How Strategic Partnerships Can Transform Your Association’s Non-Dues Revenue

How Strategic Partnerships Can Transform Your Association’s Non-Dues Revenue

Associations have seen a drastic decline in membership dues as a primary revenue source, plummeting from 95.7% in 1953 to about 30% by 2016, and likely lower today. The COVID-19 pandemic highlighted this trend, accelerating the need for associations to seek alternative revenue sources. According to Lead Marvels, generating non-dues revenue has become the top challenge, with associations citing understaffing and limited resources as significant obstacles.

Strategic third-party partnerships can help associations overcome these challenges by providing expertise, managing resources, and offering new revenue opportunities. These partnerships can act as an extension of the association’s team, focusing on generating non-dues revenue through solutions valuable to members. 

However, the article notes that associations must align their values with those of their partners to avoid conflicts between profit motives and mission goals. When well-aligned, these partnerships can efficiently initiate new revenue streams and enhance member value, something most associations struggle to achieve independently.

The article also highlights these key benefits of working with a third-party non-dues revenue partner:

• Expertise and Experience: Partners bring specialized skills that enhance project scalability and effectiveness.
• Resource Management: They allow associations to focus on core activities while managing new initiatives.
• Access to New Networks and Markets: Partners expand the association’s reach and influence.
• Risk Mitigation: Performance-based payment models minimize financial risk.
• Flexibility and Scalability: Partnerships offer the ability to adjust revenue activities as needed.
• Focus on the Future: Partners help associations innovate to meet the needs of younger demographics.

In essence, strategic partnerships can significantly boost an association’s non-dues revenue while aligning with its mission and enhancing member engagement.