How satisfied is your club’s membership? In analyzing survey results from more than 1,000 private clubs, the answer to this question is by far the best indicator of club success. From this one finding we know if a club is delivering its promise. And if it is not, we can detect why. The input from members and spouses (henceforth referred to as members) on overall club satisfaction is divided into the following five degrees of overall satisfaction:
· Very satisfied
· Satisfied
· Neutral
· Dissatisfied
· Very dissatisfied
Based on 30-plus years of survey and club consulting experience, McMahon Group’s database for golf/country clubs shows members’ average overall satisfaction ratings to be:
A key finding shows clubs that deliver member satisfaction at just the satisfied level are most likely struggling today. Being an average club is no way to achieve success in retaining and attracting members. Clubs are expected to deliver a satisfying experience—after all, members are paying for it. However delivering a very satisfying club experience can be unexpected, exciting and highly treasured. In the club world, success is measured by the number of very satisfied members. These members are heavy club users and strong sponsors of new members. The best clubs actually have many more very satisfied members—up to twice the amount compared to the average club in the nation (60% of all members very satisfied for the best clubs as opposed to only 30% very satisfied for the average clubs).
Becoming a Super Satisfier
So how does a club with average overall satisfaction ratings become a super satisfier of members, and why should it? Some time ago the Harvard Business Review identified a very interesting study done by IBM on how to build customer loyalty. IBM wanted to know what was the best and most feasible strategy for moving its customers’ satisfaction up the satisfaction scale from dissatisfied to neutral to satisfied to very satisfied. IBM’s research found it was much easier and more productive to move a satisfied customer to a very satisfied one rather than trying to move a dissatisfied or neutral customer up to the satisfied level. The company discovered that only very satisfied customers were truly loyal, and dedicated to the IBM brand and products. In other words, satisfying customers was all about making them very satisfied.
McMahon Group studies also find that real member loyalty and commitment to a club only comes from the very satisfied club member. A satisfied member expects to have satisfying experiences because he or she paid for it. But providing a very satisfying experience equates to a wow factor. Everyone loves a wow experience, and to be successful it must be consistently delivered in all club offerings and facilities.
From a club’s overall satisfaction chart (see sample above) the greatest potential for improvement is from the 53 percent of members who are just satisfied. To become a super satisfier, about half of a club’s satisfied members need to become very satisfied. The question is, how to do this? The answer is, by concentrating improvements in areas most important to the members. Fortunately a membership survey shows a club’s importance rating similar to what is summarized below in McMahon’s database findings for the averages across all country/golf clubs. The typical importance ranking for country clubs is shown below (in order of importance rating):
1. Dining
2. Clubhouse
3. Golf
4. Social activities
5. Fitness
6. Swimming
7. Youth activities
8. Tennis
So if a club has low satisfaction ratings for dining, swimming and fitness, the highest priority for improvement would be to improve dining first.
Charting Satisfaction
Fortunately when a membership survey is conducted, it is possible to correlate member satisfaction and importance for each major club activity/offering tested. The visualization below shows a Value Boundary Curve Chart™. Every club activity should have a satisfaction score above the Value Boundary Curve™. Anything not above the curve needs improvement.
More importantly this chart reveals that the more important an activity is the higher satisfaction it must deliver to members.
Thus each club activity plays a part in driving high overall club satisfaction. To help visualize this, the table below shows the average satisfaction ratings from McMahon’s national database of clubs. The table shows how very satisfied and just satisfied members typically rate satisfaction with each activity.
Very Satisfied vs. Satisfied Members
The table below shows member satisfaction among very satisfied and satisfied members and the importance ranking for club activities. This information is based on actual survey results from diverse country clubs nationwide.
This table identifies the difference in satisfaction from the two member groups (very satisfied and satisfied) and shows the necessary improvement required to achieve very satisfied status. For most clubs the activity with the most potential for satisfaction improvement is dining, and coincidentally this is almost always the most important club activity to all members.
Identifying the Satisfaction Problem Is One Thing, Solving It Is Another
When a club’s leadership analyzes its own survey results, it will know its strengths and weaknesses in delivering member satisfaction. It will know where to invest effort and funds most wisely and effectively. If a club’s survey shows low satisfaction for dining, the survey’s dining section will clearly show the dining weaknesses. Once identified, it is up to management to develop ways to fix it.
If a survey shows facility deficiencies, there are numerous ways the club can address them. In today’s world of private country clubs, the major satisfaction drivers are making the club a place where members and their families want to spend time and where they can socialize with friends. The following satisfaction drivers are what most clubs are doing to enhance this atmosphere:
1. Improving/expanding casual dining both indoors and outdoors
2. Having a good bar/lounge
3. Adding/upgrading fitness programs
4. Improving outdoor swimming areas
5. Improving golf practice facilities
6. Improving social interaction among members
It is important to note that the facility aspects for the above satisfaction drivers are often only half of the challenge a club faces. The other half is having the programs and staff to run the satisfaction drivers at the high quality level that members demand.
Let’s Drive Satisfaction
Club success begins and ends with satisfied members. But being just satisfied as a member after paying an initiation fee and ongoing dues is not enough anymore. Every club should be striving for very satisfied members. They are the only truly loyal customers who will make a club prosper. Does your club have a “very satisfied” member plan? If not, it is missing the greatest opportunity for being a super satisfier.
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Raising Member Satisfaction Creates Club Success
When the recession hit a few years ago, Briarwood Country Club in Chicago was in a very difficult position (as most clubs were). Member satisfaction was at an all-time low, members were leaving, the initiation fee dropped to zero, the facilities were run down. However, the club needed to act or become another victim of the Recession. The leadership knew that they had to increase member satisfaction among their membership and make Briarwood a special place again so new members would join. A survey of the membership was conducted and pointed out, among many things, that facility enhancements were needed.
The club embarked on an innovative capital campaign during one of the toughest times in our country’s history. The main focus was on the areas that meant the most to members and would drive membership participation and attract new members. Briarwood refurbished their dining areas, added outdoor dining and paddle tennis (which is extremely popular in Chicago).
To be successful, the leadership also realized that they needed to be a year-round operation and not close in the winter, as had been the custom for years. Now those members still in Chicago in the cold winter months had a club to use. The leadership was also aware of what their competitors were doing at this time as many had undertaken expensive capital projects prior to the Great Recession and were now hurting because of it. Many of those clubs are still feeling the Recession’s effects and have not recovered.
What about Briarwood? Kudos to a strong leadership team as they have turned this club around. Membership has flourished from 185 members at the low point to 298 today (close to a waiting list). In addition, the initiation fee is back up to $35,000. Briarwood is now a fun, casual, year-round club for members of all ages and the word has spread across Chicago.
Each club has a unique challenge to grow member satisfaction and engage their membership to be ambassadors for their club. Briarwood understood that the only way to survive was to enhance their offering and give their members a fun, enjoyable experience. They succeeded and are now reaping the rewards.
Raising Member Satisfaction Creates Club Success
When the recession hit a few years
ago, Briarwood Country Club in
Chicago was in a very difficult position
(as most clubs were). Member satisfaction
was at an all-time low, members
were leaving, the initiation fee
dropped to zero, the facilities were
run down. However, the club needed
to act or become another victim of the
recession. The leadership knew that they had to increase member
satisfaction among their membership and make Briarwood
a special place again so new members would join. A survey of
the membership was conducted and pointed out, among many
things, that facility enhancements were needed.
The club embarked on an innovative capital campaign
during one of the toughest times in our country’s history. The
main focus was on the areas that meant the most to members
and would drive membership participation and attract new members. Briarwood refurbished their dining
areas, added outdoor dining and paddle tennis
(which is extremely popular in Chicago).
To be successful, the leadership also
realized that they needed to be a year-round operation and not
close in the winter, as had been the custom for years. Now
those members still in Chicago in the cold winter months had
a club to use. The leadership was also aware of what their
competitors were doing at this time as many had undertaken
expensive capital projects prior to the Great Recession and
were now hurting because of it. Many of those clubs are still
feeling the recession’s effects and have not recovered.
What about Briarwood? Kudos to a strong leadership team
as they have turned this club around. Membership has
flourished from 185 members at the low point to 298 today
(close to a waiting list). In addition, the initiation fee is back
up to $35,000. Briarwood is now a fun, casual, year-round
club for members of all ages and the word has spread across
Chicago.
Each club has a unique challenge to grow member
satisfaction and engage their membership to be ambassadors
for their club. Briarwood understood that the only way to
survive was to enhance their offering and give their members a
fun, enjoyable experience. They succeeded and are now
reaping the rewards.
Club Trends Summer 2015