Lexington, KY - The story behind the ownership of Associations International is as complex as its client management responsibilities; but through it all, its customers keep coming out on top.
Founded in 1974 as the association and event management division of Host Communications, the group has spent the past 37 years providing a full range of management services to a myriad of national and international organizations.
In March of this year, Associations International (AI) acquired the association management business from IMG, as IMG began relocating other pieces of the original Host Communications to Winston-Salem, N.C.
"The business has been in Lexington for quite awhile, and we don't plan to leave," said part-owner Tim Duke. "Lexington is a great place to do business, and we're happy to have what the city offers; its assets are its people."
While AI's day-to-day activity with clients such as the International SPA Association, the American Volleyball Coaches Association and the International Coach Federation has remained the same, its ownership has not. IMG, an international sports marketing and entertainment organization, became the owner of the association business through a series of acquisitions beginning with the purchase of Host by Bull Run Corp. in 1999.
As IMG worked to consolidate its collegiate sports marketing business, it became clear that the association management services no longer fit its business model. Fortunately, AI was prepared to acquire the association management business and ensure a smooth transition of services for its clients. The acquisition of IMG's association management business by AI was finalized in March 2011.
When Duke and his fellow investors first met with the IMG Associations staff in early 2011, it didn't take them long to make a deal.
"We were wowed when we met the Associations staff," said Duke. "It was an easy decision to make the investment."
According to Duke, the transition has been seamless for the over 76,000 members of AI's associations as well.
In a show of confidence, Quest International Users Group, a global association supporting more than 50,000 Oracle application users, extended its management contract with AI for an additional three years on June 23, marking the first renewed client agreement with AI since the change in ownership. The original Quest/AI contract would not have expired until the end of 2011.
"The Quest board of directors had no hesitations in renewing with Associations International," said Quest President Darrell Hawkes. "It is a testament to the service level of AI that Quest was able to sign the agreement six months early. That just shows the trust we have in the staff and leadership."
Quest became a customer of Host Communications in 1998 when the needs became too great for volunteers to manage the day-to-day operations of the association. Quest's customer model has remained relatively the same, according to Quest executive director Jon Vaughn, who has been with the company nine years, and through all four ownership transitions.
"It's a collaborative effort," said Vaughn. "We've been there for each other over the years, through good and not-so-good times. The client/AI relationship approach is a true definition of a partnership, and Quest is just one example of the success we have experienced with the associations we have worked with for many years."
AI manages the routine responsibilities of member development, conference planning and execution, financials and marketing for each of its clients. While each organization has its own executive director and core staff focusing solely on the business of that association, AI's team of operational staff concentrates on the "behind the scenes" functions of each group.
AI's approximately 80 employees service clients around the world, from the novel to the well-established. Starting an association or managing a growing one can be difficult.
"We're a boutique company that offers full strategic management services to associations, but also ยท la carte services for a meeting, exhibition or convention management," said Duke.
Companies have continued to slash travel and training budgets, which has had an impact on associations that are heavily dependent upon face-to-face meetings and events. Both AI and its clients continue to face challenges but have found success through innovative solutions. For example, AI has led several of its clients in moving education and content delivery online for members who are unable to travel, in addition to localizing meetings so that travel costs are low and time out of the office is limited.
"Every association is a bit different," said Vaughn. "But AI brings an entrepreneurial attitude that helps our clients quickly change with the times and remain flexible."