Destination Management Organizations are often funded by a combination of sources–including lodging taxes and membership dues. As a result of COVID-19, tax collections have decreased in destinations around the world. Now, membership plans are as important as ever for the economic sustainability of DMOs. There’s plenty of room to develop relationships between DMOs and local businesses – and if your DMO does it right, it could benefit both parties.
For a DMO to successfully attract members, they must ask the following question: how do you market, sell, and deliver benefits in a way that both attracts and retains members? To begin, DMOs must take time to identify the main benefits that they can offer private sector organizations with a membership plan.
While the details of your membership plan will depend on your DMO’s resources and choice of direction for those members, the list of possible benefits members may be offered is extensive and can be tweaked to suit your needs, as well as those of your members. This is when pricing and fees must be decided upon as well.
As part of Solimar’s Virtual DMO Development Course, Solimar interviewed Bill Malone, President and CEO of the Park City Chamber Association. For the past 20 years, Bill has worked in Park City, Utah, where he has managed the Park City Chamber/Bureau, a beautiful and popular ski destination. Bill’s suggestions for deciding on the benefits to offer included looking at other similar benefits in similar locations, surveying members or potential members to find out what exactly they would like to have as benefits, and choosing specific benefits that allow these private sector businesses to really connect with the community’s DMO.
Below are some of those many benefits your DMO may choose to offer:
After considering these possible benefits, it is vital to listen to what your potential members have to say. Do they see the value in a DMO? What do they feel should be the priorities of the DMO? Which benefit options do they find most attractive, and what do they think about the proposed price structure? Each of these questions show interested businesses that the DMO is taking the time to listen and work in unison with their partners.
When you begin to form the base of your membership plan, you can further organize how you will recruit, sign up, and communicate with members. There are a few important considerations here:
Finally, it is important to keep your members engaged through effective communication. You may choose to do this with any or multiple of the following:
Offering a membership plan helps strengthen your work as a DMO while giving you freedom to customize your relationship with a variety of local businesses and organizations within your destination or region. Even better, a well-developed membership plan is likely to be mutually beneficial to both your DMO and its members. As Bill Malone suggested, a DMO membership program allows us to “celebrate the industry that you’re in.”