Order has been restored ... almost.
Allen DePuy
Broker, Consultant, Turnaround Management Specialist to Underperforming Businesses
From a golf operators perspective 2020 was a welcome site – rounds and revenue up to levels not seen since the Tiger Woods era. Golf was the benchmark social distancing activity - despite the inconveniences of foam in the cups and added cleaning measures.
However, as I pen this – there is that distinctive piano music in the background, bright yellow flags against a deep rich color of green, and the brilliance of azaleas a bloom at Augusta National in the SPRING.
Golf has returned to some level of normalcy …
But what will be the new normalcy of business operations of the golf industry?
Consider the following:
- Golf Course sales are surging! (*NOTE – we need new listings for active buyers!)
- Golf Course Rounds & Revenue are up nearly nationwide
- Junior Golf participation is increasing
- Food & Beverage continues to lag behind golf, however has shown sign of life
So, what does this mean?
In a recent conversation with NGCOA Executive Director, Jay Karen, he offered an opinion - one that I share and will attempt to paraphrase – “golf will return to pre-covid levels at some point in the future and it is hopeful that course owners have been conservative in their thinking and squirreled away the monies earned these past twelve months.”
When will this slow down occur? Tough to say … however consider this:
When the pandemic first struck, I had predicted correctly that a golf surge was forthcoming, but this would be tempered eventually with the economic reality unemployment from a struggling economy. What was not to be foreseen is the dramatic shift to remote employment. It is this remote work that I feel will continue to fuel the golf industry into the future – and, opinion that partially be validated by the recent words of the National Golf Foundation, Joe Beditz, who stated:
“Focusing solely on non-retired core golfers, 70% indicate they’ve worked remotely at least some of the time over the past year, and the majority found it was easier to get out and play golf. In fact, half said they were playing more golf than usual, especially in the late afternoons and early evenings. They also reported more nine-hole rounds…. driven in large part by core golfers who, given this unique opportunity, played even more.”
With the continued work-from-home model becoming more commonplace in nearly all studies I have read – the golf industry may be seeing this wave continue towards shore.
Is your club performing to its full potential? Give me a call.
Allen
CONTROL YOUR FUTURE WITH THESE GREAT OPPORTUNITIES?
Gamblers Ridge Golf Course - Cream Ridge, New Jersey
Western View Golf Course, Pub & Event Center - Augusta, Maine
Muskego Lake Country Club - Muskego, Wisconsin
