Key Takeaways:
- Membership rewards programs significantly contribute to revenue growth and brand loyalty — but only if the program is worth customers’ time.
- Trial memberships are just one of two effective ways to build trust in a newly developed membership program.
- Zero-party data collected from member activity is the key to creating profitable marketing strategies.
What do Starbucks and Netflix have in common?
Answer: Both businesses grew with the help of their customer membership programs.
In 2022, Starbucks Rewards members contributed 53% of its company-operated revenue. Moreover, its loyal customers helped drive sales despite a price increase for its products.
More recently, Netflix expects to double its profit after acquiring over 5 million new subscribers.
While membership programs are nothing new, only a handful of businesses are maximizing their growth potential.
The Starbucks Rewards Program is responsible for ~53% of spend in their stores, making it one of the most successful rewards programs ever...
— Alex Johnson (@AlexH_Johnson) September 2, 2022
While also making the company one of the most successful banks in the country.
So, how do you capitalize on membership models for your business?
Mitch Colleran, founder and CEO of Join It, offers golden advice on how businesses can acquire, retain, and gain revenue from their membership programs without the burden of administrative tasks.
Who is Mitch Colleran
Mitch Colleran is the founder and CEO of Join It, a SaaS platform that simplifies membership management through automation and integrations. With over 15 years of expertise in SaaS, Mitch has mastered membership strategies and helps businesses build their own. Before establishing Join It, Mitch worked with Eventbrite, building and expanding its event platform to the powerful tool that it is today.
People, by nature, are selfish creatures.
As such, the first question they would ask when presented with a membership is: How will joining this benefit me?
“A great way to generate leads through memberships is by offering a 'prospective' or trial membership that lets potential members experience some initial benefits firsthand.
By giving them a taste of the value your organization provides — like access to certain resources, event invites, or networking opportunities — you create a compelling reason for them to consider full membership.” Mitch advises.
"By providing real value from the start, you make it easy for prospects to envision the full benefits of membership, increasing their likelihood of converting.”

If you already have members in your program, a referral program is another way to increase membership according to Mitch:
“Encouraging current members to act as advocates for the organization can lead to new, like-minded individuals joining — especially when this is done organically and without incentives, creating a genuine atmosphere.
"This approach fosters a network of advocates excited to share the value they experience, naturally attracting new members who resonate with the organization’s mission.”
In fact, referral programs are so powerful that 69% of customers will recommend a brand after a good experience.
And with 2.4 billion brand-related conversations happening every day, that can amount to 1.6 million people advocating your brand to potential untapped markets.
Reaping Membership Rewards
Membership management software isn't only beneficial to customers, they’re advantageous to businesses as well.
You can use it to gather customer data to understand their preferences, behaviors, and needs. In doing so, you can develop more effective and informed strategies that directly speak to your ideal customers’ desires.

Moreover, customer data can help you upsell and cross-sell products, further increasing your business’s revenue through customized offerings per member. Mitch explains:
“Personalized recommendations can make a significant impact — if a member frequently attends webinars, suggesting an upgraded tier that includes more in-depth workshops might capture their interest.
This targeted method not only enhances member satisfaction but also encourages them to invest further in the value your organization provides.”
Additionally, brands should leverage their zero-party data to create customized experiences that keep customers loyal to the brand:
“Keeping members engaged and active hinges on delivering value that feels personal and timely. Start by offering tailored content, such as exclusive updates, industry insights, or early access to events.
“A great retention strategy is implementing a 'Member Milestone' program. Celebrate anniversaries, achievements, or even small wins to encourage members to remain committed for the long term.”
Balancing Customer Personalization and Privacy
However, personalized strategies can sometimes feel intrusive to the customer, as they feel that businesses are using their data for personal gain rather than their best interest.
On this issue, Mitch suggests being authentic, thoughtful, and member-centric. Here are five ways to achieve this:
- Personalized Communication: Tailor messages to individual member interests to make them feel valued and understood.
- Value-Driven Approach: Highlight the benefits of upgrades, showing how they solve specific member challenges.
- Timing Matters: Introduce offers at positive moments in a member’s journey to increase receptiveness.
- Feedback Loop: Regularly seek member input to refine offerings, demonstrating that their opinions matter.
- No Strings Attached: Provide trial periods for higher-tier benefits, allowing members to experience value without commitment.
All the Benefits, None of the Burden
"Memberships create a unique environment by bringing together individuals with shared interests or goals, allowing connections to grow organically.” Mitch reflects.
Through this, businesses can attract new customers, reach wider markets, foster relationships and loyalty, increase sales, and discover new opportunities.
But to gain all these advantages, businesses must first provide value to their customers. As Mitch counsels: “Remember, focusing on member experience is key, even on a budget!”