Membership marketing is an extremely valuable tool for online business owners and internet marketers. It is a great way to create customer loyalty and establish a reliable revenue stream that will help your business grow.
But the value of membership marketing is often times misunderstood. The true value of membership marketing is not the additional sales. It’s not even the cash. The true value of membership marketing is all about the customer.
I know what you are asking. Isn’t the money the ultimate goal, and therefore the “value” of creating a membership site and membership marketing program? Yes, of course there is value in the revenue gained from membership marketing and yes, of course that is the ultimate goal. But the value of the program itself is all about gaining new customers and hanging on to the ones you already have.
Once your customers become members, you have automatically secured “x” amount of dollars. They have agreed to purchase a membership and because of your attractive, discounted offerings, they will most likely produce additional, reliable revenue for you as well by buying your actual products. This is essential.
However, what happens when their membership expires? How do you keep them your customers coming back for more?
The key to customer renewal is… you guessed it! Value!
You must entice with value, deliver value, and entice with value again.
For example, when initially trying to entice a customer to become a member, you may offer a free product as a perk to signing up for your program. People love free stuff! Don’t you?
Once you have made this promise, you then must deliver on it. In other words, make sure you provide them with that product as soon as possible so they know you can be trusted. And finally, reinforce your value by enticing members with value again. Offer them a discount on their next purchase should they choose to renew their membership with you. You may also want to take that opportunity to upsell them to the next membership level, where the discount is even greater.
Incentives are absolutely critical to gaining customers and renewing memberships. Nothing says value more than quality products and service and when you are offering a great deal on great products, your business will succeed.
The incentives you offer should add a high perceived value to your customers without costing you much if any resources at all. You may want to offer a set discount for membership renewal, exclusive free bonus materials for returning members only, or both! Just be careful not to give away everything for free. You must be strategic when offering incentives.
There are many reasons membership marketing is valuable. But customers are at the heart and soul of what makes this so true. Without customers… or even better, members… there is no revenue stream. And without a revenue stream, your membership site has no value. Therfore, the true value of membership marketing is the customer.