The Pellucid Perspective - April 2014 - (Page 5)

GOLF COURSE OPERATIONS Putting for profit, and participation Facilities find that putting courses pay their own way in a variety of ways By Jim Dunlap A s the golf industry wracks brains and gnashes teeth over ways to bring new golfers into the game and retain the ones it has, some courses have found ways to pad the bottom line without having to crack either of those codes. While nothing can replace a full tee sheet at rack rate in the hearts and minds of course owners and operators, some facilities have found that a putting course can pay immediate dividends in a multitude of ways while simultaneously providing a solution to the dreaded triumvirate of objections to golf: time, money and difficulty. For the purposes of this article, the primary focus is on real, natural grass putting layouts, as opposed to the artificial turf over concrete versions replete with windmills, clowns' mouths and multi-colored balls, although one course we'll cite uses that time-honored model successfully. Putting courses can be either self-contained revenue streams, a unique add-on for both golf and non-golf outings at the facility, or merely a tool for attracting locals to your facility to work on their putting and perhaps stop in for a cocktail or a bite to eat. While there is some expense in creating a natural grass putting course, and a modest amount of maintenance required, the revenues and ancillary benefits typically more than justify those costs. A pair of resorts in the Northwest, Sunriver Resort in Sunriver, WA and Sun Valley Resort in Sun Valley, ID, are making substantial payments to the bottom line via their putting course venues. The Meadows Putting Course, featuring bent grass greens, bunkers and rough areas, was designed by John Fought when he redesigned the full-length Meadows Golf Course at Sunriver. Sunriver's PGA Director of Golf, Josh Willis, said the putting course alone does over 5,000 rounds per year on average, and consistently generates over $50,000 in revenues annually. The Sawtooths putting course at Sun Valley, inspired by St. Andrews' famed Himalayas putting course in Scotland, also averages around 5,000 rounds a year, with rates of $8 for adults and $4 for kids in season, or $5 and $3 rates in the off-season. Another successful Northwest venue, The Golf Club at Newcastle on Puget Sound in Washington, also offers an 18hole natural grass putting course, and also does a lively business at the cash register. OKI Golf Marketing Director Vince Kiteley said the club's Rusty Putter course does from 6,000-7,000 rounds a year from the general public, corporate events, a couple of putting tournaments and even some wedding party players. Rounds typically cost $15 for adults and $8 for children. While some putting layouts like the ones mentioned previously are profit centers in themselves, with rounds and revenue figures easily identifiable, others provide value as an add-on for group events and outings, or as an amenity within the overall facility experience. Pinehurst Resort opened its Thistle Dhu www.PellucidCorp.com 15,000 sq. ft. putting course in 2012, but limits access to resort guests or Pinehurst CC members, and doesn't charge for the putting. At Indian Wells Golf Resort in the Palm Springs area, the 9-hole putting course which the city built in 2006 doesn't charge for individual leisure play, but does occasionally rent it out for groups, although that charge can be waived as an additional incentive for large F&B bookings. Director of Golf Joe Williams said that the course itself probably generates less than $10,000 annually in designated revenues, although it adds value both for groups and for residents in the area who like to come over and practice their stroke, and perhaps venture into the club for a drink or bite to eat afterward. Similarly, at Angel Park Golf Course in Las Vegas, their 9-hole lighted grass putting course doesn't light up the accounting department's eyes on its own, but General Manager David Bogue said its virtues go beyond that. "By itself it wouldn't be profitable, but when you tie it into tournaments, bring in people for a date night, use it to settle bets or to provide an additional activity during weddings and other events, it really helps our sales teams," Bogue said. "We market Angel Park as a complete golf experience, with our two 18s, practice areas and a par-3 course, and the putting course fits into that." The always inventive Morton Golf family is scheduled to open their Alister Mackenzie putting course at the Sacramento city-owned Haggin Oaks golf complex later this month, and they will use it as not only a new revenue stream, but a growthe-game learning and training center. Ken Morton, Jr. said the family projects around 10,000 rounds throughout the remainder of this year, charging $5 for adults, $4 for kids age 5-11, and 4-under free. The lighted, synthetic grass course will be open round the clock, like the Haggin Oaks driving range and expansive pro shop, and Morton said they anticipate that many of the putting customers will be range-only folks, just hitting some balls or putting around in the evening rather than honing their games for traditional play. Additionally, the putting course will be utilized for First Tee programs and juniors golf camps and clinics. While the putting layouts previously mentioned have been natural grass except for the new Haggin Oaks facility, Toad Valley Golf Course in Pleasant Hill, IA opted 10 years ago to go with the traditional artificial turf over concrete model, complete with the usual bells and whistles which have become infamous in the words of frustrated 3-putters asking "Where's the windmill and the clown's mouth for this green?" GM Allison George, whose business card reads "Wizard of Fun," is unapologetic for the mini-golf approach, saying that she and her family read the (See Putting for profit on page 13) The Pellucid PersPecTive 5 http://WWW.PELLUCIDCORP.COM

Table of Contents for the Digital Edition of The Pellucid Perspective - April 2014

TOC
Can "hacking" reverse golf's demise?
Putting for profit, and participation
Affordable golf: Back to the future?
Beating the high end daily fee blues
March '14 golf weather impact: Winter finally yields
Some Busch Garden patrons, Tampa golf market have had too many
City course gambling charges dropped, but GM resigns due to stress
Social media - more message, less massage, please

The Pellucid Perspective - April 2014