Mark is the Executive Director of an association that focuses on assisting school districts with their busing. His target market is the management of these faculties to whom he offers services so that they do their jobs better.
He’s got two major challenges. The first is that he needs as many bus districts to sign on as possible to give clout to their programs as well as for political reasons. The second is that there are many districts were the operator is also the mechanic, the driver on two routes, and the coordinator of all the other ancillary jobs. About 25% of his 760 prospects fit this category.
Compounding these two issues is that he expects a large portion of the operators to retire in the next 5 years placing new candidates in the position who may or may not renew. Statistically the industry says the younger are less likely to pay the new invoice.
I asked Mark to play pretend. Picture in front of him is a 32-year old new operator who’s part of a consolidation in the district so he’s got two jobs instead of one. He asks, “why should I join?”
The summarized version is…
“We offer a mentor program were we assign a mentor that helps you through the year with everything from working with the Department of Motor Vehicles to purchasing new trucks. Additionally, you get a monthly newsletter with tips on how to do your job better, and lastly, there is a conference.”
“How much are the dues? “
“$100 for the main membership and we try to hook you up with a local group and that may be $20.”
“For the year?”
“Yes.”
Something’s wrong if you can’t get someone to sign up for a chapter with all these benefits for only $100. What’s wrong is the packaging. Mark has been selling products instead of benefits tied to the higher value.
There is only one high reason that someone would sign up and that’s to save money. The organization can’t make the group money (they can help with negotiations and packaging for funding.) However, the key here is that what they do saves time and energy, which translates to money…and money is something they can put in the bank.
What Mark needs to do to meet this higher value is to “monetize” what they do.
It’s as if the association asked you to place $100 in a slot machine. In return, the association would guarantee you’ll get back $17,000. Would you do it? Of course you would. In the association’s case, you can’t pay anyone $100 to work with you for the year and help you in the manner in which this organization can do.
Mark has to start selling like those infomercials. “Kerry and Sue make $5000 per month in their spare time!”
By joining the association, the same happens.
Next, Mark still has the 25% issue of the single operators who can’t participate in the other functions due to limited personnel. Here, he must tip the scales even further. He has to deliver a value to the member even though they don’t attend. For example, he can do the following.
• He can offer a telecast series that will focus on saving money for the operator. The series’ file is placed as an MP3 on the association’s website for down load. When someone joins, they get 12 months AND the archives! You’ve seen telecasts from $25 to $99 on the web. Mark can also offer a one-page tip program. Each month he will send you one thing that that an operator can do to save money. It’s concisely spelled out on one page and it includes something that can be completed in the month.
What he’s doing is delivering more value than the $100 so that if the person never shows, he or she still gets valuable benefits of membership. Remember he still gets the mentor, the newsletter and the access to the conference.
In the end, it’s about the model and how you tip the scales. Is your association offering more value that what you charge in ways to meet the needs of your audience. Done right, $100 is pennies or even better, insignificant.
Want to top it all off. Offer to the operator if they don’t get $100 worth, you’ll spend a day in their shop.