Value for money is the way forward
Following some of my more recent columns, in particular last week's discussion on the size of clubhouses in the UAE, I have been inundated with opinions on the current status of the golf market.
Some of the questions posed have been interesting, and the majority of them have come from non-members of clubs. Perhaps that's not so surprising given the recent rises in green fees and the slim chance of getting a membership to a Dubai club.
It's not just green fees that have increased this season – membership, food and beverage prices have also seen significant rises. It is another reactive measure taken by the clubs to combat rising inflation across the board. The big influence in these rises was an increase in Dewa costs and now the clubs are taking a “catch-up'' stance in order to remain profitable.
The feedback I received, in the main, was merely an opportunity to moan, but ultimately golf is a business. When your base costs rise, you generally see front end consumer prices rise, but with the number of golf rounds and therefore green fee income falling, what can clubs do to retain custom in such challenging times? Last week I hit on the area of service and how the hospitality industry here in the UAE has extensively larger manning levels than other developed regions.
Perhaps this could be attributed to the previously low cost of living and employment (I'm talking 10 years ago or more) and it has since become expected and in some ways a benchmark for the hospitality industry.
But is that what customers really want? Do we want to enter a restaurant, a hotel or a club and be met by an army of staff willing to fuss around us?
I certainly don't.
What do paying customers mainly come to the golf club for? To play golf! And through experience I would say about 80 per cent of customers do.
And for their money – what do they expect? An extensive recent survey of golfers conducted by a leading US publication shows the course quality, playability and condition of the greens were among the leading answers.
A “green fee'' is exactly what it says – it's a fee paid to give access to the greens (or in general terms the course). In order to stay competitive and react to the needs of their customers, clubs have to cut their prices if not immediately then certainly in the coming months.
If it means cutting back on workforce and ultimately the culture of a pampering service level in order to manage the bottom line then so be it.
If I have to get off my chair to order a drink, will it mean I've had a bad experience at the golf course? Certainly not.
Will it reflect on my attitude to the club? Not if I'm getting good value it won't. We are fortunate to have some fabulous facilities here in the UAE. Let's hope we will be able to continue to afford to use them in 2009.
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