Presented to the SME Member CouncilDecember 20, 2011

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The study objectives for Phase 1are to:◦ Identify the awareness patterns of primary SME products, services and initiatives.◦ Identify, from the portfolio of membership products, services and initiatives, which

specific activities are most essential to the decision to join and retain membership in SME.

◦ Identify how the most important activities should be combined into the most logical configuration of membership categories.

◦ Identify similarities and differences by key audience for awareness, use, activity and membership configuration.

Data was collected online during August 2011 from a sample of SME members and prospects.◦ SME provided lists for inviting members and non-members to participate.◦ As an incentive for participation, respondents received a coupon for a $50

discount on the purchase of an SME product or service.

A total of 1976 individuals completed the Phase 1 survey.

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TURF analysis identifies the products and services that attract the widest range of members by determining which products appeal to unique sub-sets of the market.◦ This analysis identifies nine products that, when offered in combination, appeal to

70% of the market.◦ At a minimum, these nine products and services should be included in the

basic SME member package.

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Product/Service Cumulative % Selected

Incremental Lift

Order of Selection

Manufacturing Engineering Magazine (digital and print) 38.7% 38.7% 1Trade Show/Expo Access 49.3% 10.6% 2Discounts on Lean Certification 56.2% 6.8% 3Daily Executive Briefing 61.1% 5.0% 4Chapter affi liation/events 64.6% 3.4% 5Discounts on books, videos and DVDs in SME’s content library

67.0% 2.4% 6

Affi nity Program - Jobs Connection/Job Target 68.7% 1.7% 7Unlimited Online Training via Tooling U 69.8% 1.1% 8Technical Community affi liation/events 70.4% 0.7% 9

TURF Results: Total Sample

The sample is diverse with regard to age, member status and market.

The sample includes sufficient responses to allow reporting of results for key segments of interest

The greatest proportion of study participants are engineers◦ Higher level professionals

comprise 28% of the study sample. Most participants are Caucasian Industry makeup is 35% Target, 22%

Core, 39% Other (educators, consultants, etc)

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# %Total 1976 100%Gender

Male 1816 92%Female 160 8%

AgeUnder 30 215 11%

30 - 44 490 25%45 - 59 885 45%

60+ 346 18%SME Member

Yes 1240 63%No 736 37%

MarketTarget 696 35%

Core 425 22%Other 770 39%

Student 85 4%SME Trade Show Attendance

Yes 506 26%No 688 35%

Receive ME JournalYes 1215 61%No 761 39%

Sample Distribution

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1%

3%

4%

5%

4%

5%

5%

8%

6%

7%

8%

6%

8%

12%

10%

12%

16%

21%

16%

41%

21%

25%

26%

55%

7%

15%

16%

16%

18%

17%

17%

18%

21%

24%

24%

27%

29%

26%

31%

31%

34%

32%

37%

14%

38%

36%

38%

24%

0% 20% 40% 60% 80% 100%

Concierge Service

Affinity Program - Insurance (life, health, identity theft, Errors & …

Subscription to SME's Knowledge Delivery System

VIP experience at expos/conferences

Unlimited Online Training via Tooling U

Tooling U Subscription (fixed number of courses)

Affinity Program - Jobs Connection/Job Target

Librarian Service

Affinity Programs - Other (Business Book Summary service, credit …

Leadership Development Training (non-technical)

J of Manufacturing Systems and J of Manufacturing Processes

Webinar Subscription (fixed number of webinars)

Unlimited Online Training via Webinars

Discounts on Lean Certification

Technical Community affiliation/events

Discounts on Certified Manufacturing Technician/Engineer programs

SME Annual Conference

Chapter affiliation/events

Discounts to SME Technical Conferences

Daily Executive Briefing

Discounts on books, videos and DVDs

Trade Show/Expo Access

SME industry e-newsletters

Manufacturing Engineering Magazine (digital and print)

Familiarity with SME Products and Services

Very Familiar Somewhat Familiar

Highest Awareness

Moderate Awareness

Tooling U has relatively low awareness

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Manufacturing Engineering Magazine (digital and print) 53%Daily Executive Briefing 28%Trade Show/Expo Access 27%Chapter affi liation/events 26%Discounts on books, videos and DVDs in SME's content library 24%Unlimited Online Training via Webinars 24%Discounts on Certified Manufacturing Technician/Engineer programs 22%Leadership Development Training (non-technical) 21%Unlimited Online Training via Tooling U 21%Discounts on Lean Certification 20%

Top 5 Importance to Decision to Join SME

But Tooling U among the top 5 importance in the Decision to Join

It is a form of statistical analysis useful for devising optimal configurations or offerings. In this study TURF identifies the products and services with most impact on the decision

to join or retain membership. ◦ It begins by identifying the product or service with appeal to the largest number of

participants.◦ Next, it identifies the product or service that will appeal to the largest number of

individuals who are not attracted by the first offering.◦ In the example below ME Magazine has the most impact – attracting about 39% of the

sample; trade show/expo access is second in impact attracting almost 11% (Incremental Lift) who would not join for ME Magazine and increasing total reach to 49% (% Selected)

◦ TURF continues identifying the next “best” product or service to offer to attract individuals who were not interested in the previously identified products/services.

◦ As more of the sample has indicated interest, the “incremental lift” associated with another product or service declines until it becomes inconsequential to add more products and services to the offer.

In total, this analysis examined the impact of 24 SME products and services.

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Product/Service Percent Selected

Incremental Lift

Order of Selection

Manufacturing Engineering Magazine (digital and print) 38.7% 38.7% 1Trade Show/Expo Access 49.3% 10.6% 2Discounts on Lean Certification 56.2% 6.8% 3

TURF Results: Total Sample

ME Magazine is most impactful; followed by trade show/expo access and discounts on Lean Certification.

The incremental impact of the remaining items on the list is lower because the first three products attract about half the sample.

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Higher Performing

Product/Service Percent Selected

Incremental Lift

Order of Selection

Manufacturing Engineering Magazine (digital and print) 38.7% 38.7% 1Trade Show/Expo Access 49.3% 10.6% 2Discounts on Lean Certification 56.2% 6.8% 3Daily Executive Briefing 61.1% 5.0% 4Chapter affi liation/events 64.6% 3.4% 5Discounts on books, videos and DVDs in SME’s content library

67.0% 2.4% 6

Affi nity Program - Jobs Connection/Job Target 68.7% 1.7% 7Unlimited Online Training via Tooling U 69.8% 1.1% 8Technical Community affi liation/events 70.4% 0.7% 9

TURF Results: Total Sample

The top 10 products/services reach or appeal to 79% of members. ◦ In comparison the top 10 account for 59% of non-members, as non-members are less

inclined to join the organization.◦ With all 24 products and services considered, 62% of non-members might join

compared to 81% of members.

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Product/Service Order Selected

Percent Selected

Product/Service Order Selected

Percent Selected

Manufacturing Engineering Magazine (digital and print)

1 44.2% Trade Show/Expo Access 1 30.4%

Daily Executive Briefing 2 56.5% Manufacturing Engineering Magazine (digital and print)

2 42.4%

Chapter affi liation/events 3 64.4% Discounts on books, videos and DVDs in SME’s content library

3 48.0%

Discounts on Lean Certification 4 70.2% Affi nity Program - Jobs Connection/Job Target 4 51.2%

Trade Show/Expo Access 5 73.2% Unlimited Online Training via Tooling U 5 53.4%Discounts on books, videos and DVDs in SME’s content library

6 75.4% Daily Executive Briefing 6 54.9%

Affi nity Program - Jobs Connection/Job Target

7 76.7% Discounts on Certified Manufacturing Technician/Engineer programs

7 56.3%

Unlimited Online Training via Tooling U 8 77.5% Journal of Manufacturing Systems and Journal of Manufacturing Processes

8 57.3%

Technical Community affi liation/events 9 78.1% Unlimited Online Training via Webinars 9 58.2%SME industry e-newsletters 10 78.6% Librarian Service 10 58.7%

Member Non-Member

Some products are of importance and motivate professionals to join SME but do not appear near the top of the TURF analysis. ◦ This may occur because they appeal to the same audience that is interested in

another SME product or service that has already entered the TURF; hence the second product is not appealing to a unique or unduplicated portion of the target market.

◦ Examples include discounts on certified manufacturing technician/engineer programs, unlimited online training via webinars and the SME annual conference.

◦ These products and services may still be important to include in the basic membership package.

Other products and services that are lower in the TURF analysis also score relatively low on impacting the decision to join SME. ◦ Examples in this category include affinity program for book summary service,

credit card and SME store discount; and VIP experience at expos and conferences.◦ SME could consider selling these products and services separately at a premium

or discontinuing them.

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Tooling U is not a current member benefit Tooling U has low familiarity among the survey respondents, yet it

came back as a recommended addition to the base membership benefits suite

Tooling U was in the top 10 TURF results for both members and non-members, and ranked higher among non-members◦ Tooling U had higher incremental lift among non-members,

suggesting it’s reach is more powerful for recruitment at the current level of awareness/familiarity

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