Membership Dues: Analysis of NCMA Dues Structure and Rates

1
Membership DuesAnalysis of NCMA Dues Structure
and Rates

• Cambria Tidwell
• Director of Operations
• 7 November 2009

2
History
3
Market Price Comparison

• Compared to adjacent professional membership
  associations.
• Project Management Institute (PMI)
• Institute for Supply Management (ISM)
• National Institute of Governmental Purchasing
  (NIGP)
• APICS The Association of Operations Management
• Society of Cost Estimating and Analysis (SCEA)
• Association of Proposal Management Professionals
  (APMP)
• National Property Management Association (NPMA)
• American Institute of CPAs (AICPA)
• American Bar Association (ABA)
• Based on regular membership rates, average of
  comparison associations (174.83) vs. NCMA
  (110.00)

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Market Price Comparison Matrix
5
Net Effect of A Type Change Dues Increase
6
Net Effect of a Type Change Dues Increase

• Without a professional market research effort, we
  cannot predict the number of members we would
  lose due to dues increases or gain due to the new
  types available.
• Estimated increase of dues and change in
  membership types 227,990 increase in revenue.
• Notes
• 1 Majority of Associate members will move to New
  Professional rate, plus a percentage of the
  Regular members.
• 2 Organizational membership prices are
  negotiated prices shown are estimated average
  per member.
• Complimentary members are not shown as they are
  provided at no cost and therefore do not affect
  the revenue calculations.
• Affinity program not shown.
• Projections do not include the Member Pro Vita
  category, as of 26 Oct 41 people have become MPVs.

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Points of Discussion

• New Professional Type limit at age 30 or 35?
• 9.7 of membership age 30 or under, 58,000/yr
  median salary
• 15 of membership age 35 or under, 63,000/yr
  median salary
• Average age of current Associate members 31.5
  y.o.
• Retired Type increase to 50 or 75?
• Cost to maintain member for one year 65.
• Benefit for years of membership?

8
Points of Discussion

• Student Type increase to 25?
• Potential lack of perceived value.
• Current association trends.

9
Points of Discussion

• Rate increases in general potential loss of
  members?
• No significant decline in member numbers in the
  last increase (effective July 1, 2007).
• No significant increase in renewal rates prior to
  the last increase (prior to July 1, 2007)
• Lapsed member survey does note price as the 1
  reason to not renew membership.