What does making a data-driven decision mean for the member journey?
What does it really mean to make a data-driven decision for the member journey? And how can you use data to create a more engaging, effective, and member-focused experience? In this article, we'll take a look at what it means to be data-driven, and how you can specifically use data to improve the member journey.
Jørgen Bertelsen 
Being data-driven is not just about collecting data – it’s about using data in a way that creates value. It requires a combination of technological infrastructure, analytical expertise, and a culture that values facts.
Why are data-driven decisions important for the member journey?
The member journey is complex and dynamic. Members have different needs, preferences, and engagement levels, and it’s impossible to meet all of those needs without understanding them. Here’s why data-driven decisions are crucial:
- Improved member experience: Data helps you understand what members need and want, so you can offer a more tailored experience.
- Increased engagement: By analyzing member behavior, you can identify what works and what doesn't, and adjust your strategy accordingly.
- Better decisions: Data reduces uncertainty and gives you a solid foundation for making decisions that actually deliver results.
- Competitive advantage: Organizations that use data effectively have a clear advantage in offering innovative and member-focused value.
Step 1: Collect the right data
Before you can make data-driven decisions, you need access to the right data. This includes both quantitative and qualitative data.
Quantitative Data:
- Demographic information: Age, gender, geographic location, etc.
- Behavior: Website visits, email interactions, event attendance, payment history.
- Engagement level: How often and how members interact with the organization.
Read more: How to define member engagement levels in your CRM
Qualitative Data:
- Member feedback: Surveys, interviews, focus groups.
- Social media: Comments, messages, and engagement on platforms like Facebook, LinkedIn, or Twitter.
- Customer service interactions: What members say when they contact customer service.
Data Collection Tools:
- CRM systems: HubSpot, Salesforce, or other tools that collect and organize member data.
- Analytical tools: Google Analytics, Matomo, etc. for website behavior
- Survey tools: SurveyMonkey, Hotjar, Typeform or similar to collect member feedback.
Read more: how to find out what tasks members want to perform with you?
Step 2: Analyze the data
Once you’ve collected data, the next step is to analyze it to find meaningful patterns and trends. This requires both technical expertise and an understanding of what’s important to the member journey.
Examples of Analyses:
- Segmentation: Divide members into groups based on behavior, engagement, or demographics.
- Trend analysis: Identify changes over time, such as increasing or decreasing engagement.
- Correlations: Find relationships between different variables, such as event participation and member loyalty.
Example:
An analysis might reveal that members who attend at least three events a year are 70% more likely to renew their membership. This insight could lead to a strategy to increase event attendance.
Step 3: Make Decisions Based on Data
Here we come to the whole point of this article: With insights from the analysis you’ve done, it’s time to make decisions that can improve the member journey. This could include:
- Personalization: Use data to tailor communications and offers to individual members.
Read more: How to personalize communications for each stage of the member journey - Resource allocation: Invest in areas that yield the highest returns, such as popular events or the production of digital assets.
- Strategic changes: Adjust strategy based on what the data shows, such as introducing new member benefits or changing communication channels.
Example:
If data shows that many members are dropping out after the first year, you can introduce a “membership renewal campaign” with personalized messages and incentives to stay.
Step 4: Measure and optimize
A data-driven approach is an ongoing process. By continuously measuring the impact of your decisions, you can optimize and improve the member journey over time.
Examples of measurement:
- Engagement rate: How many members interact with the organization?
- Renewal rate: How many members renew their membership?
- Satisfaction: How do members rate their experience?
Challenges with data-driven decisions
While data-driven decisions have many benefits, there are also some challenges to be aware of:
- Data quality: Incorrect or incomplete data can lead to wrong decisions.
- Overload: Too much data can be overwhelming and difficult to manage.
- Resistance to change: Not everyone in the organization may be comfortable basing decisions on data.
Conclusion: From data to action
Making data-driven decisions for the member journey is about using the insights you gain to create a better experience for your members. By understanding what your members need and want, you can build a more engaging, effective, and member-focused organization. As W. Edwards Deming said, “Without data, you're just another person with an opinion.”
Return to main page: Everything you need to know about member travel