Dick's Buys Golfsmith at Bankruptcy Auction

[Fourputt]

I first did business with Golfsmith when they were only a mail order component supplier.  They had one store somewhere in Texas, and everything else was mail order.  It was nice when they started putting in stores, but they are getting the same problem of so many brick and mortar stores... can't compete on price with the internet.  It's sad because you can't talk to a fitter and have any real professional advice online.  For me it was worth the extra cost of the clubs to get some personal service.  Fortunately I will be unlikely to ever need anything but balls and tees again, so it isn't going to directly affect me.

[1badbadger]

23 minutes ago, Fourputt said:

I first did business with Golfsmith when they were only a mail order component supplier.  They had one store somewhere in Texas, and everything else was mail order.  It was nice when they started putting in stores, but they are getting the same problem of so many brick and mortar stores... can't compete on price with the internet.  It's sad because you can't talk to a fitter and have any real professional advice online.  For me it was worth the extra cost of the clubs to get some personal service.  Fortunately I will be unlikely to ever need anything but balls and tees again, so it isn't going to directly affect me.

Buckle up y'all...this might turn into a rant...

@Fourputt makes a good point.  This was a trend I did a report on about 7 years ago...there had been an increasing number of big-box retailers opening new stores, and there were a lot of people wanting to work in the golf business.

Whether it was kids who were putting themselves through college or retired guys looking for a part-time job to keep themselves busy and everything in between...there was something cool about being in the golf industry...it was sexy.  

The first place a lot of people think of is working at a retail store.  So in the early 2000's, there were guys lined up around the block for a golf job.  Retailers realized this, and stores went from having an experienced staff of professional sales people who had been with the company for 20-25 years to a much younger, inexperienced group that would work for $9/hr.  If anyone bitched about low pay, long hours, no benefits...there is the door. If you don't want to do it there are a dozen guys waiting in the parking lot who will.

This led to a lot of turn-over.  Because of this, and the internet, management cut back on employee training and education.  Why spend time and money to train salespeople on the specifics of the current equipment if they will be gone in 6 months?  Plus, they figure information is now available online.  Rather than consumers going to the golf store and talking to the sales guy for information, they can research whatever they want at home, so why pay a guy $50k/year who is knowledgeable when you can pay a kid $9/hr to basically be a cashier and ring him up?  

It's sad because I was in golf retail for many years.  I was one of those old school guys who had the answers and knowledge before the internet was a source.  I have managed 3 stores in the Dallas/Ft. Worth area, I am a professional club builder, fitter and repair expert, and the last retail shop that offered me a position paid $11/hr plus a discount on dental insurance.  When I turned it down they didn't counter-offer or even try to negotiate...they didn't care about my experience.  There is no value in how much I know about discontinued clubs from the last 40 years or that I can explain the difference between this shaft and that shaft...it's not considered important for sales staff to be a source for information.  

Unfortunately this has lead to consumers using retail stores to look at clubs and hit them in the cage to help them make a decision, then they go home and purchase the club online because they found a place that sells it cheaper.  People think the old saying "Price - Service - Quality:  Pick any 2" no longer applies because of the internet, but if the trend continues the "service" will soon be eliminated.

Sure enough....it did turn into a rant  

[GolfLug]

23 minutes ago, 1badbadger said:

Buckle up y'all...this might turn into a rant...

@Fourputt makes a good point.  This was a trend I did a report on about 7 years ago...there had been an increasing number of big-box retailers opening new stores, and there were a lot of people wanting to work in the golf business.

Whether it was kids who were putting themselves through college or retired guys looking for a part-time job to keep themselves busy and everything in between...there was something cool about being in the golf industry...it was sexy.  

The first place a lot of people think of is working at a retail store.  So in the early 2000's, there were guys lined up around the block for a golf job.  Retailers realized this, and stores went from having an experienced staff of professional sales people who had been with the company for 20-25 years to a much younger, inexperienced group that would work for $9/hr.  If anyone bitched about low pay, long hours, no benefits...there is the door. If you don't want to do it there are a dozen guys waiting in the parking lot who will.

This led to a lot of turn-over.  Because of this, and the internet, management cut back on employee training and education.  Why spend time and money to train salespeople on the specifics of the current equipment if they will be gone in 6 months?  Plus, they figure information is now available online.  Rather than consumers going to the golf store and talking to the sales guy for information, they can research whatever they want at home, so why pay a guy $50k/year who is knowledgeable when you can pay a kid $9/hr to basically be a cashier and ring him up?  

It's sad because I was in golf retail for many years.  I was one of those old school guys who had the answers and knowledge before the internet was a source.  I have managed 3 stores in the Dallas/Ft. Worth area, I am a professional club builder, fitter and repair expert, and the last retail shop that offered me a position paid $11/hr plus a discount on dental insurance.  When I turned it down they didn't counter-offer or even try to negotiate...they didn't care about my experience.  There is no value in how much I know about discontinued clubs from the last 40 years or that I can explain the difference between this shaft and that shaft...it's not considered important for sales staff to be a source for information.  

Unfortunately this has lead to consumers using retail stores to look at clubs and hit them in the cage to help them make a decision, then they go home and purchase the club online because they found a place that sells it cheaper.  People think the old saying "Price - Service - Quality:  Pick any 2" no longer applies because of the internet, but if the trend continues the "service" will soon be eliminated.

Sure enough....it did turn into a rant  

Yeah, certainly the value model is ever changing and that is not necessarily a good thing. If you don't mind my asking so what venue does a fella of your level and knowledge use these days to stay engaged and continue providing this level of customized service?

 

[1badbadger]

2 hours ago, GolfLug said:

Yeah, certainly the value model is ever changing and that is not necessarily a good thing. If you don't mind my asking so what venue does a fella of your level and knowledge use these days to stay engaged and continue providing this level of customized service?

 

That's a great question Lug.  I've always been involved in the equipment aspect of the business, so I'm not a pro or an instructor.  It seems as I acquire more experience and knowledge the fewer opportunities there are.  

For the last 10 years I have been on the manufacturing side of the business, which I really enjoyed, but with the industry struggling lately my position was eliminated.  Ironically, there were 2 other OEMs in my hometown, but one went out of business about the same time I was laid off, so there were about 20 or more other guys who do what I do, looking for a place to land also, and then the other golf company closed its doors as well.  

So if I want to stay in manufacturing I'd have to relocate, which I am unable to do. Working on one of the Tour vans would be right up my alley, but that's about 40 weeks/yr on the road, and I'm not in a position to do that either.  Retail stores can't pay what I'm realistically worth in a sales position or repair department, plus as backwards as this sounds, there are some retailer managers who don't want anyone who knows as much or more than they do.  They feel threatened by it I think.  So I'm faced with possibly having to get into a new line of work.

[Bryan Kasper]

The fall of most retail businesses. Due to the fall of greedy manufacturers. People cant afford to buy their stuff (albeit slightly better...i think) every year. Once they start to realize that, with lower prices, they will reach a broader audience and keep golf alive , there will be a resurgence. i never understood the growth fallacy in sports like this. Companies want to grow there business by increasing prices, and beating competition, and putting out newer stuff all the time however the increasing prices( of clubs, balls, rounds etc) has led to a decrease in the ability for people to pay for the novelty that is golf. they put out too much equipment that doesnt match the need. there are only a handful of people who are interested in new stuff every year...nearsighted fools are all i see. 

if companies didn't make such haphazard attempts at better clubs, and actually took a couple of years after developing a previous product to put thought and effort into a new product. people would be more inclined to buy the newer clubs. consumers are getting much smarter now, and companies are falling behind thinking that marketing will save them. marketing only works with the unintelligent folk. 

I sure hope some of those companies with robust club fitting and personalized experience stay afloat as i am looking to get a full fitting sometime soon. 

[Hacker James]

I have only glanced over this thread as I have been giving a little thought about applying for a position ad Dick's after chatting with an associate there who told me they would be interested in employees with a little golfing experience.

As far as branching out from GolfSmith, consider Tom Wishon. He used to work for them, and now has an international company that basically only designs clubs that are manufactured with his specs. His reputation is stellar and he has published many articles, Another example is here in San Diego where the head instructor at San Diego Golf Academy's Club fitting school has left and started his own shop. Tom Wishon sends him components and recommends them as well.

[WUTiger]

15 minutes ago, Hacker James said:

As far as branching out from GolfSmith, consider Tom Wishon. He used to work for them, and now has an international company that basically only designs clubs that are manufactured with his specs. His reputation is stellar and he has published many articles, Another example is here in San Diego where the head instructor at San Diego Golf Academy's Club fitting school has left and started his own shop. Tom Wishon sends him components and recommends them as well.

I wonder how specialty clubfitters like Club Champion  will fare? CC has 20 locations, primarily East Coast and Midwest, and charges $350 for a full bag fitting.

@1badbadger, have you heard of these guys? It seems they seek people with your deep background. I really respect guys like you, and it burns me that golf has "let you down." Sometimes people ask me for advice on clubs, but I'm pretty basic compared to your knowledge.

I'm also wondering what will happen to GolfTEC - GT has both free-standing shops, plus shops that were tenants in Golfsmith stores. GT offers both clubfitting and lessons.

[Hacker James]

2 minutes ago, WUTiger said:

I wonder how specialty clubfitters like Club Champion  will fare? CC has 20 locations, primarily East Coast and Midwest, and charges $350 for a full bag fitting.

@1badbadger, have you heard of these guys? It seems they seek people with your deep background. I really respect guys like you, and it burns me that golf has "let you down." Sometimes people ask me for advice on clubs, but I'm pretty basic compared to your knowledge.

I'm also wondering what will happen to GolfTEC - GT has both free-standing shops, plus shops that were tenants in Golfsmith stores. GT offers both clubfitting and lessons.

Also it might not be too hard to get a position at one of the manufacturers. I was nearly hired by Titleist R&D when I worked there in QA, but I think they really wanted somebody a lot younger to interact with the tour pro's and out on the demo vans. I could never prove it however.

[70sSanO]

The industry and retailers need to step back and re-evaluate their models because it is obviously not working very well.

The release cycle has to be lengthened from every 2 years to 3 or 4.  This doesn't mean nothing can be done mid-cycle.  If a company can use adapters/connectors on all of the clubs, then they can possibly release new shaft options that will just connect to the customers existing woods and irons like adjustable driver shafts.  The heads can stay the same.  This may allow the R&D can be amortised over a higher number of units as a break even point due to a lower initial sell price.  And they have to see what they can do to control internet (eBay) sell prices of current new offerings.

Brick and Mortar retailers will have to charge to hit balls on their indoor ranges.  Plain and simple, buy a bucket of balls and try out clubs to your hearts content.  Obviously the cost of the test bucket will be applied to a purchase (up to a certain amount).  But that is a service that only they can provide and the one area they can get customer dollars.  They key is to keep customers from free club testing and then just buying the clubs cheaper online.  Also brick & mortar can offer their own lower internet cost than what is available in the stores.

John

Edited March 3, 2017 by 70sSanO

[1badbadger]

On 3/2/2017 at 9:16 AM, WUTiger said:

I wonder how specialty clubfitters like Club Champion  will fare? CC has 20 locations, primarily East Coast and Midwest, and charges $350 for a full bag fitting.

@1badbadger, have you heard of these guys? It seems they seek people with your deep background. I really respect guys like you, and it burns me that golf has "let you down." Sometimes people ask me for advice on clubs, but I'm pretty basic compared to your knowledge.

I'm also wondering what will happen to GolfTEC - GT has both free-standing shops, plus shops that were tenants in Golfsmith stores. GT offers both clubfitting and lessons.

 

On 3/2/2017 at 9:22 AM, Hacker James said:

Also it might not be too hard to get a position at one of the manufacturers. I was nearly hired by Titleist R&D when I worked there in QA, but I think they really wanted somebody a lot younger to interact with the tour pro's and out on the demo vans. I could never prove it however.

Yes, I have heard of Club Champion...there is a location a little over an hour away from me just outside of Dallas.  I honestly don't know how much business they do, but they have a good reputation.  My situation has become a little complicated because I recently became a single father and have custody of my daughter, but as a result I can't move more than one county away for visitation reasons.  So my options are limited to this area.

James, I agree that there can be excellent opportunities on the manufacturing side of the business.  That is where I have spent the last 10 years.  Getting your foot in the door can be tough sometimes, but I was fortunate to be in the right place at the right time when Bridgestone was just starting their ball fitting program...there were only 6 teams the first year (12 techs) and someone personally recommended me who had a little pull.  I had to pay my dues though, and spent many weeks away from home and worked hard to build the program which eventually paid off.  When the idea of offering a live chat service was considered, it created new positions and I got the call to help launch the first live chat program in the industry.  It was kind of amazing that all the things I had done from club sales, club building and repair, club and ball fitting, and things like that which was all very hands-on, physical type work, and in my new position I might go a couple of weeks without touching a club!  

[Hacker James]

6 hours ago, 1badbadger said:

 

 

James, I agree that there can be excellent opportunities on the manufacturing side of the business.  That is where I have spent the last 10 years.  Getting your foot in the door can be tough sometimes, but I was fortunate to be in the right place at the right time when Bridgestone was just starting their ball fitting program...there were only 6 teams the first year (12 techs) and someone personally recommended me who had a little pull.  I had to pay my dues though, and spent many weeks away from home and worked hard to build the program which eventually paid off.  When the idea of offering a live chat service was considered, it created new positions and I got the call to help launch the first live chat program in the industry.  It was kind of amazing that all the things I had done from club sales, club building and repair, club and ball fitting, and things like that which was all very hands-on, physical type work, and in my new position I might go a couple of weeks without touching a club!  

Yes, I worked at Titleist for only five years. I developed a data base to track Scotty Cameron Putters as all the components were sub'd out to various entities during the process and we needed a way to track exactly where each putter head was. Things like anodizing, inlays, powder coat, e.t.c.  The plant in Escondido at the time, assembled irons. The driver heads were in Vista California. Later on the plants consolidated in Vista and 250 of us were laid off the same day. 

[MarvChamp]

That's a great question Lug.  I've always been involved in the equipment aspect of the business, so I'm not a pro or an instructor.  It seems as I acquire more experience and knowledge the fewer opportunities there are.  

For the last 10 years I have been on the manufacturing side of the business, which I really enjoyed, but with the industry struggling lately my position was eliminated.  Ironically, there were 2 other OEMs in my hometown, but one went out of business about the same time I was laid off, so there were about 20 or more other guys who do what I do, looking for a place to land also, and then the other golf company closed its doors as well.  

So if I want to stay in manufacturing I'd have to relocate, which I am unable to do. Working on one of the Tour vans would be right up my alley, but that's about 40 weeks/yr on the road, and I'm not in a position to do that either.  Retail stores can't pay what I'm realistically worth in a sales position or repair department, plus as backwards as this sounds, there are some retailer managers who don't want anyone who knows as much or more than they do.  They feel threatened by it I think.  So I'm faced with possibly having to get into a new line of work.

Badger, as you may know, some of the REAL PRO club builders at the former Nike facility here in Fort Worth are getting together to do what they did when they left Hogan years ago. Specialty club building for pros and top amateurs. If you don't know those guys, and would like to, help me figure out how we can communicate offline. Thanks, -Marv

On 3/1/2017 at 7:22 PM, 1badbadger said:

That's a great question Lug.  I've always been involved in the equipment aspect of the business, so I'm not a pro or an instructor.  It seems as I acquire more experience and knowledge the fewer opportunities there are.  

For the last 10 years I have been on the manufacturing side of the business, which I really enjoyed, but with the industry struggling lately my position was eliminated.  Ironically, there were 2 other OEMs in my hometown, but one went out of business about the same time I was laid off, so there were about 20 or more other guys who do what I do, looking for a place to land also, and then the other golf company closed its doors as well.  

So if I want to stay in manufacturing I'd have to relocate, which I am unable to do. Working on one of the Tour vans would be right up my alley, but that's about 40 weeks/yr on the road, and I'm not in a position to do that either.  Retail stores can't pay what I'm realistically worth in a sales position or repair department, plus as backwards as this sounds, there are some retailer managers who don't want anyone who knows as much or more than they do.  They feel threatened by it I think.  So I'm faced with possibly having to get into a new line of work.

Badger, I forgot how to quote. Please see my preceding response to your entry. Might be of help. Thanks, -Marv

[David in FL]

Some news for @Carl Spackler and the rest of my Orlando area peeps...

The Altamonte Golfsmith location on SR 436 ( next to Twin Peaks  ) that closed at the end of December, has reopened as a Golf Galaxy. 

[BuckeyeNut]

I suppose I don't keep up with golf retailing because I never shopped at Golfsmith, but it saddens me that dicks bought this company becaus I refuse to shop at Dicks at least for clubs.  Their selection is a disgrace and they never have anything in stock that I need/want so I never even look at their clubs.   I will buy clothing/shoes at Dicks so at least there is that....LOL

 

 

[onthehunt526]

On October 22, 2016 at 5:49 PM, iacas said:

Maybe it was the best bid?

More than likely but good old Ed isn't his father by no means. Dick probably would have done this, but would have done it before the GG acquisition. 

The fact that people think that Dick's is losing interest in golf, I guess have a point. But they forget that Dick's owns Golf Galaxy.

Back before Dick's went national and became a chain, there was no golf, it was just a bait and tackle shop on Court Street in Binghamton. There were exactly 2 stores, when Mr. Stack first expanded. The original store doesn't even exist anymore, store 1 is still on Court Street but it's further from downtown, by like 4 blocks. 

Sorry, Erik it was tangently related, because I was going to say 70 years ago when Dick Stack had his tackle shop on Court Street, he probably never dreamed of Dick's being so successful that it can acquire struggling businesses, I think that this is the first time they have completely dismantled what they had bought however.

[WUTiger]

Dick's has started refurb of old Sports Authority site in Fairview Heights, IL. Evidently some city TIF money is involved in the project.

A free-standing Golf Galaxy sets about four blocks away; GG will become embedded in the new Dick's store once its current lease runs out.

[WUTiger]

Dick's will open its new store in Fairview Heights in October 2017, according to a local newspaper. Dick's had signed a 10-year lease on the property in February.

Several online job-search agencies are advertising for workers.