Purple Wave Creative

Articles · Membership

Membership retention rate: how to calculate it and what good looks like

Your membership retention rate is the share of members who were with you at the start of a membership year and are still with you at the end of it. Members you lost don’t count, and neither do new members who joined during the year. It’s the one number that tells you whether your association is holding on to the people it already has.

Here’s how to calculate it, what a healthy number looks like, and what to do when yours slips.

Why this number matters more than your member count

Most boards watch the total. “We’re at 412 members, up from 398.” That sounds like good news, but it can hide a problem. If you signed up 80 new members and lost 66 existing ones, you’re running hard just to stand still.

I’ve worked inside an association management company and I run a chapter’s admin, events and marketing day to day alongside a volunteer board. The pattern is the same everywhere. Recruiting gets the attention, because it’s exciting. Retention gets the spreadsheet nobody updates. But keeping a member is almost always cheaper than finding a new one, and a member who renews three or four times becomes the one who volunteers, sponsors and brings a colleague.

So the retention rate is the number I’d put at the top of every board report.

The formula

There are two common ways to measure it. Pick one and stick with it, so this year’s number can be compared with last year’s.

Retention rate (cohort method)

Retention rate = (members at the start of the period who are still members at the end ÷ members at the start of the period) × 100

Renewal rate (renewal-cycle method)

Renewal rate = (members who renewed ÷ members who were up for renewal) × 100

The cohort method works well if everyone renews on the same date. The renewal-cycle method is easier if members renew on their own anniversary dates throughout the year. Most benchmark reports, including the one below, talk about renewal rate.

A worked example

Say your chapter started the year with 400 members.

  • During the year, 340 of those 400 renewed.
  • You also added 75 brand-new members.
  • You ended the year with 415 members.

Your retention rate is 340 ÷ 400 = 0.85, or 85%.

Notice what isn’t in the math: the 75 new members. They’re great, but they tell you about recruiting, not retention. If you’d included them, you’d get 415 ÷ 400 = 104%, which is a growth number, not a retention number.

Now run the same math on just your first-year members. Say 60 people joined last year and 42 of them renewed this year. That’s 42 ÷ 60 = 70%. This is usually the most telling number you have, and I’ll come back to it.

What’s a good membership retention rate?

The most widely cited benchmark comes from Marketing General Incorporated’s annual Membership Marketing Benchmarking Report. In the 2025 edition, covering more than 450 associations, the median renewal rate was 84%, and the median renewal rate for first-year members was 74%. Both were unchanged from the year before.

So a rough way to read your own number:

Your renewal rateWhat it usually means
90% or higherMembers see clear value and renewing is easy. Protect what you’re doing.
80% to 89%Right around the median. Healthy, with room to tighten up.
70% to 79%Something is leaking. Look hard at first-year members and the renewal process.
Below 70%Treat it as the board’s top priority for the year.

A few caveats. Benchmarks blend every kind of association, from large national groups to small volunteer-run chapters, so treat them as a reference point, not a grade. Your own trend over three or four years matters more than how you compare to the median in any single year.

Watch the first-year number most closely

If you only track one extra number, make it first-year renewal. New members haven’t built a habit yet. They joined for a reason, and if they don’t see that reason come true in the first twelve months, they quietly don’t renew.

The gap between the two benchmarks above (84% overall versus 74% for first-year members) is where most associations lose people. Closing even part of that gap does more for your total than almost any recruiting campaign.

That’s why a real member onboarding process pays for itself. A welcome email, a personal call or note from a board member, an invitation to the next event, and a check-in around month three go a long way.

Why members don’t renew

When I look at lapsed members, the reasons usually fall into a handful of buckets:

  • They never got value. They joined for the events or the network, then never came to anything.
  • They forgot. The renewal notice went to an old email address, got caught in spam, or arrived once and never again.
  • Renewing was a hassle. A clunky form, a login they couldn’t remember, or a “mail us a check” process.
  • Their job changed. They left the industry or the region, or their employer stopped paying dues.
  • Nobody noticed they left. No one called, so they assumed no one cared.

The first two are the big ones, and both are fixable.

How to raise your retention rate

Make renewing almost effortless. One click from the email to a pre-filled payment page. No hunting for a password. If your website makes renewing hard, that’s a website problem, not a member problem. (It’s one of the first things we look at when we build association websites.)

Send a renewal sequence, not a renewal notice. One email is not a campaign. A steady series that starts 60 days out and continues a few weeks past the due date catches the people who were just busy. Our membership renewal letter article has templates for each step.

Show members what they got. A short “your year with us” email before renewal time, listing events held, resources shared and introductions made, reminds people why they joined.

Call the people who lapse. A personal call from a board member recovers more lapsed members than any email. Even when it doesn’t, you’ll learn why they left.

Track it every year, the same way. Consistency is everything. If you change how you count, you lose the ability to see whether things are getting better.

For a longer list of tactics, see our guide to member retention strategies for associations.

Keep the data in one place

Here’s the unglamorous truth. Most associations can’t calculate their retention rate quickly because their member data lives in three spreadsheets, an email platform and someone’s inbox. I’ve lived that. Every task had its own spreadsheet, each one updated by hand, and none of them agreed.

If calculating this number takes an afternoon of cross-checking, fix that first. Your member list, renewal dates and payment history should live in one system, ideally the same one that sends renewal reminders.

Frequently asked questions

What is the difference between retention rate and renewal rate?

Retention rate follows a group of members from the start of a period to the end and asks how many are still there. Renewal rate looks at the members who were due to renew and asks how many did. They often land close together. The important thing is to use the same one every year.

What is a good membership retention rate for an association?

Marketing General Incorporated’s 2025 Membership Marketing Benchmarking Report puts the median renewal rate at 84%, and 74% for first-year members. Anything in the 80s is healthy. Below 70% is worth treating as an urgent board priority.

How often should we calculate our retention rate?

At least once a year, at the same point in your membership cycle. If members renew on rolling anniversary dates, a quarterly check helps you spot a slipping trend before it shows up in the annual number.


Want a clearer view of who’s renewing and who’s drifting away? We help associations and chapters set up renewal campaigns, onboarding and a member system that keeps the data in one place. Request an introduction.