Transcript PGA Case Study (2)

Marketing in
Professional
Golf
By:
Ryan Olli, John Purcell,
Wes Purcell, Taylor Bouck
Why is Golf Unique?
 Golf
is unique in the sporting world
 Golf fans play the sport on a regular basis
 The majority of PGA fans are over the age
of 55
 More than 27% of fans have incomes over
$ 100,000
 Audience is very appealing to marketers
due to affluence.
Growth In Golf Participation
 1980’s
to 2000 Golfer participation grew
by 50%.
 Big Golf Course boom in the 60’s and 90’s
 Difference in types of courses built


60’s: More courses were built/ affordable
public courses.
90’s: Expensive private courses
Growth In Golf Participation
Continued
 The


1960’s
3,803 courses added
7 million golfers added
 1990’s


2,641 courses added
4.4 million players added
The State of Golf
 This

past summer saw a big decline in fans
2014 Masters Tournament had lowest
ratings since 1957
 This
summer was not the first time golf has
seen a big decline


Interest has been declining since 2005
Many reasons for this decline
Factors Influencing the
Decline
Continued
 Cost
to play golf has increased
significantly since 2005
 Loss
of a big percentage of fans in the
lower half of the fan base
Response to the Decline

Two initiatives in the 2000’s were started
 Link
 Play
Up 2 Golf
Golf America

They didn’t work very well

Get Golf Ready in 5 Days was started in
response
Marketing Efforts in Golf
Get Golf Ready in 5 Days
 Initiative
to get more adults involved
 Industry-wide
adult development
program
 Two
main goals

Bring new golfers into the game

Bring former golfers back into the game
Elements of the Get Golf
Ready in 5 Days Program
 During
the five lessons different elements
of the game will be taught
 Golf Skills:

Setup, grip, swing, playing the situations,
etc.
 Instruction:

Etiquette, basic rules, safety, keeping score,
etc.
Marketing Get Golf Ready
 Reaching
the the general public
 On-Site marketing

Posters, brochures, and materials displayed
at the participating golf clubs
 Off-site



Marketing:
Promote through PGA Tour events
Commentators talk about it on television
Commercials on television and radio
 https://www.youtube.com/watch?v=rqCQX4
G3g_M
Marketing Get Golf Ready
 Golf
lessons have been made financially
feasible.
 Five lessons for 99 dollars.
 This program is accessible to people all
over the country.
 Cooperation and commitment of local
golf clubs have allowed this program to
be easily accessible.
Marketing Through Television
 Marketing
through the golf channel

Target specific audience

Perfect marketing opportunity

Consumer is unique presenting valuable
opportunity
Marketing Through Television
Continued …
 Golf
channel markets to their viewers in
two ways


Using specific brands (Taylor made,
Callaway, etc.)
Through their programming
Marketing Through Luxury
Brands
 With
the unique “High Class” audience of
golf marketers have partnered with Luxury
brands



Easy to reach the target market through
these brands
Consumers commonly associate these
brands with golf
Grey Goose, Mercedes, and Ralph Lauren
sponsored this years U.S. Open
Marketing Through Corporate
Hospitality Tents
 The
PGA is partnered with many
corporate sponsors
 Most have hospitality tents at big
tournaments through MSG promotions
 Great way to give many fans a great
experience
 Example: Bank of America hospitality tent
at the 2014 U.S. Open in Pinehurst
Class Trivia
Question 1:
 Can
anyone name one factor influencing
the decline in golf participation?
Answer:
 Cost
to play golf has increased
significantly since 2005
 Loss of a big percentage of fans in the
lower half of the fan base
Question 2:
 What
type of companies usually partner
with the sport of golf?
Answer:
 High
Class companies (ex: Grey Goose,
Rolex, Mercedes, Ralph Lauren)
Question 3:
 Which
major golf tournament had its
lowest rating since 1957?
Answer:
 The
Masters
Question 4:
 Can
you name one of the decades in
which the golf course boom occurred?
Answer:
 The
60’s and the 90’s
Question 5:
 Can
anyone name the current #1 golfer
in the world?
Answer:
 Rory
McIlroy
Sources Cited
Birkner, C. (n.d.). Golf and Tennis Still Offer Valuable Niche Marketing Plays, Experts
Say. Retrieved November 3, 2014.
Sales & Marketing (PGA Tour). (n.d.). Retrieved November 5, 2014.
Grow the Game of Golf. (n.d.). Retrieved November 5, 2014
Beditz, J. (n.d.). Golf Participation 2010-2020. Retrieved November 11, 2014.
Smith, M., & Mullen, L. (n.d.). IMG restyles European operations. Sport Business
Journal. Retrieved November 4, 2014, from
https://www.sportsbusinessdaily.com/Journal/Issues/2014/11/10/Marketing-andSponsorship/IMG.aspx