Edited by Par-A-Medic, 29 October 2012 - 08:45 PM.
Private club struggling, need ideas to increase revenue
Posted 29 October 2012 - 02:30 PM
Posted 29 October 2012 - 02:36 PM
I like oddball things like open to public 4 club, and night golf, maybe a "big hole" tourny. Etc.
Last year we had a concert with a popular local band and it was a good cash maker.
Posted 29 October 2012 - 02:38 PM
Edited by br61, 29 October 2012 - 02:40 PM.
TM M1 10.5 w/MT-6 stiff
TM M1 15* w/Speeder Evo 757 TS stiff
TM RBZ2 Tour TP 18.5* & 21.5*
TM M2 Tour 4-PW KBS 120 Tour stiff
Vokey SM5 black, 50*, 56* & 62* S300
Odyssey WhiteHot 46"
Posted 29 October 2012 - 02:42 PM
TM RBZ Tour 13 Matrix Xcon 7
TM RBZ Tour HL3 17 UST V2
TM RSi UDI 4 iron 23 Aldila Trinity 65
TM SLDR 5-PW Project X Flighted
TM xFT TP 50, 54, 58 Nippon Pro WV115
TM Rossa Ghost Tour AGSI+ FO-74
Posted 29 October 2012 - 02:53 PM
You will also need to look at creative ways of getting new members to join, different classes of membership, additional sources of revenue through F&B and other sources, etc.
I would also suggest hiring consultants who specialize in both book keeping and advising clubs on these sorts of things. The money you will spend on a report and an actionable plan may in fact save the club.
Posted 29 October 2012 - 03:38 PM
So with that in mind, our club offered free to each member one additional membership at not cost, and then sent the members out to recruit one new member with the proviso that the new members would pay the same dues as equity members and have all the same priviledges with the exception of and equity position. Feedback quickly came in and we found out that losing the equity position wasnt a problem for most and if by chance it did bother some, they could always actually pay the initiation fee and be a full member.
Doing this not only increased the monthly revenue but also we were able to finance our improvements without any additional cost to existing members. This plan will only work if you have a market to draw from and the support of the members who were our "pushing" the non-equity memberships.
Posted 29 October 2012 - 03:51 PM
Posted 29 October 2012 - 04:21 PM
On the more positive side, how about a junior membership program. I have seen these where there is no equity buy in until a certain age. I have seen all kinds of variations on this.
Posted 29 October 2012 - 05:34 PM
First off, you're not a "Private Club" if you accept "public players" ... which means you're competing in (2) separate & distinct markets, without a commitment to either. That's a tough place to be.
Secondly, you can't under most circumstances, "cut your way to a profit" ... unless your club is already grossly mismanaged. Any temporary progress will ultimately result in even larger losses.
Thirdly ... get some advice from people who own, manage or develop golf course, not from people on the Internet who play at golf. Playing golf is one thing, managing a golf business is a horse of a different color.
Posted 29 October 2012 - 05:55 PM
The owner (private ownership) for sure has gotten creative. Much to the chagrin of some of the older people of wealth.
The club is closed on Monday. So he "allowed" a league to play on Monday. Win/win. League gets a nice place to play and $$$ not normally seen are brought in. Now I don't know for sure, but I suspect if the owner was not familiar with many of the "league golfers" the league thing might never have happened. (No true hacks in the league.)
Outings are booked on Mondays. Any outing is done prior to league play so no conflict.
There are now more "pay to play" golfers than members. After paying a modest up front fee and agreeing to spend "X" dollars a month on food and beverage a person gets full membership rights (except voting). Weekend golf, with cart, comes out to an amount that allows some people (me!) who would have never thought they'd play Country Club golf to play Country Club golf.
According to a full time member (lives on the course/own cart. etc.) the club makes more money off the pay to play golfers than the full members.
The best part... my peer group took most of the money paid out during summer tournament play. I know it is bad to gloat but we all came from a goat ranch that was truly looked upon with disdain.
Titleist 910F 17° / 910h 24° & 27°
Titleist 913Hd 20°
PING G25's 6-U KBS Tour - V
Cleveland RTX 53 / 588 56°
Callaway ProType ix 9ht
Posted 29 October 2012 - 06:36 PM
1. Do you allow unaccompanied, non-sponsored outside play?
If you do all ready, that takes away one of my ideas which would be to open up certain tee times at non-peak times to the public. That can be done any number of ways, but GolfNow would be a good way to do it, I think. Tell people they can't just call up and come out, but must book through a specific agent in order to play.
Second, figure out how to get more members. Cut your initiation fees, perhaps. Offer more categories that guys under a certain age and/or over a certain age can get reduced monthly fees. Also, if you don't have it, go to a small monthly food minimum, $25 or something.
If there are other clubs in the area, either private or public, offer a reciprocal program.
Beyond that, more details are needed...
Posted 29 October 2012 - 07:07 PM
I have mentioned opening play publicly after noon or one, and on slower days. We have tried the "package deals" in the past and didn't seem to get a whole lot of play. I like the corporate membership idea. They dot play enough to wear out the welcome and usually bring good money. Often they just join outright.
As to the players card we added to the number of rounds and the price had been adjusted to be equal to the competition.
We are the middle guys in the area. We have a large colleges big name course here however they are expensive and not "member friendly" and then we have a couple of true semi private that are around our price but have a lot of public play, enough that you can't just drop 7 balls at the 100 marker and play in without some hate from a ranger. Then there is the trump card that the tighter folks use as ammo, the local club that got bailed by the town and membership is less than a third of our but its a goat track.
Posted 29 October 2012 - 07:50 PM
Posted 29 October 2012 - 08:29 PM
Posted 29 October 2012 - 08:38 PM
Posted 29 October 2012 - 08:50 PM
I suspect the answer will be a little of both. I'm sure you have members with backgrounds in business or maybe even someone with a background in economics who can figure this out, reach out to them and see if they are willing to help. That way you would have some solid data to work off of.
Of course the downside is that you may find that there is no way to raise enough revenue to cover costs and if that is the case then you are just avoiding the inevitable as this club will be shutting down eventually.
Best of luck!
Posted 29 October 2012 - 09:03 PM
Posted 29 October 2012 - 09:32 PM
How exactly does closing one day a week, "save" $150,000?
Do you get to cut the Pro's salary by 15% ?
Do you get to cut the Superintendent's pay by 15% ?
Do employee fringe benefit costs go down?
Do you get the City to cut your taxes?
Do your insurance costs go down?
Do you now get to buy less fertilizer or pest control chemicals?
Do cart "expenses" go down?
Edited by BrianL99, 30 October 2012 - 04:35 AM.
Posted 30 October 2012 - 03:00 PM
Posted 30 October 2012 - 07:15 PM
Posted 30 October 2012 - 09:23 PM
Posted 30 October 2012 - 10:10 PM
Posted 30 October 2012 - 10:14 PM
0 user(s) are reading this topic
0 members, 0 guests, 0 anonymous users