PPB July 2019

Market Snapshot Over the past five years, associations have continued to grow in terms of membership, revenue and staff. More than half (53 percent) of associations have experienced a surge in membership, with the median increase hovering around 13 percent, according to the 2018 Membership Marketing Benchmarking Report conducted by Marketing General Incorporated. Most associations (62 percent) have also enjoyed a revenue boost, with a median increase of around 15 percent. When it comes to employees, nearly half of all associations (47 percent) have increased their staff size by a median of 15 percent. These numbers show that professionals in all fields continue to find value in joining associations and professional societies. Professional organizations as a whole topped $25 billion in revenue in 2018, according to an industry market research report from IBISWorld. Some of the biggest drivers of growth in this market segment include growing employment numbers, which increases the potential pool of members, and higher profit margins for companies, making themmore likely to allocate a portion of their budget for employees’ professional development. While growing numbers reveal that companies and individuals continue to see relevance and value in membership, associations and professional societies still face challenges. Most organizations are seeing the average age of their membership increase, indicating a need to connect with a new generation of professionals while still serving more experienced members. Many associations and professional societies also grapple with technology advances, such as artificial intelligence (AI) and blockchain, which have the potential to transformmember dynamics and disrupt entire industries. Four Most Common Types Of Associations Trade associations – These organizations are established by specific industries with the sole purpose of allowing businesses in the same industry to connect with and benefit from each other. Philanthropic organizations – These groups, such as the American Heart Association, give or receive support from money allocated for humanitarian purposes. Non-governmental organizations (NGOs) – These groups, such as the YMCA, are neither a part of a government nor a for-profit business. Instead, they’re usually set up by citizens and may be funded by foundations, businesses and governments. Professional associations – These groups are established to further specific professions and the interests of those who work in them. Source: American Society of Association Executives What Matters To Different Types Of Members Mail-boxers – These members simply want access to information. They desire the benefit of staying generally informed about what’s going on. Shapers – These members want to influence the association and the industry. They want the benefits of participating in strategy and policy decisions that impact their relevant world. Intelligencia – These members want to be on the leading edge. The benefits they seek include intellectual stimulation, thoughtful leadership and advanced learning. Networkers – These members like to spend time sharing their interests with others. They desire the benefits of community, new friends, conversation and business deals. Source: American Society of Association Executives Assoc i a t i ons and Pr o f ess i ona l Soc i e t i es 36 | JULY 2019 | GROW