The Biggest Challenge for

Current Day Club Managers

Qld GMA Pacific Golf Club, 6 March 2012

Title of Slide

2010 Membership Data

Region

Year End

2008

Year End

2009

Year End

2010

% change

2008-

2009

% change

2009-

2010

% change

2008-

2010

Brisbane 17,095 17,261 16,439 1% -5% -4%

South Brisbane 8,171 7,771 7,451 -5% -4% -9%

Gold Coast 14,215 13,981 13,935 -2% 0% -2%

Sunshine Coast 14,435 14,515 14,422 1% -1% 0%

Wide Bay 3,656 3,757 3,771 3% 0% 3%

Other SEQ 3,918 3,899 3,802 0% -2% -3%

Total SEQ 61,490 61,184 59,820 0% -2% -3%

Rest of State 13,911 13,205 13,102 -5% -1% -6%

Total 75,401 74,389 72,922 -1% -2% -3%

South Brisbane = Logan to Ipswich

In summary, probably the toughest wider environment that many of

you have ever faced

• Softening in member numbers, softening sub revenues unless price

growth, a potentially busier golf course

• Changing wider wants of consumer, relevance of a club –

membership, golf course, F&B…

• Higher level of marketing noise in society – more to cut through and

compete against

• Changing of the guard – traditional media v new media

Added pressure of funds available to enable you to be heard

• Operational results, annual capex requirements, infrastructure

investments

What are you spending annually on marketing?

• Total annual income, total marketing spend - % spend

• Around the room….

The Market

The Reality

You cannot afford to not be getting results from your marketing

actions.

Coal facing selling must have a “call to action”

You therefore need to:

• Develop a relevant, realistic strategy

Know what you are trying to achieve

• Ensure no wasted expenditure

Spend wisely based on knowing what works and can deliver

results

• Measure, measure, measure…!

Marketing – Where it fits…

What are you actually trying to achieve?

• To positively impact annual outcomes

Title of Slide

Marketing – the Goal

The marketing process... The consumer decision process…

Title of Slide

Marketing – Where?

A vastly different landscape in terms of mediums available

What to choose?

• Changing degree of relevance of some (old media vs new media)

• Levels of effectiveness of each will vary dependent upon your

strategy and who you are trying to reach

Title of Slide

Marketing – 21st Century

All around us we are seeing change

JBAS view is that as technology has progressed and as

communication has become more electronic, more personal, with

more information available, marketing has become even more of

a science, less an art.

It is the science of understanding data, listening to what it is

saying, then actioning.

The winners will be those who can best develop and maintain

relationships, whilst getting as much from them as you can.

Title of Slide

Case Study

Gold Coast Burleigh Golf Club

Print Media - Inside Golf Magazine, Feb 2012

Case Study

Inside Golf Stats

• 42,000 copies printed per month

• Distributed to golf clubs, social clubs, driving ranges and golf

retailers throughout Australia

Ad Costs

• Part of annual advertising package but retail cost of $1,000

AD ROI

• With joining fee of $2,200 reduced to $1,100 for spouse, ($3,300

total) needed to sell only 1 package to cover advertising costs

and re-coup discount offered.

• (if a club with no joining fee and lower annual fee then ROI

becomes harder to achieve, harder again if ad costs are higher,

and harder again if selling public rounds)

Case Study

Reverse engineer the advertisement to understand why it was

developed and what the strategy was.

Why was is developed?

• Management saw weakness in current level of spouse members

• Appeal to relocation market

• Appeal to local market

Key Points

• Moving to Queensland

• Husband and wife

• 6 or 7 day

• Make new friends

• Save some $$

Case Study

What is the Market?

• Annual population growth for Gold Coast is approx 13,000 – 15,000

people

• 75% of this is migration

• 40% are 45 years +

• Av participation rate in golf of this market is 9%, half this for club golf.

• Therefore, based on club location, the potential size of the market that

this ad is relevant to (should they see it) is approximately 100- 200

people (assuming no prior research done on clubs to join, and

disregarding any existing relationships that may exist – reciprocals,

other friends clubs etc.)

• So how much of this market can the club be reasonably expected

to capture?

Case Study

Outcomes

• Club sales target was 25

• To date (late Feb) have sold 10 including sales to existing local residents

(non movers)

• Despite being below target has success achieved?

• In this case, yes it has. Target was possibly too high given size of

potential market

• Very good return made on the advertising investment

Alternative option

• Establish relationships with local real estate agents

• Incentivise introduction to Club, green fee and / or F&B vouchers

Case Study

Process

• Reason for working through this is to show you that behind every

marketing spend, in this case a print advertisement, there should be

a strategy and outcomes that must be be measureable.

• Otherwise a more appropriate classification for your marketing spend is

Donation!

Your Reality

Marketing requires:

• Time

• Resources

• Knowledge

JBAS understands that without all of these you can’t:

• Develop marketing strategies

• Ensure effective execution of these strategies

• Measure the results and outcomes achieved

Help is now to hand….