starters box
Failing to plan /
planning to fail
Richard Fellner
Group Editor
[email protected]
@insidegolf
T
HIS month, there are two key
articles to which every golf club
and Board should pay close
attention. The first, “Report: major
challenges ahead for clubs” (page
9), details the participation trends
of today’s golfer. The second article,
“Changing landscapes: courses on
the move” (page 12) explores how
some clubs are planning (or failing) to
adapt to these trends.
www.insidegolf.com.au
Publisher:
Outdoor Sports Publishing Pty Ltd
ACN 113 836 301 ABN 30 043 104 919
PO BOX 437, Miami, QLD 4220
Editor: Richard Fellner
P: 0407 000 440
[email protected]
Senior Writer: David Newbery
[email protected]
Design & Layout: Stacey Fortescue,
Rhys Martin, Rob Kirk
Contributors:
Larry Canning, Mike Orloff, Denis Dale,
Peter Croker, Michael Green,
Karen Lunn, Stephen Pitt, Tiffany Mika,
Mat Howe, Brian Thorburn,
Henry Peters, David Merriman,
Richard Nizielski, Lee Harrington
National Sales: Sam Arthur
P: 1300 4653 00 | F: (07) 5535 4922
M: 0410 575 303 | E: [email protected]
QLD Sales: David Ross
M: 0439 612 458
E: [email protected]
NSW/ACT Sales: Robbie O’Donnell
M: 0439 144 256 | E: [email protected]
VIC/TAS/SA Sales: Jon Perrett
M: 0402 852 637 | E: [email protected]
Advertising Sales: Lisa Coleman
E: [email protected] | M:0406 031 344
National Agency Sales (non golf)
Marc Wilson | M: 0419 107 143
New Zealand Sales: Daniel Sim
M: 0439 856 752 | E: [email protected]
Accounts: Sheridan Murphy
M: 0404 075 823
E: [email protected]
Cover Photo: Courtesy of USGA
It’s official: 43,575 Inside Golf
Magazines distributed each
month for the period:
October 2013 - March 2014
Distributed to over 425 golf clubs,
social golf clubs, driving ranges and
retailers Australia wide every month
The articles go hand-in-hand. Over
the last few years, due in part to the
trends shown in the first article, we’ve
seen a large number of golf course/
club closures, mergers and moves
(second article). For many clubs, a
change has become the only option,
as all other alternatives may have been
exhausted.
But what many clubs fail to realise
is just how much time and effort (and
money) is involved with a move of this
magnitude.
Take the new Gardiners Run Golf
Course in Victoria, for example,
which just opened last month. With
planning, approvals and construction,
the project took over 10 years to
complete. The Eastern Golf Club,
which will open their new course
in 2015, began considering their
strategic options eight years ago, in
2006. Recently, Peninsula Kingswood
and many other clubs have all made
moves that will take many years to
come to fruition.
So it’s no longer a relatively short
exercise to manage a relocation. And
if the decision isn’t made ‘in advance’
of when the club faces difficulties,
then the results can be severe (i.e. rash
decisions could be made, which can
lead to a “fire sale” of the land, extra
costs due to the rush, poor business
choices due to panic, etc).
The forward-thinking clubs above
had the foresight to anticipate the
trends and adapt accordingly. And
they made tough decisions (which
may not have been popular with
members) in the best interests of the
club.
There are many clubs out there,
however, that are either in denial or
procrastinating. Unfortunately, when
the time comes for them to make the
decision to move, it will likely be too
late.
It also may be too expensive.
Consider the fact that the cost of
relocation (to build a new course and
facilities) is getting higher and higher
every day. It could soon be at a point
where a club’s land value (if they
choose to sell) may not be enough to
finance a brand-new course with any
reasonable buffer or surplus funds left
over. With any unexpected changes in
the market, they could very easily be
back up against the wall immediately
after relocation.
And this is just for a standard golf
course and clubhouse. But when
you consi