It's about Member Indispensability

Dr. Adina Wasserman is a first-class researcher whom I'm very pleased to have worked with on a number of research projects. Her experience is second to none and her ability to take a piece of data and transform it into a usable piece of information is to be applauded.

In my own work, and during our conversations, Dr. Wasserman points out that member satisfaction levels, while providing a good benchmark for comparative evaluations over time, are not the best indicators of member engagement with the association. While satisfaction is certainly a part of member engagement and loyalty, we do not believe it is the driver.


I've seen this in many studies where current members and expired members both rated their experience with their association as being "satisfactory."

She recommends associations shift to an Indispensability and Needs Assessment study, which allows association members to assess the importance of the benefits and services offered, and then evaluate the quality of delivery of those benefits and services. This is called Gap Analysis, or the statistical comparison between the degree of importance and the perceived level of delivery. This research offers evidenced-based data pinpointing where an association is performing well and where it is not, and whether attention and resources should be focused to maximize programs or abandon them. We have both found, in our work together and seperately, that this methodology gives the most effective understanding of what the membership wants and expects from its association.


If you're thinking of performing a membership study, remember that its the member's loyalty to and dependence on the association that determines your renewals and ultimately your financial position.
 
Experts in Membership Marketing is written by Erik Schonher, Vice President, Marketing General Incorporated. If you have any questions concerning the content please feel free to call him at (703) 706-0358 or email him at eschonher@marketinggeneral.com 

Seth Godin may have a few ideas on "Indispensability."

Recently many of my clients and the people I speak with have been asking about “Indispensability.” What is it? What does it mean? How do we go about becoming “…indispensable to our members?”


I think this is a two-step answer. First, I think that it helps to first realize that our members want to become “indispensable” to their organizations, boss, and clients. So we should ask, “How do they become indispensable to their organizations/boss/clients?”

Starting from this point, Seth Godin’s latest work “Linchpin: Are You Indispensable?” (published by Portfolio/Penguin) offers a recommendation of what an individual’s indispensability may look like. He proposes (on page 218) that these seven characteristics are“…one way to think about the list of what makes you indispensable:

1. Providing a unique interface between members of the organization

2. Delivering unique creativity

3. Managing a situation or organization of great complexity

4. Leading customers

5. Inspiring staff

6. Providing deep domain knowledge

7. Possessing a unique talent”

In the workplace, I think we can all appreciate the work the individual must put in to maximize each of these characteristics for themselves. At a certain point, these behaviors elevate the individual’s performance from simply doing a job to an art form – and this is a major thrust of Godin’s book. Those individuals who want to become ‘indispensable’ must become artists who find their inspiration from their own desires to do better.

But isn’t that what members are doing when they join? In most cases, are they not taking a personal step to become more knowledgeable and connected so they can become better?

So, now that we understand at least one definition of “indispensability” (as presented above), when you ask how to make your association “indispensable” to your membership, you need to ask how does your association:

• Go about helping your members achieve each of the seven characteristics?

AND,

• Go about executing each of the seven characteristics for their boss…the industry?



If you have any thoughts or questions, I hope you’ll post them. Maybe you can provide examples? I look forward to hearing from you.

Corporate Loyalty Programs Need to Change to Membership Programs - Develop "Indispensability"

As reported by the 4/29/2010 issue of Colloquy:

"According to an article in Marketing Magazine UK, despite 86% of the population using retail loyalty cards on a regular basis, 50% of shoppers do not think it is worthwhile collecting points, according to a new survey conducted by YouGov SixthSense.

The report also found that 93% of consumers would continue to shop somewhere, even if the retailer scrapped its loyalty program. Only 17% of respondents choose where to shop based on their participation in loyalty card programs.

The top loyalty programs, in terms of usage, show that consumers participated in more that one program, with Tesco Clubcard being used by 66% of those surveyed, Nectar by 55%, and the Boots Advantage Card by 48%.

"Loyalty programs need to do more to create customer loyalty. The programs are best suited to retailers that are used frequently or where loyalty cards can be used in multiple stores, so that points and rewards accumulate at a fast enough rate to keep people interested", stated James McCoy, research director for YouGov SixthSense.

The online survey was carried out between February 18 and 20, and 1,469 British adults took part."

Corporations can learn a lesson from Membership Organizations by stepping up their "loyalty programs," by working to become indispensable to their customers.

Associations work to not only service their 'customer's' current needs, but to anticipate them. There in lies the difference - loyalty programs reward for the present whereas membership programs provide for the present on a more individual level as well as anticipates the future needs of their "customers." We discuss a 'customer life cycle' where we develop products and services for our members at different stages of their career or membership cycle.

If corporations want real loyalty, they need to not only be a friend today by providing benefits now, but be a friend tomorrow and anticipate their customer needs move over the time of their customer lifecycle.