Wednesday, July 1, 2009

And the Best Membership Recruitment Offer Is . . .

Posted by Princess Eva Angelica at 10:38 AM
In direct marketing there are three traditional keys to success: list, offer, and copy. A good promotion, for example, should include some type of offer to highlight why the prospect needs to respond now.

So as part of our Membership Marketing Benchmarking Research, we asked what recruitment offer was most effective in getting the most new members. We also cross tabulated their answers with renewal rates.

Respondents reported that the best recruitment offer was a “discount on first year dues”. This did not come as a surprise to me, because I have tested a discount many times and with a variety of organizations. It has consistently tested well.

But here is a BIG SURPRISE. Some marketers claim they do not use a discount because it will hurt renewal rates. However, the research shows that of those who offered a new member dues discount 75% had renewal rates of over 80% and 25% under 80%. This outperforms the overall respondent base with 68% having renewal rates over 80%. In other words, new member discounts actually correlate with higher membership renewals.

Here is how respondents report the “most effective offer in getting more new members”.


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