Overview

Not all members engage with or benefit from a cooperative equally—and not all members are positioned to contribute at the same level. Tiered contribution models recognize this diversity by offering scalable membership or contribution options while preserving equity, solidarity, and democratic control.

This best practice outlines how cooperatives can design fair and motivating contribution structures that increase engagement and sustainability.

Core Tactics:

• Clarify your goals for tiered contributions.
  Examples include:
  • Encouraging deeper participation
  • Providing entry-level options for new or small members
  • Rewarding high-contribution members without compromising governance rights
  • Creating scalable growth pathways
• Design contribution tiers based on meaningful factors.
  Potential bases for tiers:
  • Member revenue or size
  • Usage of cooperative services
  • Voluntary enhanced support tiers (e.g., “Sustainer Member”)
  • Tenure or loyalty programs
• Ensure equity and member control remain protected.
  Regardless of financial contributions:
  • Voting rights must remain equitable (one member, one vote).
  • Governance representation should not be skewed toward high contributors.
  • Member voice must stay central.

Sample Tiered Contribution Model:

• Communicate clearly and inclusively.
  • Frame tier options around opportunities, not obligations.
  • Celebrate contributions at every level.
  • Emphasize the shared mission over monetary value.
• Reassess tiers periodically.
  Evaluate every 2–3 years:
  • Are tiers motivating participation and sustainability?
  • Are tiers accessible to new members and underrepresented groups?
  • Are members proud of their contribution tier?

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