Golf Clubs face uncertain future Post Covid 19
Golf Club’s have expressed concerns and uncertain times as they wait clearance to resume operations.
The President of a South Island Golf club contacted Golfer Pacific.
“I hope we can survive post Covid 19. We depend on Green fees especially from tourists to supplement our income. Being a small club with a average age of 70+ we cannot increase our subs greatly without losing members. Our members depend on golf for fitness, socialising and an outing to look forward to. We are planning to return to our normal programme as soon as the lockdown is complete and the government gives the go ahead at Level 2. We are looking at a recovery plan and cutting our expenses to help this. We are also hoping the Government changes its ruling so we can have a single green keeper looking after the greens so they will survive otherwise we as a club will find the financial burden a very difficult task.”
A North Island Rural Club Manager spoke to Golfer Pacific on the potential impact on Heartland Golf.
Can Golf Club’s survive?
“This is a massive question with the answer determined by the depth of the depression/recession the Govt lead response to a flu virus has caused. Many clubs receive considerable income from international tourist, including my club. That income is gone for a long time. Golf is also an expensive activity. Pensioners may be best shielded from the income effect but they also are the lowest return for a club looking always for the cheapest deal. The young with mortgages and children will quickly drop subscriptions as will all those unemployed. Our clubs is depression ready in the sense we have 1 green keeper, a helper and volunteers but we all know maintenance is very expensive. Managers roles, mine, will be the first thing to go. Clubs with severe reduced income have to look to reduce expenditure and every club can go into survival mode which will not include a manager.
Clubs with independent pros who own the golf carts will able to cut them lose. Those with employed pros and on lease carts will struggle as cart hireage will decline enormously as this is another luxury purchase.
Rural clubs with a strong family base will probably continue as before. Resort or holiday destination clubs will struggle immensely as will the property values in those towns drop as mortgaged holiday homes are disposed of out of necessity or out of need for cash for other purposes. Country / Secondary members numbers will drop at all these clubs.
The overall impact will be a decline in golf participation which will have a significant impact on our governing body through reduced fee income. As a club we already offer a non-affiliated membership. If this category allows us to retain or increase membership we will market it. A fee which represents nearly 10% of our subscription fee makes a serious difference.”
What strategies is your golf club considering once play can commence again
“ I completed a 3 part business plan which was circulated to board members allowing for multiple starts and options based on the stage the country is at with the virus. We have options that allow full play facilities through to no visitors allowed no bar or cooking facilities. “
PGA Of New Zealand General Manager and Golfer Pacific columnist Dominic Sainsbury remained optimistic for the NZ game .
“NZG have been doing a good job in talking with Government and advocating for courses to be maintained while we are in lockdown, we have been completely supporting their advocacy as believe it is important that courses have vital maintenance, (Golf Course Manager’s returned last week to assess Turf maintenance) “This would really lift the spirits of the golfers across our country.”
1. Can Golf Club’s, courses Golf shops and the general Golf industry survive post Covid 19?
“This will depend on the facility, we have a number of very well run courses, shops, ranges and other facilities across New Zealand and people will be looking to play golf once we are allowed to again, those that are prepared should do well and will be providing a great service to their community as people will be looking for ways to spend their leisure time”
2. What has been the economic impact to your Golf Club, community and Golf region?
“ loss of playing opportunities, tournament and events, these tournaments that we run are great way of golfers connecting and growing their love for the game, they are also a way a number PGA professionals make an income and this has hurt.”
3. What strategies is your golf club considering once play can commence again?
“We are looking at a number of innovative ideas and strategies to engage with golfers once we get back playing again a number of PGA members are doing a great job in staying connected to the golfers, they serve with ways of them inspiring them to keep golf fit while in isolation.”
