| Plexus Consulting Group | Articles by Plexus Authors | ||
| Opportunities
in the Face of Declining Membership |
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"L ike
the animated cartoon figures that keep on running on thin air over
and past a cliff, until they suddenly realize there is no longer any
ground underneath them, assns often continue functioning in a "business
as usual" mode until they realize their traditional membership
support is not coming back. First you should be reassured that your assn is far from being alone when it comes to declining membership. This nearly universal decline in membership, for trade assns and professional societies alike, is due to four overriding trends: 1. Over the past two decades, a globalizing economy has led to increased
levels of mergers and acquisitions in virtually every economic sector.
Companies are seeking increased efficiencies and are trying to better
position themselves to serve and compete in new markets. 3. As a communications vehicle, the easy to use, inexpensive, and instantaneous Internet has made networking, education and training, business transactions, marketing, and the exchange of ideas affordable and available to virtually everyone. Faced with this reality it is not unusual that the value and relevance of traditional assn membership should be increasingly called into question. 4. A generational aversion to "joining" borne of watching the upward and downward ties of loyalty dissolve between employer and employee. Many younger staffers believe that loyalty does not pay and financial security is based on networking and having and maintaining the skills set and credentials needed to be relevant in a rapidly changing economy. Among many in the younger generation there is perceived to be no intrinsic value in joining an assn; you buy what you want and move on, even if it means paying a nonmember price. These trends have certainly created a changed scenario for the assn world, but not a totally bleak one. Despite what is happening to the majority, some assns are actually seeing their membership grow. Some assns have indeed benefited from these trends and increased their membership by pursuing niche strategies. Others seem to have resisted the laws of physics and have grown their programs, publications and finances despite declines in membership. The niche approach includes growth through acquisition - picking off competing assns that have fallen on hard times - or by creating a new assn to serve the needs of a new growth sector in the economy. This approach is not long-term focused - tactical, not strategic. A strategic perspective is needed if an assn is to enjoy any sort of security beyond the next few years. Managers must realize that while the four long-term trends present
undeniable challenges, each also present "critical opportunities"
(I use the 1. Business consolidation is a reality that will continue for the foreseeable future. Rather than pinning their futures on diminishing membership numbers, assns that are thriving are seeking to make themselves indispensable for what they can do that for-profits cannot.<p> Assns can serve as liaisons between government or the public-at-large
and private sector interests; compile industrywide statistics on business,
social, human resource, and other economic trends; design and promote Some assns, seeing declines in their traditional US market, are designing
globalization strategies of their own - taking their considerable
store of 2. The pace of technological change will only continue to increase,
as will its impact on business and professions. Assns that have adapted
best to this have made the change part of their culture. They annually
undertake top to 3. The Internet's impact simply cannot be underestimated. Assn publications are now available through the Internet. Education and training programs, virtual conferences, and networking through listservers and chat rooms are also important services assns can provide. Online testing and certification services are likely to follow. If your assn is not on this train, it should be! 4. Assns that are growing the fastest are measuring growth by users/consumers
of products and services and not members. Rather than trying to fight
this trend of declining membership loyalty, successful assns have
defined themselves according to the market they serve and taken steps
to ensure they serve it well.
Steven M. Worth is president of Plexus Consulting Group, Washington, D.C. E-mail: steve_worth@plexusconsulting.com. |
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