One of the fastest growing business plans nowadays is the membership model. Here, you will allow individuals to access the value your company creates at a small recurring fee. In the past, the membership business model was primarily used by clubs, professional associations, and nonprofits.
It however now suffices for virtually all businesses. The membership model for your business will stabilize your cash flow, decrease your marketing and operational costs, and give you direct feedback from your clients.
Most businesses heavily invest in membership marketing services offered by UK-based firms, but few know how to handle the members they get. Membership management is essential for the realization of revenue from the members you labour to gain.
One of the elements of membership management is data collection. The data you collect from your members will determine the value you will deliver to clients and how you will conduct different aspects of your company.
As such, there are some fundamental principles which should guide your data collection in the membership business model. The following are these principles.
Collect only what you will use
Membership organizations know the essence of their clients’ data. Most are however collecting data which has no impact on their decision making. In these cases, they are stuck with loads of data taking up their available storage space without impacting their profits.
This also leaves crucial information buried under mounds of irrelevant data. Only collect data you plan on using and review your membership forms to guarantee you are not asking for unnecessary information.
Update your data
Most companies only collect their members’ data when they are signing up. Your members’ jobs, interests, and addresses among other elements will, however, change over time.
As your data ages, therefore, it becomes largely inaccurate. You should have a clear strategy on the periodic updating of your members’ information to guarantee it is current.
Describe the impact of the data
Members will only be willing to give you accurate information if you describe the positive impact this will have on their dealings with your company. This is particularly important at this time when people are worried about the security of their personal information and likely to give you false information.
By describing the impact of the data and the security measures you have in place for the information, you are sure of collecting accurate information.
Expand your data collection strategies
You need not to rely on membership surveys carried out once in a while to get crucial information on your members. You can get information on their interests and other details using most of the available technologies nowadays. Webinar registrations, email marketing, and social media marketing are some of the modern platforms you can use to expand your data collection.
While data is essential to all businesses with a membership model, this does not mean any collection strategy will suffice. The above principles seem challenging to follow for any in-house marketing team, but they make a difference between a profitable and loss-ridden business.
Fortunately, there are now companies teeming with experts who can handle all aspects of your membership right from the marketing, data collection and membership management at a small fee.