Presentation Title (24 point Arial; color = white)

1. Presentation Title (24 point Arial; color = white) Section Title (12 point Arial; color = white) Membership Marketing SummitNovember 17, 2011

2. Agenda • 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

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

4. 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

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

6. How SHRM Recruits and Engages Members • Interactive Marketing • Enhance microsite • Leverage Presentation maker • Word of mouth / Viral campaigns (MGAM, YouTube, Blogs) • Leverage conference interactive work (where applicable) • E-mail • > 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 • .49% response rate (up from .47%) • Join+ Reinstate • Drive to landing pages JOIN ENGAGE RENEW • Live Events • 23 national events (including SHRM’s) – down from 27 in 2009 • 65 state/chapter events* • 5 regional town hall meetings* • Chapter meetings* • Online Advertising • Banner ads on 6+ HR web sites & e-newsletters, Facebook, etc. • Acquisition/prospecting • SEM with 400+ word buys / mth • Drive to microsite • Print Advertising • 6 publications • 4 main message points • Drive to microsite * Managed solely by Member Engagement ©SHRM 2011

7. The Hierarchy of Importance 50% of the success or Failure of a marketing program Depends on who you market to

8. 1. Awareness • Does every HR person in your area know about SHRM and your chapter??? • Fact: 6 Touches before you reach level of consciousness • You don’t know what is important to them • You don’t know where to find them

9. Trends from the 2011 Membership Research

10. 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

11. To Do’s • 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 • Develop a Budget – How much can you spend? • Determine the Media – How are you going to reach them? • Implement Campaign • Build a Process to Track Responses – How did we do??? • If you aren’t tracking, you aren’t learning

12. Define the Market • What are the industries that dominate your locality? • Size of Companies? • White Collar? Blue Collar? Pink Collar? • Union Shops? • Other Defining Characteristics?

13. Define the Value Proposition • Definition • What is the vision? • What is the value? • What is the connection? • What Business is your chapter in?

14. Determine the Offer The deal you're presenting to the prospect • The offer can be: • “Buy one get one Free” • Introductory price of $9.95“ • The most important thing to an offer is that it be clearandconcise. • People really like free • An offer is best when it has a deadline. • Keep it simple: A confused mind always says "no” What SHRM Chapters are offering now • Discounted dues (i.e. - $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

15. Create Message and Call-to-Action • Grab their attention • Speak personally – from me to you • Describe benefits and show the value to the recipient • Askforthejoin – • 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 …..”

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

17. Determine the Media • What are the ways to connect with potential members?? • It depends on what you want them to do • Different methods are better for different actions • What is it you want the person to do?? • Join • Come to a meeting • Buy something • Pay for a seminar • Exchange contact info for valuable content

18. Most Effective Recruitment Methods Source: 2011 MGI Benchmarking Study

19. Direct Mail Components • Outside Envelope (OE) • Getting them to open the envelope • Letter • Present the Offer, Make the Personal Ask (I am 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) • Make it easy to respond

20. Best Practices – Reply Cards & Landing Page 1. Focus on a single call to action, such as a download or a demo. 2. Content – Give it to them straight. 3. Call to Action – Forms – Don’t to ask too many questions up front. 4. Confirmation/ Thank You

21. E-mail Advice • 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 • Try not to send attachments, as those e-mails are often blocked by recipients’ ISPs. Post files on your website and provide links instead.

22. 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 • Continually 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 – REALLY IMPORTANT!!

23. SHRM E-mail Samples

24. Social Media used by Chapters Source: Chapter Survey, Nov 2010

25. Using LinkedIn • Reach new influencers and acquire new members through online recommendations and word of mouth. • Keep in touch with influencers who are engaged with your chapter. • Build your industry network—online and in person. • Grow influence by answering questions in your area of expertise. • Network with peers in your industry to establish your chapter and you as HR professionals as thought leaders and influencers. • Convince potential customers of your expertise by sharing unique content.

26. Media Planning – FREE!! • Announce meetings in local business journals • Press releases to local newspapers

27. Engagement • They Joined!! Now what?? • Cultivate a one-to-one relationship • A planned, methodical process of engaging a new member • Remind them of how to access benefits • What is important to them? Ask them…then remember what they told you • Have new-member “radar” • A 2-way conversation

28. Member Engagement Source: Chapter Survey, Nov 2010

29. Ideas for Welcoming New Members • Ideas for welcoming new members • Welcome e-mail to new members • Mailed welcome letter or member kit • Membership card or certificate • Welcome phone call • With follow up information by email • Special discounts • Announcement of new members at next chapter meeting • New member webcast or online chat • Send link to recorded welcome video • from Chapter President

30. A Sample SHRM Engagement Plan

31. Renewals • In 2010, 7% of people who did not renew their association membership said their reason for not continuing was “I forgot.” • First Year members renew from 45% - 55% • Didn’t see the value? • Didn’t take advantage of the benefits? • No follow-up from SHRM chapter? • Renewals are a function of the success of the Engagement process • Have you cultivated the member so that their decision to renew is a no-brainer?

32. Trends from the 2011 Membership Research

33. A Sample Renewal Series

34. Renewal Series used by Chapters Source: Chapter Survey, Nov 2010

35. Reinstatement Expires are your best prospects • How long after a member expires do you continue to let them receive benefits? • In general, after the grace period the process is working to reinstate the former member • Find out why they let their membership lapse • Be sensitive that they were once a member when recruiting them back • Two-way communication in between renewal and reinstatement

36. Track the Results – Learn from the Past • Know how you did, so you can do better next time • How to track? • Include a promotion/source code field in your member database • Have promotion code as part of your application process, online and in print • Include promotion codes on emails or other offers and if possible • Have different promotion codes for each distinct audience and offer delivery method

37. Google Analytics • Free tool 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

38. Google Analytics Data • Number of Visitors • How long visitors spend on your site • Popular and problem pages • Search engine keywords being used to find your site • Referring website traffic • Conversion data (how many visitors are becoming members)

39. Determine the Budget • Members are multiple year revenue streams. The economics of membership. Think 2-3 year programs • Spending to earn and justifying a budget. Lifetime Value ROI • How much can you invest to get a member? • What does success look like? • Are your expectations reasonable??

40. Economics of Membership • Steady state analysis • Lifetime Value (LTV) • Renewal Rate

41. Free Download Download a free copy of the full report at: www.MarketingGeneral.com

42. FREE Marketing Resources • Visit the Direct Marketing Association website for good marketing resources at www.the-dma.org • Privacy information can be found at www.the-dma.org/privacy • Sites with good marketing tips include • Marketing Profs, www.marketingprofs.com – free newsletter • MarketingSherpawww.marketingsherpa.com – free newsletter • membershipmarketing.blogspot.com • Email Institute www.emailinstitute.com – free newsletter • Smartbrief on Social Media www.smartbrief.com – free newsletter • Additional Information is on the VLRC – Membership section

43. Speaker Contact Info • QUESTIONS??? • Chantal Rotondo • chantal.rotondo@shrm.org • Tracy Liaw • Tracy.liaw@shrm.org • Teresa Sullivan • tsullivan@marketinggeneral.com • Jason Gudenius • jgudenius@marketinggeneral.com