Written by Avery Robertson
There’s no denying that the golf industry is experiencing unprecedented growth across various fronts—from on-course play to off-course entertainment, broadcast viewership, and the influence of content creators and influencers. This surge in exposure to the game and golfing world also presents both opportunities and challenges for golf courses and their owners striving to remain relevant in this evolving landscape.
This article focuses on four key statistics derived from The New Era of Golf: Consumer Insights Study, and explores actionable ideas to leverage these data points for business growth and community engagement.
Four golf statistics you need know:
- Stat 1: More than 50% of golfers check reviews before booking a tee time.
For golf course owners, managers, and operators, understanding public perception is paramount. The GolfNow Consumer Insights Study found that 52% of all golfers consult online ratings and reviews before booking a tee time, a figure that rises significantly to 74% among GolfNow users. This shift highlights the increasing importance of managing the public perception of golf courses, especially as younger demographics become more influential in the market.
Negative reviews can be particularly concerning for operators, often leading to considerable anxiety about how to respond effectively. Conversely, positive reviews are rarely celebrated or highlighted. This imbalance underscores a missed opportunity for course owners and operators who may focus excessively on mitigating negatives rather than promoting their strengths. So, what strategies can the industry employ to address this?
Firstly, celebrate the positives: Utilize various review platforms like Google reviews and GolfPass to showcase what sets your golf course apart. Highlighting positive reviews on your website and social media platforms provides potential customers with added reassurance about the quality of your establishment.
Secondly, address rather than attack negative feedback: Negative reviews are inevitable, and it’s crucial to handle them professionally. Respond with empathy, offering a way to resolve the issue offline and extending an invitation for the reviewer to return with a gesture of goodwill. Successfully turning around a negative experience can sometimes lead to reviewers updating or removing their first critique.
Lastly, actively ask for reviews: Many operators overlook the power of simply asking satisfied customers for reviews. Implement strategies such as staff prompts or displaying QR codes in pro shops that link directly to review platforms. QR codes are effective as they are free to generate and can help track and incentivize reviewers, potentially leading to increased positive feedback and customer engagement.
By adopting these proactive approaches, golf course operators can not only manage online reputation more effectively but also enhance customer satisfaction and loyalty in an increasingly competitive market.
Stat 2: Three quarters of golfers spend money at the golf course, outside of the cost of their round.
Operators often prioritize the golf course itself, overlooking the potential for significant revenue from the pro shop and restaurant. While the golfing experience remains central to every course’s appeal, it is crucial for operators to capitalize on opportunities to upsell every customer. Nearly 56% of surveyed golfers purchase food and beverages during their visit, a figure that rises to 66% among GolfNow users. Additionally, 27% of golfers buy merchandise and range balls, with GolfNow golfers showing an interest at an even higher rate of 47%.
What does this data mean for operators? It underscores the potential for diversified revenue streams within their facilities. Recognizing that each golf course is unique among the 15,000+ in the U.S., operators must understand their niche in the industry and cater to customer preferences. For instance, a high-end destination or resort course will differ greatly in offerings, services and expectations compared to a local community course. Engaging customers to understand their preferences—whether in food and beverage choices or pro shop purchases—is key to meeting demand effectively.
Equally important is tracking sales performance. While pro shops may stock items like polos and hats, which can linger for months with minimal sales, the essentials such as range balls, gloves, golf balls, along with staples like hot dogs and beer, typically drive off-course sales. Operators should focus on stocking and promoting items that consistently sell well to maximize revenue.
In essence, leveraging the potential of the pro shop and restaurant not only enhances customer experience but also boosts overall profitability for golf courses, and country clubs irrespective of their size or market segment.
Want to dive deeper into these golf industry trends?
Stat 3: More than 75% of golfers plan to play 5+ rounds per year. Only 36% actually do.
Golf is undeniably addictive, and the numbers speak for themselves. Over 75% of surveyed golfers plan to play golf for more than 5 rounds this year, a figure that jumps to over 90% among GolfNow users. However, intentions don’t always translate into action, as only 36% of these golfers achieved their goal in 2023. With over 15,000 golf courses nationwide to choose from, the challenge for operators is clear: how do you keep customers returning to your course?
The key lies in engaging beginners early on. A significant 62% of golfers identify themselves as either “fun only” or beginners. Moreover, the National Golf Foundation reports a sustained increase in golf retention rates since 2020, marking a resurgence not seen since the early 2000s’ “Tiger Boom”. Each year since, 6 million new golfers have taken to traditional golf courses, presenting a serious market size and substantial opportunity for courses to cultivate long-term patronage.
The question then becomes how to capitalize on this opportunity. Many beginners find golf intimidating, dissuaded by longstanding perceptions and inaccessible courses. While lessons are available at many courses, they often lack visibility beyond a flyer in the clubhouse or are limited to the driving range. Offering on-course, evening 9-hole playing lessons during quieter times can be an effective way to teach beginners not just how to swing a club, but how to play the game itself.
Marketing these lessons effectively is crucial. Leveraging digital ads, social media, and other cost-effective channels can expand awareness among potential golfers. This approach not only breaks down barriers to entry but also addresses the lingering issue preventing golfers from getting onto the course: accessibility.
Stat 4: Cost of golf still the largest barrier to entry for golfers.
43% of surveyed golfers cited cost as the primary reason deterring them from playing golf. This financial challenge is particularly daunting for golf course operators, as the cost of running a golf course continues to rise despite sustained demand following the post-COVID boom. How can golf clubs and courses make the experience more affordable for price-sensitive golfers?
A growing number of courses have embraced dynamic pricing strategies for their tee time inventory. Contrary to a common misconception, dynamic pricing isn’t just about offering discounts. Instead, it involves analyzing tee sheet data to understand peak demand periods and adjusting prices accordingly. For instance, weekends from early morning until noon typically see the highest demand, prompting courses to set higher prices. Conversely, midday slots on weekdays often experience lower demand and are priced more competitively to attract budget-conscious golfers who have more flexibility in their schedules.
This approach isn’t limited to specific days or times either. Technologies like those offered by GolfNow enable real-time analysis of tee sheets, allowing courses to strategically adjust prices within predefined parameters. Case studies show that implementing such strategies can significantly boost rounds played and revenue, while often maintaining or even increasing average revenue per round (ARR) by a modest margin.
By studying peak and off-peak periods, courses and clubs can tailor their pricing to cater to a wider range of golfers. Offering access at lower price points can lead to positive experiences that enhance perceived value, potentially encouraging golfers to return and even pay higher rates in the future.
Key takeaways for owners and operators:
The golf industry is navigating a period of significant growth and change, influenced by diverse factors such as increased broadcast viewership, the rise of off-course golf entertainment venues, and the expanding reach of influencers and content creators. Despite these opportunities, golf course operators face challenges in maintaining relevance and managing public perception. Key insights from studies like The New Era of Golf: Consumer Insights Study, underscore the importance of online reviews, with a substantial majority of golfers relying on them to guide their tee time decisions. Operators are advised to not only address negative feedback with empathy and resolution but also celebrate positive reviews to enhance their online reputation and attract more customers.
Moreover, adapting to demographic shifts and consumer preferences is critical. Operators of golf facilities can leverage data to tailor their offerings, whether through targeted marketing campaigns or enhancing on-course and off-course amenities. Emphasizing customer engagement and community involvement, alongside strategic use of digital platforms for promotion and feedback solicitation, can further bolster a course’s appeal. By embracing these strategies, golf courses cannot only sustain their business in a competitive landscape but also foster a welcoming environment that encourages growth and participation in the sport.
