ASIS 30% Membership Price IncreaseBy: IPVM Team, Published on Jul 02, 2013
ASIS announced that is would be increasing its annual dues, starting in 2014, from $150 annually to $195, a 30% increase, noting that "this is necessary if ASIS is to continue to provide the scope, breadth, and quality of current services, while also building offerings for future generations in the profession."
Small Impact Overall Financially
We know from 2011 financials membership dues bring in about $4 million annually. Assuming every current member renews, the increased dues will add $1.2 million per year.
ASIS makes ~$29 million a year in revenue overall, so the 30% membership price increase, at best, would only increase overall revenue by ~4%.
However, membership growth for the last 10 years has already been nominal, despite membership fees staying the same. ASIS says membership increased from 33,000 to 38,000 since 2003. That’s a compounded annual growth rate of just over one percent (1.42%). It seems risky to put further pressure on a low margin by increasing membership dues and likely losing some of those members who were on the fence about signing up or renewing.
As one member noted in our discussion:
"No way am I going to pay more for what basically equates to nothing. When the ASIS CEO makes 650K a year I am thinking they really don't need an extra $45 a year from all my crew. So right there is a loss of $1,950 a year for them and $1,950 savings a year for me."
Unclear Cost Drivers?
Worse, from its correspondence with members on Monday, it is not clear whether the increase in dues coincides with any increase in services for members. All of the “membership-related developments” are programs that have already been ongoing, some since 2003. Others, like the digital edition of the magazine, were done to cut costs rather than increase benefits to membership. The ASIS magazine, Security Management, has published digital magazines instead of print issues four times in the last year, all containing less content than print editions.
As we noted in our report, The Rich Gets Richer, total compensation for the 7 ASIS executives was just under $3 million for 2011 (averaging $402,000). It seems it could easily raise $1 million by reducing that number instead of raising member dues.
UPDATE: ASIS LinkedIn Discussion
Many ASIS members are expressing dissatisfaction [link no longer available] with the fee increase and ASIS efforts.