If anyone thinks that the traditional country club is not an endangered species please read this article . Possibly this club made a series of poor decisions to get themeselves into this predicament and it may be in area that is generally declining, but the simple fact of the matter is that private country clubs must adapt to the realities of the “new normal”.
A small number of exclusive, high end clubs are somewhat immune to the economic challenges but the vast majority of clubs, at most price points have been forced to make tough decisions. Some have made better decisions than others, and the simple fact is that none of the decisions are easy or obvious.
The challenges and requirement to generate revenue and reduce expenses cut at the very heart of the “private country club experience”; do you alter your dress code to widen your appeal, how about outside play, reduce guest fees, do you close your dinner room or other money losing amenities? what about staffing levels…locker room attendants?..the list and choices are endless. The problem becomes all the more compounding because a small drop in membership levels has substantial impact on the bottom line from lost dues and ancillary revenue. Time is generally not on the side of the club as the management struggles to make good decisions.
We are entering a period of time where a number of quality golf facilities will be sold at deeply discounted prices as compared to their replacement cost, which does not bode well from new golf course construction. The economy is changing and so is golf along with many other facets of life.
About the Author: Gordon Dalgleish is the Co-Founding Director of PerryGolf, the leading provider of international golf vacations. You can find him on Google+
