393 - Setting Realistic Expectations for Membership Growth
May 1, 2024
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The podcast discusses the importance of setting realistic expectations for growth in membership businesses, avoiding relying on 'moonshot' opportunities. It also touches on the philosophy of marginal gains, steady approaches to growth, and key considerations for online memberships. Personal experiences and advice on navigating failure, market capture, and community engagement are shared to help entrepreneurs achieve sustainable success.
Estimate membership growth based on past performance to set realistic goals and projections.
Focus on small, consistent improvements over monumental breakthroughs for sustainable growth trajectory.
Deep dives
Setting Realistic Expectations for Membership Growth
When estimating membership growth, it's crucial not to overlook past performance as it provides hard evidence of growth trends. Consider factors like audience size and email list growth to set realistic goals. Comparing past achievements with current aspirations helps in grounded estimation. By analyzing sales performance and audience growth, you can project a feasible trajectory for your membership growth.
Law of Marginal Gains: Slow and Steady Progress
Rather than pursuing monumental breakthroughs, focus on making small, incremental improvements over time. Avoid banking on sudden, significant growth and prioritize consistent progress. The philosophy of marginal gains emphasizes steady advancements over time, leading to sustainable growth. By gradually enhancing various aspects of your membership, you can achieve meaningful progress.
Time Lag and Realistic Expectations
Acknowledge the time lag between marketing efforts and tangible results in membership growth. Content marketing and retention strategies may take months or years to yield significant results. Expect a delay between input and output, considering the gradual nature of progress. Setting realistic expectations involves factoring in the time required for strategies to materialize.
Factors Influencing Growth and Resource Allocation
Consider external influences like seasonal trends and niche specifics that impact membership growth. Factor in diseconomies of scale, where costs increase with membership expansion, affecting resource allocation. Recognize the need for additional staff, server upgrades, and marketing adjustments with growing membership. Maintain a realistic perspective on the expenses and demands associated with increasing membership size.
In this episode, I discuss the importance of setting realistic expectations when aiming for growth in membership businesses.
Learn why ambitious membership owners need to ground big goals in practical reality and logistics, and how to avoid banking on "moonshot" opportunities.
I also share valuable insights on the philosophy of marginal gains and the impact of achieving ambitious goals on a business trajectory.
In this episode:
- How can membership businesses ensure their growth goals are grounded in practical reality and logistics?
- What are the potential pitfalls of focusing solely on ambitious, game-changing opportunities for growth?
- How does a measured, steady approach to growing memberships contribute to sustained success?
- What are the key considerations in setting realistic expectations for growth in online memberships?
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