And yet, with so much information being added TO your membership database, too many association leaders don’t take information FROM their database to help them drive better decisions!
Spending a little time with the data can pay huge dividends as you look at your membership in different ways. You’ll get a better understanding of how members, companies, or industry segments contribute to your organization’s health. And, you can better understand the aspects of the organization that your members value the most.
With the right reports, it’s easy to uncover powerful data. See if your software includes some of these common reports:
Your system should have a report that includes key information, such as account (or member) name and dues amount - at minimum. Even better would be company/industry type, reason(s) for joining, and employee count. That way you can monitor any trends that develop over time with the types of companies that are joining your association.
Even BETTER? Having a system that allows you to create your own tracking codes so you can get granular with your analysis!
This should contain the same information as the Joined report, plus the members’ reason for dropping. If you can, set up tracking codes for typical reasons to make this process easier. Reasons may include: No time to participate; Saw no value; Disagreed with political stance, Out of business, and many more. Tracking these reasons can help you identify potential at-risk members who may be similar to the companies that are dropping each month.
Are you tracking which members renew by both units and dollars? You may notice a difference between retention as a function of member units and lost revenue! This is especially true if your association has tiered dues, or different amounts based on the level of benefits they receive. You may see a 95% retention rate in units, but only an 80% retention rate in dollars. Be sure to look at retention both ways to truly understand the impact on your association.
Yes, each member is different - but you can make informed decisions for your association by grouping your members into major categories and looking for trends. Your software should allow you to segment your members by dues amount, length of time as a member, NAICS code, number of full time employees, and more so you can truly understand the makeup of your membership.
For example, you may have 5% of your members in one segment, but they represent 25% of your dues revenue. Losing just one of those members would have a big impact on your business!
Lifetime Value of Membership
Do you know which members are the most valuable to your organization over the life of their membership? What if you could go get more members like them? That’s what a Lifetime Value of Membership (LVM) report can tell you. By looking at current and dropped members and reviewing their dues and non-dues revenue, you can see the type of members who generate the most revenue for your organization.
With an association management system that’s intuitive to use, you’ll be armed with insightful reporting to help you manage your business. You’ll be able to make better decisions with hard data that’s already hiding in your system! If reading this has made you realize that your software is missing a few key reporting options, it might be time to make a change. Our buyers guide can get you started on how to find the right system to meet your needs!