The Price of Golf

[Adam_F_Collins]

I don't know about your area, but golf around here is going up like crazy. I admit, I am living in an area where golf is comparatively affordable - but in the last five years, the average price of a round of golf has nearly doubled - and for some courses it's tripled.

What new expenses are clubs facing that might have caused such sharp increases in a relatively short time?

Is it insurance? Maintenance? What's the deal? Has anyone else seen these kinds of increases?

[A_Clay_Man]

Adam, I don't know where you live, but a friend just returned from St George, Ut. and he was livid about paying $35 for a course that had lost their fairways. Another course, had work going on, and was very disruptive, not to mention an incomplete 18 holes, yet they charged full boat.

Outrageous, indeed!

[Tyler Kearns]

Adam,

You need to venture out west to Manitoba & Saskatchewan, where you'de be hard pressed to pay a public green fee over $40. Only a handful of the top private clubs charge more than $50, and the most expensive green fee I've heard is $75. Good golf, and a great value - to bad the season lasts only 6 months  . The good news, I do not see this trend changing anytime soon  .

Tyler Kearns

[David_Tepper]

Adam-

I am a little surprised by your post. Where do you live?

In general, the number of golf rounds played per year has been declining across the country. There have been many articles in the press about a good number of golf courses
and golf clubs around the country being in financial trouble. If anything, I think that the supply of golf courses, with many newly built courses now up and running, exceeds the demand for play in many parts of the country.

Against that backdrop, I would expect green fee rates to be stable or sweetened by bargain/discount coupons.

Of course, not every golf market in the country is the same. But even here in the San Fran Bay Area it seems like green fees (for muni & daily fee courses) have been fairly stable over the past few years.

The only segment of the market that does seem immune are the high-end resorts (Pebble Beach, Pinehurst, etc.) and the prestigious private clubs, where status and image is more important than money.

DT

[Wayne Freeman]

In SoCal, it's an interesting situation.  The public muny courses in L.A., and especially here in Long Beach where I live can be very reasonable.  In fact, we have 3 good courses that cost around $20 during the week for residents. Seniors can play our Long Beach courses for free before 7am.  But there are a whole bunch of newer courses that are outrageously expensive, up to $250 on weekends.  Hardly worth it. Of course, on the munis, if you can't play during the week,or can't get a tee time at dawn on the weekends, you're looking at upwards to 6 hours.  Fivesomes tee off all day long, every day of the year.  Bottom line-  in SoCal it's simply supply and demand and there isn't much supply -   maybe someone can explain to me if it's the same in Las Vegas, where I think so many of the courses are totally overrated and overpriced, and Cabo San Lucas which is out of sight price wise.