Alumni – The Problem

Well I was going to write about seasonal changes, being let down about a green winter, and some personal updates but now I’ve taken on a more poignant topic – Dealing With Alumni.

Here’s how it started – a post on LinkedIn in regards to the amount of funding that actually goes to the Alumni Association (A.A.) at the University of Guelph.

The First Post

Of course, I was curious – just how much money goes to the University of Guelph Alumni Association?  The answer – a small fee.  Well that was obvious, but just how much?

Let’s do the math (rough numbers) – $110 for a print directory, $70 for a cd option 1, and $30 for cd option 2.

To date there have been approximately 20,000 people who have updated their contact information out of the supposed 100,000 active members.  Let’s assume that 20% bought cd option 1 – since it’s the middle option – 20,000 * 20% * $70 = $280,000 in revenue.  And the University of Guelph Alumni Association receives…..a small fee.

Hold on a second here…..you mean that there are cross selling opportunities for Harris Connect (the third party that is soliciting alumni info and selling the directory to said alumni)?  Oh wait an opportunity to sign up for People Magazine – see link here.  So let’s add in this additional revenue – 20,000 * 20% * $117 = $468,000 in revenue.  And the University of Guelph Alumni Association receives….a small fee.

Now let’s take a look at the cost to the University of Guelph Alumni Association in terms of actual cost and economical cost.

Upfront fee – $0

Subjugating their alumni to high pressured sales tactics to cover the cost of two post card mailings, a few unsolicited phone calls and acquiring alumni info from telemarketing companies – buying lists – (we know that at least 20,000 post cards went out)

(($1.50 * 2) + ($15/10)) * 20,000 = $90,000

(cost of post card and mailing) + (cost of call centre and staffing per hour/ calls per hour) * 20,000 alumni

I have to go now but I’ll finish this post later on and flesh out the argument.  In the mean time I have posted an Alumni Association rep and my comments below:

One Alumni Association reply

 

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