It's time to think differently when it comes to how private clubs approach membership marketing. This presentation from the World Conference of the Club Managers Association of America outlines our framework for how to change the game.
5. Moneyball Synopsis
‣ True story about Oakland A’s 2002 season
‣ Team lost all their star players and must rebuild with
limited resources
‣ GM Billy Beane carries daunting task of winning
against teams with triple the budget
‣ Beane recruits intern-turned-assistant GM Peter
Brand who has radical new ideas about how to win
5
The Premise
6. 7
DON’T BUY PLAYERS…BUY WINS
For Billy, the question was, "Which actions
correlate most strongly to winning games?"
The Answer: Instead of focusing on buying
players, they needed to focus on buying wins.
In order to buy wins, they needed to buy runs.
In order to buy runs, they needed acquire
players that could get on base.
7. Moneyball Synopsis
8
An Unfair Game?
Key
Player
Evaluation
Criteria
Team
Payroll
Home Runs
Batting Average
Stolen Bases
RunsBatted In
Confidence / Potential
On Base Percentage
Undervalued / Known
ExpensiveAll Stars “Island of Misfit Toys”
$125,928,583
(2002)
$40,004,167
(2002)
8. Moneyball Synopsis
9
Outcomes
‣ A’s finish first in the AL West
• Won a record 20 straight wins
• Won as many games as the Yankees (103)
- Yankees = $1.4 million per win
- A’s = $260,000 per win
‣ Red Sox take note
• Adopt the A’s Moneyball philosophy
• Win World Series in 2004 (first time since 1918)
10. 11
The collected wisdom of baseball insiders over the
past centuryis subjective and often flawed.
11. Moneyball Ground Rules
12
Lessons
Think differently…learn to see the game in a whole new way.
Depend on information to predict success.
Measure what matters.
Reverse the 80/20 principle.
Recruit the right players.
1
2
3
4
5
12. Moneyball Ground Rules
13
Lessons
Develop and stick to a game plan.
Use winners’ secrets from outside your circle.
Convince the doubters / filter the noise.
Lowering costs can improve performance.
You don’t have to win every game.
6
7
8
9
10
13. 14
PARALLELS?
Moneyball is all about maximizing limited resources. It's
about optimization, for which the key is to find the one factor that
matters most and focus on optimizing that.
14. Membership Marketing Moneyball
15
Look at the problem differently
End Goal Wins
Moneyball Private Club
Members
Starting Point
Score Runs Sales Process
Get on Base Generate TargetedLeads
Field a Team Identify Prospective Audience
Scouting Reports Market Data
21. 22
It’s unbelievable how much you don’t know about
the game you’ve been playing all your life.
- Mickey Mantle
22. Understand the Audience
23
Geography
How Do We Target People WithinA
Realistic Drive Time?
How Do We Target People In Our Area? vs.
Population Density Drive Times / Traffic Patterns
23. Understand the Audience
24
Demographics
Source: National Golf Foundation
61% of CurrentMembers FirstJoined Their
Club at Age 30-49
Millenials = Age 19-34
Gen Xers = Age 35-49
How Do We Get Our Members To
Recruit New Members?
vs. How Do We Attract Younger Members
Now In Their ‘Joining’ Years?
24. Understand the Audience
25
Socioeconomics
Occupation
‣ Employer
‣ Industry/ Profession
‣ Job Title
‣ Seniority
Education
‣ Education Level
‣ Degree(s) Earned
‣ Schools Attended
Wealth
‣ Net Income
‣ DisposableIncome
‣ Net Worth
How Do We Target People Who Can
Afford Our Club?
How Do We Target People BasedOn
Culture, Society and Lifestyle Match?
vs.
25. Understand the Audience
26
Psychographics
‣ What do they like about your club?
‣ What do they like about your competitor'sclub?
‣ What made them decide to buy your membership?
‣ What had they heard about your club prior to buying?
‣ What are their hobbies?
‣ What emotional aspects impact their purchase?
‣ Who is the actual decision-makerfor this type of purchase?
‣ What values and attitudes play a part in this type of purchase?
Can We Compete With Other Clubs In
Our Market?
What Makes People Want to Buy A
Membership At Our Club?
vs.
26. Understand the Audience
27
Member Experience
How Do We Get Our Members to
Support the Club?
What Do Our Members Enjoy
About the Club?vs.
27. Understand the Audience
28
Tapestry Segments
Source: ESRI
The Tapestry Segmentation system
classifies US neighborhoods based
on their socioeconomic,
psychographic and demographic
compositions into
65 unique Personas.
28. Understand the Audience
29
Building Personas
=
Demographics Age, Gender, Income, Race, Ethnicity
+
Personas
Socioeconomics Wealth, Education, Occupation
Psychographics Activities, Interests, Opinions
Geography Location
Experience History, Intuition
Imaginary Versions of Your
Prospective Members
29. Understand the Audience
30
Example Persona – “Pacific Heights”
Geography Demographics Socioeconomics Psychographics
‣ High rent districts
of California and
Hawaii
‣ Small, affluent
neighborhoods;
densely populated
‣ Live within 5-10
miles of work
‣ Median Home
Value $472k (3x)
‣ 68% own homes
‣ Homes built pre-
1980’s
‣ Primarily married
couples
‣ Median age 39
‣ 1.6 children
‣ Asian-Pacific
Islander
‣ Median income
$79k
‣ Net worth $270k
‣ Dual income HH
‣ Unemployment
10.5%
‣ 60% over age 25
have attended
college
‣ 1 in 3 hold a
bachelor’s or
graduate degree
‣ 44% earn income
from investments
‣ Health conscious
‣ Shop for
essentials at Wal-
Mart or Target
‣ Often shop at
upscale retailers
‣ Take annual
vacations (Vegas,
Disneyland)
‣ Enjoy watching
baseball
‣ 36% play golf at
least 1x per mo.
‣ Young affluent
small families
‣ Place a premium
on security, time,
and connection to
peers
‣ Budget conscious
but will pay for
quality
‣ Learning or
improving golf
30. Understand the Audience
31
Data Gathering – Resources
‣ History
‣ Membership Surveys (Entrance, Existing, Exit)
‣ Real Life Interactions
‣ Social Media Interactions
‣ Facebook Graph Search
‣ US Census (www.census.gov)
‣ Economic and Social Research Institute(www.esri.com)
‣ GeographicInformation
‣ 2010 Census
‣ Business, Consumer and Lifestyle Data
‣ Market Potential (Sports& Leisure, Recreation, etc.)
‣ TapestrySegments
35. Generate Targeted Leads
36
The Playing Field
1.2 Billion Users Worldwide
178 Million Active in US (56%)
Teens (13-17) on Facebook
have declined -25.3% over the
last 3 years.
Over the same period of
time, 55+ has exploded with
+80.4% growth in the last 3
years.
Source: Facebook
36. Generate Targeted Leads
37
The Playing Field
Worldwide: 260 million users
US: 84 million users
(22% of all internet users 18+)
1 in every 3 professionals on the planet
is on LinkedIn
40% use daily
Content is 6x more relevant than jobs
65% of companies have generated at
least one lead using LinkedIn
Source: LinkedIn, Pew Research Center
37. Generate Targeted Leads
38
Time to Change the Batting Order
‣ Digital Prospecting
‣ Promoted Social Content Campaigns
‣ Organic Social Content
‣ Community Networking
‣ Member Referral Programs
‣ “Traditional” Marketing
Offline Online
Resources Return Resources Return
Reverse the
80/20 Principle
38. Generate Targeted Leads
39
The Lineup
Digital
Prospecting
Promoted
Content
Organic
Content
Search for Prospects
Send Messages / InMail
Need Personal Account(s)
Consistently Post Great Content
Engaged Fans / Organic Awareness
Need Club Profile Page + Content
Outbound
Create Targeted Campaigns
Prospects Request Follow Up
Need Club Profile Pages
(No Facebook Posts Required)
Inbound
Social
39. 40
You Don’t
Need to Have
An Active Presence
on Facebook or LinkedIn
To Benefit From
Lead Generation
41. Generate Targeted Leads
42
Digital Prospecting
Facebook Graph Search
“People who are interestedin…”
“People who are connectedto…”
“People who like what people connectedto…”
“Interests likedby people who like…”
“Pages liked by people who like…”
“People who follow people who like…”
44. Generate Targeted Leads
45
Digital Prospecting
LinkedIn Advanced Search
Location
Current / Past Company
Industry
School
Non-Profit Interests
LinkedIn Groups
Years of Experience
Job Function
Seniority / Title
Company Size
Fortune (50-1000)
49. Generate Targeted Leads
50
Promoted Social Content Campaigns
Goal = Drive TARGETED Traffic to Lead Capture Form
Landing Page (instapage.com) Club Website
55. Generate Targeted Leads
56
Promoted Social Content Campaigns
Facebook
‣ 4. Advanced Targeting – Third Party Data Partners
Facebook marketing partners
have access to third party
partner data
Correlates user data to online
and offline consumer behavior
Used in combination with all
other Facebook targeting
56. Generate Targeted Leads
57
Promoted Social Content Campaigns
Facebook
‣ 4. Advanced Targeting – Lookalike Audiences
‣ Email / Phone Number Only ‣ Secure Match (Encrypted) ‣ Facebook Audience Does Not Include People
In Your Database – Just People Like Them
(Connections, Interests, etc.)
57. Generate Targeted Leads
58
Promoted Social Content Campaigns
Facebook
‣ 5. Campaign Budget (Bidding and Pricing)
Make sure to set
a LifetimeBudget
Bid for clicks
(not impressions)
Pricing is based on maximum you are willing to payfora clickforthe defined
audience. Actual pricing is determined based on competition forthat audience.
62. Generate Targeted Leads
63
Promoted Social Content Campaigns
LinkedIn
‣ 3. Create an Account with LinkedIn Campaign Manager: www.linkedin.com/ads
‣ Does not require Company Page
‣ Displays ads at top and right margins of
desktop screen
‣ Can use LinkedIn Lead Generation
‣ Promotes content posted to Company Page
‣ Displays directly in users news feeds
‣ Mobile friendly
Good Better
64. Generate Targeted Leads
65
Promoted Social Content Campaigns
LinkedIn
‣ 5. Create the targeted audience for the campaign
Location
Company Name
Industry
Company Size
Job Title
Job Function
Seniority
School
Skills
Groups
Gender
Age
65. Generate Targeted Leads
66
Promoted Social Content Campaigns
LinkedIn
‣ 6. Set payment options, budget and duration for campaign
Cost per click is usually
recommended over cost per
impression
Set a daily budget and a total
campaign budget
Set a hard stop date
66. Generate Targeted Leads
67
Promoted Social Content Campaigns
LinkedIn
‣ 7. Monitor results – run variations to test forwhat works
Clicks
Impressions (Campaign
Reach)
Click Through Rate (CTR)
Minimum 0.75%
Data!
67. Generate Targeted Leads
68
Campaign Design Secrets
1. People Buy Based On Emotion First…Then Logic
2. Always Appeal to Decision Makers
3. Impute Brand Quality Through Quality Visuals
4. Be Friendly…Use Plain English
5. Limit Selling! Generate Interest (Inform & Entertain)
72. Generate Targeted Leads
73
Organic Social Content
Summary
‣ Social content strategy has multiple benefits
‣ Make daily updates to web page / collateral
‣ Club controls message
‣ Member engagement
‣ Promotedcontent + organic content = PB&J
‣ Improvedclose rates
‣ Lower promotedcontent costs
73. Generate Targeted Leads
74
Organic Content Secrets
1. FB Posts Between 12-3pm Have Highest Engagement
2. FB Posts Between 3-5pm Have Highest Unique Reach
3. Develop a Posting Calendar Organized By Persona
4. Use Filters and Editors For Images (Picmonkey.com)
5. Don’t Post Club Posters / Flyers!
76. Optimize Sales
77
General Sales Statistics
‣ 25% of Sales People Make a Second
Contact and STOP
‣ 12% of Sales People Only Make Three
Contacts and STOP
‣ Only 10% of Sales People Make More
Than Three Contacts
‣ It Takes Up to 8 Attempts to First Reach
a Prospect (in 2007 it took 4 Attempts)
‣ Most Sales People Give Up After2
Attempts
‣ 2% of Sales Are Made on the First
Contact
‣ 3% of Sales Are Made on the Second
Contact
‣ 5% of Sales Are Made on the Third
Contact
‣ 10% of Sales Are Made on the Fourth
Contact
‣ 80% of Sales Are Made on the Fifth to
TwelfthContact
48% of Sales People NEVER Follow Up With a Prospect
Lifestyle Purchases Require Even More “Touches”
77. Optimize Sales
78
Process
1. Touch Point Strategy
‣ Formal Strategy Outlining the Lead Nurturing Process
‣ When do you reach out to prospects?
‣ Who will follow up with prospects?
‣ When do you send membership information / pricing?
‣ When do you send a membership application?
‣ What information is captured?
‣ What is the role of other club staff / members?
‣ What happens aftera member joins?
‣ Defines the criteria for qualifying prospects
‣ Ensures proper objection handling
‣ Identifies barriers to entry / helps to minimize silent objections
Nurtured Leads Make 47% Larger Purchases
78. Optimize Sales
79
Process
2. CRM
‣ Facilitates touch point management and
lead nurturing
‣ Helps to optimize sales time
‣ Builds a marketing ‘dataset’
‣ Socioeconomics
‣ Psychographics
‣ Sales Feedback
(Lead Sources, Objections,
Sales Cycle Optimization, etc.)
‣ Guides informed marketing decisions
79. Optimize Sales
80
Process
3. Moneyball Sales Metrics
‣ Nurture Rates
‣ Leads (1st Base)
‣ Lead to Prospect (2nd Base)
‣ Prospect to Candidate (3rd Base)
‣ Candidate to Join (Home Plate)
‣ Close Rate (Runs)
‣ Member Acquisition Cost (MarketingCost per New Member)
‣ Objections (Strike Outs)
‣ Lost Reasons (Losses)
80. Optimize Sales
81
People
4. Membership Professional
‣ Sales Approach
‣ Consultative (Ask Questions, Don’t Pitch)
‣ Benefits not Features
‣ Training / Market Knowledge
‣ Motivation
‣ Compensation
‣ Feedback / Recognition
‣ Internal Resources
‣ Ambassador Committee
‣ Employees
‣ Marketing Budget
‣ Closing Tools
‣ Clearly Defined Roles & Responsibilities
‣ Recruitment
‣ Retention
‣ Communication
81. Optimize Sales
82
Membership Sales Secrets
1. Best Times to Email Prospects: 8am and 3pm
2. Best Times to Call Prospects: 9am-11am & 4pm-5pm
3. Worst Times to Call Prospects: 11am and 2pm
4. Thursdays are Best Days to Prospect (Weds. #2)
5. Tuesdays are the Worst Days to Prospect