Top Retention Strategies for Online Memberships
Thinking about creating a monthly membership to add to your revenue stream? It’s a great idea,
but before you get too far into your planning, you have to have a solid retention strategy.
Without it, your membership may start out strong, but you’ll soon find it leaking members and
Since the goal with any membership is to earn recurring, passive income, you can see that
losing members isn’t such a good plan. Here’s what to do to prevent it.
Low Introductory Prices Encourage Retention
You’ve likely seen your friends and colleagues – and maybe some competitors, too – launch
memberships with a really low monthly rate, only to raise the price later. There’s a reason
for that – client retention.
Think about it. If you join a membership in the first weeks, and you’re paying $7 or $9 or
even $15 per month, when you see the price hitting $20 or more, you’re more likely than ever
to stay a member. After all, if you cancel and want back in later, you’ll have to pay more,
right? No one wants to pay more for something they’re already getting at a bargain so,
like everyone else, you maintain your membership, even if you don’t always use it.
Surprise Bonuses Keep Members Active
Here’s another great method to keep members happily paying month after month:
unannounced bonuses. Everyone likes a gift now and then, and your members are no different.
When you add an unexpected bonus to their accounts, you’ll reinforce the value of your
membership, and encourage members to stay even if they’re considering canceling.
The reason is simple – they never know when that small monthly payment is going to generate
something truly valuable (and quite unexpected).
Avoid Overwhelming Your Members
But it is possible to go too far, and in doing so, actually drive members away!
Perhaps you’ve been a part of a membership that seemed too large and overwhelming, so much
so that you felt you weren’t really using it at all. Maybe it had a Facebook group and a
forum and a dozen or more training modules and a monthly Q & A call and several software
licenses and on and on.
Whew! Just thinking about digging through all of that is exhausting. So you avoid it.
And so will your members.
Truthfully, you want to plan your membership so that it provides your target audience with just
what they need, but no more. Throwing in dozens of other items just to increase the “perceived
value” will only serve to overwhelm your market, and make her question whether she can even use
all that stuff.
Keeping your members on board long term is a delicate balancing act. It has to do with pricing,
the product or service you provide, how valuable the membership is to her, and a host of other
variables. The bottom line for a low-maintenance membership is this:
Give your members only what they need at a no-brainer price, and they’ll never even think