By Francisco Galán
The year 2012 has been a year of challenges in which many of us have had to make great efforts to move forward, very tough measures have been taken within the clubs and above all it has been a year in which we have had to adapt to new times, face new conditions in fiscal matters and deal with great economic and financing problems.
We have also had to suffer the price war in which we have been immersed and in which in the end all participants have been badly affected, to the detriment of the destination, which, let’s not forget, is something we have to preserve and take care of in order to guarantee our future.
Someone I admire for his career in this world of golf, recently told me “get out of your course as soon as you have the opportunity, 9-hole courses have no future, they are doomed to failure”. He was referring to the consequences of this “unfair” price war, in which a 9-hole course cannot compete with an 18-hole course that is willing to lower prices, at the cost of lowering the level of quality of service and maintenance, in order to increase the number of players.
And if you allow me, we are very wrong, the indiscriminate lowering of prices does not attract more players and proportionally does not compensate, or at least that’s what I have found. As always, we must learn from those who have been working for years and who have more experience than us, in this case the Americans. In the USA they have been applying Revenue Management to golf for years, this discipline can be applied to any perishable product in which demand is variable, and what could be more perishable than a tee time at 10:20AM that does not sell? But make no mistake, Revenue Management is not a price war, it is selling the green fee at the best price, to the right customer, at the right time and through the most convenient channel, based on a detailed and detailed study of supply and demand.
Even today it is difficult to find fields that offer you, when you call or browse their website, different rates according to schedules and dates, promotions, packages, early booking offers, last minute offers, etc. or according to the type of client, resident or tourist, retirees, students, associations, professional associations, etc. or that discriminate between tour operators and agencies according to the level of contracting, payment method, collaboration history, etc.
A 9-hole course also has its audience and can be profitable, regardless of what the larger courses do. But for that you have to work hard to differentiate yourself from the competition and not only compete on price. You have to offer that “something more” that sometimes other courses neglect because they think they have it all done.
The 9-hole courses are not doomed to disappear, they are doomed to change and adapt, just like all types of courses and companies. And that is what we are dedicated to…
*Director of Greenlife Golf Marbella
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