Golf Courses Industry Profile

Companies in this industry operate public and private golf courses as well as recreational facilities known as country clubs. Major companies include American Golf, Arcis Golf, Invited, KemperSports, and Troon Golf (all based in the US); as well as Accordia Golf (Japan), Bluegreen Golf (France), ClubLink (Canada), and Pacific Golf Management (New Zealand).

The world has about 40,000 golf courses, according to Golf Monthly. Countries such as the US, Japan, Canada, England, and Australia are the top countries in terms of number of courses. Ireland, has the most golfers in the world, according to Top End Sports.

The US industry includes about 11,000 golf course facilities with combined annual revenue of about $23 billion.

COMPETITIVE LANDSCAPE

Demand is driven by demographics and population growth. The profitability of individual companies depends on efficient operations and good marketing. Large companies can have advantages in management experience and the ability to leverage investments in administrative infrastructure. Small companies can compete successfully by operating in favorable locations or through superior marketing. The US industry is highly fragmented: the 50 largest companies account for about 20% of revenue.

As a recreational activity, golf competes for consumers' time with numerous outdoor and indoor leisure pursuits.

PRODUCTS, OPERATIONS & TECHNOLOGY

Major sources of revenue for golf courses include golf course and country club services (70%), meals, snacks, other food items, and nonalcoholic beverages (nearly 15%), and alcoholic beverages (more than 5%). Other sources of revenue include ...