Chris Bertram's attached article about the price of green fees is a very good read, although, he doesn't fully understand the economics of operating a golf course in the modern day. Keeping it under £60 is not so easy anymore.
But the price charged as a green fee is not simply a function of the cost of maintaining the course and club facilities.
Much has to do with the particular business model and culture of the club.
Those with a full quota of playing members will have little appetite or need to attract hoards of visitors, and will price the green fee accordingly so as to restrict numbers and to reinforce the perceived value of membership.
Some clubs rely heavily on revenue from visitors to balance the books and will pitch their green fee at whatever the local market will bear.
Other clubs are in dire financial straits and will cut prices to the bone simply to attract the funds required to meet that month’s salary bill.
Cavendish is at number four on this list and for years has depended on visitor income for around half its revenue. At an average of £22 a round however, it has historically charged far too little. The increase in visitor numbers in the aftermath of the two lockdowns has enabled the club to increase fees to £55 at weekends and £40 during the week. The entirely predictable result has been not only an increase in visitor revenue but also in membership numbers. Membership at £950 per year starts to look like spectacular value for money when the green fee is £55 per round instead of £22!
A well run club will set its green fee to balance visitor revenue with membership revenue according to the club’s particular situation.
£60 is still a lot of money for a game of golf. Members of most top 100 clubs who play once a week generally pay less than half that for each round.
30,000 rounds x £60 = nearly two million quid!
Most U.K. golf clubs get by quite happily on a third of that. Many a lot less. It’s not the cost of maintaining the course that pushes green fees up.
The price of a green fee is a balance between attracting visitor income and keeping members happy.