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Industry/University Cooperative
Research Centers
Member Recruiting: A Focus on Marketing
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Industry/University Cooperative
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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Industry/University Cooperative
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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Industry/University Cooperative
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 Factors affecting participation/non-participation in CRCs is an important scholarly issueCRCs is an important scholarly issue
» Very small literatureVery small literature
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Industry/University Cooperative
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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Industry/University Cooperative
Research Centers
Center Marketing Study- Overview
• MotivationMotivation– It is the part of the membership process that Center Directors It is the part of the membership process that Center Directors
have the most control overhave the 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; Explore empirical relationship of practices to “success”: leads; new membersnew members
– 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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Industry/University Cooperative
Research Centers
Background:Effort and Results
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Industry/University Cooperative
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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Industry/University Cooperative
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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Industry/University Cooperative
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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Industry/University Cooperative
Research Centers
Descriptive Findings:Marketing Activities and Perceived Effectiveness
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Industry/University Cooperative
Research Centers
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?
Eff
ecti
vene
ss
Per
cent
rep
orti
ng u
se
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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Industry/University Cooperative
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
Per
cent
rep
orti
ng in
volv
emen
t
Directors bear most of the recruitment burden Directors bear most of the recruitment burden Consultants also contributeConsultants also contribute
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Industry/University Cooperative
Research Centers
Recruiting responsibilities
1
2
3
4
Visit org Host ,non-IAB Visit w/ PIs Neutral site Host, IAB Conf call
0%
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?
Lev
el o
f ef
fect
iven
ess
Per
cent
rep
orti
ng u
se
Dedicated marketing visits appear to be superiorDedicated marketing visits appear to be superior
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Industry/University Cooperative
Research Centers
Predictive Findings: What Factors Correlate with
Memberships
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Industry/University Cooperative
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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Industry/University Cooperative
Research Centers
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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Industry/University Cooperative
Research Centers
Perceived Acceptance and Rejection
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Industry/University Cooperative
Research Centers
Acceptance and Rejection Factors
Factors that Factors that directors believe directors believe account for account for joiningjoining: :
Factors that Factors that directors believe directors believe account for 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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Industry/University Cooperative
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.
Page 21 NSF STC
Industry/University Cooperative
Research Centers
Summary
General marketing model applicationGeneral marketing model application
Initiate & Initiate & establish establish
relationshipsrelationships
Develop Develop relationshipsrelationships
Secure 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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Industry/University Cooperative
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
Page 23 NSF STC
Industry/University Cooperative
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