Association Chapter Membership Pricing– Looking to 2024
Updated: Feb. 5, 2024 | Categories: Membership, Revenues
Increasing prices is an essential part of an association chapter’s ability to survive; they should be adding a small increase every year to adjust for inflation. But, because of all that happened as a result of COVID-19, many association chapters have held their prices steady for the past several years. Still others extended their membership terms, giving members 18 months for the price of 12 or forgave dues altogether for members, either across the board or on a case-by-case basis. Many kept prices the same for dues, events, trainings, educational sessions etc. They wanted to make it easier for members they knew were going thought tough times, as they watched their, or their partners’, work hours get cut or worse, lose their jobs.
However, just because association chapters kept their prices the same doesn’t mean that their costs weren’t going up. The cost of many goods and services have continued to increase, from food and gas to technology and even paper and printing. Association chapters are finding themselves at difficult crossroads, and some are in tough financial situations: they have to increase their prices if they want to stay in business.
How can they raise prices, keep their members and make their chapter interesting and viable for new association chapter members?
Does that sound like your organization? Have you kept your association chapter prices the same for a while and you’re considering price increases in 2024? This is a situation that many association chapter boards and their committees don’t know how to handle, as they need to understand what’s going on and have the tools to address it appropriately.
How can you show members and member guests that, even when association chapter prices are higher, they want to be members of your chapter? Keep these three ideas in mind and you’ll make your price increase a lot easier for everyone to manage, whether they’re the ones paying the new prices or the ones sharing the news about the increase.
3 Ways to make association chapter price increases easier for everyone
1. Show the value. People join your association chapter for a variety of reasons. An upcoming association chapter price increase is a good time to remind your members of all the important things you offer and the value they get from being a member of your chapter. Telling members you offer continuing education and networking isn’t enough. Highlight service offerings your members may not know about or remember, like an association chapter job board, mentorship program or experiential events. Share this information in your marketing materials, on your website [FR1] and in your social media. People have so much going on in their lives; your association chapter is most likely not top of mind. Tell them multiple times and through multiple channels.
2. Communicate in advance. The last thing you want to do is raise your association chapter prices without any notice, especially if that increase is significant. Can you imagine the response you’ll get if you tell members on a Friday that prices will be going up on Monday? To help members better understand and accept an upcoming price increase, give them plenty of notice. How much notice will depend on the amount of the increase. The higher the increase, the more notice they’ll need. In physical letters, phone calls, emails, your newsletter as well as in meetings and even on social media, explain the increase, how you calculated it and why you’re doing it.
3. Phase it in slowly. If you’re planning an association chapter increase that’s more than a few dollars or if you’re increasing prices after having kept them the same for a while, consider phasing the increase in over a period; it could take a few months, or it could even mean a year or longer. It’ll also be easier for members to accept an increase if they don’t have to pay for it all at once. You could offer members the option of postponing the increase to their next fiscal year (or the chapter’s fiscal year), to make it easier on their budget. And remember, even if your association chapter price increase is phased in slowly, you’ll need to communicate it in advance. Don’t wait for members to realize you’ve increased prices to share why you’re doing it. To make it a little easier you could also offer a discount, like a free month of membership, free entrance to an event, etc., for those who accept the price increase by a certain date.
Make your price increase about value and not dollars.
When you increase prices, you’re still going to lose a few people, no matter how much you show the value, communicate in advance and phase in this price increase.
The important thing to remember is not to make the increase as a result of inflation and rising costs your “why.” Of course, that’s part of the reason, but if you focus instead on the value you’re providing and all you do to meet members’ needs, you’ll be much more successful. The increases probably won’t make members happy, but if you can continue to demonstrate the value of membership in your chapter, it’ll make those increases much easier for them to swallow.
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