the CGCOA
Insider
Vol. 4 Issue 2 • Spring 2010
INSIDE this issue • ARAgona elected
president of ngcoa . . 2
• 2010 CGCOa
Meeting schedule. . . . 2 • CGCoa board . . . . . . . . . 2
• New members . . . . . . . . 2 • meeting schedule. . . . 2 • cag meeting Brings ca golf industry leaders together. . . . 4 • president’s message. . . . . . . . . . . . . . 6 • sponsors. . . . . . . . . . . . . 8 • gis luncheon. . . . . . . . . 8 • player development
program at your facility . . . . . . . . . . . . . . 10
NEXT MEETING: MAY 11 (9:00 am)
525 Hunter Parkway Chula Vista, CA 91914 (See page 7 for details)
CGCOA 30098 Red Barn Place Canyon Lake, CA 92581 www.golfcalifornia.org
PUBLISHED BY IN THE LOOP GOLF, INC. 1206 Fourth Street Santa Rosa, CA 95404
(707) 569-8481 DESIGN BY J HILL DESIGN (707) 321-0026 COMMENTS
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CGCOA MEMBER PROFILE
Sam Koh
Who is Sam Koh? Samuel Koh is more than just a member of the CGCOA. For starters, he is married to Christine and is a father of three boys: Benjamin (age 15), Matthew (age 12), and Dominic (age 6). He graduated with a B.S. from the University of Southern California in Business Administration and also completed postgraduate studies at the Fielding Institute and Harvard Business School. Koh is currently CEO of Innerspin, LLC, a private equity and capital management firm with focused interests in investment opportunities in operating companies as well as real estate development and acquisition ventures. Prior to Innerspin, Koh founded several firms including LinkOnline, ranked third largest ISP by the Los Angeles Business Journal and Innovasia Advertising ranked Top-3 Asian American advertising agency in the nation by AdAge and later acquired by Interpublic Group (NYSE: IPG). Innovasia and LinkOnline were both agency of record for Qwest Communications, Union Bank of California, and General Motors. Koh was involved in the rebranding of Cadillac and the launch of such vehicles as the Escalade and the CTS in GM North America, GM China, GM Australia, and GM Canada. He became one of the founders of GlobalHue, the largest multicultural agency in the nation in partnership with Interpublic Group with clients such as Daimler Chrysler, Verizon Wireless, Bermuda Department of Tourism, U.S. Census Bureau, U.S. Navy, Internal Revenue Service, American Airlines, and Walmart. Koh is President of the Oak Quarry Golf Club, recently ranked Top 5 Golf Club by the Los Angeles Times and is also ranked nationally by several golf publications including Golf Digest, Golflink, and Fairways & Greens. Koh also serves as advisor to his family’s company Wilshire State Bank (NASDAQ: WIBC) which is celebrating its thirtieth anniversary this year. Koh understands the importance of lending a hand, as he serves on the board and is the president of the Koh Charitable Foundation, where he actively funds 501(c)3 non-profit organizations such as UCLA Mattel Children’s Hospital for pediatric medical research, OPCC for homeless shelter and rehabilitation programs, and Shalom Disability Ministries providing wheelchairs for the needy and therapeutic programs for the disabled. He is an active board CGCOA board
member, serves on the board of the Overseas Korea Trade Association (OKTA) as well as on the board of Crespi Carmelite High School. Koh is also an active leader in the Boy Scouts of America as a den leader for Cub Scout Pack 8. How were you introduced to the game of golf? My father is an avid golfer and has a true passion for the game. He joined Riviera Country Club as a member about 40 years ago, and talks to me about the game of golf every chance he gets. Playing the game of golf was an easy way for a young boy to relate to his dad. I’ve been chasing that white ball ever since and found a sport that I’ve come to love and cherish. First, because it gave me a chance to spend time with my father, but now golf gives me an opportunity to spend time with my own boys and to get to know them better. What a gift the game of golf has been in my own life. What attracted you to the golf business? It may have been that old saying…A day on the golf course is better than any day in the office, but what if your office was the golf course? It really is a privilege to be able to be in the golf business. A business that is all about making people smile…we are in the business of helping people have a great time! And if it’s done right, that fun is contagious; it soaks into the very fabric of the culture of the business and property. Explain your role at Oak Quarry Golf Club. As any owner of a business should be, I am involved (Continued on page 6)
California Golf Course Owners Association
Aragona Elected President of NGCOA Hughes Calls California Course Owner, Bill Aragona, One of Industry’s Most Respected Operators
CHARLESTON, S.C. (Feb. 25, 2010) Bill Aragona, president of Boulder Creek Golf and Country Club in Boulder Creek, Calif., was elected president of the NGCOA at the association’s annual Conference earlier this month in San Diego. Aragona replaces Charlie Birney as president of the association that represents more than 5,200 member courses in the U.S. and many parts of the world. Mike Hughes, CEO of the NGCOA, said Aragona is one of the golf industry’s most respected owners. “Bill has lived the life of the independent course owner for 30 years. He’s done every job at his course, and in the process made Boulder Creek a highly successful facility and gained the respect of his customers, staff and peers,” Hughes said. “His experience and steady hand will be tremendous assets to the association.” Under Aragona’s leadership, Boulder Creek has been recognized as the San Lorenzo Valley Business of the Year as well as California Golf Course Owners Association Course of the Year. Aragona also has served as a director of the Santa Cruz County Convention & Visitors Bureau for more than 10 years. In addition to Aragona, NGCOA members elected Linda Rogers, owner of Juday Creek Golf Course in Granger, Ind., vice president; Matt Galvin, executive vice president of RDC Golf Group Inc. in Monroe Township N.J., treasurer; and Dan Clark, owner of Willow Creek Golf Course in West Des Moines, Iowa, secretary. Aragona and the other officers will serve two-year terms. Executives from two of the golf industry’s largest multi-course ownership groups were elected to the board of directors. Peter Hill, CEO and chairman of Billy Casper Golf in Vienna, VA, and Hud Hinton, president and CEO of Troon Golf in Scottsdale AZ, joined the 20-member board that provides oversight to the association.
30098 Red Barn Place, Canyon Lake, CA 92587 tel: 951.246-2928 / fax: (951) 246-2929 www.golfcalifornia.org or www.californiagolf.org CGCOA Board Members President
Secretary
Owner/Operator Stevinson Ranch Golf Course
Owner/Operator Hidden Valley Golf Club
George Kelley Vice President
Immediate Past President
Owner Oak Quarry Golf Club
General Manager Santa Maria Golf & Country Club
Sam Koh
2010 CGCOA Meeting Schedule
Bear Creek Golf Club
5/11
Las Positas Golf Course
Paradigm Golf Management
7/13
The Windsor Golf Club
9/14
SOUTH Salt Creek GC Chula Vista NORTH TPC Stonebrae Oakland SOUTH Los Serranos Golf & CC Chino
11/8-9 NORTH Board Retreat
Saddle Creek GC Copperopolis (tentative)
Joe Priddy
Treasurer
Scott Hoyt
General Manager Cinnabar Hills Golf Club
Administration Executive Director
Ted Horton
THC (Ted Horton Consulting)
Board of Directors John K. Abendroth Celtic Golf Management
Bill Aragona
President/General Manager Boulder Creek GCC & Resort
Kimberly Bauer
Shaw Kobre President In The Loop Golf
Chris Lynch
GM/PGA Project Coordinator Byron Hot Springs
General Manager/Regional Director Waterhouse, Inc. Creative Hospitality Services
Nicole McCleaf
Z. Gordon Davidson
General Manager, Western Operations ValleyCrest Golf Course Maintenance
IGM/Meadowbrook Golf Consultant Z. Gordon Davidson & Associates, Inc. Golf & Resort Properties
Dan Farrar General Manager
Tom Frost
President Synergy Golf Course Management, LLC Owner Salt Creek Golf Club
Kevin Heaney
Welcome, New Members!
Jay Miller
Executive Director SCGA
Bob Higgins
General Manager Saddle Creek Golf Club Castle & Cooke
Website Manager
Dan McIntyre
Emmy Moore-Minister Media/Public Relations GCSANC & CGCOA
Dave Nelson
Sales Manager, California Club Car, Inc.
Greg Pieschala
President Valley Crest Golf Course Maintenance
Steven J. Plummer, CGCS President Championship Golf Services, Inc. General Manager Tustin Ranch Golf Club
Angela Schmidt
Jerry Hollingsworth
Valley Crest Golf Course Maintenance
Ted Horton
President Tasmark Enterprises
Hollingsworth Enterprises
CGCOA Executive Director THC, Ted Horton Consulting
Eric Jacobsen
Vice President of Golf Properties Castle & Cooke California Inc.
Patrick Kemball Director of Golf The SCGA Golf Course
Terry A. Selk
William Sherman Owner William Sherman Golf
Ed Smilow Attorney at Law
Shawn Smith
Director of Golf Administration Pebble Beach Company
CAG Meeting Brings California Golf Industry Leaders Together Golf Industry representatives gathered at Sequoyah Country Club (Oakland, CA) to reaffirm the purpose and vision of the California Alliance for Golf (CAG), an organization that educates and advocates on behalf of the California golf industry. The half-day meeting (which attracted participants throughout the state) was hosted by general manager and CAG board member Tom Schunn and golf course superintendent Terry Grasso, both of Sequoyah CC. CGCOA executive director/CAG president Ted Horton kicked off the meeting by introducing Henry DeLozier, principal with Global Golf Advisors, who did a stellar job as meeting facilitator. It was apparent the gathering served as a timely checkpoint for CAG supporters. Throughout the session DeLozier proposed a series of thought-provoking questions in reference to the alliance: Where do you feel CAG is currently? Do you feel CAG is relevant to the success you had on the tax issue? Do you believe CAG has demonstrated its relevance specifically to the people who do their work in Sacramento? Has CAG made a difference? Much discussion prevailed and participants shared the alliances accomplishments: creating a “united” voice in golf, the completion of
a second California economic golf study, and battling golf-related tax issues. Even with the accomplishments, it was well-noted that there was still plenty of work ahead for the alliance. Through DeLozier’s savvy assistance, the discussion transformed into a mini SWOT analysis identifying CAG’s strengths, weaknesses, opportunities & threats. DeLozier posed other poignant questions to the group: As you think about what CAG should be doing as it moves forward, what is it going to take financially to sustain itself and its initiatives? How can this be easily achieved? Plenty of healthy dialog followed about the importance of developing a workable funding model for CAG, an organization which is presently volunteer-based. In an effort to obtain solid funding, CAG must communicate its message clearly and proactively to political leaders and governmental agencies (local, regional and state level) those who influence and/or implement legislation that impacts the golf industry and those it serves. Additionally, CAG must expand its membership base by reaching out to those within the industry for their involvement and financial support. It was also determined that developing a strategic plan would be a logical next step. A
core committee of volunteers was identified by CAG President Horton, and DeLozier kindly offered to help facilitate the strategic planning process. Since inclusiveness is a key component to alliance success, participants can expect another CAG meeting in the near future where the strategic plan will be foremost on the agenda. As expected, the meeting did not close without a reaffirmation about the importance of protecting and managing water resources for the golf industry. The DWP Water Task Force (recently established in Southern California) was recognized as a viable model. There was a consensus by those present that more collaborative efforts (like that of DWP and golf) need to be developed within the state. CAG is fortunate to have top technical experts who are willing to lend their knowledge and support, well-evidenced by the DWP Water Task Force. When looking to the future of CAG, it also means looking to the future of the golf business and the sport. Several CAG members shared their thoughts on the ongoing importance of promoting the game and the positive benefits it provides for the citizens (and especially the youth) of California.
(L to R) CAG meeting brings together USGA’s Ture Elowson, NCGA Executive Director Lyn Nelson and USGA’s John Erskine.
CAG Meeting brings together representatives from the CGCSA and the CGCOA. (L to R) Ted Horton, Gary Ingram, Tom Schunn, Gary Carls, Bruce Williams, Emmy Moore Minister and Glenn Matthews.
Henry DeLozier, Kevin Heaney & Emmy Moore Minister
Southern California golf was well-represented at the CAG Meeting at Sequoyah Country Club in Oakland, CA. (L to R) Tom Addis, Jason Taylor, Kevin Heaney, Bob Green, Mike Huck, Craig Kessler
Bob Bouchier & Robert Green
Tom Addis & Bruce Williams
Ted Horton, Richard Harris and Glenn Matthews
Ted Horton & Henry DeLozier
Kevin Heaney & Craig Kessler
Mike Huck & Ed Smilow
Jason Taylor and Lyn Nelson
Sam Koh (Continued from front page)
President’s Message GEORGE KELLEY Another great Masters tournament just ended, which means the golf season is now upon us. At a facility level, I’ve found it to be an ideal time to encourage our staff to come up with some new and creative ideas which will elevate the “fun factor” while booting the entertainment level at our club. It is clear to me (and I’m sure to you, too) that we need to continue to reinvent ourselves in various ways to meet the ever-changing needs of our consumers, while still striving for profitability. When golf industry leader Henry DeLozier mentioned at the NGCOA conference that only 7% of golf courses were profitable last year, I was taken back by the news. I knew things were on the dismal side, but I didn’t realize it was nearly to this degree. If you want to challenge Henry’s statistic or learn more about the state of our industry, I encourage you to attend our next CGCOA board meeting and breakfast gathering at Salt Creek Golf Club (Chula Vista, CA) on Tuesday, May 11. We are very fortunate to have Henry as our guest speaker and I am confident that you’ll leave the meeting much more informed about our industry. Special thanks to our meeting host CGCOA member Tom Frost for opening his club to us. In an attempt to reach out to more folks/new golfers allow me to share an innovative idea we’ve implemented at Stevinson Ranch, specifically for the non-serious golfer who may be “new to the game” or a traveling companion to the course with a more advanced golfer. We have devised four “alternative” games that are targeted to the less-serious golfer and intended to provide fun for newcomers, thus creating a highly memorable experience. For example, one of the games is entitled Louie the Lip. If you lip-out a putt and it finishes within the leather, then the putt is considered holed less one stroke. For example if I lip out for 5, it is considered holed less one so I make a 4 on the hole. (If you’ve ever tried to lip-out a putt you know that it’s not easy to do). Another creative idea (one that I discovered through NGCOA Listserve program) is Golf Little League. Allison George at Toad Valley GC (Des Moines, IA) has 150 kids playing in an organized program every week. Closer to home, a similar program was launched several years ago at Santa Teresa GC (San Jose, CA) and it too, has been a huge success amongst youth. Also, a Golf Ambassador program from Ko Olina in Hawaii is just being rolled out. Each Ambassador will be able to bring up to three beginner golfers each month for a free nine-hole golf experience. The beginners will receive a ten minute lesson from one of the PGA pros and the free use of rental clubs and shoes for their round. I’ve also heard about favorable family rates for nine-hole rounds late in the day. There are lots of innovative programs and ideas…whatever suits your fancy! I encourage you and your staff/team to institute a new and creative program during this golf season. As CGCOA members and course operators we need to expand our creativity and offer our guests a unique experience every chance we can. Speak to your guests about some of these ideas and encourage them to offer ideas of their own. I’ve often found that some of the very best ideas come from our staff and our guests, too. Also, please don’t forget to take some time to tee it up at your course/ club or at one of your neighboring facilities. Being in the business, it’s easy to do!
with every aspect of the golf club. But I learned early-on, that you can’t be in two places at once and that multitasking will only take you so far. Oak Quarry is family-owned but operated by some of the best people in the industry. As President of Oak Quarry, my most important assignment is to make sure we have the very best people managing the property and at every touch point that our guests experience. We are so fortunate to have leaders such as Hank Schiller (PGA) and Joe Wagner (our superintendent), leading that charge at our golf club. Their integrity and dedication to the property and the team that operates Oak Quarry is something to be admired.
Sam Koh and business associates at NASDAQ
What’s unique about your job and facility? It’s all about the ingredients! Add a one-of-a-kind golf property with a resort-like experience, dramatic views and elevation changes. Then, staff it with the best golf and hospitality team members in the industry, sprinkle it with hand-picked vendor partners and then, blend with some of the best guests and customers…and you have the recipe for something truly unique! Oak Quarry is set in the old Jensen Quarry. In the 1800s it provided the cornerstones and building blocks that built downtown Los Angeles. Today, it is a setting that provides some of the most spectacular views in golf (whether you hit it straight or not). Golf Digest called Oak Quarry Golf Club the Yosemite of Golf and our fourteenth hole, El Capitan. But truly beyond the views and setting, the golf design team of Dr. Gil Morgan and Schmidt Curley produced an outstanding golf course. You know how unique the property is when you hear the positive comments from golfers as they chat amongst themselves. What are the biggest challenges facing owners and operators today? California golf course owners face several challenges just like any operating business in California today. They include: water, taxes, the overall economy, and in our business… growing the game of golf. Many of us didn’t get into the golf business just to make money. We got involved because we loved the sport. I think that there has been a euphoric building of too much inventory (with the housing boom in the past decade) which poses an enormous challenge to golf facility operators. The other “game changer” is the Internet. Consumer
helps us to build and communicate relevant promotions and foster relationships with new customers that before, were either too costly or too difficult to reach.
Mark Stevens and Hank Schiller with Sam Koh
behavior has shifted dramatically over the last two decades with the onset of the Internet. I believe we are witnessing a shift in behavior as more and more golfers choose to research as well as to purchase their golf online. This poses a challenge for golf facilities, but I think it also provides a new opportunity to increase loyalty, retention, and net more rounds for golf. Perhaps we are experiencing an evolutionary step as owners and operators as we move toward tomorrow both leaner and smarter. Regardless of the challenge, there is strength in numbers which is why the California Golf Course Owners Association is such a pivotal component, one that those in the industry should leverage.
What are your thoughts about growing the game of golf? Golf doesn’t live in a vacuum. Today, more than ever, we have distractions and activities that take us away from playing the game. I know this first-hand, as a dad of three boys (that drives a traded Mercedes AMG for a minivan), that we have more options/choices on how to spend our day. What I’ve come to realize, it’s not just growing the game of golf we should be focused on, but that we should be growing up “in” the game of golf. There is a distinct difference. I think that The First Tee and the PGA Junior Tour along with numerous other programs which introduce the game to youngsters, makes good sense. I am lucky that my kids are playing golf, enjoying the game and learning and growing from the experience. They too, are part of golf’s future. As an industry we need to continue to promote golf in innovative ways to retain kids and to successfully introduce future generations to the game. There are plenty of examples in other sports that we can learn from. Golf’s brand is unique in that it’s tied so deeply to tradition. I can’t help but think that in today’s distracted and fragmented world, perhaps “a dose of golf” is what we all need.
If you could share one bit of advice with a course owner, what would it be? Join the CGCOA! I believe the day of the independent golf course operator is a thing of the past. I have found that members are generous with sharing their knowledge of the business. The collective experience of the membership is an invaluable tool in helping me run Oak Quarry. I don’t know one course owner who isn’t concerned over rising costs, human resource challenges, legal issues, increasing rounds, and pace of play. The list goes on… that is why the CGCOA exists. It’s a course owner’s access to years of experience and cutting-edge operating ideas that help minimize How important is the use of technology operating expenses while increasing revenue and when promoting the game of golf and improving guest satisfaction. attracting new customers to your facility? You currently serve as vice president of As a high-end daily fee golf facility, technolthe CGCOA. In what ways have you been ogy is a crucial component to our operation. It involved with the association? provides efficiency as well as assists us in spotOnce I joined the CGCOA I was hooked as ting trends and providing a quick response a member, and soon thereafter, was asked to to customer demands at our facility. Internet serve as a board member. I was fascinated by usage and consumption are extremely high the caliber of those involved with the associa- among our guests. It will be interesting to see tion and the unselfish willingness of members how we can all continue to elevate our marketto help one another. I currently co-chair the ing and communication efforts to attract new Membership Committee and Communica- customers and help make golf relevant to the tions Committee. I try to attend every meeting up-and-coming generation of golfers who tend because I always walk away with at least one to use more APPS than Internet. Technology gem of an idea that is applicable to our golf shouldn’t mean “discounting”—it should be course property. a tool that we leverage to empower our guests to interact with our facility 24-7. Technology
Outside of golf, you also give back in a variety of ways, to non-profit organizations and community outreach efforts. Tell us about how you assist other organizations, and why? I am president of the Koh Charitable Foundation, a non-profit 501(c)3 family foundation that partners with a broad array of groups with a goal to help make a positive difference in the world. Our foundation seeks to find opportunities to partner with non-profit organizations that can demonstrate passion and hard work and leverage funds to serve the underserved public and help drive reform and hope for our generations of tomorrow. Through our foundation, I am involved with OPCC who provides emergency food, clothing, showers, and shelters through their access programs, trauma, and mental health services for those who wish to rebuild their lives. OPCC in their rebuild program has achieved over 80% success rate in helping to empower people to move from homelessness to a job and a sustainable future. We have partnered with the UCLA School of Medicine to fund pediatric medical research in developing new avenues of research into disease and cures in areas such as stem cell research, brain injury and repair, as well as pediatric cancer. Our foundation has established scholarship endowments at UCLA and has worked with the United Board for Christian Higher Education in Asia and established a significant scholarship endowment at Yonsei University in Korea, offering long-term relief to the rising costs of education that keep many talented students from completing their education or in some cases even obtaining one. I am currently serving on the board of directors of Crespi Carmelite High School in Encino and also serve as Executive Director for Life’s Journey Catholic Ministry with Father Tom Allender, SJ, where we are focused on providing support and guidance in areas such as events, retreats, and publishing in traditional and new media. Who would be in your favorite foursome, and why? I would have to say it would be playing golf with my three boys, Benjamin, Matthew, and Dominic. Ben and Matt have and are playing golf for their school team. Dominic is only 6, but we are working on his game. I can’t imagine more fun than watching them play a game that I have truly come to love and enjoy.
THE CGCOA WOULD LIKE TO THANK THE FOLLOWING SPONSORS FOR THEIR SUPPORT: CGCOA
NGCOA
FOUNDATION SPONSOR
Premier Partners
Golf Insurance Services, LLC
Club Car Inc.
Rick Sigel (916) 635-1050 rsigel@gpins.com www.golfinsuranceservices.com
ANNUAL SPONSORS Club Satellite Network Ted Salata (650) 462-9700 csnlife.com
Cyber Golf Network Inc. Dan Murnan (425) 640-7170 dan@cybergolf.com www.cybergolf.com
Ed Smilow, Esq. Ed Smilow (714) 937-2095 edsmilow@golfcourselaw.com www.golfcourselaw.com
Golf Now Brad Axon (480) 232-5370 baxon@golfchannel.com www.golfnow.com
Greenway Golf George Kelley (209) 664-6400 gkelley@greenwaygolf.net www.greenwaygolf.net
Pellucid Corporation Jim Koppenhaver (847) 808-7651 jimk@pellucidcorp.com www.pellucidcorp.com
Pellucid Corporation Harvey Silverman harvinfc@pacbell.net
Professional Golfers Career College Edward Smilow edsmilow@golfcourselaw.com www.golfcollege.edu
Target Specialty Products Lon Richards (562) 802-2238 trecs@target-specialty.com www.target-specialty.com
ValleyCrest Golf Course Maintenance Greg Pieschala (818) 737-3110 gpieschala@valleycrest.com www.valleycrest.com
VGM Club Dawn Prebula (866) 620-2774 dawn.prebula@vgm.com www.vgmclub.com
Dave Nelson (800) 564-6531 dave_nelson@clubcar.com
The Toro Company Doug Dahl (800) 585-8001 dougd@turfstar.com
Darren Redetzke
(800) 348-2424 dredetzke@toro.com
Entegra Procurement Services Jim Bailey (877) 922-0285 jbailey@intlclubsuppliers.com
Preferred Partners Clubsurance Joel Willis (843) 572-4567 www.clubsurance.com
Electronic Transaction Systems Corporation Hadi Akkad (800) 834-7790 www.etsms.com
Helena Chemical Christy Byrd (803) 822-8028 brydc@helenachemical.com
Pepsi Tracy Maphet (886) PEP-GOLF
CGCOA GIS Luncheon Pellucid Presentation Summary
The CGCOA luncheon at GIS in San Diego marked the fourth consecutive year that Jim Koppenhaver of Pellucid Corp., a CGCOA corporate sponsor, briefed the attendees on the state of golf in California. Once again, Jim was joined by Stuart Lindsay of Edgehill Golf Advisors who spoke on the critical issue of PCI compliance. Koppenhaver presented information showing a stabilizing of golf participation and frequency in the state and across the country, and in fact reported slight increases in both areas. Factoring in weather, a unique measurement offered only by Pellucid, course utilization did not show any dramatic shifts from 2009 in California. Borrowing from the hospitality industry Koppenhaver cited five key priorities for 2010 that could apply to the golf course industry as well: • PCI Compliance
Smart Buy Suppliers
• Direct website bookings to lower costs
Gatorade
• Total guest experience to boost customer loyalty
Tracie Maphet (886) PEP-GOLF
Motorola Kelly Jadlot (800) 933-4262
Office Depot John Travers (301) 567-6704
Srixon Sports Hollie Vokal (678) 518-5121
• Yield management to maximize revenues • Social networking The presentation was continued by Stuart Lindsay who uncovered the truth about PCI (Payment Card Industry) Compliance, a critical issue for all golf course operators. Stuart was joined by CGCOA Officer Scott Hoyt (Cinnabar Hills GC) who related his recent nightmare experience, how much disruption this had caused in his business and how much it had cost him to recover. Stuart displayed information on the potential cost of non-compliance, and how the new compliance rules are transferring liability to the business owner. He strongly suggested that each owner and operator contact their banks, credit card processing company and point-of-sale vendor to insure their business will be PCI-compliant by the deadline date of July 1, 2010. CGCOA members receive preferential pricing on Pellucid’s products and services and can contact Harvey Silverman at 650.577.1315 for more information. Pellucid has worked with numerous CGCOA members with market analysis, customer and local area golfer surveys, weather analysis, data analysis for those using Fore! Reservations point-of-sale systems, and marketing planning and execution.
Harvey Silverman and Dawn Prebula
Dave Nelson, Emmy Moore Minister, Dr. John Reynolds and Gary Michel
Nancy and Ted Horton with John Crowder at NGCOA Dinner
Lon Richards and Pete Bowman
Mark Stevens, Hank Schiller and Sam Koh
Karla Schuster, Scott Hoyt and Brian Kemp
Paul Major, Craig Kessler, and CGCOA President George Kelley
Tom Frost, Ted Horton and Kimberly Bauer
Harvey Silverman and Cam Stephens
John and Jim discuss industry trends
Paul Major and Dawn Prebula
CGCOA President George Kelley and CGCOA Executive Director Ted Horton
NGCOA honoree Ken Venturi with NGCOA President Bill Aragona
Media Reps Pete Wlodkowski and Robert Kaufman
Herb Peterson and George Kelley
NGCOA Board Member Charlie Floyd with NGCOA President Bill Aragona
Why it is Critical to have a Player Development Program at your Facility? BY KEN MORTON, SR. The golf industry today is in a period where approximately the same amount of people who are entering the game equals the amount of people who are exiting the game. Part of the reason for the game not growing came out of recent NGF studies proving that core golfers are playing significantly fewer rounds of golf than in the past. Then add on top of those two major issues that during the 1990s the golf industry had the biggest growth of new facilities in its history. In other words, rounds of golf being played are on the decline, mostly because core golfers are playing less. At the same time, there are far more courses competing for those same core golfers than ever before. Then, to complete the picture, we must place on top of these issues the recent struggling economy, people having less time and that new social habits include far more choices of where golfers spend their hard earned money. All these factors stacked on top of each other, suggest the golf industry must begin conducting business in new and different ways. At most every golf facility, the general manager is currently faced with the reality that they must provide a quality experience that brings people back over and over again, in a time when rounds and revenues are flat or shrinking. At most golf facilities, revenues are flat or down and our customers/members are expecting more because they have more quality golf facility choices than ever before. The major solution to this problem: institute Player Development Programs. Why is it critical to have Player Development Programs at your facility? There are many-many reasons, but the biggest reason is,
if people in the near future aren’t going to play as many annual rounds as they played in the past, then we need more golfers to maintain or grow rounds of golf played. If we believe we must create more golfers in the future to sustain or grow rounds of golf, we must have quality, step by step friendly Player Development Programs that educate and empower the spirit and fun of our great sport. Another major reason to have a Player Development Program is because it’s good business. Every new person that gets into the game needs to hit practice balls on the driving range, will support your Food & Beverage services, must purchase new or used equipment and will ultimately purchase greens fees or membership fees, rent carts, and so on. Surveys by the PGA of America have proven that nearly every new golfer spends a minimum of $850 during the first year they play the game. Are the golf facilities throughout America leaving millions of dollars on the table by not creating stronger Player Development Programs? Absolutely! Worse, there is a huge pent up demand to play the game. While we have all this pent up demand, facilities are cutting costs and reducing staff. The truth is, over the last few years, there are more spectators watching tournaments and more people viewing golf tournaments on television than ever before. Simply put, our industry doesn’t fully recognize the importance of creating new golfers and the positive impact that it has for short term business and more importantly, for long term business. With the advent of 20/20 a few years ago, the allied golf associations began pooling their resources to “Grow the Game”. Included in
20/20 were the manufacturers of equipment who completely understand the importance of creating new golfers. For the first time, the major allied associations and manufacturers in our industry joined forces to pursue the creation of national programs like Play Golf America and Get Golf Ready. They conducted seminars, symposiums and conferences to bring the industry together to “Grow the Game.” The trouble with this top down approach is, the game of golf for most people begins at each of our golf courses. Until golf facilities are willing to invest in creating future customers at the grass roots level, it doesn’t matter how much the industry promotes our sport. Until most every facility in our great country realizes they are a critical part of “Growing the Game” …the game will remain flat or will decline. The game needs to turn to the golf professional at the golf facilities because it is he/she who is the person who gives the golf lessons, creates the excitement and enthusiasm to bring golfers out more frequently and who creates the new golfers that become the next generation of members and players. For the game to grow, Player Development must become a core mission at most every golf facility. This article was written to suggest that facilities can no longer wait for others to stimulate the game. Facilities must put in place Player Development Programs that create new golfers and that create more fun and excitement for core golfers so they increase rounds and revenues. We must find the dollars in our budgets to create Player Development departments and support organized beginner programs through marketing and staffing so we truly “Grow the Game.”
Special thanks to Ken Morton, Sr., for providing this article to the CGCOA. Morton is founder of Morton Golf, Inc., a Sacramento-based multi-course golf management company. During his 50+ years in the golf business, Morton has received numerous awards for his contributions to the game of golf. Due to his genuine concern for the future of our sport, Morton continues to share his knowledge and expertise with others.