Invest in growth or value?

This issue comes up frequently for associations – should we invest in membership growth or mission-based strategies? I’ve even written about it recently. I just read something that added another layer to the discussion: an opinion piece observing that an overall decline in the global population growth rate – already a fact especially but not only in the West – will reduce the number of consumers available to buy things. A condition where supply exceeds demand and prompts “a thinning of the herd.” A condition which could effect the association membership growth as well.

According to the demographer who authored the piece, this will likely cause a worldwide recession as similar dynamics have throughout history. The real uncertainties according to the researcher are how soon the “tipping point” will occur and what specifically will be the precipitating events.

We have always advocated that associations should focus on the value they provide to members and mission. And, we find that in uncertain times and unpredictable environments, it is even more important that the strategy of choice for most associations is to focus on value rather than membership growth.

Why? If growth is the result of increased value it will be a positive attendant consequence. If the size of opportunity shrinks, increased value will distinguish the association from others in the same space. Especially those that were focused primarily on growth who will then have obligations larger than what demand will support.

Just some more demographically related “strategy stuff” to think about as the future unfolds.