The 5 Biggest Challenges That Clubs and Associations Are Facing

Before the introduction of natural gas heating in houses, people used to use coal-based methods to heat their homes. This resulted in a lot of soot winding up on the walls and wallpaper. One method of cleaning your wallpaper back then was wallpaper putty, which you would roll over your walls to pick up all the soot. However, after the shift to natural gas, a lot of these wallpaper putty companies were in serious trouble, as people didn’t need to clean their walls like they used to. 

One such wallpaper putty company, Kutol, was on the verge of bankruptcy after this change, and to save their failing business, they pivoted. You see, their wallpaper putty was incidentally quite fun to play with and make little models from, like a sort of rudimentary clay for kids. So they changed their name and how they marketed their wallpaper putty, and Play-Doh was born. Sixty-eight years later, Play-Doh is still going strong, bringing in an estimated $100 million USD annually. 

My point is that challenges come along all the time and could spell disaster, but if you handle them right and make the necessary changes, these challenges can become the biggest boons. 

Also, I apologise for using the word “boons”; I am not quite sure where that came from. I promise I'm not some sort of old-timey prospector. 

 

 

So, let’s talk about the seven biggest problems that clubs and associations are facing today and what you can do to combat them. 

1. Declining Member Numbers & Engagement

Active and engaged members are the lifeblood of any thriving club or association. However, many clubs face the daunting challenge of declining member numbers and a worrying trend of member disengagement. This can lead to reduced participation in events, decreased revenue, and, ultimately, membership lapses.

Attracting and retaining members is an ongoing battle, especially in today's world of diverse interests and shifting demographics. Clubs must compete with numerous other activities and commitments that vie for their members' time, attention and money. Keeping members actively involved and invested in the club's community is crucial for its long-term viability and success.

This decline in member numbers and engagement can stem from various factors, including:

• Lack of perceived value: Members might not feel they're getting enough value for their membership fees.
• Poor communication: Ineffective communication can leave members feeling uninformed and disconnected.
• Limited opportunities for involvement: A lack of engaging activities or opportunities to contribute can lead to disinterest.
• Changing demographics and interests: Clubs need to adapt to the evolving needs and preferences of their target audience. The average club member is getting younger, and that is shifting the values and interests of the people you need to keep your club running.
• External factors: Economic downturns, societal changes, or even global events can impact member engagement. Take, for example, the current cost of living crisis; people don’t always have a lot of spare money to spend on their hobbies. So, you need to prove that you’re worth their hard-earned coin.  

Addressing these challenges requires a proactive and multifaceted approach. Clubs need to understand their members' needs, provide valuable experiences, foster a sense of community, and adapt to the changing landscape to ensure their continued growth and success.

For a detailed breakdown of how you can combat the loss of members and member disengagement, read How To Stop Losing Club Members and How Do I Keep My Members Engaged. 

2. Club Volunteer Shortage & Burnout 

One of the biggest challenges facing clubs and associations today is a lack of people volunteering to help run clubs, and those who do volunteer are becoming increasingly burnt out. This is for a number of reasons, including: 

• People these days are increasingly time-poor. 
• Volunteers feel as though their contributions aren’t valued. 
• Volunteers feel as though there isn’t enough flexibility in their roles. 
• If volunteers feel as though they don’t have enough training to do their job and are just thrown into the deep end, they will either stop volunteering or burnout.
• Outdated or ineffective methods of managing your club will push volunteers away. 
• Younger generations have less tolerance for old, outdated methods of doing business and will be less likely to volunteer if they feel that the way your club is run is ineffective or outdated.  

Also, it’s worth noting that when I say younger members, I mean Gen X and Millennials; for the record, the oldest millennials turn 43 in 2024. So, by not catering to the younger generations, you are really cutting out a large portion of your potential volunteer and member base.  

Your club’s volunteers work extremely hard to keep everything running as smoothly as possible; it is your job to make that process as easy and streamlined as possible and to make sure they understand just how much you appreciate their efforts. 

To learn more about how to actually achieve this, read How To Keep Your Club Running As Volunteer Rates Drop. 

3. Financial Strain On Member Reducing Club Numbers

Okay, so the financial strain that members are feeling in their personal lives is, unfortunately, the first one on this list that is firmly outside your circle of control. However, that doesn’t mean that there isn’t something that you can do about it. 

Rather unexpectedly, the answer to your members' dealing with financial difficulties isn’t to lower the cost of your membership dues. The price of your membership dues should stay the same each year or increase; it should not be decreased unless there are unusual circumstances. Instead, focus on reinforcing the value your club provides. Clearly communicate the benefits of membership, outlining what their fees contribute to and showcasing the unique opportunities and experiences your club offers.

Open and honest communication is key. Explain your membership pricing structure, highlighting how it supports the club's activities, facilities, and resources. Showcase the value members receive in return, whether it's access to specialised equipment, expert training, social events, or a supportive community.

Consider offering flexible payment options or instalment plans to help members manage their financial commitments. You could also explore alternative ways for members to contribute, such as volunteering their time or skills.

By demonstrating empathy and understanding and by clearly communicating the value your club provides, you can help members navigate financial challenges while maintaining their connection to your community.

To find out more about this, read Why Your Club Or Association Should Be Raising Its Prices In 2024 and How Afterpay Can Help Your Club Survive These Trying Times.

Financial Strain Affecting Your Club

Tough times don’t only affect members; they will affect your club’s bottom line, too. You will lose some members, and the cost of doing business will get higher, so you will need to make adjustments to keep your club running. Now, part of the way you can offset this is by raising membership prices; another way you can do this is by reducing unnecessary costs. 

You can do this by looking at all the things your club is spending money on and then working out if you can re-negotiate with any supplies for lower prices or new deals. You can also reexamine how much you’re giving to members. For example, if you regularly give your members discounts on event tickets or merchandise, you may want to reconsider how often you are giving those discounts or how much those discounts are for and maybe reduce them a bit. Giving members discounts is all well and good, but not if it comes at the cost of your club’s profitability.

Also, if you are giving members free merchandise as part of a welcome pack, you may want to reduce how much you give them. Giving new members a club-branded shirt and hat is excellent. Still, if it costs too much, there is nothing wrong with changing that to a club-branded hat and keyring or a keyring and physical club calendar. Your new members will still feel appreciated, but it won't cost your club anywhere near as much. 

Another way to deal with this is by leveraging systems like Member Jungle to increase your club’s revenue and decrease your cost of doing business. 

Member Jungle can do this in several ways. Firstly, it can help you save money by automating and streamlining processes like membership renewals and event organisation. Secondly, it can help by giving you extra ways to make money for your club, like an online store, and more ways to attract and promote club sponsors. 

For a much more detailed breakdown of both of these points, please read How to Save Time & Money With Membership Management Software and How You Can Make Money With Member Jungle. 

4. Embracing New Technology To Help Manage Clubs

Recently, I heard an expert discussing the impact of the rise of artificial intelligence on jobs, and they said something along the lines of, “Lawyers aren’t going to lose their jobs to AI; lawyers will lose their jobs to other lawyers who use AI,”. 

Basically, technology, whether it’s the internet, mobile apps, or artificial intelligence, is exactly the sort of threat I talked about in the intro; if you don’t use them, if you stick to the way things have always been done, they can be an existential threat. However, if you embrace these technological developments, make the necessary changes, and harness them, they can be incredibly beneficial to your club and its continued success.  

This takes many forms, from using membership management systems like Member Jungle to streamline processes and make life easier for members and volunteers alike to embracing AI to help make writing club content, like blogs, emails and events posts, quicker and more effective. Clubs and associations that make the best use of technology like management systems, email campaigns and AI are setting themselves up for a long and prosperous future. To paraphrase the quote that I started this section with, clubs won’t lose members to technology; they will lose members to other clubs that use technology more effectively than they do. 

For more information on AI in general have a look at our blog category, Artificial Intelligence To Help Your Club. For more about how Member Jungle’s membership management system works, check out How Does Member Jungle’s Membership Management System Work. It does what it says on the tin. 

5. Navigating Changing Demographics and Interests Of Club Members

One of the biggest challenges clubs face today is attracting and engaging younger members. It's a simple fact of life: we all age, and eventually, our involvement in certain activities like clubs will need to come to an end. This means that clubs need to actively recruit younger generations to maintain their membership numbers and ensure their long-term viability.

Below are the statistics on the percentage of club and association memberships made up by different generations, according to the Membership Marketing Benchmarking Report.

 

 

This means that as of this year, there are more people who are 28 and younger in clubs than those who are 79 or older. In fact, there are more Millennials and Gen Z's in clubs than Baby Boomers. This is only going to continue. Over the next decade, we will see the older generations' presence in clubs slowly decrease, and we will see Gen X, Y, and Z's presence in clubs increase. Eventually, we will see Gen Alpha arrive on the scene, too. The oldest ones might only be about 12, but they are coming. 

 

   

 

This generational shift is only important because younger generations have different ideals, beliefs and interests. You may need to adapt to these to attract and keep younger members. So let's talk about how the younger generations' beliefs differ from the older generations and what you may need to do to adjust to this. 

Also, a quick disclaimer: This is not me getting political. I'm not attacking or defending anyone's beliefs. I am simply discussing statistical facts about the percentage of generations who believe in certain things.

Compared to older generations like Baby Boomers and the Silent Generation, Millennials and Gen Z tend to hold more progressive views on various social and political issues. They are more likely to:   

 

• Consider climate change an urgent priority, demanding action to address its effects.
   
• Champion LGBTQIA+ rights and advocate for inclusivity and equality for all individuals, regardless of sexual orientation or gender identity.
   
• Believe that immigrants should be welcomed and supported, recognising the value of diversity and cultural exchange.
   
• Actively oppose racism and discrimination, striving for a more just and equitable society.
   
• View racial diversity as a strength, appreciating the richness and innovation that diverse perspectives bring.
   
• Support gender equality and embrace feminist ideology, advocating for equal rights and opportunities for all genders.

 

Again, this is not to say that anyone's opinions are right or wrong. I am simply saying to attract and keep younger members, it's important to create an inclusive environment where everyone feels welcome and respected, regardless of their beliefs. This doesn't necessarily mean your club needs to actively champion every cause, but it does mean fostering a culture of respect and understanding. Ensuring that there isn't vocal opposition to younger members' beliefs within your club is a crucial step in making them feel valued and included. They are less likely to spend their hard-earned money if they feel it will go towards people who don't support their ideals. 

We don't all need to agree on everything, but unless those beliefs hurt people, we should respect each other and our differing beliefs. 

It is also important to understand that the younger generations are much more pro-technology; they are going to want mobile apps, digital systems, and online membership renewals. So your club will need these things if you want to attract and keep younger members. Look, I'm in my twenties, and I don't think I've ever posted a letter; I'm not even entirely sure how stamps work. If a club wanted me to post them a registration form so I could join their club, I just wouldn't do it. I'd either forget or just go find another club that lets me do it online. 

For more information on how to recruit younger members to your club, please see How To Attract Younger Members To Your Club.

What Else Can You Do To Help Address The Challenges Your Club Is Facing? 

The world of club management is changing; the types of members are changing, the ways clubs need to be run are changing, and the world around us is changing, too. These changes bring with them a whole new host of challenges, but as long as you keep your head on a swivel and embrace the future and new useful technology, you will be okay. 

To find out more about using AI to help your club we have an entire blog category dedicated to it. So check out Artificial Intelligence To Help Your Club for everything you need to know about how AI can be beneficial to your club. 

If you want more information on Member Jungle, have a look at How Does Member Jungle’s Membership Management System Work.