member recruiting a focus on marketing

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Industry/University Cooperative

Research Centers

Member Recruiting: A Focus on Marketing

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Research Centers

Purpose

• Help improve IUCRC member Help improve IUCRC member recruitment by highlighting recruitment by highlighting marketingmarketing “best practices”“best practices”– Summary of a recent survey of center Summary of a recent survey of center

marketing practicesmarketing practices– Highlight some specific best practicesHighlight some specific best practices– Stimulate discussion about what works Stimulate discussion about what works

and what doesn’t work when trying to and what doesn’t work when trying to recruit member companiesrecruit member companies

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Research Centers

Who will join and who will decline?

An analysis of factors predicting a firm’s An analysis of factors predicting a firm’s decision to join a university-based decision to join a university-based

industrial consortiaindustrial consortia

Denis O.Gray, Ph.DDenis O.Gray, Ph.D& &

Drew Rivers, M.S.Drew Rivers, M.S.Psychology in the Public Interest ProgramPsychology in the Public Interest Program

NC State UniversityNC State University

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Research Centers

Motivation

• Why ImportantWhy Important– Recruitment of new members is one of the most, if not the Recruitment of new members is one of the most, if not the

most, important challenges a center directors confronts most, important challenges a center directors confronts – Affects technology transferAffects technology transfer

» JoinersJoiners: : » Sustain these centersSustain these centers» Get to influence the research agendaGet to influence the research agenda» Get technology transfer and other benefits (e.g. recruitment)Get technology transfer and other benefits (e.g. recruitment)

» DeclinersDecliners» Do not …Do not …

– Factors affecting participation/non-participation in CRCs Factors affecting participation/non-participation in CRCs is an important scholarly issueis an important scholarly issue

» Very small literatureVery small literature

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Research Centers

Study Plan

• Center marketing practicesCenter marketing practices– Web-based survey of IUCRC DirectorsWeb-based survey of IUCRC Directors

» CompleteComplete

• Factors within the firm affect decision to join/not Factors within the firm affect decision to join/not joinjoin– Qualitative interviewsQualitative interviews

» UnderwayUnderway

• Quantify the importance of various factors to Quantify the importance of various factors to membership decisionmembership decision– QuestionnaireQuestionnaire

» Next YearNext Year

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Research Centers

Center Marketing Study- Overview

• MotivationMotivation– It is the part of the membership process that Center Directors have It is the part of the membership process that Center Directors have

the most control overthe most control over– No literature!No literature!

• PurposesPurposes– Identify which advertising, marketing and recruiting strategies Identify which advertising, marketing and recruiting strategies

directors use directors use – Perceived effectiveness (best practices)Perceived effectiveness (best practices)– Explore empirical relationship of practices to “success”: leads; new Explore empirical relationship of practices to “success”: leads; new

membersmembers– Perceived facilitators and barriers to membershipPerceived facilitators and barriers to membership

• Web-based survey of IUCRC directors & site directorsWeb-based survey of IUCRC directors & site directors– Response rate: 55% (n=47), 41 different centersResponse rate: 55% (n=47), 41 different centers– Analyses: Descriptive, predictiveAnalyses: Descriptive, predictive

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Research Centers

Background:Effort and Results

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Research Centers

Center Marketing Overview

New member marketing is modest ad hoc New member marketing is modest ad hoc activityactivity–Annual budget (without staff time): $7,000; Annual budget (without staff time): $7,000;

Std Dev: $10kStd Dev: $10k

–18 hours/month or 4.5/week on recruitment18 hours/month or 4.5/week on recruitment

–9% report a formal, written marketing plan 9% report a formal, written marketing plan –34% set formal recruitment goals34% set formal recruitment goals

» Use of marketing plans and recruitment goals Use of marketing plans and recruitment goals correlates negatively with membership countscorrelates negatively with membership counts

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Research Centers

Multi-site center recruiting

[If your site is part of a multi-site center, please answer item 9][If your site is part of a multi-site center, please answer item 9]

9) Which of the following best describes how your multi-9) Which of the following best describes how your multi-site center handles recruiting? (n=32)site center handles recruiting? (n=32)

– 50%: Each site handles recruiting independently of other sites 50%: Each site handles recruiting independently of other sites

– 25%: Each site establishes their own leads, but other sites help 25%: Each site establishes their own leads, but other sites help 'sell' the center 'sell' the center

– 25%: Sites work closely together throughout the recruitment 25%: Sites work closely together throughout the recruitment process process

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Research Centers

Recruiting Success Rates

• Lead generationLead generation– On average, centers On average, centers

generate about 11 generate about 11 new leads over a 12 new leads over a 12 month period month period

• New member New member commitments commitments – On average, for every On average, for every

10 firms actively 10 firms actively pursued by centers for pursued by centers for membership:membership:

» 3 will join3 will join» 2 will decline2 will decline» 5 will be undecided5 will be undecided

Undecided

Decline

Join

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Research Centers

Descriptive Findings:Marketing Activities and Perceived Effectiveness

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From leads to prospect

1

2

3

4

0%

20%

40%

60%

80%

100%Mean% Use

1) Consider how your center/site identifies potential industry 1) Consider how your center/site identifies potential industry members. How effective have you found the following activities in members. How effective have you found the following activities in generating leads for new members?generating leads for new members?

Effe

ctiv

enes

s

Perc

ent r

epor

ting

use

Many methods used to identify prospectsMany methods used to identify prospectsRelationship networking viewed as most effectiveRelationship networking viewed as most effective

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Research Centers

Recruiting responsibilities

1

2

3

4

Yourself Faculty PI's IAB members Grad students Otherdirectors

Univ admin Staff/Consultant

0%

20%

40%

60%

80%

100%Mean% Involved

7) To what degree are the following individuals or groups 7) To what degree are the following individuals or groups actively involved in the recruitment of industry members? actively involved in the recruitment of industry members?

Deg

ree

of in

volv

emen

t

Perc

ent r

epor

ting

invo

lvem

ent

Directors bear most of the recruitment burden Directors bear most of the recruitment burden Consultants also contributeConsultants also contribute

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Research Centers

Recruiting responsibilities

1

2

3

4

Visit org Host ,non-IAB Visit w/ PIs Neutral site Host, IAB Conf call0%

20%

40%

60%

80%

100%Mean% Use

6) For those organizations interested in learning more about your center/site, how 6) For those organizations interested in learning more about your center/site, how effective have you found the following approaches at securing new members?effective have you found the following approaches at securing new members?

Leve

l of e

ffec

tiven

ess

Perc

ent r

epor

ting

use

Dedicated marketing visits appear to be superiorDedicated marketing visits appear to be superior

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Predictive Findings: What Factors Correlate with

Memberships

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Research Centers

Predictive Findings

• LeadsLeads– Total center fundingTotal center funding– Larger recruiting budgetLarger recruiting budget

– Director administration time & past industry experienceDirector administration time & past industry experience

• MembershipsMemberships– Presenting at trade shows and scientific meetingsPresenting at trade shows and scientific meetings

– Networking through other stakeholders (IAB, faculty PIs)Networking through other stakeholders (IAB, faculty PIs)

– Director with industry experience

• Industry experience director relationshipsIndustry experience director relationships– More leadsMore leads

– Higher percentage of rejectionsHigher percentage of rejections

– Higher networking for leads through other center staffHigher networking for leads through other center staff– Get other stakeholders involved in recruiting (IAB)Get other stakeholders involved in recruiting (IAB)

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What else works? Director comments on effective practices

• To generate leads…To generate leads…– Organizing workshops and conferencesOrganizing workshops and conferences– Respond to industry need for consultingRespond to industry need for consulting

• Marketing materials…Marketing materials…– WebsiteWebsite– Re-prints of publicationsRe-prints of publications– PowerPoint presentations, videosPowerPoint presentations, videos

• Changes to membership structure…Changes to membership structure…– Tiered structure, associate membershipTiered structure, associate membership– Guaranteed research project to new sponsorGuaranteed research project to new sponsor

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Research Centers

Perceived Acceptance and Rejection

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Research Centers

Acceptance and Rejection Factors

Factors that Factors that directors believe directors believe account for account for joiningjoining: :

Factors that directors Factors that directors believe account for believe account for NOT NOT joiningjoining

Selected as a Selected as a Top 3 reasonTop 3 reason

Relevance of research to Relevance of research to organization needs organization needs

78.7%78.7%

High probability of future High probability of future knowledge and technology knowledge and technology transfer benefitstransfer benefits

61.7%61.7%

Success of past Center/PI Success of past Center/PI research accomplishmentsresearch accomplishments

40.4%40.4%

Quantity and/or quality of Quantity and/or quality of graduate students to recruitgraduate students to recruit

21.3%21.3%

High financial leveraging High financial leveraging provided by your center/siteprovided by your center/site

21.3%21.3%

Selected as a Selected as a Top 3 reasonTop 3 reason

Cost of membership feeCost of membership fee 51.1%51.1%

Lack of relevance of Lack of relevance of research to organization research to organization needsneeds

38.3%38.3%

Concerns about IP and Concerns about IP and licensing rightslicensing rights

38.3%38.3%

Organization had short-term Organization had short-term research prioritiesresearch priorities

34.0%34.0%

Organization rep did not Organization rep did not have access to real decision have access to real decision makersmakers

29.8%29.8%

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Research Centers

Marketing Model

• Relationship development modelRelationship development model

Initiation Establishment Development Maintenance

Dormant

Termination

Rao, S. & Perry, C. (2002). Thinking about relationship marketing: Where are we now? The Journal of Business and Industrial Marketing, 17 (7), pp 598 –614.

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Research Centers

Summary

General marketing model applicationGeneral marketing model application

Initiate & Initiate & establish establish

relationshipsrelationshipsDevelop Develop

relationshipsrelationshipsSecure new Secure new

membersmembers

Key Key FactorsFactors

•Relationship networkingRelationship networking•Conference & tradeshow Conference & tradeshow presentations presentations•Involving other site Involving other site stakeholders stakeholders• Recruitment strategyRecruitment strategy

•Involving other site Involving other site stakeholders stakeholders (consultant)(consultant)•Face timeFace time•Visiting the organizationVisiting the organization•Hosting visits to the Hosting visits to the centercenter

•Demonstrating Demonstrating technical relevancetechnical relevance•Future technology Future technology transfer transfer •Justifying benefits Justifying benefits relative to costsrelative to costs•Neutralizing IP Neutralizing IP concernsconcerns•Facilitating within firm Facilitating within firm decision makingdecision making

TTTT

•Director Ind. Director Ind. experienceexperience•Recruiting Recruiting budgetbudget

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Research Centers

Conclusions

• A modified “relationship development A modified “relationship development marketing model” appears to do a good marketing model” appears to do a good job of representing how directors market job of representing how directors market membershipsmemberships– Technical issues dominate when Technical issues dominate when

membership is really decidedmembership is really decided» Understand “consultative sales”Understand “consultative sales”» Our early peek into how decisions are made Our early peek into how decisions are made

within a firm is very intriguingwithin a firm is very intriguing

– Need to move focus from doing the right Need to move focus from doing the right thing to doing things rightthing to doing things right

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Research Centers

Acknowledgements

•Support for this project provided Support for this project provided by the NSF IUCRC and the NSF by the NSF IUCRC and the NSF STC programsSTC programs