3 Association Growth Strategies

October 5, 2016

3 Association Growth StrategiesSluggish global growth and U.S. growth, the race for talent, and disruptive innovation create opportunities for Associations and Professional Societies to become more essential. It’s all about alignment with industry and professional outcomes that your members care most about. Those organizations who utilize these 3 Association Growth Strategies can help impact member outcomes and as a result better position their members and their organizations for long term success.

3 Association Growth Strategies

1. Secure Actionable Research

Securing forward looking data is essential. Utilizing “Impact” Surveys instead of member satisfaction surveys will help your organization determine the desired future outcomes that members seek to address their “up at night” issues. These issues must also be examined segment by segment.

The Global Cold Chain Alliance, GCCA, utilized both qualitative and quantitative research in order to align itself with its stakeholders. Through this process the organization aligned its internal team and they have transformed themselves into strategic partners for the Global Refrigerated Warehouse Industry. In doing so, GCCA is helping its members drive future outcomes.

3 Association Growth StrategiesAccording to Corey Rosenbusch, President and CEO, GCCA, the organization is taking its partnership a step further. The organization conducts qualitative research with their member’s customers to help align GCCA and their industry with the business outcomes their customers seek. Here again the organization impacts member outcomes.

Association revenues have grown by 25% in the last year and a half.

2. Demonstrate Strategic Alignment

Strategic alignment with your member’s industry and its professional outcomes is key to your organization’s long term durability and growth. Without a recognized level of strategic alignment members will not perceive the important connection between your organization and their business outcomes.

3 Association Growth StrategiesAt the National Wooden Pallet and Container Association, Brent McClendon, President and CEO, continually seeks ways in which he can help accelerate member engagement. He does this by making sure that NWPCA listens closely to its members and then aligns its resources with the appropriate company and industry outcomes. One example of aligning its resources is through its software platform. Their proprietary software, “Pallet Design System” is both a product specification and engineering design tool as well as a professional marketing tool, and educational tool to serve the wood pallet industry. This platform accelerates member engagement and it’s a concrete example of how a product can drive future outcomes.

NWPCA has experienced 60% revenue growth over the last three years.

3. Design the Industry’s Future

Serving as a leader and convener for your industry creates the strongest possible link between your organization and the member’s your serve.  The link is reinforced when you provide a safe space for your members to collaborate and design their future together.

3 Association Growth StrategiesThe Smart Electric Power Alliance, SEPA, brings companies together in all aspects of power generation to design and build the industry of the future. Julia Hamm, President and CEO, and the SEPA team link the industry’s all stakeholders to develop, share, and build future focused solutions for their industry. The organization facilitates important conversations, doesn’t take sides, and serves as an industry convener. SEPA is all about helping members determine how to best drive future outcomes.

For example, SEPA created a 51st State Initiative that creates ongoing opportunities for experts and industry leaders to share, test, and provide feedback on direction and innovation to support an evolving utility sector. Through the 51st State initiative, all stakeholders have can participate in designing “Sustainable market structures from the ground-up, rather than attempting to make wholesale or partial changes to something that has been in place for decades.”

The Smart Electric Power Alliance has seen annual revenues grow 23% (2015 to 2016) and also in 2016 experienced a 62% increase in total staff (to 35 employees from 22).

3 Association Growth Strategies

In a September 2016 interview in Fortune Magazine, GM’s CEO Mary Barra was asked “What would you tell your younger self to do differently?” She replied “Focus more on speed. Time is not our friend.” These 3 Association Growth Strategies will give your organization greater speed and help your organization impact industry and professional outcomes that your members care most about.

3 Association Growth Strategies

 

Free eBook “Accelerating Strategic Member Engagement” is available upon request for all Association Executives at Potomac Core – Association Consulting

 

Breakthrough Associations

September 14, 2016

breakthrough-associations

The flow of economic forecasts and performance, global crisis, disruptive innovation, and the real time updates on the U.S. elections are mind numbing. The constant stream of information reminds association executives just how complex the world has become for your members. How can your organization utilize its strategic planning process to help your members in new and different ways that increase your association’s relevance? The 5 step Breakthrough Associations process starts by expanding your association’s traditional boundaries and uniting the industry’s “value chain” within the ranks of your association.

I. Go Beyond Traditional Boundaries

What if your association was the uniting force, the link that brought the key players to work together?  With technology capabilities you can link buyers, sellers, and suppliers throughout the world, so why not capture the entire industry? Breakthrough associations provides a seat at the table for the entire “value chain” of an industry.

Think of your association in a different way, having one stop shopping capability where your members network, build alliances, and develop creative solutions and identify growth opportunities for the industry. The association becomes the leader, convener, and facilitator, and it helps member executives make effective use of limited time. Its boundaries go beyond traditional membership definitions, and links the industry “value chain” to become the global strategic partner.

II. Take the Temperature of the Entire Value Chain 

The 2014 the Strategic Member Engagement Survey noted that organizations with upward trending 3 year operating results were far more likely to better understand member “up at night” issues and to engage members in acting upon those needs. Expanding the scope of the research to include the entire “value chain” could provide even more compelling data.

Breakthrough associations who conduct qualitative and quantitative research on the entire “value chain” deliver powerful data because it:

  • Surfaces external challenges and business growth opportunities among a group of companies who are interconnected and need each other to successfully bring products to the marketplace.
  • Segments stakeholders to highlight important differences, as well as similarities, and opportunities for all stakeholders throughout the “value chain.”

III. Utilize Industry Strategic Planning Instead of Association Strategic Planning

When it comes to breakthrough associations, Board leaders view the association’s strategic planning retreat as an essential activity. They see the Association’s Strategic Planning as an extension of their own company’s long term planning efforts. Throughout the meeting, the focus of the discussion is the future of the industry and not the future of the association. Most of the board’s deliberation and brainstorming centers around the actionable data. Similar to internal company meetings, association board members prioritize the most impactful strategies. These strategic priorities are vetted by Association CEOs and their staff team. Final determinations on which activities to move forward are made based on the industry impact. Cost and revenue considerations also play important roles in the assessment process.

Throughout the process Board Members assess the viability of potential new strategies and insure these approaches align with the desired industry growth outcomes. The updated Vision and Mission statements forgo the utilization of the traditional vision, and mission statements highlighting the association and instead define how the new plan will position and strengthen the industry and the value chain.

IV. Build a “Value Chain” Focused Roadmap

Board members collaborate with association staff to make sure that the key performance indicators indeed reflect the industry growth outcomes that align with the “value chain” Impact Survey. The Roadmap identifies the timing and phasing of new “value chain” initiatives. The roadmap process also determines what activities remain and which activities are discontinued. Breakthrough associations only invest resources in strategic activities that help the industry achieve its business outcomes.

Since the “value chain” experiences frequent and sudden changes in market conditions, the association is prepared to shift priorities with a more flexible approach to strategic planning.

V. Implement a “What We Do Together” Culture 

Board Leadership and the CEO share the new plan, mission, and vision with the “value chain” to emphasize how value will be delivered through the association to help suppliers, manufacturers, end users, and their customers achieve their business outcomes through the Association.

Breakthrough Associations

Breakthrough Associations can be at the cutting edge of transformation. By expanding your strategic planning process from a singular focus to a “value chain” focus, your association will build solutions that help address industry challenges while you support industry growth.

breakthrough associations

 

 

 

Free eBook “Accelerating Strategic Member Engagement” is available upon request for all Association Executives at Potomac Core – Association Consulting

 

2017 Member Engagement Strategy

August 3, 2016

2017 Member Engagement Strategy

 

Market uncertainty and the pace of change will continue to impact membership decisions at professional societies and trade associations. Looming external factors will play a significant role in how membership decisions will be made.  The outcome of the U.S. Presidential and Congressional Elections, economic performance inside and outside the United States, mergers and acquisitions, baby boomer retirements, terror threats, and technology disruptions will influence whether or not professionals and corporate executives engage in their associations. Actionable Data can help organizations surface opportunities that can help members drive their professional and industry outcomes. Moreover, the data can serve as the foundation for a 2017 Member Engagement Strategy that can position your organization as a more relevant and necessary resource for your members.

Engage More and Sell Less

2017 Member Engagement StrategyIn terms of 2017 Member Engagement Strategy, utilize data and research to build your partnership with professions and industries. This can create a more positive dynamic that links your organization with the business and professional outcomes that members seek in an uncertain world. Getting your organization there requires a different look at the external landscape and the challenges that plague your members. Selling more or selling louder will hinder instead of help your 2017 Member Engagement Strategy.

Actionable Member Engagement Data

Understanding the extent to which your organization impacts industry or professional business outcomes is the foundation of your 2017 Member Engagement Strategy. Having actionable data (through focus groups, surveys, or industry or professional roundtables) helps your organization understand the external market challenges. Traditional satisfaction surveys and focus groups won’t provide the data that your organization must have to build an effective engagement strategy. What adds the most value is an Engagement and Impact dialogue where you surface more compelling professional and industry challenges and opportunities for your members.

In the 2014 Strategic Member Engagement Survey, organizations who regularly conduct impact surveys instead of “satisfaction” surveys report stronger operating performance than those who survey less frequently:

Survey Frequency Survey Annually Survey Infrequently
3-Year Operating Trends:
Retention up 31.90% 24.10%
Annual revenue up 55.10% 39.80%
Primary meeting registrations up 40.60% 31.30%
Fee for Service revenue up 43.50% 21.70%
Timely membership renewals up 31.90% 16.90%

Internal Perception Versus Member Reality

Associations and Professional Societies can avoid falling into a trap by separating internal perceptions from member realities. For example, securing actionable data focused on professional and industry business outcomes will help your organization build more meaningful 2017 Member Engagement Strategies.

In a recent Member Engagement Study released by Abila with surveys conducted by Edge Research , a new and unique approach helped uncover how and why members engage at membership organizations. The study reveals the differences in perception that occur from both a member and an organizational perspective. This research ventured to answer “four essential questions”:

  • What matters most to members when they join an organization?
  • What makes members feel involved and engaged?
  • How can Organizations better communicate?
  • Are organizations engaging members in a segmented, targeted, personal way?

Abila and Edge Research surveyed over 1,000 members in the United States in all age segments and also surveyed 150 Association Professionals. The online surveys were conducted between April 7 and April 25, 2016. Some of the differences in perceptions among members and professional membership organizations include:

  • Inclusiveness. Where 72 percent of organizational professionals see their organization as inclusive of different opinions, only 60 percent of the members who were surveyed share this view.
  • Responsiveness. Some 68 percent of members note their organizations as responsive, and 91 percent of organizations see themselves as responsive.
  • Good Value. From a member perspective, 63 percent see value for the membership fee. From an organizational perspective, 81 percent believe they are getting good value.

Utilizing survey approaches similar to this one will help your organization build a profession or industry focused 2017 Member Engagement Strategy. It’s all about how well you utilize the data to build engagement strategies that align with the challenges and opportunities that matter most to your members.

Drive and Help Define Their Future Outcomes

Associations and professional societies are facing increased competition from for profit companies, self-forming share groups, new associations and industry coalitions. Utilizing actionable data to develop your 2017 Member Engagement Strategy helps your organization establish uniqueness in the marketplace.  For example, the more your engagement strategy positions your organization to help support professional and industry outcomes for your members the better. Those organizations who have pivoted to this approach are impacting industry outcomes and reporting impressive operating performance:

2017 Member Engagement Strategy

A key component of your organization’s success will be your ability to unlock actionable data to construct its 2017 Member Engagement Strategy. Having data that surfaces new opportunities while it helps your organization develop meaningful 2017 Member Engagement Strategy can create the win you hope for next year and beyond.

2017 Member Engagement Strategy

 

 

 

Free eBook “Accelerating Strategic Member Engagement” is available upon request for all Association Executives at Potomac Core – Association Consulting

post brexit associations

Post Brexit Associations

June 30, 2016

The Brexit vote in the United Kingdom along with modest and subdued global economic growth will continue to affect corporate decisions on external costs not related to top line growth and operating performance. Associations in a number of instances are increasingly more relevant, and have strategic objectives closely aligned with the industries they serve. These organizations also have the characteristics that define Post Brexit Associations.  However, in a rapidly evolving global market, how aligned is your association in order to help your members and their industries meet new challenges?

recession ready association

The Recession Ready Association

May 17, 2016

It’s been seven years since the end of the great recession and one economist thinks there is a 60% chance of a recession next year. As global uncertainty and slow U.S. economic growth dominate the landscape, CEO’s should assess whether or not they are leading a recession ready association. While the next recession may not be as severe as the last one, be rest assured that business leaders are continually increasing scrutiny over expenditures not related to corporate performance.

Association Relevance

Association Relevance Despite Market Turbulence

May 3, 2016

In an era of unending economic challenges and uncertainty, industries must be relevant in order to grow. KPMG’s 2016 report “Setting the Course for Growth: CEO Perspectives” underscores how today’s CEO is laser focused on staying relevant in a turbulent global market. In order to remain relevant to their members Trade Association CEO’s focus more on understanding industry challenges then helping drive industry outcomes. Achieving Association Relevance Despite Market Turbulence is how CEO’s can position their organizations for long term growth and durability.

Regulatory Activity Reshaping Associations

Regulatory Activity Reshaping Associations

April 19, 2016

Where are CEO’s planning to spend their time in 2016? According to a KPMG study of 400 Chief Executives, “34% spend more time with regulators or are considering doing so.” The same report notes the regulatory environment as the number one issue that can “impact a company”, and adapting to government regulation is ranked as CEO’s second most critical challenge. For companies, the spike in regulatory activity is real. In 2015, Thomson Reuters published its sixth annual Cost of Compliance Survey noting among other challenges “regulatory fatigue.” Is the increase in regulatory activity reshaping associations?

active innovation

Data Fuels Active Innovation

April 5, 2016

In a growing trend, Association CEO’s and their Board Members are utilizing economic data as important context for their strategic deliberations. Jobs data, Housing Starts, Institute for Supply Management Index (ISM), Oil Prices, Consumer Spending, and U.S. Dollar Performance against other currencies is a more frequent topic at Association Strategic Planning Sessions. Although Strategic Plans cover 3 year windows, Boards encourage their CEO’s to be flexible and to use trend data to meet shifting demands to help their industries. In essence, economic data fuels active innovation at Associations.

Positive Association Disruption

Positive Association Disruption

March 22, 2016

Can positive association disruption reverse the fortunes for industry professionals and an organization? In a weak economic growth environment, it’s a daunting task. According to the 2016 PWC U.S. CEO Survey concerns “over volatility and over-regulation are rising.” What’s more, Reuters reported that retail sales slipped in a recent report and fourth quarter U.S. economic growth was only 1%.  How can an Association overtake an economic cycle and put its members and itself in the driver’s seat? The answer is its possible and for one Association it yielded a $1 million turnaround in operating performance.