How SAE Multiplied Non-Dues Revenue 10 Times

Non Dues Revenue
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Can An Association Multiply Non-Dues Revenue Ten Times In Three Years?
Here's How We Helped SAE Do It.

SAE International serves the automotive, aerospace, and off-road industries. Accordingly, they sought to make a much more significant impact on the industry than they did as a membership organization best-known for publications and technical standards, as well as generate a powerful stream of new non-dues revenue sources.

 

At the same time, SAE had a small portfolio of niche company affiliates serving manufacturers, which had never added up to much. As a result, they sought new non-dues revenue ideas and more diverse sources of revenue for the enterprise.

 

How could they use their minimal B2B footprint to build something that would significantly impact the industry and generate new non-dues revenue simultaneously?

 

SAE’s change agent, CEO Dr. David Schutt,  came to Sequence Consulting for our proven “Way to Play” process to create breakthrough strategies and launch non-dues revenue concepts that work 

How We Grow Non-Dues Revenue

The most successful growth strategies start with what the market needs but does not have and what unique assets and capabilities you offer. We call this exercise Way to Play. It points precisely to places where you have a Right to Win.

 

Our expert research with industry leaders showed that they need spaces to collaborate on pre-competitive technologies legally and confidentially, but those spaces did not exist. Many emerging technologies require industry-wide agreement on principles and best practices, from autonomous vehicles to cybersecurity. This was very important for the industry but very difficult to do without a trusted broker to facilitate.

 

Our Way to Play process revealed that one of SAE’s unique and powerful assets was its power to convene. That is, to bring players across the industry together in ways that would not happen otherwise. Their highly trusted brand, international reach, and long experience developing cross-industry standards made SAE the only player in the industry that could credibly create spaces for pre-competitive collaboration.

 

SAE launched the SAE Industry Technologies Consortia (SAE ITC). It is a 501(c)(6) that operates alongside the C3 membership organization. It provides a neutral venue for public and private organizations to come together and collaborate on shared industry challenges. To help bring those innovations to life, SAE ITC offers a full range of legal, marketing, data, and launch services that accelerate innovations.

 

Our Way to Play process was a breakthrough for SAE. It helped them see where there was an untapped non-dues revenue opportunity where they had an unmatchable competitive advantage—where they had the right to win. That clarity and depth of insight gave them the confidence to make a significant investment and a clear path to grow the new business quickly.

Their Non-Dues Revenue Multiplied

SAE ITC is a huge success. It has established SAE as the leader in cross-industry collaboration. In addition, it is a platform for SAE to grow through acquisitions and a significant net income stream. 

  • SAE ITC grew ten times over into a $6 million business in three years. 
  • It repaid its start-up costs in one year and generates a consistently high net income for the SAE enterprise.
  • It houses thirteen industry consortia addressing key industry challenges, from automated vehicle safety to aerospace engine quality.
  • SAE has made ten strategic acquisitions under the ITC umbrella. All of them have been successful.
  • Industry leaders come to ITC to solve their most strategic pre-competitive challenges. 
  • From the Big Three auto manufacturers to Silicon Valley to the Department of Defense, organizations come to SAE ITC to help solve problems no one else can.

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