Adrian,
wouldn't it work out better if you had more members? The German Golf Federation reckons that an 18 hole course can cater to up to 1400 members.
Ulrich
I dunno which is why I am asking. And by the way, thank you for all your responses as I have really enjoyed reading them.
I do think $500, even all inclusive, is still expensive. To justify that I thought membership numbers would have to be small to keep play down, conditions pristine (20,000 rounds instead of 34,000) and access to tee times a no brainer.
My model for years has been a low initiation fee, low dues (usually 30-50% lower than my competitors) and an ala carte approach where you pay for what you use after that. I've also never had an assessment of any kind (38 years) and have a really good course in a great location. No minimums, walking anytime, dues breaks for those under 40 and those over 55....
I have an older clubhouse that is known for good food and for being fun. We are an active club. But, it is an older facility and not as "fancy" as the other surrounding clubs (that went bankrupt) and I have just two tennis courts and a very small pool. I have seen many join the "lifestyle" clubs that offer everyhting under the sun and I don't see how that model is successful. In Atlanta, almost every subdivision has a pool and tennis courts that each homeowner pays for through HOA dues. ALTA (Atlanta Lawn and Tennis Association) has over 100,00 members and dominates tennis courts in neighborhoods everywhere.
If I lived in a subdivision and was already paying for a pool and courts, why do I need those things in a golf membership? If I had kids I'd sure as hell take then to the closest pool and I would play tennis with my friends and neighbors. Why join a full service club if you already have swim and tennis? Why pay for that amenity twice?
I have succeeded because a lot of people agree and they can get their golf and social fix with me for way less. My bread and butter is my golf and the social activities. Last night we had trivia night and had 150 people for dinner. I have 130 reservations for Brunch this Sunday and tonight's Valentines Gourmet Night is sold out. We just unveiled a partnership with a gym located 100 yards from my eighth tee that allows my membership to join for an extra $15 a month and this appeals to another segment fo my membership.
I mention this as I agree with the industry (Ugh--I hate agreeing with the industry) that to retain members you must find multiple ways to engage them and keep them active.
BUT, I was just wondering if an all-in inclusive golf membership would work. To justify that price the number of members would have to be small to ensure a very accesible course. Let's face it, priate clubs members are paying in part for an "empty golf course". No one would pay that if they had to fight for tee times.
My current structure has 475 full members and 125 senior members. The seniors can only play Mon-Fri. so on weekends we have just 475 members "competing for weekend times". We accept tee times up to a week in advance and unlike many clubs that "pack 'em in" we have never had to use a lottery system for tee times. I know many are shocked that a private club would have to do that but an example is the Atlanta Athletic Club with 36 holes and over 2,000 members--you sign up for a weekend lottery. I am an active club and of course, you don't always tee off exactly when you want to but my caps are there to keep the course from having too much demand put on it.
If I cut my membership form 600 to 350-400 i would have enough players to have a game without so many that we'd need tee times except in rare cases I think. Again, it was just a thought not so much for my existing club, but just in general.
In my market, 1400 members at one eighteen hole course would be a nightmare--you would never get a tee time. Each course has different utilization capabilities but I can't imagine those kind of numbers.
Thanks again for all the feedback.
As a reminder, I was speaking to a very specific market in the US and undertand that some of what I have been describing may be lunancy in the rest of the world or even in other parts of the country.