It’s important to know your numbers so you can chart your success.
Membership is a numbers game -- make sure you’re tracking your results with these simple equations.
Renewal Rate
(Current members minus Number of new members) divided by Number of members in the past year
Attrition
1 minus Renewal Rate
Market Penetration
Number of current members divided by Number of potential members
Average Dues Revenue
Total Dues Revenue divided by Number of Members
Average Non-Dues Revenue
Total Non-Dues Revenue divided by Number of Members
Average Cost to Service a Member
Total Membership Expenses divided by Number of Members
Lifetime Value of a Member
(Average Dues + Average Non-Dues) x Average Number of Years of Membership
Keep these formulas handy. Know your numbers!
