Friday, July 27, 2007

Cost of Golf: Business Golf is the Solution

I frequently read about how some of the changes in our culture and society surrounding golf are going to impact the costs associated with providing golf.  Some experts in the golf industry predict good things coming and some predict that golf is finally meeting its match.  Even others are saying that if the changes the golf industry faces today are not addressed, golf will fall back to what it was 60 years ago.

So what are some of the good things and what are some of the things experts are saying are going to put golf out reach of the average middle class golfers.

The good news is golf is very popular.  More people are playing golf than ever before.  Estimates are that there are now 80 million golfers around the world.  A few years ago it was 47 million.  People are finding that golf fits their needs personally, socially and now professionally.

Still on the good side of things there are a huge number of business people who are interested into getting into golf but are hesitant because they cannot figure out how to make it fit into their busy day, or find a way for golf to help their business.

On the downside of what could take place in golf, experts are predicting the regulations our government is going to have to put into place on immigration will shake the golf industry to the core and will result in operations costs for golf facilities to rise. 

What is taking place today with golf facilities, public and private, is the discounting of green fees, and other services provided at golf facilities, to be competitive.  This style of management will stress the balance sheets for golf facilities if changes are not made and solutions found. 

The operation’s budget of a golf course is huge.  It takes a lot of resources to maintain a golf course.  The continuing increase in fuel costs has impacted the bottom-line but now the increase in labor costs will force golf facilities to raise the greens fees.

This would result in golf being thrown out of reach for a large number of golfers.

However, there are solutions.  Remember those business people who want to get into golf if they could find a way to benefit their business?  If they could only learn how to make it work...hummmmm, wonder who could help them?

Golf facilities need to look outside the normal approach they use today of how many tee times they need to book to float the golf course operation’s budget.  Golf facilities, as well as many golf related businesses, need to take on the challenges facing golf head on and not default to something that will not work any longer.

Bottomline: Find solutions.  There are some that need to be looked into. ...let me know how I can help.


Scot Duke

President & Business Golf Mentor

Innovative Business Golf Solutions, LLC


My Blogs: Business Golf

                The Duke Consults

                Is This Really All Worth It?



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