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The State of Digital Marketing for Associations 2017

The State of Association Marketing Benchmark Study is now in its fourth year. From its inception, the study’s purpose has been to help associa- tions become better at marketing. To do this, the study inventories associ- ation marketing practices and through analysis attempts to identify those associated with the highest level of marketing effectiveness. The importance of member understanding has continued to emerge as a key success factor in association marketing. A deep member under- standing is crucial for many reasons, not the least of which is so asso- ciations can better allocate their budgets. Those associations that have certainty about the needs of their members will allocate line items in their budget to better serve them.

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The State of Digital Marketing for Associations 2017

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  1. The State of Digital Marketing for Associations 2017 IN DIGITALMARKETING ASSOCIATIONS THE STATE OF

  2. Table of Contents Introduction Executive Summary The State of Association Marketing Association Marketing Capabilities & Tactics Strategy Ownership, Execution & Measurement Digital Marketing Portfolio Tasks & Skills Metrics & Analytics Budget & Resources Analyst Bottom Line Acknowledgements Appendix: Survey Background 3 5 7 9 19 22 25 28 31 38 40 42 Table of Contents Introduction Executive Summary The State of Association Marketing Association Marketing Capabilities & Tactics Strategy Ownership, Execution & Measurement Digital Marketing Portfolio Tasks & Skills Metrics & Analytics Budget & Resources Analyst Bottom Line Acknowledgements Appendix: Survey Background 3 5 7 9 19 22 25 28 31 38 40 42

  3. 3THE STATE OF ASSOCIATION MARKETING | [OVERALL SECTION][CURRENT SECTION] Introduction THE STATE OF DIGITAL MARKETING IN ASSOCIATIONS 2017 3THE STATE OF ASSOCIATION MARKETING | [OVERALL SECTION][CURRENT SECTION] Introduction THE STATE OF DIGITAL MARKETING IN ASSOCIATIONS 2017

  4. The State of Association Marketing Benchmark Study is now in its fourth year. From its inception, the study’s purpose has been to help associa- tions become better at marketing. To do this, the study inventories associ- ation marketing practices and through analysis attempts to identify those associated with the highest level of marketing effectiveness. The importance of member understanding has continued to emerge as a key success factor in association marketing. A deep member under- standing is crucial for many reasons, not the least of which is so asso- ciations can better allocate their budgets. Those associations that have certainty about the needs of their members will allocate line items in their budget to better serve them. Past studies have seen slight, incremental movements in most measure- ment categories. This 2017 study saw more significant movement compared to past studies. One area of movement was in average budget sizes, where across the board decreases were seen. HighRoad Solution chief marketing officer Suzanne Carawan shared some insight about the possible reason why, which this report will reveal. This study takes a broad look at the issues shaping the association marketing landscape, reports data from a study survey, and provides anal- ysis and commentary to help association marketing improve. INTRODUCTION THE STATE OF DIGITAL MARKETING IN ASSOCIATIONS 2017 4 The State of Association Marketing Benchmark Study is now in its fourth year. From its inception, the study’s purpose has been to help associa- tions become better at marketing. To do this, the study inventories associ- ation marketing practices and through analysis attempts to identify those associated with the highest level of marketing effectiveness. The importance of member understanding has continued to emerge as a key success factor in association marketing. A deep member under- standing is crucial for many reasons, not the least of which is so asso- ciations can better allocate their budgets. Those associations that have certainty about the needs of their members will allocate line items in their budget to better serve them. Past studies have seen slight, incremental movements in most measure- ment categories. This 2017 study saw more significant movement compared to past studies. One area of movement was in average budget sizes, where across the board decreases were seen. HighRoad Solution chief marketing officer Suzanne Carawan shared some insight about the possible reason why, which this report will reveal. This study takes a broad look at the issues shaping the association marketing landscape, reports data from a study survey, and provides anal- ysis and commentary to help association marketing improve. INTRODUCTION THE STATE OF DIGITAL MARKETING IN ASSOCIATIONS 2017 4

  5. 5THE STATE OF ASSOCIATION MARKETING | [OVERALL SECTION][CURRENT SECTION] Executive Summary THE STATE OF DIGITAL MARKETING IN ASSOCIATIONS 2017 5THE STATE OF ASSOCIATION MARKETING | [OVERALL SECTION][CURRENT SECTION] Executive Summary THE STATE OF DIGITAL MARKETING IN ASSOCIATIONS 2017

  6. 6EXECUTIVE SUMMARY THE STATE OF DIGITAL MARKETING IN ASSOCIATIONS 2017 Participants in the study were from membership, trade, company, and non-profit associations. They represent a variety of roles and departments within their associations, the largest groups being marketing (31 percent) and communications (16 percent). The membership size of associations participating in this study ranged from less than 100 to more than 50,000. The associations in this study that rate their effective- ness as “Somewhat” or “Very” effective is 76 percent, a 5 percent increase year-to-year. Of the 13 marketing capabilities most commonly found within associations, on average associations claimed to have just over six of them. Just 14 percent have 10 or more of these capabilities, and almost one-fourth have three or fewer of these capabilities. Over two-thirds of associations studied claim to under- stand their member needs well, and this understanding correlates to how associations allocate their budgets. Just over one-fourth of the study participants report that members perceive association marketing and communi- cation efforts as “Always relevant and professional.” Associations that have a good member understanding are twice as likely to also report their member communica- tions and marketing efforts are perceived as “always rele- vant and professional.” The analysis of associations contributing to this study provides these key findings about the current state of association marketing: Association marketing effectiveness has less to do with what tactics are being used, and more to do with how well they are used. Associations in the study are for the most part doing the same things, but some are much better at it. The difference seems related to skills or execution and not the choice of tactics. More associations are leveraging social media adver- tising with back-to-back yearly increases in Facebook and Twitter paid advertising. There has been an increase in almost every category of marketing metrics usage from the previous year’s study. The average, estimated association marketing budget has gone from $260,000 (2015), to $240,000 (2016), and finally $205,000 in this year’s study. This report details the results and insights from the analysis of the study data. For more detail on the survey participants, please refer to the Appendix. 6EXECUTIVE SUMMARY THE STATE OF DIGITAL MARKETING IN ASSOCIATIONS 2017 Participants in the study were from membership, trade, company, and non-profit associations. They represent a variety of roles and departments within their associations, the largest groups being marketing (31 percent) and communications (16 percent). The membership size of associations participating in this study ranged from less than 100 to more than 50,000. The associations in this study that rate their effective- ness as “Somewhat” or “Very” effective is 76 percent, a 5 percent increase year-to-year. Of the 13 marketing capabilities most commonly found within associations, on average associations claimed to have just over six of them. Just 14 percent have 10 or more of these capabilities, and almost one-fourth have three or fewer of these capabilities. Over two-thirds of associations studied claim to under- stand their member needs well, and this understanding correlates to how associations allocate their budgets. Just over one-fourth of the study participants report that members perceive association marketing and communi- cation efforts as “Always relevant and professional.” Associations that have a good member understanding are twice as likely to also report their member communica- tions and marketing efforts are perceived as “always rele- vant and professional.” The analysis of associations contributing to this study provides these key findings about the current state of association marketing: Association marketing effectiveness has less to do with what tactics are being used, and more to do with how well they are used. Associations in the study are for the most part doing the same things, but some are much better at it. The difference seems related to skills or execution and not the choice of tactics. More associations are leveraging social media adver- tising with back-to-back yearly increases in Facebook and Twitter paid advertising. There has been an increase in almost every category of marketing metrics usage from the previous year’s study. The average, estimated association marketing budget has gone from $260,000 (2015), to $240,000 (2016), and finally $205,000 in this year’s study. This report details the results and insights from the analysis of the study data. For more detail on the survey participants, please refer to the Appendix.

  7. 40THE STATE OF ASSOCIATION MARKETING | [OVERALL SECTION][CURRENT SECTION] Acknowledgements THE STATE OF DIGITAL MARKETING IN ASSOCIATIONS 2017 40THE STATE OF ASSOCIATION MARKETING | [OVERALL SECTION][CURRENT SECTION] Acknowledgements THE STATE OF DIGITAL MARKETING IN ASSOCIATIONS 2017

  8. 41 About HighRoad Solution We created our business out of the desire to always do the right thing and to work with good people. HighRoad Solution was created to provide quality services and communication software products to the not-for-profit market so that they could go out and do the right thing for good people. We’re proud of our commitment to excellence and our track record of supporting hundreds of organizations who share our same values. We invite you to get to know us and experience a different level of care and quality. To learn more about HighRoad, please visit: www.highroadsolution.com About Demand Metric Demand Metric is a marketing research and advisory firm serving a membership community of over 100,000 marketing professionals and consultants in 75 countries. Offering consulting methodologies, advisory services, and 500+ premium marketing tools and templates, Demand Metric resources and expertise help the marketing community plan more efficiently and effectively, answer the difficult questions about their work with authority and conviction and complete marketing projects more quickly and with greater confidence, boosting the respect of the marketing team and making it easier to justify resources the team needs to succeed. To learn more about Demand Metric, please visit: www.demandmetric.com. Demand Metric is grateful to HighRoad Solution for sponsoring this benchmarking study and for those participants that took the time to provide their input to it. ACKNOWLEDGEMENTS THE STATE OF DIGITAL MARKETING IN ASSOCIATIONS 2017 41 About HighRoad Solution We created our business out of the desire to always do the right thing and to work with good people. HighRoad Solution was created to provide quality services and communication software products to the not-for-profit market so that they could go out and do the right thing for good people. We’re proud of our commitment to excellence and our track record of supporting hundreds of organizations who share our same values. We invite you to get to know us and experience a different level of care and quality. To learn more about HighRoad, please visit: www.highroadsolution.com About Demand Metric Demand Metric is a marketing research and advisory firm serving a membership community of over 100,000 marketing professionals and consultants in 75 countries. Offering consulting methodologies, advisory services, and 500+ premium marketing tools and templates, Demand Metric resources and expertise help the marketing community plan more efficiently and effectively, answer the difficult questions about their work with authority and conviction and complete marketing projects more quickly and with greater confidence, boosting the respect of the marketing team and making it easier to justify resources the team needs to succeed. To learn more about Demand Metric, please visit: www.demandmetric.com. Demand Metric is grateful to HighRoad Solution for sponsoring this benchmarking study and for those participants that took the time to provide their input to it. ACKNOWLEDGEMENTS THE STATE OF DIGITAL MARKETING IN ASSOCIATIONS 2017

  9. 44THE STATE OF ASSOCIATION MARKETING | [OVERALL SECTION][CURRENT SECTION] © 2017 Demand Metric Research Corporation. All Rights Reserved. www.demandmetric.com Follow us on Twitter Like us on Facebook Join Linkedin Group Google Plus 44THE STATE OF ASSOCIATION MARKETING | [OVERALL SECTION][CURRENT SECTION] © 2017 Demand Metric Research Corporation. All Rights Reserved. www.demandmetric.com Follow us on Twitter Like us on Facebook Join Linkedin Group Google Plus

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