Golf Inc - August 2008 - (Page 28)

How would you characterize business prospects for your operation in the coming year? state continued from page 26 Excellent Very Good Good Fair Poor industry 57 percent predict a revenue increase from 2007 to 2008. Seventy-one percent of vendors said business prospects for their companies in the coming year are good, very good or excellent. Typical was the response from Dawn Prebula, senior vice president of VGM Club, a major provider of purchasing programs in all operations areas for golf and country clubs. She said business is strong. “We’re having our best year ever, and we’ve seen some pretty significant growth in the last three years,” Prebula said. “As golf and country clubs are being hit by higher costs in food, fuel, water and energy, they’re looking for more ways to save money on controllable expenses.” Looking forward, Prebula predicted that more clubs will be willing to invest in technology-based solutions to run their businesses more efficiently, not so much to eliminate labor, but to manage that labor more effectively. Still, not everyone has such a rosy outlook. Prebula said she just attended a California Golf Course Owners Association meeting where the impression she got from attendees was “fasten your seatbelts, it’s not over yet,” While DeLozier, Munsch and some other industry observers reported tremors of anxiety in the private club sector, two respondents to the Golf Inc. survey reported relatively rosy conditions at their clubs, for two different reasons. At Green Tree Country Club in Midland, Texas, the soaring price of oil has provided a healthy boost for the bottom line. “We’re very optimistic because Midland is in the oil industry and consequently business is good right now,” said Green Tree COO and general manager Ron Dunn. “We’re full and have been for two years, and I think the other clubs in town are doing well too.” Dunn has sought to counter Midland’s high labor costs resulting from a local un employment rate that is one of the lowest in the country by bringing in Russian students on the J-1 visa program to help with maintenance, op erations and food and beverage service. Lexington Country Club in Fort Myers, Fla., has a full roster of 1,479 members due in large part to the fact that club memberships are bundled with home ownership in the surrounding residential community. “We’re cautiously optimistic, and we’re full all the time, so we don’t have the problem of sales or membership,” said Lexington Chief Operating 28 Golf Inc. of the Owners/operators Developers/builders Product/service vendors Management executives Others 7.1% 0% 8.4% 2.60% 6.20% 22% 14.3% 26.5% 23.7% 23.7% 39.7% 26.2% 6.4% 52.4% 23.8% 9.5% 36.1% 24.1% 4.8% 34.2% 39.5% 0% 34% 27.8% 8.2% What plans do you have for personnel levels at your operation in the coming year? Add staff Remain same 73.6% 52.4% 65.9% 81.6% Fewer staff Owners/operators Developers/builders Product/service vendors Management executives 9.3% 19.0% 25.6% 7.9% 17.1% 28.6% 8.5% 10.5% Compared to 2007, do you expect your overall revenue in 2008 to: Increase Remain Decrease Decrease Increase significantly slightly same slightly significantly Owners/operators Developers/builders Product/service vendors Management executives 7.1% 14.3% 17.9% 7.9% 48.2% 28.6% 40.5% 34.2% 20.6% 23.8% 22.6% 50.0% 20.6% 9.5% 11.9% 7.0% 3.5% 23.8% 7.1% 0.0% How would you characterize business prospects for the golf industry during 2009? Excellent Very Good Good Owners/operators Developers/builders Product/service vendors Management executives Others 1.4% 0% 4.9% 0% 0% 12.8% 9.5% 11% 7.9% 16.5% 35.5% 38.1 Fair Poor 44% 33.3% 6.4% 19% 34.1% 47.6% 2.4% 26.3% 52.6% 13.2% 33% 43.3% 7.2% August 2008

Table of Contents Feed for the Digital Edition of Golf Inc - August 2008

Golf Inc - August 2008 Contents Editors Column Around the Industry: Big Green in Arizona Data Collectors Combine Forces GPSI Hires Chessler, Files Suit Americas Europe/Africa Asia/Australia Machrihanish Dunes Draws on the Past to Make History Again in Scotland Innovative Superintendent Finds Way to Keep the Nation's First Totally Organic Course Green Latest Clubhouse Designs Reflect Changing Lifestyles: It's All About Casual Camelback Conference Brochure More Operators Embracing Initiatives Aimed at Bringing Families Together on the Golf Course State of the Industry 2008 Muni Maddness? The Last Word

Golf Inc - August 2008

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