The Strategy Struggling Member Organizations Get Wrong

A new Italian restaurant opened up near me. The word in the neighborhood was that they spent a few million dollars building the building. They opened with a lot of fanfare, and I was hopeful it would be our family’s new favorite place.

But….

The first time we went, our server was very curt, and the food was meh. The second time we went, the place was somewhat disheveled, our server was downright grumpy, and the food was mediocre. It’s been about a year, and we thought we’d give it one last go. We walked in at 7 PM (they are open until 9), and after some deliberation, the hostess told us the kitchen was closed.

However, this restaurant advertises more than any other restaurant in the area. We get fliers in the mail. They pay for billboards along the highway. Ads are sponsored in the local style magazine. They might as well be throwing their money on a roaring bonfire.

Based on our experiences and those of some friends, I suspect that people see the ads, go, and are disappointed, so they never return.

Often, when I speak with struggling member organizations, people assume that all they need to do is attract more members. However, if they lack an engagement structure, they will encounter the same problem as our neighborhood restaurant: lots of first-timers but few long-term members.

Attracting new members to a sub-optimal experience means those members churn, and the organization is back at square one again. (Or maybe even worse off because these members didn’t have a good experience and will tell others.)

Review your one-year and two-year member retention rates. Are they low? Focus on creating an inviting and engaging experience for new members. Once the structure is in place and successful, then put resources toward attracting new members.