Author:
iSeatz
Language:
English

The Benefits of Belonging: An Analysis of Membership-Based Organisations & Their Constituents And Loyalty Strategies

March 2024
Marketing

The term “membership organisation” is broad, encompassing a variety of associations and businesses ranging from trade groups to warehouse clubs to civic societies. These groups of individuals and the organizations that serve them share many commonalities and offer many distinctions from commercial loyalty programs.

But what are those commonalities and differences? What motivates members of these organisations, and how do organisations engage them? Can travel rewards and other loyalty strategies have the same impact on these consumers as they do on people who sign up for points-based programs offered by consumer brands?

These are a few of the questions we set out to answer through a survey of membership organization professionals and consumers in the United States who belong to a membership-based organization. We aimed to examine and gain insights into these groups and the consumers who subscribe to them. After conducting the survey, we identified several key themes related to member and subscriber needs, organisational priorities, and challenges.

First and foremost, the survey data reveals a different set of priorities and preferences for members and organizations than what previous iSeatz research has revealed about consumers and commercial loyalty program professionals. While value and money-saving are still important factors for this group of consumers, another important motivator is their connection with the organisation. Whether they belong to a professional association so they can network with others in their field to advance their career or a social/service club to volunteer or expand their community, consumers who belong to membership organizations are driven by shared interests and values at a greater rate than consumers who belong to more traditional loyalty programs.

While, to some extent, member-based organizations do recognize these interests and strive to deliver a valuable membership experience to their constituents, it’s clear they haven’t focused on what major consumer brands have already realized – that a compelling loyalty program can spur member engagement and boost revenue – even if the organisation itself is not related to travel or rewards.

The fact that major consumer brands are already integrating travel rewards into their loyalty and customer retention strategies – including some, like the travel benefits now offered by Walmart+, that straddle the line between loyalty and membership – means there’s plenty of competition, but also growing awareness and expectation of travel rewards. This signals an expanding market for travel-related benefits, a development that membership-based organizations can capitalise on.

Contents:

  1. The Mechanics of Membership
  2. A Different Type of Consumer
  3. A Different Type of Business
  4. Disconnects: The Member vs. the Organisation
  5. The Opportunities
  6. The Privileges of Membership

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The Benefits of Belonging: An Analysis of Membership-Based Organisations & Their Constituents And Loyalty Strategies

March 2024
Marketing

The term “membership organisation” is broad, encompassing a variety of associations and businesses ranging from trade groups to warehouse clubs to civic societies. These groups of individuals and the organizations that serve them share many commonalities and offer many distinctions from commercial loyalty programs.

But what are those commonalities and differences? What motivates members of these organisations, and how do organisations engage them? Can travel rewards and other loyalty strategies have the same impact on these consumers as they do on people who sign up for points-based programs offered by consumer brands?

These are a few of the questions we set out to answer through a survey of membership organization professionals and consumers in the United States who belong to a membership-based organization. We aimed to examine and gain insights into these groups and the consumers who subscribe to them. After conducting the survey, we identified several key themes related to member and subscriber needs, organisational priorities, and challenges.

First and foremost, the survey data reveals a different set of priorities and preferences for members and organizations than what previous iSeatz research has revealed about consumers and commercial loyalty program professionals. While value and money-saving are still important factors for this group of consumers, another important motivator is their connection with the organisation. Whether they belong to a professional association so they can network with others in their field to advance their career or a social/service club to volunteer or expand their community, consumers who belong to membership organizations are driven by shared interests and values at a greater rate than consumers who belong to more traditional loyalty programs.

While, to some extent, member-based organizations do recognize these interests and strive to deliver a valuable membership experience to their constituents, it’s clear they haven’t focused on what major consumer brands have already realized – that a compelling loyalty program can spur member engagement and boost revenue – even if the organisation itself is not related to travel or rewards.

The fact that major consumer brands are already integrating travel rewards into their loyalty and customer retention strategies – including some, like the travel benefits now offered by Walmart+, that straddle the line between loyalty and membership – means there’s plenty of competition, but also growing awareness and expectation of travel rewards. This signals an expanding market for travel-related benefits, a development that membership-based organizations can capitalise on.

Contents:

  1. The Mechanics of Membership
  2. A Different Type of Consumer
  3. A Different Type of Business
  4. Disconnects: The Member vs. the Organisation
  5. The Opportunities
  6. The Privileges of Membership