Clubs have many communications responsibilities that span across a variety of areas. Unlike more traditional businesses that advertise and want to appeal to the masses, private clubs must take a different approach to generate revenue. They have a select membership and therefore have a responsibility not to customers, but to members—to keep them satisfied, informed and engaged. This includes appealing to and understanding their unique needs. To do so, clubs need to have communications practices that can be effective in today’s world. Here is a look at the latest communications trends impacting clubs.
Challenges
Membership-based organizations, including clubs, have a unique set of communications issues. Association Adviser’s 2015 report, “Association Communication Benchmarking Study” identified key communications weaknesses and strengths for associations (see chart).
The common theme throughout these challenges is the pairing of appropriate communication with the audience. The issue is not that organizations are providing too little information, but too much of it. In fact, the most frequently cited communications challenge for associations in 2015 was too much clutter, with 66 percent of respondents claiming to have this problem. That figure was down from 2014’s rate of 70 percent. Perhaps related to this issue, customizing communications to different member subgroups impacted more than half (53.6%) of these member-based organizations in 2015.
Also a common problem for respondents was the “inability to understand member needs,” suggesting that member surveys and other initiatives to learn more about what members want are necessary.
| Top Association Communications Challenges | |||
| Challenge | 2014 | 2015 | Change |
| Information overload/clutter | 70% | 66% | -4% |
| Communication member benefits effectively | 55.3% | 59% | +3.7% |
| Customizing communications to different member subgroups | 45.6% | 53.6% | +8% |
| Overcoming technical barriers to reaching members | 44.7% | 44.50% | -0.2% |
| Helping members find appropriate information | 47.8% | 41.9% | -5.9% |
| Keeping members informed about news event and programs | 34.1% | 30.3% | -3.8% |
Source: Association Adviser’s 2015 report, “Association Communication Benchmarking Study
Important for clubs, which may have members who are less tech-savvy than those audiences in other industries, struggling to overcome technical barriers to reach members was another top communications challenge in 2015 (44.5%) remaining virtually the same from 2014 (44.7%). With technology continuing to seep into daily life, addressing the issue will have increasing importance.
Technology
Technology is one of the primary drivers in how the communications landscape is changing. Today, data and messages are instantly sent from one device to another, creating new channels and, more importantly, higher expectations from consumers.
Social Media
It is well known that social media has proliferated society in many areas. Today, social media usage is not limited to Millennials and other younger generations. According to DMN3, a marketing agency, 82.3 percent of Americans ages 60 to 69 use at least one social media platform. Like other demographics, Facebook is the dominate website with 82.3 percent of those surveyed saying they use it. Next on the list are LinkedIn (35.3%), Pinterest (34.4%), Google+ (32.2%) and Twitter (30.6%).
What do Boomers use social media for? The poll showed that 57.1 percent of respondents visit the company website after visiting one of its social media pages, 47.6 engaged with the site (“liking,” sharing or commenting) and 46.4 percent watched a video about the topic.
Across all demographics, more Americans are using social media to get news. According to Pew, the percent of users who get their news from Twitter rose from 52 percent in 2013 to 63 percent in 2015. For Facebook, that number increased from 47 percent in 2013 to 63 percent in 2015. For Americans ages 35 and up, 65 percent get news from Twitter, and for Facebook, that number is 57 percent.
Social media has influenced how people get their news, but it is still considered a secondary source for many. However, for those ages 18 to 34, roughly half said social media was an “important” or the “most important” way to get news.
Member communications continue to be a challenge, however it is important to know where membership-based organizations stand in relation to other industries. According to Constant Contact, the average open rate and click-through rate for emails by membership organizations (civic/social clubs, associations, etc.) are 19.57 percent and 8.92 percent. To compare these rates with other industries, see the chart below.
Email Open Rates
| Business Type | Open Rate | Click Through Rate |
| Accommodations (ex.hotel, inn, B&B, campgrounds) | 19.34% | 7.83% |
| Fitness Center/Recreation | 17.71% | 8.06% |
| Non-profit | 21.90% | 8.63% |
| Restaurant, Bar, Café, Caterer | 16.44% | 5.15% |
| Salon, Spa, Barber | 14.79% | 4.73% |
| Travel and Tourism | 15.19% | 8.52% |
Source: Constant Contact
Usage Rates of Email Marketing Campaigns and Their Effectiveness
Source: “2015 State of Marketing,” Salesforce
Source: “2015 State of Marketing,” Salesforce
Mobile
Mobile devices supplanted desktop and laptops as the top way people access the internet in 2013, says comScore, an online measurement specialist. On average, U.S. adults spend 2.8 hours on their mobile devices while only spending 2.4 hours a day on more traditional computers, reports eMarketer. However, that does not mean people have abandoned their desktops. Data from comScore suggests that desktop usage is still growing, though slightly, and that mobile devices have opened up new times for internet usage, increasing the total time people surf the web.
Phones and tablets are also increasingly becoming the primary way to open emails. According to Litmus, an email analytics company, just 8 percent of emails were open via mobile devices in 2011. As of February 2016, that number jumped to 55 percent.
It is then no coincidence that responsive email formatting for smartphones, opposed to static designs, is becoming increasingly popular and useful, says Forbes. These design templates include “tappable” buttons, a single-column design, limited use of navigation bars and a font size of at least 13 to 14 pixels. Also, because mobile users are often “on the go,” it is important for messages to be succinct and give readers a strong call to action.
Apps are ubiquitous among American companies. A study by Forrester Research, a market research company, shows that 88 percent of companies have at least one app for their business. More and more hotels and resorts are programming their apps to allow users to book and check-in/check-out as well as make special room requests, dining reservations and various appointments all from their phones. At Starwood Hotels & Resorts, travelers can use its app for 24-hour live video assistance from the hotel’s support team. These apps allow for “friction free” communications between hotels and their clients, which requires minimal effort from guests.
Visuals
Visual communications increases views and engagement with a variety of media. According to HubSpot, 65 percent of individuals prefer emails that contain mostly images compared to just 35 percent who prefer mostly text. For Twitter and Facebook, posts with images saw a dramatic increase in interaction from audiences.
Videos also have a dramatically increased in popularity and usage. According to Ooyala, a video technology company, mobile video plays rose above 44 percent by mid-2015, a 74 percent increase over 2014. Simply using the word “video” in an email subject line increases open rates by 19 percent and click rates by 65 percent, reports Syndacast, a leading digital marketing firm. The company predicts that 74 percent of all web traffic will be video by 2017.
Big Data and Analytics
The use of analytics and metrics to measure communication effectiveness is growing in importance and use. According to the “State of Analytics Report,” a 2016 survey by Amplitude, a mobile analytics provider and consultant, 86 percent of executives and marketing managers said analytics played an important role in their business decisions. Popular email marketing providers like Constant Contact, Mail Chimp and others often provide basic metrics in their subscriptions. On social media, platforms like Facebook, Twitter and LinkedIn provide free metrics on views and clicks.
It has become increasingly important for hotels and other hospitality organizations to incorporate analytics into their communications. These companies are taking advantage of “big data,” the collection of large and complex data that require additional analysis to reveal patterns. Often, companies have a high volume of this data but have not yet utilized its capabilities, says Forbes.
At cutting-edge hotels, big data is being used to create member profiles. These profiles can identify high-use travelers versus those who do not use many facilities and services. The information is also being used to identify peak and low usage times at hotels to optimally price services. Denihan Hospitality, a U.S. hotel chain, combines hard and soft data to profile guests and uses the information to rearrange rooms and provide different amenities to cater to business and leisure activities. This data is also used to offer coupons and programs tailored to guest preferences. These are also examples of friction free initiatives.
Integrated and Comprehensive
Big data and the use of an integrated and comprehensive approach can help organizations effectively communicate. According to Salesforce’s “2016 State of Marketing Report,” leading marketers adopt a “customer journey strategy,” which analyzes all touch points a customer has with a business. By doing so, top marketers are also successfully connecting with customers over a variety of channels. Top performers also make use of big data via predictive analytics. Also known as predictive intelligence, this method uses algorithms to anticipate audience desires and provides a recommendation based on the data. Data from Salesforce shows that predictive analytics can boost email click rates by 35 percent and conversion rates by 25 percent.
Snail Mail
Though much is said about digital communications, direct mail is still an effective tool to reach out to audiences. U.S. organizations spent $46 billion on direct mail in 2014—up from $44.8 billion in 2013, reports the Direct Marketing Association. Among people ages 45 to 54, 14.1 percent respond to direct mail. Among 18 to 21 year olds, a significant 12.4 percent responded to direct mail in 2013. Also, because households receive fewer individual pieces of mail today than just a few years ago, direct mail pieces have the potential to stand out more. Some research shows that it is more personalized than a mass email.
Understanding Today’s Member
Clubs have a diverse set of members, all with different needs and presences on various communications channels. To effectively reach out to them, clubs should make efforts to better understand their membership and identify the best way to make contact.
Club Trends Spring 2016