by

Revenue Management in the Golf Industry

 

Golf Industry Overview 

Golf is a great sport! Why? Because it is one of the few sports that you don’t have to be in shape to play it and play it well! Just google John Daly and you’ll know what I mean. Golf is a very popular sport because it’s social and it requires as much mental ability and concentration and it does physical.

There are more than 35,112 (http://en.wikipedia.org/wiki/Golf) golf courses worldwide and many of them are located in resorts and tourist hot spots. Half of all golf courses are located in the United States and it probably has to do with the abundance of real estate in the country. But of course, like everything else in the world, the next big thing is golfing in China, which has exploded in popularity since its introduction to the country in 1984.

The National Golf Foundation (http://www.ngf.org/) and Golf Digest (www.golfdigest.com) offer plenty of information about the golf industry and its latest news.

Golf is popular amongst both men and women and there are plenty of professional tours around the world. The PGA and LPGA tours and the most popular for male and female professional golfers and they have some of the biggest prize purses in the industry. I think golf is the greatest sport in the world and I am biased because I’ve been playing it since I was four years old. But this is how I convinced a friend: I told him that if I was a famous professional athlete of any sort I would pick golf. Why? Because it’s the only sport where your professional career could last as long as a regular job. I can be a professional golfer until I’m retired! And after that I can even join the Senior PGA tour where I can still make a great living. Just ask Lee Trevino of Chi Chi Rodriguez.

The problem with golf and revenue management is that it usually charges a fixed price and it’s hard to control duration, which places it in Quadrant 3 of the RM levers. Since it is a social sport and depending on the size of the group, type of course and weather, it is very hard to estimate how long it’ll take a group to finish a round of golf.

Space in golf is pretty fixed and it is defined

This is how a round of golf is usually priced:

–       The golfer pays a “green fee” that allows him/her to play a round of 18holes

–       The time it takes to finish the 18 holes varies greatly depending mostly on the size of the group

–       It is categorized as a “gentlemans” sport and it’s considered rude to hurry other players

 

Space

The golf industry defines space implicitly in that they are in charge of the space and they do not require to sell a specific part of that space but the whole course or golf range.

Golf courses divide their space up in different types, duration and distance for their holes. They also add other types of spaces like golfing ranges where they can get additional revenue from customers that don’t necessarily want to play a full round of golf.

 

They can also use the space to generate additional revenue, for example:

–       They have the golf range that serves the golf course

–       A golf pro shop to generate retail sales

–       Professional services like gripping clubs

–       Professional lessons (might not take space but generate additional revenue)

–       Bars (19th hole)

–       Other F&B outlets like restaurants

 

 

Some creative solutions to generate additional revenue using the space could be:

 

 

–      Offer spa and sauna services in their locker facilities if they have them

–       The space could also be rented out for events, such as weddings and outdoor concerts

–       They could do outdoor cinemas at night

–       They could have summer camps at night for kids

 

 

 

 

Time

The golf industry uses time implicitly because it is very hard to know how long it will take a group to finish a round of golf and it is very hard to control it without annoying customers. There are things that can be done, for example:

–       Discount if the group is done before X amount of time

–       Charge for time and not for rounds (problems with slow foursomes)

  • Slower ones must be willing to let faster ones go through

–       Charge different prices based on weather forecasts (a discount for a potentially rainy day, give they sign  a disclaimer)

–       Older people have to be 3 or less per group

–       Field marshals to help ease the time pressures

–       Use ball finders in certain holes to make finding the ball easier (reducing time). This could be very helpful in markets where labor is inexpensive

–       Caddies for bigger foursomes (time controllers and sell them as free caddies or charge)

–       Charge higher for “professional caddies” who will make play faster

 

Price

There are several rate fences that can be used in golf in order to charge different prices at different times or level of service. Some of them were mentioned in the previous point because they go hand in hand with time, but some additional examples are:

–       Charge different prices

  • Morning vs afternoon
  • Weekday vs weekend

–       Golf cart to have fences for bundling and other services

–       Charge for time and not for rounds (problems with slow foursomes)

  • Slower ones must be willing to let faster ones go through

–       Advanced payment to reduce no-shows and determine overbooking levels too

–       Cancellation Fees for no-shows

–       Booking curves in order to determine which days are the ones with the most demand

–       BUNDLING

–       Daily traffic curves to determine what time of days are the best tees (every half hour?)

–       Pay extra to pass a slow “foursome”

–       Charge different prices based on weather forecasts (a discount for a potentially rainy day, give they sign a disclaimer)

 

When it comes to Golf Ranges, which could be an add-on to a golf course or free standing, has a lot of RM opportunities too:

–       Different prices for the bucket at different times based on Curves by time and day of week (with length of stay too)

–       Offer unlimited balls for a pre-determined LOS instead of charging by the bucket… This way we know exactly how long they will last.

–       Offer different quality of balls and charge more or less for them (makes hard to sort them but could be worth the effort)

–       Charge more at night or day depending on demand

–       Offer virtual ranges

–       Time and price could also be enhanced by having some kind of set path:

  • 10 shots at three different distances with three different clubs

–       Be able to reconfigure the range and/or the booths where the players shoot the balls

 

There are many things that can be done with golf revenue management. But the most important thing to do before rolling out RM initiatives is to test it first. A new RM strategy might sound exciting but it could be a potential source of dissatisfaction with the customer and reduce revenue instead of improving it.

29,261 thoughts on “Revenue Management in the Golf Industry”

  1. This approach is certainly visually extremely best choice. Every single one for problems stresses happen to be designated as a result of various culture competencies. You should the solution quite a lot. situs slot terbaik

  3. I recently came across your blog and have been reading along. I thought I would leave my first comment. I don’t know what to say except that I have enjoyed reading. Nice blog. I will keep visiting this blog very often. 온라인카지노

  5. Hello, my name is Neha, and I work in Varanasi Escorts. I’m a escort girl and I can meet all of your demands. I provide excellent and highly recommended services. I’m the young lady you’ve been waiting for to sate all of your desires and keep you from being alone.

  6. You will find on our sites distinctive no deposit bonuses,no deposit casino , no deposit poker , no deposit bingo , no deposit forex and all the most effective deposit bonuses bandar toto

  9. I’ve been surfing online more than three hours today, yet I never found any interesting article like yours. It’s pretty worth enough for me. In my opinion, if all webmasters and bloggers made good content as you did, the web will be a lot more useful than ever before. Anru33

  11. Great post on revenue management in the golf industry! It’s clear that strategic pricing and resource allocation can make a huge difference in maximizing profitability for golf courses. Implementing dynamic pricing models, especially with the rise of online booking systems, seems like a smart way to adapt to market demand. The focus on customer segmentation and offering tailored packages is also a great way to improve customer retention. Looking forward to seeing how these strategies evolve in the coming years.
    Stipulation of Settlement Divorce New York

  12. The 2020 Ford Mustang Shelby GT500 has become one of the most sought after and talked about sports cars since its launch. Combining the Mustangs iconic design with very impressive performance, this car has attracted attention not only from automotive fans, but also from the general public. There is lots of other interesting information that we have provided. , please visit this website. https://karmabodykit.co.id/

  13. Football is not just about kicking the ball, but also about passion, togetherness, and hope for the future. Motivational and inspirational words from football figures can be a source of positive energy for football fans and players. For more information, please visit our website jadwal serie a

  14. Football teaches us cooperation, how not to be selfish, football also teaches discipline, fosters leadership qualities and attitudes, tenacity, sportsmanship and fair play, and hard work. For clearer information, please visit our website jadwal serie a

  15. Football is not just about kicking the ball, but also about passion, togetherness, and hope for the future. Motivational and inspirational words from football figures can be a source of positive energy for football fans and players. For more information, please visit our website jadwal serie a malam ini

  16. Football is the most popular sport in the world. Everyone loves football, whether it is playing or just watching. Football has become a part of everyday life. For more information, please visit our website prediksi serie a malam ini

  18. Football is not just about kicking the ball, but also about passion, togetherness, and hope for the future. Motivational and inspirational words from football figures can be a source of positive energy for football fans and players. For more information, please visit our website hasil liga inggris

  19. Wonderful article! Fascinating to read and full of valuable tips. I love how it made setting up clear span tents so much easier. Thanks for the detailed guidance—it has truly simplified my task. Keep up the great work!

  21. Every online game enthusiast will definitely always be able to get the most complete, prestigious, and trusted service that is no longer in doubt. Therefore, an officially licensed site certainly provides the most complete service because the desires of online slot game players are always well fulfilled. Playing online games is certainly easy to win with the availability of various best gacor online slot games. On the other hand, for ease cachieving victory, of course, you can also be guided by trusting some guides. And powerful tips for easy wins in playing slots that can be followed by online game players, including the following. For more information, please visit our website slot gacor hari ini

  24. Football is not just about kicking the ball, but also about passion, togetherness, and hope for the future. Motivational and inspirational words from football figures can be a source of positive energy for football fans and players. For more information, please visit our website jadwal liga inggris

  26. Discover France s Largest Selection of High Quality Eternal Roses! Experience the enduring allure of eternal roses in a variety of colors including red, blue, and white Our website offers an exclusive range of rose bears, wedding decorations, and artificial flowers and plants Shop now for free delivery and guaranteed.

    forever roses

  28. Revenue management in golf is a game-changer, optimizing profits while enhancing player experiences. Spotlight on Dave Annable – a visionary leader bringing innovation and excellence to the heart of the industry!

  30. The legal difficulties of ending a marriage, such as property division, child custody, and other significant issues, are handled by divorce attorneys. They advocate your interests in court or try to reach just settlements between spouses. Having a lawyer can be incredibly helpful, especially considering the emotional and legal challenges that frequently accompany divorce. Our skilled attorneys can provide knowledgeable legal advice if you’re looking for divorce lawyers Ashburn VA . For more information, get in touch with us right now.

  32. Impressive, what an thoughtful post! I really
    savored reading about your opinion on this subject
    . It’s absolutely given me a lot to mull over .

    I’d desire to be privy to more of your viewpoints,
    if you’re agreeable to extending the conversation .

    Additionally , have you known of MEGA888 ? It’s an magnificent internet gaming ecosystem with copious amounts of electrifying alternatives .
    I’ve participated in there and the venture has proved to be great .
    In the event that you’re on the hunt for a novel
    way to enjoy some recreation and conceivably
    triumph , I’d strongly endorse investigating
    it out . Allow me inform whether you’re interested and I can offer more details !

    Feel free to surf to my web blog; online horse racing

  34. I’m impressed, I must say. Actually rarely do I encounter a blog that’s both educative and entertaining, and without a doubt, you could have hit the nail about the head. Your thought is outstanding; ab muscles an element that insufficient everyone is speaking intelligently about. My business is happy which i came across this during my hunt for something about it. situs togel online

  36. User-Centric Design Tailored for ease of use across various platforms.Accessibility: Serves diverse audiences with flexible options. RR88

  37. If you want to look for an online lottery game, I recommend playing on this site https://www.seoservicescalgary.net/ Apart from the big prizes, this site also guarantees your security when playing, with extra services that are always provided to members, it will be easier for you to win prizes of up to hundreds of millions of rupiah.

  38. This article was written by a real thinking writer. I agree many of the with the solid points made by the writer. I’ll be back. RR88

  39. It’s on top of that a superb upload that him and i definitely treasured analyzing. It’s actually not each day we have opportunity to know a specific thing. RR88

  41. Ahrefs Group Buy is perfect for small businesses or individual marketers who can’t justify the full subscription cost. It’s an affordable way to leverage the power of Ahrefs for better site analysis and keyword research.

  43. İsveç Diyet Listesi

    İsveç diyeti, kısa sürede hızlı kilo vermeyi vaat eden popüler bir beslenme programıdır. Genellikle 13 günlük bir plan olarak uygulanan bu diyet, metabolizmayı hızlandırmayı ve yağ yakımını arttırmayı amaçlamaktadır. Düşük karbonhidrat ve yüksek protein içeriğiyle karakterize edilen İsveç diyeti, kalori alımını sıkı bir şekilde sınırlayarak kilo kaybını destekler.

  45. Football is not just about kicking the ball, but also about passion, togetherness, and hope for the future. Motivational and inspirational words from football figures can be a source of positive energy for football fans and players. For more information, please visit our website link nonton gratis piala dunia 2026

Leave a Reply

Your email address will not be published. Required fields are marked *