SHRM 2011 Annual Conference & Exposition

1. SHRM 2011 Annual Conference & Exposition Membership Marketing Summit June 25, 2011

2. Today’s Presenters • Teresa Sullivan, Senior Account Director – Marketing General Inc. • Jason Gudenius, Account Supervisor – Marketing General Inc. • Lisa Diener, Director, Membership Marketing – SHRM • Tracy Liaw, Membership Acquisition Coordinator – SHRM • Will Taliaferro, Partner - GMMB

3. Topics We’ll Cover • Membership Lifecycle • Direct Marketing Overview • Sources of Prospective Members • Determining the Value Proposition, Offer and Message • Marketing Mediums and Best Practices • Member Engagement and Renewal • Tracking and Budgeting

4. What We Want You to Get Out of This • The ability to get a better understanding of the membership marketing process • The chance to ask questions of people that do this for a living • The chance to spend more time on the things that are important to you • Other areas you would like to cover?

5. What is Direct Marketing Direct marketing is defined as an interactive process of addressable communication that uses one or more advertising media to effect, at any location, a measurable sale, lead, retail purchase, or charitable donation, with this activity analyzed on a database for the development of ongoing mutually beneficial relationships between marketers and customers, prospects, or donors. Along with mass advertising, direct marketing allows organizations to inform potential customers, create brand awareness, or spur immediate purchase behavior. In addition, direct marketing enjoys certain advantages over mass advertising such as measurability, accountability, efficiency, and higher return on investment.1 In Layman’s Terms: Methodically marketing to an individual by addressing his or herparticular needs, using a specific call-to-action that produces measurable results 1 Direct Marketing Association

6. An Overview of Marketing Channels Face-to-face Events Telephone E-Mail and Text Messaging Marketing Channels Search Engine Marketing Radio Online Advertising Direct Mail Social Media

7. How SHRM Recruits and Engages Members • Interactive Marketing • Enhance microsite • Leverage Presentation maker • Word of mouth / Viral campaigns (MGAM, YouTube, Facebook) • Email • > 60 acquisition messages to 670M non-unique recipients • > 320+ retention messages to 8.2MM non-unique recipients • > 55+ expiration messages to 97M non-unique recipients • Direct Mail • 101+ lists • 5.4MM + 130M pieces • 90-100 unique packages • Join+ Reinstate • Drive to landing pages JOIN ENGAGE RENEW • Live Events • 23 national events (including SHRM’s) • 65 state/chapter events* • Regional town hall meetings* • Chapter meetings* • Online Advertising • Banner ads on HR web sites & • e-newsletters, Facebook, LinkedIn, etc. • Acquisition/lead generation • SEM • Drive to microsite • Print Advertising • National and local publications • 4 main message points • Drive to microsite * Managed solely by Member Engagement

8. SHRM Chapter Recruitment Methods Source: SHRM Chapter Survey, Nov 2010

9. Chapter Recruitment Methods • “Other” Answers Included: • Exhibiting at Trade Shows, State council events • Members bring a guest to free meetings, lunches, etc • Free prospective member receptions or other special events • Free first year membership to newly certifieds • Free first year membership to SHRM National members • Host certification study groups

10. Where Do We Start? • Identify your goals - Number of new members? Renewal rate? Growth percentage? • Develop a Budget – How much can you spend? • Develop a marketing plan – What are you hoping to accomplish? What tactics are you going to use? How and what you are going to measure? • If you don’t have the resources to do the above, AT LEAST create a marketing calendar to identify tactics and timing • Define Market – Who do you want to talk to? Who is likely to listen? • Establish Value Proposition – What is your benefit to them? • Identify Offer – What enticement do you want to give? • Create Message & Call to Action • Determine the Media – How are you going to reach them? • Implement Campaign • Track Responses – How did we do?

11. Determine the Budget • Membership is an investment for multiple year revenue stream • Spend money to make money • What does success look like? • Expectations should be reasonable • What can you afford to spend to get a member? • What investment can you afford to make? • How do you budget today?

12. Sample Marketing Calendar

13. MGI Membership Lifecycle • The five key membership life stages: • Awareness • Recruitment • Engagement • Renewal • Reinstatement

14. Lifecycle Stage #1: Awareness • Does every HR person in your area know about SHRM and your chapter? • What is the reputation of the brand? • 6 touches before you reach level of consciousness • You don’t know what is important to them • You don’t know where they are

15. Trends from MGI’s 2010 Membership Research

16. ASAE’s Decision to Join • The three most important benefits in the decision to join: • Opportunities to network with other professionals in the field • Access to the most up-to-date information available in the field • Professional development or education program offerings • Entry-level people have always been slow to appreciate the value that associations offer. • Private sector employees have the highest proportion of memberships in professional associations at 49.9%, while those • employed in government have the lowest at 10.6%. • 56.2% of those who have never joined say that their • employers do not pay dues. When employers pay • dues, only 17.2% of respondents are never members. • A member’s perception of “value” from an association increases • directly with involvement.

17. Lifecycle Stage #2: Recruitment • Membership is a push product that has to be asked for • Different ways to communicate and demonstrate value • Testing your way to better results • Value not features

18. A. Define the Market • Who are your prospective members? • What are the industries that dominate your locality? • Size of Companies? • White Collar? Blue Collar? Pink Collar? • Union Shops? • Other Defining Characteristics? • Other Research • Bureau of Labor Statistics • States’ Dept of Commerce • Chamber of Commerce • Current SHRM members by title

19. Membership Recruitment Questions • Membership Recruitment Analysis: Questions to Ask • Who is my current audience? • Age range, average age? • Male vs. female? • What company sizes are represented? • What is the experience level? • What industries are represented? • What are current HR challenges? • What is their career focus? • What do they value about their membership? • Who is my prospective audience? • What is my message? • Value proposition of joining a chapter or attending meetings? • What can you offer that others don’t or can’t? (convenience, local content/programs, etc.) • What are the most effective and/or cost-effective marketing options? • Cost vs. return

20. What are the Elements? Creative Design & Copy Offer!! Which is Most Important… …and Why?? Target Audience (List)

21. The Hierarchy of Importance 50% of the success or failure of a marketing program depends on who you market to

22. Prospect Source Ideas • Prospect Sources • SHRM’s at-large members • Your lapsed members • Non-member event attendees • Encourage current members to bring a friend • Invite local businesses to an educational session or coffee break/networking reception • Member-get-a-Member campaigns (reward current members for referrals) • Visitors to your website (offer free content in exchange for their contact info) • Rented Lists (book buyers, seminar attendees, etc) • Local business groups (Chamber of Commerce, small /independent business associations) • Exhibit at state or chapter SHRM conferences or other HR / business tradeshows

23. Prospect Source Ideas • Prospect Sources (con’t) • Social media/online groups (LinkedIn, Facebook, Twitter, etc) • Encourage your members to “Like” your chapter or posting to help spread your company name • Local advertising that drives to a landing page • Let prospects sign up for your chapter’s newsletter • Student Members from Local Colleges/Universities • Good feeder pool into your chapter, and they know other students or recent graduates!

24. Where to get prospect data – Mail, Email, Phone www.nextmark.com

25. A. Define the Value Proposition “Extemporaneous speaking should be practiced and cultivated. It is the lawyers avenue to the public. However able and faithful he may be in other respects, people are slow to bring him business if he cannot make a speech.” From Lincoln’s notes for a lecture intended to advise younger lawyers how to best succeed (July 1, 1850)

26. Define the Value Proposition What is the VISION? What is the VALUE? What is the CONNECTION?

27. Developing Your Value Proposition • What are the Key Strengths of your chapter? • What adjectives come to mind to describe your chapter? • What does your chapter have to offer? • What problem can your chapter solve for the HR professional? • Call to Action. What should the listener do as a result of hearing this?

28. What Is a Good “Elevator Speech”? • The 30 second speech (aka elevator speech) is several things: • a communication tool; it will help you articulate your chapter’s message • a sales tool; it will help you recruit members or customers • Most importantly, it is a teaching tool • Does it elicit questions from your audience • Have you “hooked” them? • Did you “close the deal”

29. Elements of a Good Value Proposition • Never use a long word when a short word will do • If it’s possible to cut a word, cut it • Use the active voice not use the passive voice • Never use: • a foreign phrase (depending on audience and context) • a scientific word • acronyms without also using the spelled out name • jargon

30. Exercise #1 Breakout session What is the value of SHRM chapters? What would the difference be if recruiting at both chapter & national level?

31. B. Messaging Value Proposition • Messaging to at-large members • Chapter Strengths: • Conferences, Meetings, etc. • Local networking • Accessibility • State specific information • SHRM’s Strengths: • National/global information • Website access/information • Broad-based professional development offerings • Resources (worldwide networks, research, etc) • Brand awareness • Knowledge Center • Depth of content through webcasts, online chats, etc. • Global research and publications

32. Reasons to Join a Chapter • Provides a network of professional peers you can turn to for support • Helps you establish relationships and contacts with your local HR community • Excellent way to gain valuable information on state and local labor market conditions and issues • Unique opportunity to develop leadership skills 32

33. C. Determine the Offer • The offer is the product you're presenting to the prospect with a call-to-action • The to ”sweeten the deal” to get individuals to try your product, you can offer: • buy one get one free • introductory price of $9.95 • free white paper or research • premium with purchase • extended membership period – 13 months for 12 • The most important thing to an offer is that it be clear and concise. • An offer is best when it has a deadline • A confused mind always says "no" -- KISS Direct-mail.org

34. Determine the Offer • Messaging Offer • Use a deadline – create a sense of urgency • Try discounts or promotional giveaways as extra incentive • Offering more helps (15 months for 12) • Payment methods: • Credit cards will increase response rates • Bill-me options increases up-front response rates • Offer First and Multiple Year Discounts • Negative messaging often works- what will they miss, not accomplish, not be aware of, etc • Local legislative/compliance issues are a good draw • Track responses and return on investment by initiative

35. Offers Currently Used by Chapters • Discounted dues (ie, $25 off or free first year for SHRM members) • Free first meeting, lunch, etc • 15 months for the price of 12 • Drawing for large prize (iPad, etc.) • Promotional Items Source: SHRM Chapter Survey, Nov 2010

36. D. Create Message and Call-to-Action • Grab their attention • Speak personally – from me to you • Describe benefits and show the value to the recipient • Ask for the join – tell the person what you want them to do • Create a sense of urgency • P.S. Recap the offer in a P.S. • “Respond by <date> and get <benefit>” • “Discount good through <date>” • “Offer good while supplies last” • “First 50 people get …..”

37. Copy – Looks Easy…Really Hard • Direct mail copy is very easy to write. Good direct mail copy is just plain hard... • Knowledge of the audience • Knowledge of the subject • Sincerity of purpose • One-to-one communication • Touch an Emotion • Testimonial Campaign – talk to your members and ask them why they belong to your chapter. • WIIFM- “What’s in it for me” is more relevant than stating all of the benefits to prospects. • Customize as much as possible • Always be testing! Test different messages and designs and measure success. "Effective Direct Advertising" by Robert Ramsay. 1921

38. Copy Elements • Refined value proposition (current control message) • Personal appeal (i.e., Pam’s sig. – “one former HR practitioner to another” and a known Officer • Legislative / compliance • Issues determined monthly in conjunction with Gov’t Affairs team • Healthcare, EFCA, FMLA, immigration / I-9, and others • Regional / state non-leg issues (ex. natural disaster-related, etc.) • Industry-specific • Young professionals • Geography • HR function issues • Industry • Company size issue / small business • Title / career level positioning • Conduct concept testing with new messaging strategy (Copernicus direction) • Testing premiums with membership (books / SHRMStore discount / free HRCI practice test) • Offer discounts of $10 instead of $15 for some first-time members Custom Landing Pages

39. Exercise #2 Breakout session Using the value proposition statement and benefits, craft a recruitment message 39

40. E. Design – 9 Essential Rules Rules to Remember • Plain Jane can win • Photos must support copy and convey benefits • Copy is king in direct response letters • Every component must sell • Good design in direct response is not achieved by whim • Use action colors • Every design feature must sell • A direct mail letter should be computer-produced • The more items in a direct mail package, often the more responsive it is www.entrepreneurs.about.com

41. Which Brought in More Members? • A.

42. Which Brought in More Members? Plain Jane Wins Again!

43. Direct Mail • Outside Envelope (OE) • Getting them to open the envelope • Letter • Present the Offer, Make the Personal Ask (Iam asking You), Clearly Show the Price • Reply Card – the most important component! • Affirmation (YES! I want to stay on top of HR changes) • Repeat the offer, state the deadline • Payment options • Reply Envelope • Business Reply Envelope (BRE) or • Courtesy Reply Envelope (CRE)

44. E-mail • E-mail Formats • Clear call to action at top and bottom • Include deadline for action (shorter deadlines create urgency) • Design for text and html versions • Personalize/segment • “From” line : Limit to 16-20 characters • “Subject” line: • Include organization name • Limit to 45 characters • Avoid spam alerts (Free, !!!, etc) • Proofread, spell-check • Clean layout • Use professional design and/or copywriting when possible

45. E-mail • When possible, use e-mail software where you can download reports, such as delivery, open and click through by url. Metrics to track: • Open Rates • Click-through rates • Response/conversion Rates • Try not to send attachments, as those e-mails are often blocked by recipients’ ISPs. Post files on your website and provide links instead. • Continuallly test! • Subject line • Message content and appearance • Date, time sent • Email blasts must have an opt-out • Be as specific as possible on the opt-out and make a phone, reply e-mail and address available • CAN-SPAM compliance – REALLLY IMPORTANT!!

46. Sample acquisition e-mails

47. Best Practices - Landing Page • Focus on a single call to action, such as a download or a demo. Distractions kill conversions. • We are educating our prospects and highlighting pain points in bite size chunks. Warming leads up to better qualify them for Sales. • Content – Give it to them straight. • Make it clear and to the point, but give your prospects a reason to give you their information. • Setup the problem, talk about the solution (your offer) • Deliver the goods (such as a white paper, video demo or webinar registration) • Use bullet points - they are easier to read

48. Sample Landing Pages

49. Landing Pages • Call to Action – Forms – Remember not to ask too many questions up front. • You don't need everything the first time a prospect engages with you. Remember you are building a relationship. Collect more information as the prospect continues on the journey with you. • Confirmation/ Thank You – • It's just plain good manners to say thank you. Do you have something else they might be interested in? Make another offer. • See if they bite. Taking you up on a second offer could be a sign of a cold lead moving to warm.

50. Google Analytics • Free tool to use to track emails, links, webpages, etc • Tutorials can be found on youtube • Track your emails and links online to see what people are clicking on and going to with G.A. URL builder