1 / 30

Golf Industry Trends and Analysis in 2012: State of the Sector

Delve into the golf industry's status quo in 2012, focusing on demand, participation, rounds played, course supply, consumer confidence, and economic impact. Explore factors influencing the sector's recovery from the Great Recession and the significance of consumer spending. Evaluate the long-term trends in golf participation and rounds played, considering regional variations. Gain insights into golf supply versus demand dynamics, including courses/facilities openings and closures. Assess the impact of the economy on the golf industry's trajectory and the need for sustained consumer confidence and spending.

tave
Download Presentation

Golf Industry Trends and Analysis in 2012: State of the Sector

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. State of the Industry

  2. 1.0 Golf Demand

  3. Long-term Participation Trend Participants (MM) Source: NGF golf participation study - 1990 is a calculated average of 1989 and 1991

  4. Participant Gains v. Losses Recessionary effect Participants (MM) Source: NGF golf participation study

  5. Rounds played – 2012 (up 5.7% nationally) (% Change from previous year) New England (+3.2%) Mountain +7.0% W. N Central +7.6% E. N. Central +10.8% Pacific (+1.6%) Mid Atlantic (+10.1%) So. Atlantic (+2.4%) +2.0% or higher +1.9% to -1.9% -2.0% or lower So. Central (+5.0%) Source: Golf Datatech National Rounds Played Report in cooperation with PGA Performance Trak and the NGF.Based on a sample of approximately 4,000 reporting facilities

  6. Rounds played – 2012 (Public Facility Concentration 2012 U.S.) West N Central (+7.6%) East N Central (+10.8%) Highlighted area contains almost half (47%) of the nation’s public golf facilities. Mid Atlantic (+10.1%) Source: Golf Datatech National Rounds Played Report and NGF golf facility database.

  7. Rounds volume

  8. 2.0 Golf Supply

  9. 2.1 Courses/Facilities

  10. Course openings 18-hole equivalents Source: NGF Facility Tracking

  11. Course closures 18-hole equivalents • 2012 Closures: • PUBLIC: 139.0 (90%) • Daily Fee: 130.5 (84%) • Municipal: 8.5 (6%) • PRIVATE: 15.5 (10%) • REAL ESTATE: 34.5 (22%, incl. both public and private) Source: NGF Facility Tracking

  12. Net change in supply 18-hole equivalents Net Change = openings minus closures (in 18-hole equivalents) Source: NGF Facility Tracking

  13. 2.2 Golf Supply v. Demand

  14. Rounds & golf course supply % Change in rounds (from previous year) (-3.0%) (-1.5%) (0.9%) (0.0%) (0.3%) (-0.6%) (-1.8%) (-0.6%) (-2.3%) (-2.5%) (5.7%) Rounds Per 18 hole equiv. Decade -12.1% Course Supply (18 hole equiv.) Decade +1.7% Source: NGF/Golf Datatech

  15. 2.3 Range & Retail Supply

  16. Continued contraction in range supply 2012 We have seen very little change in the range size proportions since 2000:

  17. Retail supply 5-year trend

  18. Retail – 2012 snapshot 1,078 Doors 8.5 mm Sq. Ft.

  19. 3.0 Industry Spending

  20. Domestic – club shipments

  21. Domestic – ball shipments

  22. Facility maintenance budget index (1) Excluding capital expenditures and water

  23. Turf maintenance equipment YE = Year End MY = Mid Year

  24. 4.0Consumer Confidence

  25. Consumer Confidence Index 90 = normal Index currently stands at 76.2 Through May 2013 Source: The Conference Board

  26. Consumer spending May -13 $92 Source: Gallup

  27. Consumer Spending Improving Real Personal Consumption Expenditure Index [Index numbers, 2005=100] Seasonally adjusted Source: Bureau of Economic Analysis

  28. Recessionary Impact on Net Worth S&P 500 and Case-Shiller Home Value Indices Case-Shiller Home Value Index (year 2000 as 100) S&P 500 Index Source: S&P 500 / Case Shiller

  29. Overall takeaways • Golf continues to slowly recover from the effects of the Great Recession • Outlook for 2013 is modestly – and cautiously– optimistic • Golf’s economic recovery remains dependent on the recovery of the overall economy and continued increases in consumer confidence and spending

  30. State of the Industry

More Related