business Intelligence from AMS enabled segmentation Results: Doubled revenue with same staff

Detroit Regional Chamber Goals included grow total revenue through affinity programs Seven membership tiers, ranging from $80 at the entry or product level to $5,700 at the gold level Results after nine years: Doubled involved firms Dues revenue increased half a million Affinity program revenues quadrupled

The Next Generation Member & non- member fee, plus nametag charge No fee, but must be from a member company or an individual member Branded separately, unique website – engages over 3,000 from a 1,500 company chamber. Separate organization and fee, coordinated through the chamber

Student Membership Category gain networking contacts, develop leadership skills and give back to the community while in school 20 students who were selected by the chamber's Recognition Committee based on applications they submitted. Each student will attend chamber events and programs - and they will also complete a job shadow at one of our local businesses Engaging Students Student Membership Program

Extending your reach “Friends” Ongoing affiliation to stay informed about the Chamber, involvement. There is a fee, but friends get member pricing, services. Ongoing affiliation to stay informed about the Chamber It is free, but does not give access to members only content or pricing. Social media connection to stay informed about the Chamber, involvement. It is free, but does not give access to members only content or pricing.

Extending your reach Public membership model for companies involved in trade Voluntary membership aspect for domestic companies Targeted support for entrepreneurial ventures Partnership for non-profit, trade and professional societies

Serving Individuals Retired Individuals Initial processing, plus annual membership fee Individuals *Listed by individual name, not business or firm For Independent Real Estate & Mortgage Agents, Financial Planners, Politicians Job Seeker Membership Allows individuals to join the Chamber for a limited time

Institutional Membership 10 “personal membership groups” in specialty areas like healthcare engineering, risk management, and human resource administration. Personal membership includes access to some (but not all) AHA benefits, such as members only website and hospital literature. American Bankers Association too!

Individual ($50 - $90) – Build Job Skills (development programs and networks) – Manage Your Career (member logo, mentoring) – Stay Informed (magazine, e-news) – Save Money (registration discounts, fellowships) – Make the Case for Museums (advocacy) Museum Membership (Pay what you can - $8,000) – Strive for Excellence (standards, resources) – Distinguish Your Museum (directory listing) – Stay Informed (magazine, e-news) – Save Money (registration discounts, fellowships) – Make the Case for Museums (advocacy)

Targeting prospect communications Each landing page includes Programs (Past and Current), Benefits, & Additional Resources

Potential Directions Create a portfolio of engagement options – from friend to customer to varied membership opportunities Appeal to both individuals and organizations – maintain a focus on companies, but seek to have relationships with individuals Serve many niches – create a model and systems that provide value to demographic and functional niches. Leverage technology – to allow for targeted, customized service (and self-service) in cost-effective ways

An example that brings it all together …

US Chamber Of Commerce Tiers: Individual through Advisor Benefit bundles: Conference call updates, Access to committee service, Customized GR web portal Friends Members

Outlining an action plan Define your goals. Examine your current state of affairs. Identify your market niches(s) and opportunities. Determine benefits. What is essential, what desirable? What assets do you already have? Assess the costs to provide those benefits and get rid of anything that does not provide a benefit. Put a model in place that aligns with how your audience will pay and makes it easy for you to sell. Test these offerings and revenue models with members and nonmembers. Adjust accordingly. Source: The End of Membership as We Know It (ASAE Press)

Thank you! Let ASAE help you succeed. (Subscribe to FREE daily e-Newsletter) Greg Melia, CAE Chief Member & Strategy Development Officer ASAE: The Center for Association Leadership