HBO Real Sports: The Downturn in the Golf Industry

[cfritchie]

I'm not so sure your ideas are relative to the true subject of the decline of golf. All of my contacts within the PGA, PGAtour indicate that they are extremely healthy in sponsorships and revenue gain year after year. These corporate sponsorships are fueling fundraising and their own product, service and consulting services on tv and publications. Basically marketing dollars. There has not been so much as any downturn at all including when tiger was not playing. Almost all these companies that advertise and by tents etc are going after People with money and unfortunately your 20,and 30 something do not have money. Ever see a 25 year drooling over a Cadillac, or shop for insurance and investment brokers for example?

Now to your point smaller businesses can no longer write off golf as an entertaining expense,so that scramble tournament in any town USA will have trouble getting the local restaurant, construction company, local insurance, doctors offices will likely no longer be contributing and playing in that $400-$600 foursome. Thus tournaments including member/ guests may not be a full field.

I was speaking to local golf as this is more of an indication of the downturn in the game of golf...not sponsorships on the PGA tour or revenue. The health of the PGA tour doesn't reflect on the local country clubs or municipal courses.

[newtogolf]

I didn't read every comment..but I think suspect a large portion of the lack of revenue into the golf business is directly related to corporations big and small having to answer to how they spend their dollars.

I would be willing to bet tournament revenues from corporate outings are way down at most golf courses, also there has always been a lot of business done on the golf course with salesman or company representatives treating clients and potential clients to golf rounds and outings. Just like so many of the major sports season ticket holders are corporations I suspect a tremendous amount of dollars and scrutiny over expense budgets have scaled back some of the dollars used to play the game.

The Federal government could make golf more attractive by simply allowing businesses and small business owners / contractors to write off golf memberships as a marketing / entertainment expense.  I think the tax code had a major impact on how businesses viewed golf course memberships, season tickets to local sports teams, etc as part of their overall marketing budget.

[turtleback]

The Federal government could make golf more attractive by simply allowing businesses and small business owners / contractors to write off golf memberships as a marketing / entertainment expense.  I think the tax code had a major impact on how businesses viewed golf course memberships, season tickets to local sports teams, etc as part of their overall marketing budget.

Why should taxpayers subsidize a leisure activity enjoyed by people who are primarily in the upper half of our society economically?

[CarlSpackler]

Why should taxpayers subsidize a leisure activity enjoyed by people who are primarily in the upper half of our society economically?

Because they subsidize everything else? ;-)

[newtogolf]

Why should taxpayers subsidize a leisure activity enjoyed by people who are primarily in the upper half of our society economically?

I'm not suggesting they do, just saying the Federal Government could do so, as they once did.  The impact of not doing so is that golf could continue to decline, courses will close, manufacturers and retail outlets will have to cut costs or close which will result in taxpayers losing their jobs (Dick's) and the net effect is taxpayers will take the hit anyway.

[MS256]

The Federal Government's money IS the tax payer's money and they are jointly broke. http://www.usdebtclock.org/

[newtogolf]

Quote:

Originally Posted by newtogolf

I'm not suggesting they do, just saying the Federal Government could do so, as they once did.  The impact of not doing so is that golf could continue to decline, courses will close, manufacturers and retail outlets will have to cut costs or close which will result in taxpayers losing their jobs (Dick's) and the net effect is taxpayers will take the hit anyway.

The Federal Government's money IS the tax payer's money and they are jointly broke.

http://www.usdebtclock.org/

My point exactly and if golf continues its downturn as it's being reported there will be less tax payers and less Federal Government money.

[turtleback]

I'm not suggesting they do, just saying the Federal Government could do so, as they once did.  The impact of not doing so is that golf could continue to decline, courses will close, manufacturers and retail outlets will have to cut costs or close which will result in taxpayers losing their jobs (Dick's) and the net effect is taxpayers will take the hit anyway.

While we are at it maybe we could have some tax incentives to bring back the makers of buggy whips.

I do not think golf is really much of a driver of the economy, nor is the health of the sport an issue of national importance.  The money not spent on golf is spent on other things  In the economy.  Which results in other people getting jobs or making more money.  Which results in taxes being paid.  Just as if the money was spent on golf.

I am sorry for the folks who are affected by a downturn in golf.  As I am sorry for the people in other fields who are affected by downturns in their industries.  But on the list of our top 100 national problems, the health of the golf industry is about number 253.

[newtogolf]

While we are at it maybe we could have some tax incentives to bring back the makers of buggy whips.

I do not think golf is really much of a driver of the economy, nor is the health of the sport an issue of national importance.  The money not spent on golf is spent on other things  In the economy.  Which results in other people getting jobs or making more money.  Which results in taxes being paid.  Just as if the money was spent on golf.

I am sorry for the folks who are affected by a downturn in golf.  As I am sorry for the people in other fields who are affected by downturns in their industries.  But on the list of our top 100 national problems, the health of the golf industry is about number 253.

253 is higher than I'd put it.