CASE STUDY
Green Grass Retailing
Britain’s increasing comfort with internet bargain-hunting puts pressure on the green grass retailer to compete for club sales through sophisticated custom-fit expertise. But this isn’t necessarily your best option, believes David Ledingham, head professional at Chestfield GC, Kent
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was eerily easy – and the centre itself noticeably quieter. As the retail analysts are telling us, online purchasing is rising sharply… and golf equipment is no different. This trend has of course been building for some time. But in my experience there has been a surge in the past 12 months or so. Even the 70- year-old-plus members at my club are telling me just how cheaply they can source my stock online. They are very aware of the internet, and clearly increasingly comfortable using it. Of course, making an equipment
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sale is not all about price – but the accepted wisdom is that the PGA professional should fight online bargains with his knowledge and expertise, typically in the form of sophisticated custom-fitting advice and systems. I don’t necessarily agree with this. Such an approach would place my own business in serious danger, and I will explain why. As we all know, launch monitors
and simulators have made custom- fitting a highly sophisticated process. The modern golfer knows what is available, and what they can expect. Today’s fitting ‘experience’ is of hitting balls for 30 minutes in a covered area under high-speed cameras and lights, and going through computer read- outs of spin rates and launch angles over a nice hot latte. It can be a great service that truly communicates the pro’s expertise – but it is one that is very expensive to set up. A club down the road to me has just installed a simulator for £20,000, and that’s without any special construction work. Even then, you need to do a lot
inding a parking space at the local shopping centre for Christmas shopping this year
of fittings to get that back. Of course, clubfitting is great, and
we all think the club pro should be doing this. But delivering this modern, technical service takes a massive commitment of time and money. I am not saying don’t do it – but I am saying that before you follow the accepted wisdom and make the investment, you must make absolutely sure your business will support it. I have taken the decision that mine
won’t. My club, Chestfield, is run by its 500 or so members. My shop is a detached building in the middle of the car park, and my teaching area is 100 or so yards away, and about 180 yards long. We are on clay, which can lead to extended winter closures. For me to put in the kind of facilities that would allow me to compete with Internet sales through an expert fitting service, I am looking at investment in the tens
"Don't just jump on the custom-fit bandwagon. You have to be cleverer than that."
of thousands. I’d also have to get a member-run club to invest in the creation of an indoor facility or a permanent covered range facility where we could lock things away – and that’s not on the cards because, like everywhere, money is tight. So much as I would love to get deeply into custom-fit, it is just not a viable option.
In coming to that decision, you also have to factor in profit margins. Last year I did around £30,000 turnover on clubs at a 20% margin, whereas I did £35-£40,000 on accessories at over 40%. I did £25-£30,000 on clothing at 30%. So while we all feel instinctively that we, as golf shops, should be stocking gear hardware, the facts are that it might not necessarily be where you make your money. I have made decisions based on what I think is best for me. I sell a lot of Ping here, because I have a staff member who is passionate about the brand, and excellent at selling it. But largely I have taken the business decision to focus on the areas that are profitable, and letting equipment go. I didn’t want to; I love new kit, and I want to be doing it. But at the end of
SGBGOLF
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