How wonderful to be writing this leader with golf clubs all over Europe re-opening their fairways following the devastating COVID pandemic. Oh, golf, how we’ve missed you…
In a recent discussion with a general manager, I was very interested to hear his take on the necessary closures across the globe. Initially, his view surprised me, but the more we spoke the more I understood his perspective.
This was reinforced by a LinkedIn post by Chris Duffy, GM at Huddersfield Golf Club, who propagated a similar theory, viz, that in the short term, some clubs may make more profit this year if they are supported predominately through membership subscription.
Having furloughed staff and closed the kitchen and bar, many clubs could find themselves in the paradoxical position of saving money rather than losing it during a pandemic – albeit, of course, an unsustainable proposition in the long term.
Chris made the point that, on average, in a ‘normal’ year, 40 per cent of revenue goes on staffing costs – remove a large part of those costs, while retaining the membership income, and perhaps things don’t look quite so grim?
Likewise, profits – if any – from F&B are generally small beer, so it is quite feasible that upon reopening many clubs might choose to scale back their F&B offering, especially if they are a private club with little or no wedding and/or function income.
Of course, it remains to be seen how this scenario will be affected by renewals next year. Watch this socially distanced space.
The idea of a business magazine for the golf industry, first came to founder – and publisher – Michael Lenihan when he visited La Manga Club in 1996. With a publishing background, and having just sold the rights to Football Management – a B2B magazine he launched in 1993 – he stumbled across a copy of Golf Enterprise Europe. And the rest, as they say, is history.
A year later, to coincide with the Ryder Cup at Valderrama in September 1997, the first edition of Golf Management Europe was published, and in 2020 – to reflect the growing global reach of the magazine – the word ’Europe’ was removed from the title.
An all too often frustrated golfer, Michael has interviewed some of the best operators in world golf, and has had the privilege to visit, and play, some worldclass golf courses. He divides his time between the UK and Spain, and has membership at Felixstowe Ferry Golf Club in Suffolk.
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