Castle Pines, CO (September 11, 2014) JJKeegan+ Presents Seminar “Winning Playbook for Golf Courses” to the University of Maryland – Eastern Shores PGA Professional Golf Management Program.
What are the criteria that should be used to evaluate whether the acquisition of a golf course is a prudent financial investment? J. J. Keegan, Managing Principal of JJKeegan+, answered that question for the students based on a research recently completed for a golf course located on the Eastern Shore of Maryland.
“What is exciting for me,” J. J. Keegan commented, “Is the opportunity to present to tomorrow’s leaders in the business of golf a formula that creates values for golfers on a foundation that ensures that the financial potential of a golf course is optimized. Our firm’s ability to combine academic theory with practical examples based on client engagements is what uniquely differentiates the educational offerings provided by JJKeegan+ that serve as the platform for our “Business of Golf” book series.” Click hereto learn more.
The insights shared with the students include:
Lesson #1 –Golf courses operators are working too hard on the wrong things that make little difference.
Lesson #2 – There are six key measurements that accurately forecast the potential of a golf course. If you donot know those numbers, any success you have is purely luck.
Lesson #3 – You can measure whether a golf course is over- or under-performing the weather. Though golf course operators can obtain for $300 annually 11 month weather forecasts that are 83% accurate with respect to precipitation and 89% accurate with respect to weather, few leverage this service to bolster net income.
Lesson #4 –Golf courses use templates for websites that have little value in producing incremental revenue as nearly all websites have informational vs. transactional orientation.
Lesson #5 –Less than 25% of the industry participate in the valuable benchmarking services provided by the PGA of America, Golf Datatech, and the National Golf Foundation.
Lesson #6 – The vast majority of golf courses can only cover operational expenses. Few generate the cash flow required to fund capital expenditures without debt or capital assessments.
Lesson #7 – Typical golf course operators manage with “illusory superiority” thinking that their customers are loyal when they are not. Few golf courses secretly shop or survey their customers regarding their habits and preferences.
Lesson #8 – Stealing customers from competitors and from third party tee time providers is easy, if the staff is properly trained.
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