CS-Effect partners with many associations on membership communication and engagement, and relationships with corporate sponsors. Over the past 6 months, we have witnessed the impact of COVID-19 on association revenues, and wanted to better understand how sponsorship funding has been affected by the pandemic.
We partnered with Researchscape, a market research firm, to conduct a national survey of associations entitled the “Impact of COVID-19 on Association Revenues.”
We discovered that in a world of uncertainty and unpredictability, corporate leaders and executives have had to make a number of accommodations to adapt to this ‘new normal.’
Survey results revealed that nearly 80% of associations were conducting ‘business as usual, only remotely.’ Additionally, while nearly 60% expected their annual sponsorships to remain unchanged in 2021, more than half of survey participants indicated that it is too early to tell just how their 2020 sponsorships will be affected. In other words, executives are assuming their roster of sponsors will continue to support them through 2021, but of course, nothing is certain.
Interestingly, associations’ top two revenue streams are membership dues (44%) and events (33%). Nearly three out of four associations named exhibiting at a conference as the primary sponsor benefit. With the ensuing challenges of declining member engagement, the added element of cancelled annual conferences requires new revenue strategies to address the quick shift to a more diverse revenue stream.
Leaders are saying ‘we don’t know what the future holds, but at the same time, we expect our sponsors will still be there next year.’ While there is a level of uncertainty about the future of conferences and sponsorships, this is not the time to pause activity, nor to get comfortable. Association leaders must use this time to grow creative solutions to increase revenue, especially through corporate partnerships.
Read the full details on the survey and access an infographic you can share on social media.