Retention in a Tough Economy

ACCE DIALogueJanuary 22, 2009

Presented by:Tim Giuliani, Director of Corporate Outreach & Development

Florida Chamber of Commerce

AgendaAgenda

• How top chambers view retention

• Segmenting members like a Fortune 500 company

• Back to basics

• Recommendations to improve retention this year

• Tough questions for you to start your retention journey

• Questions and answers

LeadershipLeadership

The membership staff at a chamber has power and therefore, there is an opportunity to lead!

Be a leader!

Member ExperienceMember Experience

• View your Membership Experience through the eyes of your members

– Do most members only receive emails and an invoice?

– Do only some attend events and the rest get a monthly newsletter?

– What happens when someone joins?

Lifetime value of a memberLifetime value of a member

View members through a new lens:

Dues Other Time Total Value

$350 + $300 x 10yrs = $6,500

1 referral can double that amount!

Retention RatesRetention Rates

Poll Question:

What was your retention rate last year?

A.Above 90%

B.80 – 89%

C.Below 80%

D.No clue

Retention RatesRetention Rates

Source: ACCE Annual Operations Survey, 2007-08

Retention Rates- First year membersRetention Rates- First year members

Source: ACCE Annual Operations Survey, 2007-08

Segmenting membersSegmenting members

Wikipedia definition:

A market segment is a subgroup of people or organizations sharing one or more characteristics that cause them to have similar product and/or service needs.

Segment companies with similar

– Motivations to invest– Interest in benefits

Segmenting membersSegmenting members

Segment 1: Business Builder-Networking, individual benefit, ambassadors

Segment 2: Business Investor-Seek ROI on specific benefit or program

Segment 3: Community Builder-Choose chamber as “vehicle for action”

Segment 4: Community Investor-Passively improve community

Segmenting membersSegmenting members

What now?

View through the members point of view!

• Identify segments through survey’s, new sales, interviews, etc.

• Target segments with specific programs, events

• Focus renewal calls on their preferences

Questions / Answers

Creating and Communicating ValueCreating and Communicating Value

If your chamber closed today, what would happen tomorrow?

• Chambers created to unite the business community for advocacy and build the community

• Does your programs, events and communications match this need?

• Do you build community through advocacy?

Recommendations for 2009 and beyondRecommendations for 2009 and beyond

• Retention is the job of the entire staff, not just 1 person

• Set consistent, accurate expectations during the sale

• Have new members complete “Plan of Involvement” and use during renewal time

• Build relationships deep within companies

• Review financial policies to be transparent

Tough questions to you-Tough questions to you-

• Is your Membership Experience awesome?

• How many opportunities do you have for your members to get involved and lead?

• Are you creating a community for your members to get engaged in?

• Have “gimmicks” kept you afloat and now you need to re-focus your chamber on membership?

Tough questions to you-Tough questions to you-

• Is every staff member focused on delivering superior customer service?

• Are all expenses necessary to deliver your Membership Experience?

• Can you say that members are the purpose of our work?

• Are your products and services aligned with your mission?

Questions / Answers

tgiuliani@flchamber.com