When you are pushing hard to sell new members into your continuity membership program, there’s going to be some natural churn. Some members are going to jump in without any intention of retaining their membership. Other members will require more time and attention than they are worth. However, most membership programs are making mistakes that increase churn over their natural churn rate. This unnecessary churn costs a fortune.
Over the last year, many membership marketers have taken me up on my offer to have Denise McKinlay on my team produce membership reports for their program. Denise is an Infusionsoft Certified Consultant and has been producing membership reports since I first started using Infusionsoft in 2005.
From pulling and reviewing all of these membership reports over the last year, two big lessons have emerged.
First, in many cases, Denise has been able to discover anywhere from $1,500.00 to $8,500.00 in uncollected membership charges for several clients. This is tens of thousands of dollars a year for memberships that were sold and fulfilled, with no money collected. For a few others, she’s been able to give them the peace of mind that their people are running their membership systems at the highest level of efficiency.
The second big lesson has been how few membership marketers are receiving regular reports on their membership program. Some know how many members they are generating or losing each month, while even these most basic numbers evade many. Only one membership marketer was able tell me his average member retention rate. Yet, he couldn’t tell me in which month he was losing the majority of his members.
On my recent webinars, I’ve taken questions from participants. Many of the questions have been …
“Is my membership program priced fairly for the value I’m providing?”
“Do my monthly benefits provide sufficient value to retain my members?”
“How do I know if my monthly member churn rate is high, normal, or better than average?”
“How do I stop members from joining my program, downloading all my content, and then canceling their membership within the trial period?”
“How do I increase ascension to higher coaching levels?”
The answers to these questions, and many others, are revealed within your membership reports. And, if you don’t have these answers, it’s not your fault. There’s been no training on member retention, and even less on what the necessary membership reports are and how to request or read them.
That is, until now.
If you enjoy your monthly issue of The Skrob Report, you are going to love the Membership Revolution Club. Each month you’ll receive a detailed Membership Retention Report, entry to a two-hour interactive LiveCast workshop, as well as access to me, where I’ll review your materials and provide input. All this, and when you join, I’ll ask Denise McKinlay to pull together a set of membership reports to provide you with critical answers as to what’s going on within your membership program.
To illustrate the opportunity, I’ve included one of the several charts I recently produced for a private coaching client. He currently has 689 members paying $49.00 monthly. At his current monthly churn rate of 11 percent, he’ll have to recruit 1,589 new members to double his membership within the next year. By improving his churn rate to the more natural rate of 5 percent, he’ll only need to recruit 1,102 members. If it costs him $100 to recruit a new member, he’ll save $48,700.00 in marketing expenses to double his membership at a 5 percent churn rate. It’s a huge savings, plus this lower churn rate puts $1 million in annual membership revenue within reach.
If you’d like to bring the membership lifestyle within your reach, check out my Membership Revolution Club. While it can be helpful to you, it’ll be a terrific development opportunity for members of your team, and an opportunity to transform your member program into one that attracts, ascends, and retains more new members. Visit today: www.MembershipRevolution.club.