Association News and Views


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Specializing in strategy and planning for associations and membership organizations since 1990.
 

harrison@harrisoncoerver.com
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 April 2007

 
 

Associations are challenging advertisers and forcing cancellations of ads:

  • The National Restaurant Association criticized insurance company Nationwide on a Super Bowl ad that implied working in a restaurant was demeaning and unpleasant (Association Trends 1/26).
     

  • Another Super Bowl ad showing two auto mechanics locking lips while eating the same Snickers bar was withdrawn after complaints from the Gay and Lesbian Alliance Against Defamation (NY Times 2/18).
     

  • Volkswagen pulled an ad showing a man considering suicide (until he learns that VW has cars under $17,000) due to pressure from the American Psychiatric Association and the American Foundation for Suicide Prevention (USA Today 2/15).

COMMENT: Members expect their association to respond when their interests are attacked or demeaned.
 


 

The NAACP president position is open again. “Several people close to the organization said he [outgoing President Bruce Gordon] thought the board was too meddlesome and did not give him the authority he felt he should have to run the organization.” (NY Times 3/5). The NAACP has a 64-member governing board.

MICROMANAGEMENT: Is color blind.


 
Long flight delays have generated calls for passenger rights legislation. A spokesman for the Air Transport Association says “I don’t think incidents as isolated as this require mandates on operational standards. You have to leave these decisions to the airlines.” (NY Times 2/17)

COMMENT: Right. The airlines will take care of it.

 


 

Nearly 50% of male executives are more likely to request less travel during job negotiations than 5 years ago according to a study by the Association of Executive Search Consultants (USA Today 3/6).

COMMENT: Work/life balancing and the negative flying experience must be having an impact on meeting and convention attendance.

 

The percentage of women employed by associations has grown from 54% in 1980 to 66% in 2005 (Associations Now 1/2007).
 


 

“All organizations are perfectly aligned to get the results they get.”

 

                                Arthur W. Jones


 


 

The IRS has asked 40 charity and foundation employees to pay $20 million in penalties when it determined that the nonprofit executives had been paid excessively (NY Times 3/1). The I.R.S. commissioner in charge of overseeing tax-exempt and government entities says the agency “needed to do more in the area of compensation at nonprofits.”

YIKES!: A procedure to base pay on an analysis of comparable salaries is important.

 



Netflix, the online movie store, has offered a $1 million prize for whoever comes up with a better system for predicting and recommending movies a customer is likely to enjoy (NY Times 1/31). Richard Branson (Virgin Group) and Al Gore have announced a $25 million prize for a project that reduces the planet’s warming gasses (NY Times 2/10).

IDEA: How about a big prize to stimulate members to come up a product or service innovation for the association?

 


 

Technology marches on….

  • Internet ad sales will increase 26% this year to $20.3 billion, while magazine ads will be up 4% to $25 billion (USA Today 2/12). Based on these numbers, an association with a magazine and a website should be getting 45% of ad revenue from its website.
     

QUESTION: Are you getting your share?

 


  • A consultant to the Democratic National Committee believes that by November 2008, the Internet “will be the single largest source of revenue for most presidential campaigns, far out doing direct mail and other sources.” (Herald-Tribune 3/12) In 2004 Howard Dean raised $30 million online.
     

QUESTION: What percent of your fundraising is generated online?
 


  • Social networking sites on the Internet are growing like weeds (NY Times 3/3). “Many of these new online communities cater to niche interests.” Examples include the Portland Trailblazers, Nike, and the University of South Carolina. CBS has social networks for “CSI” and “The Class.”

 

COMMENT: This is a natural for associations.


 

  • How are you doing with webcasts? The Society for Human Resource Management (SHRM) produced 60 webcasts last year that attracted from a few hundred up to 7,000 members (Associations Now 2/2007). Each 60 minute webcast has one sponsor that pays between $13,000 and $19,000 for advertising.
     

CHALLENGE: SHRM says finding quality speakers and sponsors is not easy.
 


 

“The other thing I would recommend in your planning cycle where you develop your annual priorities that you be rigorous about what your top few priorities are – and that should be a very short list. And then for every major priority for the next year, have something that you are going to stop doing.” (Jim Collins, Associations Now 11/2006)

 

Copyright ©2007 Harrison Coerver & Associates-All Rights Reserved
 

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