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Don't Compete On Price

Everyone knows that when you compete on price, it's a dog-fight where it's the last man standing with only one winner - the one with the lowest cost basis. 

If you operate in a supersaturated golf metroplex, where there are 30, 40, 50, or even hundreds of golf clubs and you don't have the lowest cost-basis, you better not compete on price.  And even if you could, eventually someone is going to come along with a lower cost-basis and beat you.

The quickest way to increase your profit margins is by becoming the first and only choice for your customers and prospects. That means you work really hard, I mean really hard, and consistently, sometimes for years to attract and retain your customers.  And you stand firm, rather than cut your prices in reaction to your competitor's latest price cuts.  Sure you may take a short-term dip, but you will prevail by excelling at customer service.

Easier said than done, I know.  But here are five steps for developing a competitive edge:

  1. Competitive Pricing, but not necessarily the lowest price.  Customers can usually tolerate a 20-30% price difference between competitive products.  $39 green fees versus $30 green fees from your competitor; you're in the competitive range with 30% more revenue and double the profit.
  2. Facility Quality that is unmistakable from the moment someone steps foot on your property.  It's the small stuff. This includes clean restrooms, soap containers filled, paper towels and toilet paper stocked.  Restaurant condiments that are topped off, fresh coffee, trash cans emptied and tables cleared even when it's busy.  And obviously, a course that is consistently maintained and groomed.  Clean range balls, and practice facilities maintained with the same quality as the course.
  3. Service that is consistently excellent and transports your customers away from their day-to-day world.  Golf is entertainment and entertainment is escape.  Staff training, measuring, reviewing, and more training are the quickest way to guarantee your success.
  4. Marketing that is aggressive, constant and omnipresent in your market.  Maximize your marketing budget with Search Engine Optimization, Customer Segmentation, Email Marketing, and Direct Mail.  Use Sponsorships to help pay for radio, print, and other more costly media.  Work with a Golf Marketing Leader like CourseTrends that specializes in marketing golf facilities.
  5. Deliver everything you promised and 1% more.  You don't have to exceed your customer's expectations by 10, 20 or 50%, just exceed them.

Lastly, in the area of marketing, you must segment between your members, daily fee players, and event planners.  You must appeal to their unique and specific needs, offer value individually, and aggressively communicate with them, to ensure you create undeniable loyalty.

Call us today to schedule your Golf Marketing Review - 877.231.0060
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