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Government RelationsSkiing has bunny slopes. Bowling has gutter bumpers. Unfortunately, golf courses can’t just put a big cover over a small pond whenever inexperienced golfers play through. A slice is a slice, and water hazards can’t be programmed to spit out wayward shots of only of single-digit handicappers. In Wednesday’s Orlando Sentinel, we looked into the dilemma on the recreational side, where golf’s participation numbers have been in a five-year decline. Just 8.5 percent of the U.S. population plays golf these days, with more players walking away than newcomers embracing the sport. Those numbers were reinforced by a series of focus groups administered by Boston Consulting Group, which reinforced many of golf’s positive qualities but added that consumers often felt like outsiders and the sport needs to be more consumer friendly. In recent years, golf’s leaders have seemingly flooded the market with various “grow the game” initiatives – Play Golf America, Get Golf Ready, Free Lesson Month, Tee It Forward. You may or may not be aware that May is Welcome to Golf Month. But for all the initiatives, the game is still losing participation. What ideas would you suggest? Take advantage of the comments section below – or under the original article – to offer your best suggestions to either bring new people into the game or increase play among those who already frequent the 180-plus golf courses in Greater Orlando. And remember, Golf 2.0 encourages outside-the-box thinking. GOLF 2025: WILL IT BE AN INDUSTRY OF DEAD WHITE MEN WALKING?by Jim Keegan
May 15, 2012
From that meager beginning, golf in the United States has grown to a $24.8 billion industry in which 26 million golfers play 460 million rounds while frequenting 15,882 facilities. Despite that growth, more than 110 years later, golf has not lost its elitist brand. Two-thirds of the rounds are played are by those with a household income of at least $85,500, and their median age is 41.9. The national median household income is $51,618, with a median age of 37.1. For every round played in America by someone who is Hispanic or African American, Caucasians play seven rounds. For every round played by a female, men play 5.1 rounds. With Generation Y playing 58% less than baby boomers, this is hardly the foundation for an industry hoping for dynamic growth. Why is golf challenged? Our time-crunched society is an antithesis to leisure. With the cultural changes stimulated by the evolution of technology and our quest to be constantly updated in this experience-based economy of endless choices, we have witnessed a lifestyle integration of work and play. We have become a child-centered society in which status is now earned by demonstrating how busy we are. The harsh economic environment combined with adverse weather during the past several years, golf is a struggling industry in which the supply of facilities exceeds demand. Over the past six years, 257 more U.S. courses have closed than opened. To balance the industry, we forecast 1,659 facilities should close in the United States. Considering these multiple factors, we need to ask, “What does the future hold for the golf industry?” At the national level, a crystal ball isn’t needed. What is needed is an understanding of the motivations of those who influence the game and the business of golf. The United States Golf Associations is steadfast in its adherence to maintaining tradition by applying a single set of rules and uniform equipment to level the playing field for national championships. In 2000, at the PGA Merchandise Show, then Executive Director David Fey stated, “It is from the innate difficulty of the game that enjoyment emanates and that the rules needed to be consistently applied.” Current Executive Director, Mike Davis, reiterated that philosophy at the USGA Annual Meeting in February, 2012. In contrast, Arnold Palmer stated is his book, Playing by the Rules, “I’m sure that I could watch the golfers at one of my clubs for a while on any given day and be able to disqualify half of them for this or that infraction. But why would I want to? Golf should be fun. And those of us who love the game should be encouraging fun and recreation, not building roadblocks for future golfing generations. The USGA would be well served by adopting that attitude.” Golf will remain, for the foreseeable future, the only major sport that doesn’t have a bifurcation of its rules or its equipment, like baseball, football, and basketball, to encourage the beginner to learn or the less skilled to play more frequently. Golf is expensive to play and difficult to learn. It can be very time-consuming, as evidenced by the six-hour round during the 2012 Pebble Beach Pro-Am. And frankly, if one isn’t skilled, it isn’t a lot of fun. For the individual not focused on score or championships, golf’s only socially redeeming value is that the golf course is a fabulous nature preserve to enjoy and share the fellowship of family and friends. Thus, the USGA, and in turn, what I perceive to be their licensed franchisees performing sales and administrative duties, State Golf Associations, will continue to be an impediment to the economic success of the golf industry and irrelevant to 85% of the golfers in America who lack a USGA Handicap – the benchmark of a frequent player. While the USGA’s focus will remain on the game of golf, the focus of the 7,000 members of the National Golf Course Owners Association, the 28,000 members of the PGA, and the 1,377 members of the LPGA will become increasingly focused on the business of golf, for its provides each their living. Translated, recruiting new players to the game by emphasizing youth, woman and minorities, and motivating former players to return with greater urgency will be the hallmarks of new golf industry initiatives such as Golf 2.0, Golf Ready, Tee It Forward, Family Golf Monthly, and Play Golf America. These programs will redefine golf and shatter the hallowed traditions on which the industry’s brand image has been formed. In Colorado, bastions like Castle Pines Golf Club, with its properly reserved reverence from Mr. Vickers; Cherry Hills, with its championship pedigree; and Denver Country Club, with its blue-blood orientation of Denver’s finest, will be unaffected as a small segment of society will seek to preserve an aristocratic lifestyle. The remaining 90% of facilities will undergo massive changes. To open the entry door to the game in order to compete for the entertainment dollar, the industry will adapt to the cultural changes in our society. Denim, tee shirts, and golf hats worn backwards will be accepted. Cell phones will be welcomed. Roaming beverage carts will disappear as golfers will use their mobile devices to place food and beverage orders while playing. Tee markers will be based on ability, not gender or age, similar to the signage used on ski slopes. For example, a standard practice at course will include signage already developed at adopted by Del Ratcliffe, PGA, at Ratcliffe Golf services in North Carolina:
Courses will become easier and the slope rating, currently at 127, will probably decrease as renovations will make the courses more player-friendly. New course construction, at an average cost of nearly $8 million, will grind to a halt. Since the average life of a golf course’s infrastructure is 20 years, renovations will become in vogue as the median course in the United States was built in 1969. Those difficult golf courses in the remote areas, such as the Sand Hills of Nebraska, are targets for closing. As they do for skiing, customers will able to rent the latest equipment rather than being required to make an investment exceeding $1,000 for golf clubs. At private clubs, high-equity initiation fees will be replaced by low non-refundable initiation fees and monthly membership fees for not only golf but for a wide range of activities. Memberships in multiple clubs will subside. Clubhouses will be transformed to sports bars, fitness facilities, and day care centers. The recently renovated Midland County Club, in Midland, MI being a case in point. The fixed orientation of an 18-hole course will lessen, and golfers will be encouraged to play merely the number of holes they desire, whether 3, 6, 9, 12 or 15, with flexible rate schedules introduced. At all golf courses, the number of woman professionally employed in the business of golf, currently 5%, will dramatically and fortunately rise. The LPGA and the PGA will consolidate their educational programs and raise the certification bar significantly based on expertise in business practices. Those organizations could downsize by 25% without jeopardizing the supply of required business professionals. The conflicting forces of sexism and feminism, so prevalent today, will abate, but unfortunately will not be eliminated. Yield management, customer segmentation, and CRM marketing that leverage social media will become standard business practices, introduced by Golf Channel (NBC/Comcast), an entity that is likely to become the leading technology supplier in the golf industry. To the extent that it is possible to develop software that runs the course on “auto-pilot,” the industry would be well-served. Counters will be eliminated as golf shops will be transformed into retail stores like Apple and Microsoft. GPS will become a feature on every cart, with adapters for IPODS and music systems. Golf shoes will resemble sneakers and will have GPS and Nike+ Fuel Band embedded within. New clean bathrooms, rather than porty-potties, will be the primary capital improvement at golf courses to render them more woman-friendly. What do these changes mean? For those who have pondered about learning the sport, it is a great time to walk through the entry door to the game. Golf course owners and PGA Professional will be striving to provide value based entertainment for you, your family and your friends in a warm and welcoming environment. For the avid and core golfer, equipment manufacturers will continue to introduce fabulous new designs to make your round more competitive. All will benefit from third parties consolidators placing downward pressure on green fees so that cost of playing golf will become affordable. Are these predictions likely to occur? The theory as to what should occur is well documented. Thus, in an industry known for firmly preserving the status quo, the only thing known for sure is that capitalism creates and capitalism destroys. Golf is a business in the entertainment sector of the nation’s economy. In spite of all that is financially negative about the golf industry as it exists today, I believe it can successfully adapt to the changes in our society. In that case, if the golf industry were a common stock, it would make for a wise long-term investment. Note: These opinions of J. J. Keegan, a Golf Magazine panelist, were formed from flying over 2.5 million miles during the past two decades visiting over 4,000 golf courses in 41 countries as a strategist counseling golf course owners and managers how to maximize their investment return. As his few friends often say, “he is often in error, but never in doubt.” SOURCE: http://golfoperatormagazine.com/golf-2025-will-it-be-an-industry-of-dead-white-men-walking/ Upside down enterprise funds, privatization, closures, unfunded capital needs, declining play, declining revenues, squeezed budgets – these are the issues consuming the attentions of golf managers, golf management companies, consultants and allied associations in the public golf realm right now. That’s why the SCGA coordinated – and veteran municipal golf manager/consultant Dave Sams hosted – a “summit” of some of the municipal game’s leading minds at the Rose Bowl Operating Company’s 36-hole Brookside Golf Complex in Pasadena September 28. “The SCGA recognizes that the degree to which the game’s traditional entry point suffers, the whole game suffers, particularly its future prospects,” said SCGA Director of Governmental Affairs Craig Kessler. “That’s why we used the SCGA’s 25-member Governmental Affairs Committee as the platform for bringing together some of the most experienced and accomplished professionals in the municipal golf world to see if we couldn’t distill a few positive nuggets of remediation from these muddy waters.” With more than 150 years of combined experience in the public golf world, the assembled team spent the day dealing with every aspect of the current municipal landscape – the state of the economy, the rising fixed costs of water, energy, insurance, and labor, the declining incomes and equities of the game’s customer base, the heightened maintenance expectations of the modern public player and the collapsing tax bases of municipal governments. “A perfect storm of uncontrollable rising costs and declining incomes,” one participant called it. The group lamented a bygone era in which municipalities viewed their municipal golf properties more for their recreational benefits than their financial ones and discussed ways in which that part of the municipal golf message might be rekindled. But in the final analysis, the participants recognized that at least in the short run the standard by which municipal golf programs are going to be judged is their capacity to operate without public subsidy – not a problem for regulation 18-hole courses in the region’s large urban cores, but a most definite problem once you get beyond Los Angeles and San Diego and once you begin looking at the 9-hole, executive and 3-par courses that do so much to introduce the game to new generations of players. The conclave spoke in brutally candid terms. The members left satisfied that they had at least defined the scope of their shared problem – always the necessary first step in figuring out solutions. The second step: The group resolved to come together again soon to begin crafting some of those solutions. The California Golf Course Owners Association and our Sponsors invite you to join the Board of Directors and fellow golf course owners and operators for a breakfast meeting and educational session on Tuesday, July 12, 2011, 8:30 A.M. to 12:00 Noon at Tustin Ranch Golf, 12442 Tustin Ranch Road, Tustin 92782 – Telephone (714) 730-1611 www.tustinranchgolf.com. Our host is Steve Plummer, Tustin Ranch GC General Manager – & President – Championship Golf Services, Inc. Overnight guest rooms are available at The Crowne Plaza Irvine, 17941 Von Karman, Irvine CA 92614 (949-863-1999). The Crowne Plaza has offered a courtesy block of rooms at a $79 rate to our group. They are less than 2 miles northeast of the John Wayne / Orange County Airport, and within 7 miles of Tustin Ranch Golf Club via Jamboree Road. Mention CA Golf Course Owners and Tustin Ranch Golf Club to receive the $79 Tustin Ranch Hospitality Partner rate. Mapquest link Airport to Hotel to Course is: http://mapq.st/kcjavg Our speaker is John Hakim, CEO/President – www.Greenskeeper.org – “Impacts of the Non-handicapped Golfer on Course Rating” or, “How can we use the course rating to include the golfer who doesn’t post scores in a golf handicap system?” Greenskeeper.org is a FREE online golf community providing aeration alerts, golf course reviews, photos, free handicap tracker, specials, current rates, twilight hours, tee times, product reviews and more. The sport is losing appeal, partly because of tough economic times and tougher courses, and for the first time it is taking stock of itself.Bill Dwyre Golf is a disease that invades your blood cells and usually becomes incurable. The people who benefit from its trappings — golf course owners, equipment manufacturers, cart girls — count on that. Their assumption has been that you may shank and you may chunk and you may throw your driver farther than you can hit it, but you will come back. Well, maybe not. It appears that there is trouble in River City, and it has nothing to do with billiards. Tiger Woods is declining, and so is the game he plays. There is probably a connection, but the decision makers in golf are choosing to see it as more complicated than the simple fading of one superstar. The National Golf Foundation recently released survey numbers that said 3.6 million people took up the game in 2010 and 4.6 million quit it. A study by the PGA of America said that there are 90 million former golfers in the United States, and 60 million of them still have an interest in taking up the game again. NGF tracked 46 18-hole equivalent golf course openings in 2010 vs. 107 closures, for a net negative of 61, the fifth consecutive year that closures have outpaced openings. The total net loss of 220 18-hole courses from 2006-2010 represent roughly 1.5% of the total supply. The 2010 net loss of 61 courses in 2010 represents less than one half of one percent of total supply. Considering the severity of the recession, one could argue that golf has held its ground reasonably well. These are some of the details emerging from NGF’s Golf Facilities in the U.S. report, 2011 edition, which will be released in early February:
Please contact NGF with any questions or inquiries. View the full State of the Industry report here. Kids fall short of federal guidelines
Posted: 05/30/2011 07:02:01 AM PDT
Cuts to physical education programs, as well as exemptions that allow high school students to skip up to two years of PE, have contributed to declining participation in these school-based programs, the brief’s authors noted. The study, which was released today,found that the number of teens participating in PE drops precipitously with age, from 95 percent at age 12 to just 23 percent at age 17. Using data from the 2007 California Health Interview Survey, the authors found that only 42 percent of California teens report participating in PE on a daily basis. And more than 80 percent of all teens fail to meet the current federal recommendations for physical activity. Federal public health officials recommend adolescents get 60 minutes of exercise daily. “This numbers are likely worse today” given the difficult financial times California school districts are facing, said Susan H. Babey, a researcher with the Center for Health Policy Research and a study co-author. San Bernardino County ranked higher than the state average, with an average of 3.3 days of physical education, compared to 2.7 across the state and 2.3 days in Orange County, 2.4 days in Riverside County and 2.7 days in Los Angeles County. Research shows that a lack of physical activity is associated with obesity, diabetes, and other chronic conditions, while regular physical activity is associated with increased mental alertness and higher academic achievement, the study said. “Physical fitness is an intrinsic part of the educational process, not something to be sidelined or avoided,” said Dr. Robert K. Ross, president and CEO of the California Endowment, which funded the study. “Our educators need to understand that physical education is just essential to a student’s academic success as is reading, writing and arithmetic,” Ross said in a statement. “While it is true that there is more opportunities for girls to participate in sports than in the past, they do not do so at the same rate as boys,” Babey said. Participation in PE is higher among boys than girls (66 percent versus 59 percent). Yet just 25 percent of boys and 13 percent of girls meet the current federal recommendations for physical activity, the study found. Federal public health officials recommend adolescents get 60 minutes of exercise daily, Babey said. “At this point (given the situation with public schools) we are not recommending expansion of physical education programs. But we are encouraging that there be no further cuts,” she said. |
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In 1899, when 307 golf courses existed in the United States, Thorstein Veblen, the author of The Theory of the Leisure Class, expressed his opinion that golf was a game in which individuals participated to demonstrate their conspicuous consumption of leisure. In essence, individuals were attracted to the sport to demonstrate their superior financial position and to flaunt their lack of need for work as America transitioned from an agrarian to an industrial society.
More than one third of all adolescents enrolled in California public schools do not participate in any school-based physical education classes, according to a new policy study by UCLA Center for Health Policy Research.





