The Future of Membership Dues for Associations

01/24/2013 — Scott Frederick

In the January 2013 issue of Association News magazine, Steven Hacker (CAE and former president of IAEE) asks the question: Should the traditional membership-dues model be altered? He cites a few examples of where the National Education Association has lost 100,000 members since 2010; the American Psychological Association has lost 7.6% of its members since 2010; and the American Medical Association now represents only 17% of physicians in the United States.

What is going on? Mr. Hacker contends that several powerful forces are converging in a way that is materially impacting non-profit, membership-based organizations:

• Many membership bases are eroding due to rapidly changing demographics, and a much more diverse population.
• The Internet has become the "go-to" source of information and news, thereby diminishing the importance of trade associations as a primary source of business intelligence (at least for those unable to adapt and filter news in a way that still creates values for members).
• Social media is allowing members to build their own communities based on common points of interest using networks such as Facebook, LinkedIn and Twitter.

The article goes on to conclude that "the traditional premise of a value exchange based on payment of membership dues is rapidly evolving in unpredictable ways." Association leaders must pay attention to the issue to ensure they are adjusting their strategies to deliver a cost-benefit equation to members that helps keep them relevant and maintain control of their organization's future.

Mr. Hacker's contentions are further supported by authors Harrison Coever and Mary Byers, in their provocative and compelling book for associations: Race for Relevance - 5 Radical Changes for Associations. Two of these radical changes include rigorously defining the member market and their needs, and rationalizing programs and services to ensure member programs attract high participation levels and deliver on member expectations.

So what does this all mean to PartnerShip?

As a company that manages association shipping programs - and being owned by a non-profit association ourselves - PartnerShip knows the challenges that association leaders face in rationalizing member dues and creating sustainable, value-based member services. Over our 20-year history, we have constantly worked with our association clients to create, implement, manage, and sustain membership-based shipping programs - over 100 of them today.

What has made our programs so successful is that they combine simplicity, excellent service, and great savings - all while providing services to members that, in most cases, they want and need. This translates into extraordinary value to members, with no cost to the association. The association, in turn, is able to leverage the program to invest in education and other valuable services for members; and the savings that members enjoy can help offset any or all of the dues they must pay to belong to the association.

It truly is a win, win, win scenario, hence our awesome company name ... PartnerShip!

Click the button above to request more information on our services (and check the "New Associations Programs" box if you are interested in a shipping program for your association).