This year’s Super Bowl was electric for the offensive show presented. The defense was largely missing.
It struck me watching that game pricing in the golf course industry is predicated solely on playing defense. Fearful of losing a round, golfer course owners are discounting, fail to recognize the value of the marvelous experience they create, and live in angst that any upward movement in prices with cause a massive exodus of customers. Further, barter, which many golf owners have adopted, is not a viable economic system and is undermining price integrity throughout the golf course industry.
Like a buoy in a lake, prices must rise across the entire industry for golf course owners to prosper and for all boats to float.
There is an easy formula to determine if your green fee price is correct.
Most golf courses price based on either last year’s rate with perhaps a small $1 increase or based on what their competitors are charging. Both strategies are wrong.
All consumes purchased based on a simple formula: value = experience – price. For a golf course, the experience is a combined of the following components:
– Slope rating
– Turf Texture
– MOSAIC Profile
How do these elements combine for to determine the correct price? We have tested our proprietary formula on over 200 golf courses with stunning accuracy.
If you would like to obtain the “secret sauce” to ensure that your green fee and cart rates are correctly priced this year, click here. As a bonus, you will receive a financial modeling worksheet that will guide you in correctly pricing all of their rates by time of the year, time of the day and type of golfer.