Mrs. Straub
Ap Econ-Insight
April 25 2016
Is Golf a Dying Sport?
A game that’s been around for centuries seems to be dying. The game that promotes integrity, patience, and discipline is having a hard time recruiting new players. Golf has been a sport that in the last 10 years has been significantly declining. Many courses are closing and even prestigious clubs are having to open to the public just to stay alive. There are many reasons why golf isn’t the perfect sport for the 21st century American, the time and the money just to mention few. Although the numbers in retail and annual play are down, don’t say golf is dead yet it has been around for about 500 years.
Overall the demand to play golf has been going down. Because of this the amount of profits the golf courses are making are going down. The demand in the game of golf in recent years has been based on one golfer. The rise and fall of Tiger Woods and his dominance on the PGA Tour has a correlation between the amount of interest in the game (Greenfeld). As you can see on the chart the highest demand for golf was in 2005, Tiger’s peak. Tiger not only drew more interest to the game he also inspired thousands of young players to play the game. Not only has Tiger’s impact stayed in the United States, it has expanded to hundreds of other countries in their pursuit of the game. Without one of its most important influencers playing his best golf is going to need to find someone new who can push the game forward. 
Another area of the golf industry that is struggling is the golf retail business. Large companies have had to lay off workers or file for bankruptcy because consumers don’t have the interest in the game. In addition to the lack of interest the overall price level on many of the things in golf is very high. Many golf companies launch new and improved products each year which raises the price of these products (Germano). Golf retail stores like Dick’s Sporting Goods are cutting the space that golf holds in their stores and using the space for other revenue producing products. 
Although there are the negatives when it comes to playing golf such as the time and monetary commitments players must devote to the game technology is on golf’s side. One of the latest advances in the game has been TopGolf. TopGolf is the combination of a restaurant, bar, and driving range all in one. Best of all each golf ball is programed with a microchip and can be tracked to the multiple targets in the hitting area. Players can compete with each other in a fun and competitive setting. Some believe that TopGolf is the game's new Tiger Woods and will regenerate the demand for the game (Greenfeld). Another important fact to notice is that 54% of TopGolf’s customers are between the ages of 18 & 34. TopGolf has been able to draw the younger client into the game something only Tiger was able to do. 
Overall the status of the game will depend on how this generation of millennials accepts the game. The new advances in technology and an improving economy should help the game of golf in the short run but whether it will last unknown. Companies like TopGolf and others making the game more fun aren’t letting the game of golf die. The game is in a slump right now, but it will recover well and adapt to this new technology with improved technology offered on the course drawing more demand and interest to the game. Golf isn’t dead just yet.
Works Cited
Germano, Sara. "A Game of Golf? Not for Many Millennials." WSJ. Dow Jones & Company, 1 Aug. 2014. Web. 25 Apr. 2016.
Gray, Robert D. "Topgolf's Appeal to Millennials Catches Sport's Eye." SportsBusiness Journal. American City Business Journals, 27 Apr. 2015. Web. 25 Apr. 2016.
Greenfeld, Karl Taro. "The Death of Golf." Men's Journal. Men's Journal, 2016. Web. 25 Apr. 2016.
Nice article! I always thought golf was a very popular sport. It seemed you needed to set up your tee time well in advance to get a opening. Unfortunately, it is a seasonal sport and also at the mercy of the weather. I know that it is considered a "business sport", as many business transactions take place on the green. It is also nice that it is an individual sport and can be done by yourself or as a group.
ReplyDeleteUnfortunately, the overhead must be quite costly to build and maintain a golf course.
Since golf is a seasonal sport, there are only a few months that the sport can be played in the Midwest. This leaves a small time frame where golfers use new clothing or clubs for the season. On the other hand, in the south many golfers can play the sport year round. This would increase the demand of the clothing and other accessories throughout the year. Although the increase in technology could benefit the game of golf, it also serves as a threat because with other technological advances there will be more activities to do in free time. This could further decrease the demand, especially where income levels are lower or where the weather conditions do not permit for long seasons. If golf did decrease in popularity even more, many people working at golf courses or retail stores will be fractionally unemployed while looking for another job.
ReplyDelete*will experience frictional unemployment
DeleteVery nice article. It seems like golf is a very popular sport even though I'm personally not really about it. But it is definitely a business oriented sport considering a ton of deals and transactions happen on golf course. Even though it is a very seasonal sport it still is very big in the world today.
ReplyDeleteUnfortunately, golf is just one of those things many people nowadays can't seem to get into. Equipment is pricey, and games are long. As more and more people are having issues just generating enough income to stay alive, they don't have the excess funds or time to play golf. Whether or not golf survives largely depends on the economic situation of the general population.
ReplyDeleteAlthough Tiger has now been cast into the shadow of golf and as a result the amount of people even paying attention to golf has gone down but I think you forgot to mention a few key names in this. Speith brings all the hype to the game along with Fowler and other young budding stars. These golfers along with the rise of Top Golfs super complex are slowly reviving the game of golf. Overall nice article.
ReplyDeleteGood article overall, it's very unfortunate that golf isn't really a sport that a lot of people are into. Personally I don't engage in the sport but it's a lot of fun to be involved in. Golf might be a sport to die down because of the fact that not many young people are as into it as older people or as much as people are into basketball and football.
ReplyDeleteSince golf can only be played during certain seasons in the Midwest, this would mean the equipment and apparel could only be used during these time periods which would hinder the demand of golf in these areas. However, in the south many golfers can play the sport year round. This would increase the demand of the apparel and equipment throughout the year. Although the increase in technology could benefit the game of golf, it also serves as a threat because with other technological advances there will be more activities to do in free time. This could further decrease the demand for golf, especially where income levels are lower or where the weather conditions do not permit for long seasons. I believe if golf were to make a comeback or decrease the rate of declining would be make golfing cheaper, if you want to play at an average course, 9 holes could cost around $18, people aren’t gonna want to play something that is so costly. In addition, you talked about the interest of golf being at a peak while Tiger was dominant, it is hard to say now but one that could replace Tiger could be Jordan Spieth, who always seems to be in striking distance in winning a major.
ReplyDeleteI think you made some really good points about ow the demand of golf is fluctuating especially with what you said towards the end with top golf. I think that if top golf continues to take off that other companies will also create businesses similar to this if top golf can demonstrate that they are profitable. Overall I think that it is a disappointment that the demand of golf is declining but by no means do I think it is going to die in the near future.
ReplyDeleteIt is unfortunate that the great game of golf seems as if it is dying. I for one have never been able to get into the game because I find it long, boring, and tedious. However, I do know several people that are very into the game and it would be a shame to see it end. I do believe that Top Golf has the potential to possibly recover the game of golf, but not for too long. Perhaps if new technology keeps on coming along to make such things, it can continue. I do not see golf as a sport that will last for to much longer. Overall, I thought this was a good read.
ReplyDeleteI am going to be frank. Golf needs two things to grow: asians and really good instructions.
ReplyDelete