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Industry Trends

Key trends impacting the golf industry this summer and beyond

May 18, 2022

It’s been a couple of interesting years for the golf industry.

During the pandemic, many people picked up golf as it was one of the few sports available for people to enjoy. This resurgence of new players from diverse groups is revitalizing the industry.

As we emerge from the pandemic, it’s quite clear that the golf industry won’t revert back to 2019, rather shift and adapt to ongoing challenges and opportunities. Seven trends have emerged that golf club operators should consider to increase efficiency, attract guests and boost business performance.

1. Supply chain issues continue to affect golf courses

Supply chains and labor shortages have hit hard, and we do not expect this to improve in the short term. Coupled with more players joining the sport, clubs are going to find themselves squeezed in the middle. To overcome these challenges, golf courses should maintain the agility that served the industry so well during the past two years. Working with a procurement partner like Entegra, for example, can help operators plan for upcoming shortages, determine potential substitutions and make necessary pivots. Partners like Entegra can also help with temporary labor through our vendor-partner relationships.

2. Consumers seek more plant-based and sustainable options

Ask any clubhouse restaurant manager and they’ll likely say that comfort food is the top food category on the menu. Popular items include burgers, fries and chicken wings. However, the nature of comfort food is also shifting, with consumers becoming more concerned about the environmental impact of animal agriculture. We’re seeing increasing demand for plant-based alternatives, especially as the products improve to mimic their meat-based counterparts. Consumers are making more conscientious choices about where they spend their money and ensuring that their dollars lead to positive outcomes for the environment.

3. Locally-sourced, farm-to-fork options increase in popularity

Consumers are also more conscientious about where their food comes from. There’s an increased demand for locally sourced food, due to its impact on small businesses and the local economy. Procuring from local businesses can help diversify the supply base and overcome supply chain issues, as well as reduce the carbon impact of procuring and delivering those goods. Entegra has a wide range of Regional, Local and Direct suppliers that can fill this need; feel free to reach out if you’d like to learn more.

4. Guests expect a more digitized dining experience

We all got used to scanning QR codes for menus during COVID. But digitizing requires more than just uploading menus for guests to peruse on their phones. Digital menus on tablets could help elevate seasonal recommendations or chef’s specials and allow diners to order directly, which can be useful if there’s a shortage of servers and wait staff. When tied in with membership data, digital ordering experiences can also surface customized recommendations or offers to drive loyalty and usage and in turn, improve revenues for golf clubs.

5. Golf clubs need more agile ways to listen to user feedback

Golf clubs often send annual member satisfaction surveys to their members to seek feedback and ideas about how to improve. Yet, with how quickly consumer preferences are shifting, this annual exercise might not be enough. Offer new ways of soliciting real-time feedback, such as a tablet for guests to provide quick ratings or feedback near key exit points or at membership counters. It’s much better to get a consistent pulse versus seeing membership or usage decline without knowing why – or worse – having a customer complaint go viral on social media.

6. Insights and analytics become non-negotiable business tools

As costs continue to rise, it’s important to know where each dollar is going and the returns derived from each investment. Rather than manually updating spreadsheets, golf clubs can invest in business analytics to understand where costs can be optimized and profit margins improved. Entegra’s Purchasing IQ platform does just that, showing users savings opportunities by substituting certain ingredients or items. Other examples include food waste tracking software and devices that help kitchens track what is being thrown out and leveraging these insights for behavioral and operational improvements.

7. Investment in staff is key to retaining them

Like any service business, people are the foundation of a club’s success. As such, it’s important to invest in staff, ensure they remain motivated and provide opportunities for growth. For example, consider the culinary staff in a golf club’s restaurants. Chefs should be given the opportunity to try new menu offerings and exercise their creativity. This could create new business opportunities and build loyalty among the team as well.

Entegra support golf courses across Europe and have been working closely with our clients meet their procurement challenges and improve efficiency. To learn more about how we can support you and your business, feel free to reach out to us or learn more about how we serve our golf clients.

* compared to supplier list price

Note: This article was published for the first time on the personal LinkedIn account of David Hamilton, VP, Business Development Director for Entegra North America

 

May 18, 2022

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