REM Association Services Blog

Are Associations in a Race for Relevance?

REM — Tue, 19 Jul 2011 09:00:08 +0000

That’s the premise of a new book getting some buzz in the nonprofit community. According to Race for Relevance, “Today’s association is in a race for relevance. The track is fast and associations are at risk of falling seriously behind. Worse yet, some are likely to drop out of contention altogether.”

A bold premise? Yes, but one we’ve supported for some time. About a third of this book’s recommendations are old news, as least as far as how REM manages its clients, and another third is pertinent only to very large associations with equally large boards and staffs. The rest of it offers some interesting data that doubting board members should see and recommendations worth considering—seriously considering right now. That’s why I’m offering this longer-than-usual post, because these are serious issues to consider.

One of the best sections of the books is the collection of the six marketplace realities that did not exist 25 years ago that have irreversibly changed the playing field for membership organizations:

time (board members and members have too little of it and members who say they don’t have time for an association’s programs are really saying “I’ve got better things to do with my time.”),
value expectations (members demand more or they won’t renew),
market structure (more stuff does not necessarily equal more membership value),
generational differences (for the first time in history there are five living generations in American and four of them are working together in the workplace and exist as association members and volunteers),
competition (not just for time, but for membership dollars as specialized associations keep springing up), and
technology (we need more of it and better technology).

So, what to do in the face of these realities? The authors offer these recommendations:

Overhaul the Governance Model

The authors suggest creating a small, competency-based board with no more than five members and recognize that this would be a radical and unwelcome change in many nonprofits. However, they believe too many nonprofits waste too much money on, and time in, meetings where there are too many unqualified, noncontributing, and distracted board members.

Overhaul Committees

The authors suggest we need fewer committees with fewer members following explicit mission statements. Their research suggests that one or two people on most committees do most of the work. That’s an oversimplification among our clients, but is true in some cases. They suggest giving most committee assignments to the paid staff to handle. (If only there was enough money in the budget for that to happen.)

Empower the CEO and Enhance Staff

Instead of expecting part-time volunteers to possess the necessary skill and expertise the nonprofit needs, smart leaders will increasingly look to staff. Well, that’s exactly why many nonprofits are choosing the AMC model—because we offer a ready-made staff of skilled professionals. In this section the authors emphasize the extreme significance of a three-year strategic plan—and we’ve been preaching this at REM for some time.

Rationalize the Member Market

Not all members are worth having. To help determine the members on whom the group should focus, the authors list several questions boards and staff must be able to answer. They include knowing about key industry trends, market segmentation in the industry/profession served, retention rates for each key membership area, and those membership segments that give the association low satisfaction rates in member surveys (and why).

Rationalize Programs, Services and Activities

Following the premise in the previous section, not all association programs are worth creating or maintaining. The authers note the 80/20 rule nonprofit leaders have known about for years: 80% of member value comes from 20% of the benefits offered. In short, stop running programs that few members want or need and focus your precious time and dollars on the programs that matter most. And if some member don’t renew because of these changes, let them go.

Bridge the Technology Gap and Build a Framework for the Future

This is perhaps the best section from my perspective because at REM we believe so strongly in the same ideas presented. And this is not a section touting the importance of social media. The authors say that more and more membership connections will be based on technology, so without a good technology framework, associations will lose their dwindling connections to their members. Associations must know exactly how much of their budget they spend on technology and then seriously consider increasing it—by a lot.

That’s a summary of this intriguing book. If you’d like to include a discussion of its recommendations at a future board meeting, request one using the comment box at the end of this post. If you’d like to read the details, I encourage you to buy a copy. The exact title if Race for Relevance; 5 Radical Changes for Associations, by Harrison Coerver and Mary Byers, CAE.

Use the form below to send me a private comment on this post or to request that this book and be put on a future board meeting agenda.

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Another Tool for Connecting Association Members

REM — Fri, 15 Jul 2011 12:34:11 +0000

If you haven’t heard about the Google+ Project, it’s something of a combination of Facebook and Meetup. Google+ is an online tool for connecting groups of friends, family members, colleagues, or all of those. It might be a useful tool for some associations, especially when groups of members want to get together at, say, the annual conference.

For more information, here’s an online demo: http://www.google.com/+/demo/

Updated “Social Media Revolution” Video Shows Social Media Is Bigger than Ever

REM — Thu, 23 Jun 2011 21:03:28 +0000

Some time ago I encouraged our client board members to view an amazing video on YouTube, “Social Media Revolution.” It was the first presentation that convincingly demonstrated how social media tools (like this blog, for example) were being adopted by millions worldwide. The video, by Erik Qualman, has just been updated.

Here are some of the more significant statistics included in his updated presentation:

Social media is important because it is effective in part because over 50% of the world’s population that is under 30 years old.
Facebook tops Google for weekly traffic in the US.
One in five couples meet online.
One in five divorces are blamed on Facebook.
Kindergartens are now learning on iPads, not chalkboards.
If Facebook were a country, it’d be the world’s third largest.
A new member joins LinkedIn every second.
If Wikipedia were made into a book, it would be 2.25 million pages long.
YouTube is the second largest search engine in the world.

Wondering why YouTube is considered a search engine? Because many people don’t want to have to read; they want to see a presentation, and if possible, be entertained.

The other significant issue Qualman notes is that traditional media is increasingly considered irrelevant and untrustworthy. Peer-to-peer recommendations (such as those found on LinkedIn) are considered more credible. This observation should inform any marketing plan designed to recruit new members, donors, and conference registrants.

Does this mean every nonprofit should jump into social media? Absolutely not. Social media is a tactic–at times a very effective one, but just a tactic. It is not an objective. Its value in reaching those over age 30 is, at times, questionable. Social media can support strategic objectives, but every social media tool is not right for every nonprofit.

And here’s the dirty little secret about social media: It’s easy to create, but extremely time-consuming to maintain (read: expensive). And do you have the content needed to keep it fresh? Because if it’s not fresh, it’s not worth the effort.

We’ll gladly talk with you and your board about social media. I now have more than 70 hours of training in social media and have delivered numerous presentations on the topic. Let us help you find out which social media tool might be right for you.

To see this impressive, informative video, click here.

Social media will eventually be important for every nonprofit. Whether it’s what you need–and can afford–now, is another matter.

Have a thought on this topic? Please leave a comment by clicking on the button below. That’s one of the benefits of this social media tool.

Can You Tell Me Your Mission Statement?

REM — Fri, 01 Apr 2011 09:17:17 +0000

Here’s a simple exercise for any organization writing a new strategic plan or revising an existing one, or for anyone recruiting members/donors to a nonprofit: Tell me your mission statement–without looking at a document or website. If you cannot recite it, or a general summary of it, you’ve got a problem.

You might not remember your mission statement simply because you haven’t looked at it in a while. That’s easily corrected. But you might not remember it because it’s too long, to convoluted, or just a muddy mix of meaningless words assembled by a large committee.

Whatever the reason, if you cannot tell someone know your mission statement, you’ve got a mission statement that needs to change.

This is hardly a memory exercise. Your mission statement must be an integral part of the elevator speech you give to anyone who’s a prospect for membership in your nonprofit, or a candidate for its leadership. It must be readily understood in conversation, such as in answer to the “What do you do?” question. Here’s why.

My colleague Ira Koretsky, known as the Chief Storyteller, explains in his excellent presentations that it is critical to your continued success to unify and consistently use the right messages, images, and sounds throughout your communications materials. In the absence of memorable messages, your target audiences will forget you or make up their own stories. (Ira has a great newsletter on this issue, available for free from his website. It’s excellent reading for how to improve your for-profit business’ messaging and mission statement, too.)

So, what’s your mission statement? If it’s not easy to remember, what will you do about it?

The Economy’s Effect on Associations–Were The Experts Right?

REM — Tue, 01 Mar 2011 12:53:58 +0000

Most of you know that I am a member and part of the leadership of the AMC Institute, the trade association for companies like REM, and of the American Society of Association Executives (ASAE). At last year’s winter meeting participants heard a very interesting presentation by ASAE’s Greg Melia, who is ASAE’s liaison to the AMC community and to the AMC Institute.

Greg’s excellent presentation offered some revealing statistics regarding the issues associations faced last January because of the economic downturn. The data he presented from three separate surveys accurately predicted the experience of most of our clients in 2010. I’m revisiting this presentation because the research he reviewed also offers valuable insights that we should consider when planning for 2011 and beyond.

Here are some highlights of this presentation:

Revenue for in-person training is down, but revenue from online programming will increase.
Association members’ collectively expected the economy would rebound in 2010, clearly foreshadowing the rise in the stock market. (As Greg noted, this may say more about the fact that successful people are more likely to join and actively participate in associations.)
Many companies that support employees’ association membership dues have curtailed the amount of funds dedicated to association participation. The result often is that companies have reduced the total number of associations in which they have memberships.
Members want their associations to help them network in a down economy and demand resources and clearly identifiable value–especially when the employer pays part of the association dues.
Four in 10 employers cut support for conference attendance. (For REM’s clients, this may explain why all but one experienced lower attendance in 2010, a trend that could continue in 2011.)
Longer conferences are increasingly challenging, both in terms of cost and time away from the office.
Conference attendance is very dependent on the value of the content at that year’s event. One bad year may mean the registrant won’t be back the next year.
Social networking websites, such as LinkedIn groups, can help attract members and prospects–as members and conference registrants, or both.

For nonprofit boards reviewing or writing a strategic plan (including trade associations, professional societies, and foundations), this presentation offers some important data I encourage you to read. To view the entire presentation, click here. And don’t miss Glenn Tecker’s tips. (My favorite: Associations should be a source of things members can’t otherwise afford.)

Is Membership Recruitment Getting Harder?

REM — Tue, 15 Feb 2011 01:55:03 +0000

In a word, yes, especially for trade associations. Look at these statistics from a recent survey of more than 400 association executives:

In 2009, 31% of associations reported that membership renewal rates decreased in the previous year.
In 2010, 44% of associations saw a decline in membership renewal rates.
Trade associations have had a tougher membership year than have individual membership associations. Although 43% of individual membership associations experienced membership growth in the past year, only 26% of trade associations saw membership growth.

Why the drop?
For most prospects, it’s because they perceive there to be a lack of value—it’s not the amount of the dues. This is a singularly important point for many associations that have postponed dues increases for several years because of the declining economy. Also, this trend is increasing: 36% of respondents cited value as the key issue that former members expressed for not renewing memberships, an 80% increase over last year.

This is not an issue for all associations, because 57% of them reported that membership was up over the past five years; 36% said that membership numbers were up for the past year.

How do some group’s beat the trend?

Every association must identify what the value proposition is for members and prospects, something that at REM we believe is best learned in conversation. If that’s impossible, we can use other (often electronic) means, but conversation remains the most effective tool for learning a member’s motivation for joining or remaining a member. And the comments the member or prospect hears from a peer, especially one in a leadership position, have always proven to be the most effective tool for retaining or attracting members.

Consider these numbers:

91% said they learned about an association through word-of mouth recommendations
88% learned about it through the association’s website.

These numbers confirm our own experience. A marketing mix generally works best because for membership campaigns because it increase message frequency and the likelihood that the message will be heard/read. Some members/prospects are motivated by personal contact, others by electronic marketing. But even where electronic marketing is effective, one of the most important things any board member can do is call a half-dozen individuals to find out why they are or not joining or renewing their membership. Such calls can reveal previously unknown and unaddressed problems, or show that a member/prospect may be unaware of a particularly relevant benefit or special project.

So, six calls, about 10 minutes each, 60 minutes, spread out over a week or so. That’s one way you can beat the trend. We’ve got the names when you have the time.

One Important Goal for Every Nonprofit Board Member

REM — Wed, 01 Dec 2010 13:49:54 +0000

What’s the single most important goal for every nonprofit board member in 2011? Recruiting another volunteer to take an active role in the nonprofit you help manage. Here’s why this is so important and how to do it successfully.

Recruiting volunteers is essential for one reason: they leave. People get promoted, retire, get laid off or downsized, have unexpected family intrusions that limit their volunteer hours–the list is long. They also get burned out (our number one concern as your management company). Eventually, they must be replaced if the nonprofit is to thrive. Without new blood, the nonprofit will invariably decline.

Successful recruiting, research by the American Society of Association Executives (ASAE) confirms, almost always results from a few simple steps. Here are my top three.

First, ask personally–by phone or in person, not in an email.

Second, ask often–because people get busy, forget, or need to know that your interest is genuine. We all need reminders.

Third, talk about your own experience. Volunteers like you are often better at recruiting than staff because you can give a first-person testimonial and explain why volunteer time is beneficial to individuals and to their employers. You have the credibility and the experience that validates the message.

We’ve produced materials for all of our clients to help in the recruitment process. If you need a copy, let me know by phone or email. The same goes for copies of ASAE’s research. And for 2011, when you make your list of new year’s resolutions, please add this important goal: Recruit (at least) one volunteer to participate in my nonprofit. Do that and you’ve made the best contribution possible to your organization.

Why Social Media Projects Fail

REM — Tue, 26 Oct 2010 12:44:55 +0000

This summer I had the pleasure of attending a special program hosted by Tourism Canada, visiting two sites in Ontario (Toronto and Muskoka). We also participated in an excellent education program, part of which was devoted to a discussion about social media. My colleague Terrance Barkan delivered an excellent presentation, part of which was devoted to an explanation of why social media projects fail. Judging from the discussions I’ve heard at several recent association meetings, many nonprofits are struggling with their social media efforts.

Terrance cited these six problems, any one of which can lead to failure, or at the least, less involvement by the group’s members.

1. No clear objectives – Be specific about what you expect from your social media campaigns before you invest precious time and effort. If you don’t know where you are going, you’ll never know when you get there.

2. No clear measurements–You can’t manage what you do not measure and social media needs to be measured. How else can you determine what is really working and what is not?

3. No one person is accountable–Even if you have a distributed team working on social media projects, as most organizations do, you still need to assign social media accountability to one person in the organization. When everyone is accountable, no one is accountable.

4. No budget or resource allocation--Because most social media tools are free, expectations have been set that “social media” as a tool is also free. Surveys show that as many as 90% of organizations have yet to allocate dedicated resources to social media. As social media becomes a “must have” organizations need to allocate people, time and resources to execute professionally.

5. No sustainable business model (ROI)–It may make your ego swell to have a lot of “friends” and followers but you still need a sustainable business case for social media. Engagement is important and valuable, but organizations need to demonstrate that social media is worth the time and effort that is being spent on these activities.

6. No integration into an address management system/customer relationship management database–Most of the information you have about your members and customers resides in your membership or customer databases. Unless you have an integrated social media platform, you are not able to take full advantage of the data you already have, or to capture the hugely valuable information that is being created inside social networks.

Many of these problems can be avoided if social media tactics are an integral part of a nonprofit’s strategic plan, which I why at REM we so strongly encourage our client board members to focus much of their time on their plans. Social media is a fascinating new opportunity, but it’s no replacement for good governance or good planning. It’s just another tactic, and as explained here, one that can be easily misused.

For those who say they cannot do or learn another thing, try the power of subtraction, a great idea from the business book Mojo

REM — Mon, 11 Oct 2010 12:04:07 +0000

Could life get any busier? It’s a common refrain from most in business and most nonprofit board members. Business coach and bestselling author Marshall Goldsmith offers a deceptively simple and intriguing solution to this problem in his new book, Mojo—How to Get It, How to Keep It, How to Get It Back if You Lose It.

Goldsmith offers great examples of how others have eliminated parts of their routine (or, in the case of one cancer patient, had something eliminated by the disease—his voice), and have been able to find new direction in their lives. Here’s the key quote:

“The untapped power of subtraction is within your grasp. It’s as easy as saying to yourself, ‘My life might actually be better if I took away ____________.’ And filling in the blank.

“The answer, of course, is up to you. Some people might choose to subtract an annoying person. Some people might subtract a professional activity, like a lengthy commute or a scheduled weekly meeting. Some people might eliminate a recreational activity that is less fun than it use to be.”

I believe in this concept because several years ago I found that I’d lost all affection for working in the Washington, DC, area because of an increasingly difficult and long commute to work. Once I left that job I vowed never again to deal with this issue. As a result, I no longer have a commute and instead rent an office very close to home. The high cost affects my income, of course, but my quality of life has been so much better and the location allows me to once again enjoy where I live. Without this change, I’d be just another person in the DC area who talks constantly about the horrible traffic, looking forward to the day I can move away from a city that has so many great attractions.

This is only one of several great ideas and exercises in Mojo, which I read after hearing Goldsmith speak at the ASAE 2010 Annual Conference in Los Angeles. If you want to know more about this book before buying it and take a test to measure your mojo, check out Goldsmith’s website, www.MojoTheBook.com. Once you’ve completed the test, you’ll know where you have low mojo, which should allow you to decide how to fix the problem areas.

So, what can you subtract to make your life better? Leave a comment if you have a suggestion to share with others reading this blog.

Why all the talk about social media? Is it more than a fad?

REM — Fri, 24 Sep 2010 14:55:31 +0000

For anyone over 40 who doesn’t send text messages all day or routinely update their Facebook page every few hours (as some of our younger employees and family members seem to do), social media can seem like so much self-indulgent blather with no relevance to business (or the business of running a nonprofit organization). But it’s becoming increasingly apparent that there is a need to connect to association and professional society members and prospective members through social networks we construct. Here’s why.

At a presentation on social media at this summer’s AMC Institute meeting in Los Angeles, Jeff Gibbard offered some statistics worthy of our attention:

90% of consumers online trust recommendations from people they know,
70% trust opinions of unknown users,
90% of respondents indicated they did not trust advertising,
8% trust what companies say about themselves.

So, given these numbers, it’s clear that getting our messages online to engage our members and prospects is necessary, not optional. How many of these folks, then, are online? The numbers are surprising and keeping increasing:

60% of Americans use social media, and
59% interact with companies on social media sites.

Does this mean we’re going to find lots of new members right now through social networking? Not likely, at least not today. However, the trend is undeniable and the message is clear: We must find ways to build an online presence with the generation that is moving into the age group from which new members are typically found. We have to make it easier for them to find us–online. Exactly how we do that is the harder question to answer, and it may be different for every trade association and professional society and foundation. That’s why developing a social media strategy is a priority project for the clients we manage.

For example, putting a clip on You Tube–is there a business reason for it? Yes–because guess what is the second most popular search engine today? We often say “Google it,” but can we be found on You Tube? Slideshare? Vimeo? Flickr? (If you haven’t heard of these sites, contact me for details.)

Still skeptical about social media? Then spend four-and-a-half minutes watching a fascinating video on You Tube. Social Media Revolution 2 is a refresh of the original video with new and updated social media and mobile statistics that are hard to ignore. It is based on the book Socialnomics by Erik Qualman. My favorite stats from it:

More than 50% of the world’s population is under 30 years of age.
96% of millenials have joined a social network.
1 out of 8 couples married in the US met on a social network.
If Facebook were a country, it would be the third largest.
Gen Y and Z consider email passe.

And here’s the last number to try to emphasize the scale of social media and social networks. While you’ve read this blog post, 100 hours of video were uploaded on You Tube. Bottom line: social media is not a fad. Social networks are going to be part of our future. Let’s go find out how.