1.E-Renewal Strategies for enhancing member loyalty using the Internet iMa January 2005 Al Anderson, Director Membership Marketing,Minnesota Public Radio Wendy Turner, Director of on-air and online fundraising,Chicago Public Radio Vinay Bhagat, Founder & Chief Strategy OfficerConvio

2. Key Messages

The goal of integrated marketing is to create more value through the combination of channels than each channel creates alone

Impact should be quantified in terms of total impact on member value

3. Observations

Significant growth in member retention rates, especially for first year members

Cost effective online renewal defrays some mailing costs

Online gifts are on average higher

Increased participation in additional gift contributions

Prospect list development and cultivation

4.

Starting Point (2002)

First year member renewal rate: 40%

Multi-year member renewal rate: 73%

No e-newsletter, or way to develop online relationship with members

5,000 member email addresses

No capability for online prospecting for new members/ visitors

Carnegie Museums Case Study 5. Strategy

Created online Member Center and e-Newsletter program

• Online calendar of museum events

• Exclusive benefits to members with email

Engage members with surveys and other interactive opportunities

Promote email to museum visitors

6. Online Member Center 7. Member Center Returning Member View 8. Segmented Email Newsletters 9. Results - Engagement

Email newsletter subscribers say:

E-news keeps them informed:82%

E-news makes them feel more connected:78%

Intend to renew or upgrade:89%

10. Results: Member Retention

Overall first-year member renewals up from40%in 2002 to58%in 2003

Overall Multi-year member renewals up from73%in 2002 to78%in 2003

11. Results: Average Gift In addition, online membership transactions grew from$0in 2002 to$121,000in 2003 to$209,000in 2004 Average online gift is 18% higher than offline 12. How E-marketing Affects Renewal Rates Case Study: Minnesota Public Radio 13. Goals For E-marketing

Keep members up-to-date

Develop additional revenue sources

Reduce expenses

Deliver information to members the way they want to receive it

Enhance renewal rates

Build relationships further with lapsed donors and prospects

14. Member E-mail Newsletter

Sent twice monthly plus special issues.

Includes two sponsor messages which generate over $60,000 in underwriting.

Friends email sent to Lapsed Members and Prospects.

15.

Message is short, and has a specific purpose

Simple plain text message

Embedded ask amount

Focuses on valuable programming and eliminating paper renewals and waste

Subject line is: Your MPR Membership Renewal

Email Renewals 16. Email Renewal Message 17.

Dont send renews to your standard pledge form, build one specifically for renewals

Personalize the ask amount

Email Renewal Results 18. Renewal Form on Web NumberEmailed %Response Avg. Gift Feb. 2004 1,554 4.83% 123.25 $Mar. 2004 2,135 7.59% 127.31 $Apr. 2004 1,774 5.64% 119.28 $May 2004 949 6.43% 124.11 $Jun. 2004 754 7.69% 140.03 $July 2004 3,520 5.43% 133.17 $Aug. 2004 3,055 6.28% 140.54 $Sept. 2004 2,771 5.77% 131.53 $Oct. 2004 1,567 5.17% 148.38 $Nov. 2004 2,709 6.64% 161.50 $Dec. 2004 5,528 5.23% 148.65 $Jan. 2005 1,323 8.31% 126.15 $27,639 6.51% 136.95 $ 19.

Renewals due the first six months of 2004

Sample includes 39,411 members up for renewal

New members up for first renewal 4,841

Members who had renewed at least once up for renewal 34,570

Sorted by those who have given an email address vs. those who have not

How Renewal Rates Are Affected by E-Marketing 20. Results Email No Email Increase with Email New 49.12% 43.14% 13.86% Renewed 1+ 81.61% 79.15% 3.10% 21.

Ask during on-air fund drives

Ask on your renewal form

Append opt-in email addresses from outside databases

Ask in your membership packages

Require them to sign-up for giveaways

Require them for web site registration

Obtaining Additional Email Addresses 22. Renewal Insert To Acquire Email Addresses 23.

Use outside email address service for address correction and address append.

• www.freshaddress.com Trudy Glidden 617-965-4500 ext. 204

Additional Resources 24. O penA ll N ight Round-up, Renew, and Upgrade Members Online, Even While Youre Sleeping Case Study: Chicago Public Radio 25. The Fundraising Pie Direct Response Solicitation The Rest of the Time 26. Help Move People to Online Giving Revenue Trend 27. Theyre Going There Anyway 28. And They Give More Average gift 29. And They Renew Pretty Well First Year Renewal 30. And They Upgrade Really Well Snapshot of First Time Renewals From Fall 2003 Pledge Drive If They Renewed by Mail or On-Air: renew amount flat If They Renewed Online:40% Upgrade revenue. 2821 New Members48% Renewed 31. Web Site Fundraising Open For Business Online Campaigns E-Renewals E-Update Using Mail and Telemarketing 32. Online Campaigns June 2004 July/Aug 2004 Oct Dec Feb 05 Tis The Season Support Chicago Public Radio with An End of Year Contribution.Pledge Now Pledge Now and Shorten the Fall DriveNovember 09-19 2 days off so far! Pledge a dollar a day for someone you love 33. E-Renewals 34. E-Update 35. Using Mail and Telemarketing 36. Wendy Turner [email_address] Al Anderson [email_address] Vinay Bhagat [email_address] Questions