Boost Member Engagement with Incentives: Discounts vs. Special Access

When it comes to managing memberships and keeping members engaged, offering the right incentives can be a game-changer. Two of the most popular incentive strategies are discounts and special access. Both can help you build stronger relationships with your members, but which one works best for your organization? Let’s explore the benefits of each and discuss how ManageMemberships.com can support your efforts to offer both types of rewards.

The Power of Discounts: Simple but Effective

Discounts are a straightforward way to give your members immediate value. Whether it's a percentage off their monthly fee or an exclusive deal on services, discounts can drive engagement, increase sales, and build goodwill.

In fact, a study by RetailMeNot found that 80% of consumers feel encouraged to make a first-time purchase with a brand when they receive a discount​. This makes discounts a powerful tool for attracting new members, as well as retaining existing ones by rewarding loyalty.

Advantages of Discounts:

• Immediate Value: Members instantly benefit from saving money, making them more likely to stay engaged.
• Boost in Membership Conversions: Discounts can serve as a persuasive tool, especially when used during the onboarding process.
• Retention: Regularly offering discounts or special promotions can make members feel valued and appreciated.

Drawbacks of Discounts:

• Price Expectations: Offering too many discounts might lower the perceived value of your services.
• Profit Margins: Excessive discounts can cut into your revenue if not balanced with higher member volume.

Special Access: Building Exclusivity and Community

While discounts offer short-term value, special access creates a longer-lasting connection. Special access might include invitations to members-only events, early product releases, or exclusive content. According to research from Accenture, 91% of consumers are more likely to shop with brands that provide personalized experiences, including exclusive access. Special access helps foster a sense of exclusivity, making your members feel like they’re part of something special.

Advantages of Special Access:

• Deepened Member Loyalty: Special access fosters a sense of belonging and increases long-term engagement.
• Brand Prestige: Offering unique experiences can elevate your brand and enhance your reputation.
• Differentiation: Special access perks can help distinguish your organization from competitors.

Drawbacks of Special Access:

• Higher Resource Requirement: Organizing exclusive events or creating members-only content may require more effort and resources.
• Delayed Gratification: Unlike discounts, the value of special access isn't always immediately clear to new or prospective members.

Why Not Both? Maximize Engagement with a Balanced Approach

The good news is that you don’t have to choose between discounts and special access! Offering both allows you to appeal to different member preferences and can increase overall satisfaction. For instance, you could use discounts as a welcome incentive while also providing special access to premium content or events for long-term members.

At ManageMemberships.com, our platform supports both options, allowing you to easily implement a strategy that combines discounts with special access. Here’s how:

• Offer Discounts: You can easily set up member-specific discounts, whether it’s a percentage off for a limited time or exclusive deals for higher-tier members.
• Provide Special Access: ManageMemberships.com allows you to grant VIP members early access to events, products, or features with just a few clicks. You can even automate this process based on membership tiers.

You can mix and match by choosing to offer membership level discounts as well as only offering certain types of admission to certain membership levels:

What the Research Says

According to a McKinsey report, 40% of loyalty program participants said they valued exclusive access over discounts, making it clear that combining both can help you cater to a wide variety of members. By balancing short-term incentives (like discounts) with long-term engagement strategies (like special access), you can maximize member satisfaction and retention.

Conclusion

Both discounts and special access have unique strengths when it comes to member engagement. Discounts offer immediate, tangible value, while special access builds a deeper, long-term connection. By leveraging both strategies, you can create a comprehensive membership experience that appeals to a broader audience. With ManageMemberships.com, you can easily offer your members the best of both worlds—driving engagement and increasing loyalty.

Ready to start offering the perfect mix of incentives? Try ManageMemberships.com today to see how simple it can be to manage memberships and boost member satisfaction!