Golf Club Membership Is In Decline. So What Does The Future Hold?

The traditional members’ golf club has been the beating heart of the sport in this country for more than a century. Members paying a set annual subscription to largely or fully cover the running costs of the establishment. But rising costs across the board in recent times have, by necessity, driven subscription rates higher and higher over the last 20 or so years.

That trend has caused many casual golfers to question whether they get value for money from the significant sum they hand over each month for their ordinary club membership. Many clubs are facing a looming crisis.

What can clubs do?

Martin Slumbers, the outgoing CEO of The R&A spoke with Golf Monthly in November and he commented on the challenge golf clubs are facing.

“Golf clubs must sell a product that the consumer wants to buy,” he said. “They have to focus on the consumer. To say, ‘we want more young people, women, girls.’ They can’t just say, ‘here’s the product – if they don’t like it, lump it!’”

“I think that discussion has been one of the hardest things of the last 10 years,” he continued. “And yes, some golf clubs are in trouble. I’d argue, are they the ones selling a product people don’t want to buy?

Because there are clubs that are doing really well. There are clubs that have waiting lists. They are the ones that have learned to change to fit a changing society. They’re more inclusive with technology, they have more family orientation.”

Golf Clubs must look offer a package that appeals to a broader spectrum of people, not just the traditional golfer. Handing over north of £1,000 per year simply to have access to a golf course just won’t cut it these days.

Clubs must offer excellent and inclusive dining options. They must have a full social calendar with quizzes, theme nights, speakers, singers, dances. They should look to run family events, new member events, open days and the like.

The golf clubhouse is a superb facility that is often under-utilised. It’s a great space that could be more versatile in many cases. Could the old drying room be converted into a gym? Could the function room be used for yoga classes or other non-golfing activities that would appeal to prospective members or non-members prepared to hand over some cash?

Quite simply, golf clubs must think outside the box to continue to be relevant going forward.

Greater flexibility

The full cost of membership is increasingly being deemed too much for many casual golfers. That means clubs that are struggling to retain members must look at the alternatives. A key one of those is flexible membership – you pay a smaller feel, perhaps no fee at all, and simply buy credits depending on how much you play or intend to play.

At less popular times, credits are cheaper, they’re more expensive if you want to play on Saturday morning or in club competitions for example. With flexible membership, you have far more control over how much you spend on playing your golf at your club. The club may not gain quite so much financially from an individual but at least they get something and keep that person in the fold!

We’re seeing more golfers moving away from membership and playing more itinerant golf. They take advantage of options like Scottish Golf’s OpenPlay and England Golf’s iGolf schemes.

These schemes allow non club members to gain a handicap and to play at different courses across the country.

The objective is to generate more interaction between golfers and local clubs and facilities. That means increased green fee income for clubs, plus greater spend in pro shops and clubhouses.

Rather than seeking to replace club membership, OpenPlay and iGolf are potentially a route to membership, with non-club members experiencing more courses, seeing the benefits of regular play and of golf club life.

PostConnectPlay

There are other new and innovative schemes emerging that allow golfers greater flexibility and should allow clubs to adapt and survive. PostConnectPlay is one of them. It’s a platform that’s been designed as a hub where golfers can meet, connect and organise games at different courses. It’s a different way for people to interact with golf. They build relationships and experience different venues. The idea is that they grow to love golf more and play more. That means more income for the clubs that they choose to play at.

Clubs will have to adapt in future to focus on gaining a greater portion of their income from itinerant golfers. There will always be those who prefer a traditional membership but, perhaps going forward, a far higher percentage of those who tee it up each day on courses around this country will not be paying an annual subscription directly to the club. They will be a member of a scheme like iGolf or using a platform like PostConnectPlay.

Golf clubs need to be accepting of a new type of golfer. They must welcome those itinerant golfers as a “member for the day” and they must offer a package that appeals to them. Those golfers have a choice as to where they play and clubs will need to be more focused in future at trying to win their custom.

That means, just like offering a package the prospective member wants, clubs must also offer a package the itinerant golfer wants – A competitive rate, great facilities, a warm welcome for them and any family members who might join pre or post round, and more generally, a reason to come back!

Golf clubs will survive but many will have to adapt to do so, through flexible membership options and by focusing on platforms like iGolf and PostConnectPlay to attract a steady stream of itinerant golfers.

For many clubs, the days of ordinary membership revenue fully covering costs are numbered. It’s time for them to focus on other revenue streams by making the very most of the facilities at their disposal, both on and off the golf course.