Wells
Martha M. Wells, PGA
Country Club of Ithaca 189 Pleasant Grove Road Ithaca, New York 14850 [email protected] Work number 607-257-0010 Fax number 607-257-0012 Cell number 607-591-3805 Central New York PGA Section A-1 PGA Classification
PART I. General Information Merchandise Concession Ownership 1A. I am the owner of the golf merchandise concession. 1D. I do not manage other facilities.
Member/Customer Base 1. 2. 3. 4. 5. 6. 7.
The golf season runs April 1 through October 31. The Country Club of Ithaca is an 18 hole facility. The total number of annual 18 hole rounds at Country Club of Ithaca is 9250. The total number of annual 18 hole member rounds at my facility is 8340. The total number of members is 290. The number of golfing member is 148. The percentage of annual tournament play/organized outing rounds is 8.6%. This figure does not include league play. 8. The Country Club of Ithaca does not host a PGA TOUR, PGA Championship, or US Open. 9. We do have a driving range/warm up facility. 10. I taught 210 lessons in the 2015 season. 11. My PGA Apprentice taught an additional 65 lessons.
Facility Fee Structure The Country Club of Ithaca has no Initiation Fee or Annual Fee, however the Monthly Dues range between $250 and $588 depending on membership level. The In-Season Weekend 18 hole Guest Fee is $50 and an 18 hole cart fee is $20. My lesson fee as the Head Golf Professional in 2015 was $55 for 45 minutes, as was my Assistant Professional’s. We are raising it to $60 for 2016.
Competitive Market For this section I defined competitive market as the Central New York Section. 1. There are 30 private facilities in our CNYPGA section, 23 of which employ PGA Professionals. However, I have 4 private clubs within a 45 mile radius of my facili which I feel are in direct competition. 2.
In the city of Ithaca, I have a Dick’s Sporting Goods within 1.5 miles of my facility. There are 9 golf discounters in the CNYPGA section, 8 of which are within a 45 minute radius.
Displays 1. My facility’s merchandise displays are changed on a weekly to daily basis, depending on any events that are taking place. 2. Annually, I spend approximately $250 to upgrade, or replace, displays and presentations. My shop had a major flood in January 2014, I was able to get all new fixtures with merchandising in mind.
Inventory 1. We have many different physical inventories taken throughout the year. Starting inventory in the Spring. Club inventory 6-7 times a season based on demo days, so I know exactly what I have on hand. I then provide the information to my demo day club technician. Golf ball inventory we take on a monthly basis, making sure our inventory levels are good for any major member or outside events we may be hosting. Clothing and shoe inventory is done three times a year—beginning of season, August, and the end of the season. 2. Approximately 20% of my business time is spent from the beginning of the merchandising cycle to the end of the cycle. This includes bill paying, checking in, product, pricing, and display.
Staff 1. I am the owner of my golf shop, so I alone manage and coordinate the merchandising concession. I have an Assistant PGA Professional that I am training to help with the merchandising concession. The golf shop staff is directly employed by the club, but they are under my management. I have one full time PGA Apprentice and two part time workers. Every member of my golf staff is involved in merchandising to some extent. Under my supervision, they are allowed to change displays as often as they like. They are always on the floor spacing hangers, folding clothing, and straightening the hard good section. 2. I hold one formal staff meeting at the beginning of the season. We communicate on a daily basis by group text. Since my staff is small, communication is necessary and accessible on a daily basis. I am in constant contact with my staff so they are aware of all goings on in the golf shop. 3. As the manager/owner of a small shop I am responsible for purchasing, receiving, displays, inventory control, and accounts payable. I am training my PGA Apprentice to know the procedures involved. I have turned over the re-gripping to her and through this she is learning the purchasing, receiving, and display techniques. As the head golf professional and business owner, I take care of the vendor account for the grips, she oversees every step leading up to that point. Since I am there every day, I help check in most shipments and train my staff to follow my direction. Lauren’s Grip Display
Hardgoods 1. Hardgoods sales represents 38% of my total merchandise sales. 2. I currently have five hardgood manufacturers represented in my golf shop. 3. On the average, I display 40 drivers in my golf shop, 45 fairway and utility woods, 12 irons sets, 24 putters, and 40 wedges in my shop.
Softgoods 1. Softgoods sales represents 31% of my total merchandise sales. 2. I have 10 softgoods companies presently represented in my shop. Men’s Shorts ___x____
Women’s Shorts/Skirts
__x___
Rainwear
Men’s Slacks
Women’s Slacks
__x___
Junior Clothing __x___
Sweatshirts ____
___x____
__x___
Swimwear
____
Men’s Sweaters ___x____
Women’s Sweaters
__x___
Belts
__x___
Blazers
Men’s Headwear ___x____
Women’s Headwear __x___
Coats
__x___
Tee Shirts
Men’s Shirts ___x____
Women’s Shirts/Blouses __x___
Ties
_____
Athletic Wear
____ ____ _x__
Footwear 1. Footwear sales represent 6% of my total merchandise sales. 2. The average number of shoe companies represented is 2-3 in my golf shop. 3. Spiked Golf Shoes____x____
Spikeless Golf Shoes __x_____
Dress Shoes____x____
Athletic Shoes________
Socks____x____
4. The average number of pairs of shoes on display in my shop is 20. I bring in single pairs of different colors to use for display. 5. I do have a sitting area for people to try on shoes. I have two leather chairs with shoe horns available.
Gloves 1. Gloves represent 2% of my total merchandise sales. 2. I have 2 companies represented in my golf shop—Footjoy and Callaway.
Golf Balls 1. Golf ball sales represent 12% of my total merchandise sales. 2. Customer crested golf balls represent 28% of my total golf ball sales. 3. I carry 3 golf ball companies in my shop—Titliest, Callaway, Bridgestone.
Golf Bags 1. Golf Bags represent 4% of my total merchandise sales. 2. There are 4 golf bag companies represented in my shop—Titleist, PING, Callaway, and Sun Mountain.
Cresting 1. The Country Club of Ithaca has a cresting/logo program. 2. 70% of my crested/logo merchandise sales have the Country Club of Ithaca crest, 20% have the manufacturers logo, 5% have a tournament/event logo, and 5% have special order custom cresting.
Golf Shows 1. On an annual basis, I attend the PGA Merchandise Show in Orlando, our Local PGA Fall Golf Expo Show, and local consumer shows, such as the New York State Golf and Travel Expo and the Syracuse Junior League Holiday Shoppes. I have attended the PGA Fall Expo in the past, but the timing does not work for our region of the country.
2015 New York State Golf and Travel Expo
Miscellaneous Merchandising 1. The Country Club of Ithaca does not provide an alteration program. 2. We do offer club fitting programs for golf clubs. The actual fitting systems in our shop are with Callaway and USKids, however I offer many demo/fitting days throughout the season with the aforementioned and other vendors. We also do fittings utilizing the vast amount of demo product we carry in the shop.
3. We do not manufacture custom clubs, but are able to outsource if anyone is looking for this service.
4. We do provide gift wrapping, especially around the holiday time. I also provide for the packages to be shipped if need be.
5. The shop sells gift certificates. 6. The total percent of merchandise sales via gift certificates is 14.6%. I have included shop credit won in weekly events and tournaments in this figure. 7. My membership provides shop credit/gift certificates for all of their club events. 5% of the tournament prizes are golf merchandise, 80% is gift certificates, and 15% is plaques or trophies. 8. The golf shop does not offer fashion shows. The staff is essentially my walking mannequin wearing fashions from my golf shop. 9. The golf shop does not have a direct promotional mailing program. In one sense, this is becoming obsolete in our progressive market. I utilize social media and our Constant Contact email to reach my customer base. 10. The shop accepts all major credit cards for purchases. 11. 27% of all shop sales are by credit card sales.
PART II. Financial Information Facility/Golf Shop Operation 2015 Sales 1. My 2015 Gross Merchandise sales were $141,826. The Country Club of Ithaca does not host a TOUR event. Gross Merchandise Sales related to corporate outings is $500-we host very few corporate outings. Gross sales related to corporate logo merchandise sales is $2920. Gross golf ball sales is $16708.96. 2. 3. 4. 5. 6. 7. 8.
Gross sales from logo golf balls is $4118. My total lesson revenue for 2015 was $9260.25. Total gross golf range revenue was $0 (included in membership). Total gross club repair revenue was $3780. Total of the above categories is $154866.25. My projected/budgeted 2016 gross merchandise sales is $150,000. My shop footage used for display of my merchandise is 700 square feet. I offer my membership something unique. I feel membership should have it’s benefits and one benefit I offer is 20% off all clothing sales in the shop throughout the year on any in-stock clothing. I also match all advertised prices on golf balls, shoes, clubs, and any other product that may be available at large box stores or internet stores. There is no initiation fee for this program—it is a member benefit.
9. Inventory levels (at cost) All the numbers listed above are figures from computer reports. The following numbers are based on my knowledge of my inventory, sales, and events. January $8476 February $8476 March $11.500 April $65000 May $72000 June $75000 July $62000 August $43000 September $28000 October $9500 November $9500 December $7910 My shop is open April 1 through October 31. I have it open for a weekend in December but did not include this month in my average monthly inventory calculation. Average monthly inventory is $50643 My peak monthly inventory is in June at $75000 10. Inventory turn rate 2015 year’s beginning inventory 2015 year’s purchases Subtotal 2015 ending inventory
$8476 $130203 $138679 $7910
COST OF GOODS SOLD
$130779
Turn Rate 2014
2.58
11. Approximate dollar amount of annual purchase discounts that I use from manufacturers is $3900. I must add that some of this incentive was added to the Retirement Plus program instead of an actual invoice discount.
PART III. Essay Questions Job History 1. The following is a list of work positions that I have held: Golf Shop Assistant, Drumlins GC, Syracuse, NY Summers of 1990-1991 Golf Shop Assistant, County Club of Ithaca, Ithaca, NY Summers of 1992-1993 Assistant Professional, Estes Park Golf Course, Estes Park, Colorado 1994-1995 Assistant Professional, The Phoenician, Scottsdale, AZ 1995-1997 First Assistant Professional, Desert Forest Golf Club, Carefree, AZ 1997-1999 First Assistant Professional, Phoenix Country Club, Phoenix, AZ 1999-2002 First Assistant Professional, Medicine Hat Golf and Country Club, Medicine Hat, Alberta, Canada 2002-2008 Head Golf Professional, Radisson Greens Golf Club, Baldswinsville, NY 2010-2011 Head Golf Professional, Country Club of Ithaca, Ithaca, NY 2012-present 2. I have held the Head Golf Professional title at two different facilities. From 2010-2011, I held the position at Radisson Greens Golf Club in Baldwinsville, NY. I had no assistant professional for those two years. I am heading into my 5th season at Country Club of Ithaca. I had a PGA Apprentice for the first three years that has continued his college education to become an engineer. During the same time, I also employed an Assistant Professional for four years that recently moved to Orlando, Florida and currently holds an Assistant Professional position at Isleworth Golf and Country Club in Windermere, Florida. My current PGA Apprentice is heading into her second season with me, and she is on par to finish her PGA schooling this year. 3. I am currently serving my 4th year on the Central New York PGA Board of Directors. During this time I served as the Education Committee co-chair through Fall of 2014. As co-chair of the Education Committee I helped organize and facilitate a Product Knowledge seminar of our Section in Spring 2014. I also attended the Central New York PGA Fall Merchandise Expo where section members met with sales reps. I attend the PGA Merchandise Show in Orlando every year as well. I understand this is outside of the time frame but it is important, because it is one of the reasons I chose to be a part of the PGA Ambassador program. At the 2013 PGA Magazine Ambassador Conference (December 2013), vendor sponsors of the Ambassador program were at Casa de Campo in the Dominican Republic, and each
vendor gave insight into their product and its benefits during the 4 day conference. I heard presentations from Bolle, GARB clothing, Ahead, and Fujikura shafts. 4. As a small business owner, I am careful about committing to associations that may not have my best interests in mind. It is not part of my current business model, but I am open to looking into options. Much of the information from AGM and similar merchandising associations is available online. 5. The following is a list in chronological order of the PGA Professionals I have been fortunate to train under: Joe Tesori (Drumlins Golf Club) Gord Richardson (Country Club of Ithaca) Mark Miller (Estes Park Golf Club) John Jackson (the Phoenician) Doug MacDonald (Desert Forest) Ralph Bernhisel (Phoenix Country Club) Wayne Mattson (Medicine Hat Golf and Country Club—Canadian PGA)
Facility/Golf Shop Operation 1. When I started here 5 years ago, my customer base was my membership. Since then I have greatly expanded that beyond the walls of my country club. I am fortunate in the fact I can have my shop open to non-members, so I got the word out by social media, word of mouth, and also being in off property Holiday Sales at the NYS fairgrounds in the winter and the NYS Golf and Travel Expo at the OnCenter in Syracuse, NY. My traffic has increased tremendously. My demo days are attended by many non-members and that attributes to almost 50% of my club sales on those days. I am constantly looking at different avenues to better my sales and clientele. I have begun research on a web page for my shop to target corporate sales, high school team sales, and other markets I am just scratching the surface on. Pictures from different years I had booth at Syracuse Junior League Holiday Shoppes
My gross sales have increased 8.7% since starting in 2012 and are projected to rise again this year based on a large increase on the tournament schedule for the club 2. The Country Club of Ithaca is a small, private club that hosts limited community events. My market is the diversity of Ithaca which is one of the most heterogeneous cities in the United States. My market is the diversity of Ithaca. We have two major colleges in the city (Cornell University and Ithaca College) so we cater to every population imaginable, primarily due to the international students and professors. There are many small private technology companies in Ithaca which tie in to Cornell. Ithaca is a very liberal and progressive area, accepting of all religions, races, and relationships.
Products and Services 1. I prefer to deal with companies that offer special programs and services. The following is a list of what I am currently taking advantage of: The current special programs: Callaway clubs—invoiced at 14% off Footjoy clothing—extra 30 days dating by getting my shipment in one week early Callaway clothing--$600 in free product, which I will use for my staff uniforms Antigua clothing—90 day dating instead of 30 day dating Golf Max—extra 10% if paid within 10 days Jack Jolly grips—5% off paying with credit card up front Maui Jim sunglasses—I can return at the end of the season Footjoy and Adidas shoes—I can return at end of the season Oxford belts—I can return at end of season I am also a PGA Ambassador member—this program allows me to take advantage of discounts with various vendors such as: Extra 5% off of invoice for San Soleil clothing DeVant towels—extra 5% off invoice Access to fantastic articles from the leaders in the business of merchandising and golf
2. One of the biggest service I would like to see is Acushnet Company take credit cards. As a small business, this would allow me to compete with larger competitors by having more cash flow available. Smaller shops should have more access to the fitting systems and special benefits afforded to the larger shops. Companies should consider loyalty, as well as volume. They often risk alienating smaller shops by giving better incentives to larger companies. I would like to see more personalized visits from my vendor territory reps. I see them at the end of season for placing orders for the following year and then some of which I may not see them again for a year when they expect me to place another annual order. Display tools and fixtures are always a plus. Companies should offer display options when orders are placed rather than the golf professional having to ask.
Displays 1. The following pictures are of my shop after the flood in 2014 right before re-opening. These allow you to see slat wall, square footage, counter space.
The following pictures show traffic patterns, display items used, and product
2. The Country Club of Ithaca is the home course for the Ithaca College Women’s Golf Team. I use banners and memorabilia from the school to showcase the team during the weeks leading up to their home invitational. Our membership really gets behind the team, so it is a nice way to showcase product as well as support the home team.
My displays also honor the tradition and rich past of the County Club of Ithaca by using antique silver trophies from years past, and pictures from decades ago of legendary golfers at the club.
I also keep current trophies rotating through the displays. When the time comes for a tournament that we have a trophy for, it is prominently displayed in a major traffic area of the golf shop.
My displays are changed based on events happening at the club or during the calendar year. At the holiday season, I have decorations used for both Christmas and Hanukkah, and the wrapping paper is a neutral winter theme.
Fourth of July is always displayed with red, white, and blue, various flags and bunting, in conjunction with sales off of red, white and blue clothing. I also use old clubs to hang product from—something very simple and inexpensive but definitely a conversation piece when people see it. Various golf books are on display throughout the shop—they range from a book on the history of the club to books that were written by our members. I also put the most recent golf periodicals in the sitting area. I base some of my displays on what is on the cover, such as who won on tour the previous week. 3. My clothing price structure is to keystone plus logo charge. Every other product is priced parallel to AP or in line with online golf stores or local box stores. I know that the internet has provided a major avenue for all golfers to get competitive prices. I build a loyal customer base by letting them know I match all prices on equal product but I provide the customer service if something should go wrong with the purchase. For apparel, I give the members an automatic 20% discount. Almost all of the men’s clothing has our club logo, and a portion of the women’s, so it is their way to showcase their club when they wear it
Golf Shop Staff
1. I do not have a formal merchandise commission for my staff, I believe this is not applicable in my case. I have never worked at a facility that has had a merchandise commission. I do, however, reward my staff for a job well done. This can be free golf balls if going to play in a tournament, free clubs for my Assistant Professional, buying dinner once a week for my staff on our late evenings. I also host an end of the season staff golf tournament, before they head back to school. After this event, I take them all to a local restaurant and buy them dinner. They look forward to this every year and I have staff members from the past that still ask to come back and play in it. 2. My staff does not directly work for me they work for the club. I do however provide them with 2 staff shirts per season for both front shop workers and back shop workers—I purchase one and they purchase the other at cost. They can purchase any clothing or merchandise in my shop at my cost. I feel they are my walking mannequins whether on property or out in the public. I know my payroll budget, I know they do not make much, so I know this is one avenue to reward them.
Merchandise Data 1. The 5 major hardgoods manufacturers currently utilized in my shop are:
The 5 major softgoods manufacturers currently in my shop are:
2. I will start with mentioning that 50% of my square footage is allotted to women. When I order women’s clothing, I only logo about 50% of my lines. I have a large female clientele from all over so I want them to feel comfortable wearing the clothing they buy at their respective clubs. Also, when my major women’s events are done for the season, which is mid-July, I put my women’s apparel in other golf shops to help the professionals that might not order much women’s clothing. This is a win-win—they get fresh product for their shop, and I move old product out. Almost 100% of my men’s clothing is has the facility logo—very rarely have I had a male looking for a piece of clothing without a logo. A few pieces of rainwear for men I have with just the manufacturers logo. The men have mentioned that they feel the facility logo adds value, and the manufacturers logo is just free advertising for the company.
3.
The special sales program I offer is for my members only. All apparel in my golf shop is keystoned plus logo charge (unless there is no logo). All hard goods are sold at MAP pricing. I then offer a 20% member discount on all apparel in the golf shop and match any listed price they find on hard goods. This allows me to provide a member benefit and build a loyal customer base. There is no fee for the 20% discount. It is strictly a benefit of membership at the Country Club of Ithaca.
4. I carry a vast amount of demo clubs. These are available for the members or their guests to take out and try on the range or on the golf course. I also let them go off property to any of my lesson clientele, many of which are from other facilities. I hold multiple demo days/fitting days throughout the season. Our space is limited so I can only have one vendor come at a time. Last year I had a total of 7 demo days. The demo days/fitting days are posted to the membership, but I also advertise via social media and emails. These outings are exceptionally busy for us and provide a great potential for sales.
5. The two most successful hardgood promotions in the past 12 months were: Callaway instant rebates—we tied them in with our demo days so golfers felt they were getting a special deal. It always adds extra incentive for people to buy. Titleist golf ball promotion in the spring—free personalization and buy3 get one free PROV1 and PROV1x. This kick starts my ordering for the season and provides a cash flow when it is greatly needed. I also advertise this on social media, as well as Constant Contact emails to my members.
6. The two most successful softgood promotions in the past 12 months were: For our Ladies Invitational, I stood on the tee box of our first hole wearing a current outfit from my golf shop. I had a list of every lady playing in the event. If the ball stayed in the fairway on their drive, they got a 40% off coupon for one piece of apparel in the golf shop that day. The women loved it, there was no cost to them for the contest, it allowed me to meet every participant in the field, and it turned into the biggest single day of sales in my shop. They ended up buying multiple items or outfits, so it created an instant upsell.
Another successful softgood promotion was a “draw for your discount” after a spring clinic. The discount was only on apparel. I would have the students shop, bring up their apparel for purchase, and then they draw a stick with a percentage off on it (anywhere from 20%-40%). The majority of the sticks were 20% with only two 40%. The women had a good time and knew they were getting a discount regardless. I have 64 women signed up for the clinic this year and I plan to do it again. (See attached sheet below)
Draw your DISCOUNT! Pick out your purchasewhen you get to the counter, you draw a discount of 20%, 25%, 30% or 40% off your clothing purchases!
7. The two most successful footwear promotions in the last 12 months were: For our Men’s Best Ball Invitational, which was our biggest event of the year, the tee gifts were NIKE shoes. An assistant rep came from NIKE and the players were allowed to pick between two different shoes. It was a huge success.
For our Women’s Invitational, I set a table prominently by registration outside the golf shop, and offer a discount on the shoes. I have a wide variety of styles and sizes, which many women do not have access to, so they really take advantage of the discount.
Merchandising Philosophy Merchandising and business as a whole in the golf business is based on customer service. Whether it’s working with the general market, my members, the vendors, or the liquidators, customer service is the corner stone of my business philosophy and this is evident in my merchandising. As a PGA Professional, my goal is to provide quality products and the newest trends to the members of the Country Club of Ithaca and my additional customer base, while training my staff to do follow the same philosophy. I choose my vendors carefully and work with those that reflect my concept of customer service. Such vendors will provide product knowledge information and training to myself and my staff, as well as resolving any issues in a timely fashion. I am always looking for ways to further expand my customer base and increase my sales. Nearly half of my golf shop is dedicated to women’s needs, which sets me apart in my competitive market. Additionally, keeping the shop displays looking fresh is key to my merchandising success. This is done by constantly rotating displays, varying lines year to year that I carry in the shop, dealing with vendors that accept returns at seasons end, and selling remaining inventory to liquidators at the end of the holiday season. I have to take into consideration that my golf shop will be closed November 1 through March 31, so reduced inventory is important. This approach affords me a fresh look when the spring season arrives. Honesty, integrity, and customer service are my trademarks, which have proven to be successful in my professional career.
Country Club of Ithaca 189 Pleasant Grove Road Ithaca, New York 14850 [email protected] Work number 607-257-0010 Fax number 607-257-0012 Cell number 607-591-3805 Central New York PGA Section A-1 PGA Classification
PART I. General Information Merchandise Concession Ownership 1A. I am the owner of the golf merchandise concession. 1D. I do not manage other facilities.
Member/Customer Base 1. 2. 3. 4. 5. 6. 7.
The golf season runs April 1 through October 31. The Country Club of Ithaca is an 18 hole facility. The total number of annual 18 hole rounds at Country Club of Ithaca is 9250. The total number of annual 18 hole member rounds at my facility is 8340. The total number of members is 290. The number of golfing member is 148. The percentage of annual tournament play/organized outing rounds is 8.6%. This figure does not include league play. 8. The Country Club of Ithaca does not host a PGA TOUR, PGA Championship, or US Open. 9. We do have a driving range/warm up facility. 10. I taught 210 lessons in the 2015 season. 11. My PGA Apprentice taught an additional 65 lessons.
Facility Fee Structure The Country Club of Ithaca has no Initiation Fee or Annual Fee, however the Monthly Dues range between $250 and $588 depending on membership level. The In-Season Weekend 18 hole Guest Fee is $50 and an 18 hole cart fee is $20. My lesson fee as the Head Golf Professional in 2015 was $55 for 45 minutes, as was my Assistant Professional’s. We are raising it to $60 for 2016.
Competitive Market For this section I defined competitive market as the Central New York Section. 1. There are 30 private facilities in our CNYPGA section, 23 of which employ PGA Professionals. However, I have 4 private clubs within a 45 mile radius of my facili which I feel are in direct competition. 2.
In the city of Ithaca, I have a Dick’s Sporting Goods within 1.5 miles of my facility. There are 9 golf discounters in the CNYPGA section, 8 of which are within a 45 minute radius.
Displays 1. My facility’s merchandise displays are changed on a weekly to daily basis, depending on any events that are taking place. 2. Annually, I spend approximately $250 to upgrade, or replace, displays and presentations. My shop had a major flood in January 2014, I was able to get all new fixtures with merchandising in mind.
Inventory 1. We have many different physical inventories taken throughout the year. Starting inventory in the Spring. Club inventory 6-7 times a season based on demo days, so I know exactly what I have on hand. I then provide the information to my demo day club technician. Golf ball inventory we take on a monthly basis, making sure our inventory levels are good for any major member or outside events we may be hosting. Clothing and shoe inventory is done three times a year—beginning of season, August, and the end of the season. 2. Approximately 20% of my business time is spent from the beginning of the merchandising cycle to the end of the cycle. This includes bill paying, checking in, product, pricing, and display.
Staff 1. I am the owner of my golf shop, so I alone manage and coordinate the merchandising concession. I have an Assistant PGA Professional that I am training to help with the merchandising concession. The golf shop staff is directly employed by the club, but they are under my management. I have one full time PGA Apprentice and two part time workers. Every member of my golf staff is involved in merchandising to some extent. Under my supervision, they are allowed to change displays as often as they like. They are always on the floor spacing hangers, folding clothing, and straightening the hard good section. 2. I hold one formal staff meeting at the beginning of the season. We communicate on a daily basis by group text. Since my staff is small, communication is necessary and accessible on a daily basis. I am in constant contact with my staff so they are aware of all goings on in the golf shop. 3. As the manager/owner of a small shop I am responsible for purchasing, receiving, displays, inventory control, and accounts payable. I am training my PGA Apprentice to know the procedures involved. I have turned over the re-gripping to her and through this she is learning the purchasing, receiving, and display techniques. As the head golf professional and business owner, I take care of the vendor account for the grips, she oversees every step leading up to that point. Since I am there every day, I help check in most shipments and train my staff to follow my direction. Lauren’s Grip Display
Hardgoods 1. Hardgoods sales represents 38% of my total merchandise sales. 2. I currently have five hardgood manufacturers represented in my golf shop. 3. On the average, I display 40 drivers in my golf shop, 45 fairway and utility woods, 12 irons sets, 24 putters, and 40 wedges in my shop.
Softgoods 1. Softgoods sales represents 31% of my total merchandise sales. 2. I have 10 softgoods companies presently represented in my shop. Men’s Shorts ___x____
Women’s Shorts/Skirts
__x___
Rainwear
Men’s Slacks
Women’s Slacks
__x___
Junior Clothing __x___
Sweatshirts ____
___x____
__x___
Swimwear
____
Men’s Sweaters ___x____
Women’s Sweaters
__x___
Belts
__x___
Blazers
Men’s Headwear ___x____
Women’s Headwear __x___
Coats
__x___
Tee Shirts
Men’s Shirts ___x____
Women’s Shirts/Blouses __x___
Ties
_____
Athletic Wear
____ ____ _x__
Footwear 1. Footwear sales represent 6% of my total merchandise sales. 2. The average number of shoe companies represented is 2-3 in my golf shop. 3. Spiked Golf Shoes____x____
Spikeless Golf Shoes __x_____
Dress Shoes____x____
Athletic Shoes________
Socks____x____
4. The average number of pairs of shoes on display in my shop is 20. I bring in single pairs of different colors to use for display. 5. I do have a sitting area for people to try on shoes. I have two leather chairs with shoe horns available.
Gloves 1. Gloves represent 2% of my total merchandise sales. 2. I have 2 companies represented in my golf shop—Footjoy and Callaway.
Golf Balls 1. Golf ball sales represent 12% of my total merchandise sales. 2. Customer crested golf balls represent 28% of my total golf ball sales. 3. I carry 3 golf ball companies in my shop—Titliest, Callaway, Bridgestone.
Golf Bags 1. Golf Bags represent 4% of my total merchandise sales. 2. There are 4 golf bag companies represented in my shop—Titleist, PING, Callaway, and Sun Mountain.
Cresting 1. The Country Club of Ithaca has a cresting/logo program. 2. 70% of my crested/logo merchandise sales have the Country Club of Ithaca crest, 20% have the manufacturers logo, 5% have a tournament/event logo, and 5% have special order custom cresting.
Golf Shows 1. On an annual basis, I attend the PGA Merchandise Show in Orlando, our Local PGA Fall Golf Expo Show, and local consumer shows, such as the New York State Golf and Travel Expo and the Syracuse Junior League Holiday Shoppes. I have attended the PGA Fall Expo in the past, but the timing does not work for our region of the country.
2015 New York State Golf and Travel Expo
Miscellaneous Merchandising 1. The Country Club of Ithaca does not provide an alteration program. 2. We do offer club fitting programs for golf clubs. The actual fitting systems in our shop are with Callaway and USKids, however I offer many demo/fitting days throughout the season with the aforementioned and other vendors. We also do fittings utilizing the vast amount of demo product we carry in the shop.
3. We do not manufacture custom clubs, but are able to outsource if anyone is looking for this service.
4. We do provide gift wrapping, especially around the holiday time. I also provide for the packages to be shipped if need be.
5. The shop sells gift certificates. 6. The total percent of merchandise sales via gift certificates is 14.6%. I have included shop credit won in weekly events and tournaments in this figure. 7. My membership provides shop credit/gift certificates for all of their club events. 5% of the tournament prizes are golf merchandise, 80% is gift certificates, and 15% is plaques or trophies. 8. The golf shop does not offer fashion shows. The staff is essentially my walking mannequin wearing fashions from my golf shop. 9. The golf shop does not have a direct promotional mailing program. In one sense, this is becoming obsolete in our progressive market. I utilize social media and our Constant Contact email to reach my customer base. 10. The shop accepts all major credit cards for purchases. 11. 27% of all shop sales are by credit card sales.
PART II. Financial Information Facility/Golf Shop Operation 2015 Sales 1. My 2015 Gross Merchandise sales were $141,826. The Country Club of Ithaca does not host a TOUR event. Gross Merchandise Sales related to corporate outings is $500-we host very few corporate outings. Gross sales related to corporate logo merchandise sales is $2920. Gross golf ball sales is $16708.96. 2. 3. 4. 5. 6. 7. 8.
Gross sales from logo golf balls is $4118. My total lesson revenue for 2015 was $9260.25. Total gross golf range revenue was $0 (included in membership). Total gross club repair revenue was $3780. Total of the above categories is $154866.25. My projected/budgeted 2016 gross merchandise sales is $150,000. My shop footage used for display of my merchandise is 700 square feet. I offer my membership something unique. I feel membership should have it’s benefits and one benefit I offer is 20% off all clothing sales in the shop throughout the year on any in-stock clothing. I also match all advertised prices on golf balls, shoes, clubs, and any other product that may be available at large box stores or internet stores. There is no initiation fee for this program—it is a member benefit.
9. Inventory levels (at cost) All the numbers listed above are figures from computer reports. The following numbers are based on my knowledge of my inventory, sales, and events. January $8476 February $8476 March $11.500 April $65000 May $72000 June $75000 July $62000 August $43000 September $28000 October $9500 November $9500 December $7910 My shop is open April 1 through October 31. I have it open for a weekend in December but did not include this month in my average monthly inventory calculation. Average monthly inventory is $50643 My peak monthly inventory is in June at $75000 10. Inventory turn rate 2015 year’s beginning inventory 2015 year’s purchases Subtotal 2015 ending inventory
$8476 $130203 $138679 $7910
COST OF GOODS SOLD
$130779
Turn Rate 2014
2.58
11. Approximate dollar amount of annual purchase discounts that I use from manufacturers is $3900. I must add that some of this incentive was added to the Retirement Plus program instead of an actual invoice discount.
PART III. Essay Questions Job History 1. The following is a list of work positions that I have held: Golf Shop Assistant, Drumlins GC, Syracuse, NY Summers of 1990-1991 Golf Shop Assistant, County Club of Ithaca, Ithaca, NY Summers of 1992-1993 Assistant Professional, Estes Park Golf Course, Estes Park, Colorado 1994-1995 Assistant Professional, The Phoenician, Scottsdale, AZ 1995-1997 First Assistant Professional, Desert Forest Golf Club, Carefree, AZ 1997-1999 First Assistant Professional, Phoenix Country Club, Phoenix, AZ 1999-2002 First Assistant Professional, Medicine Hat Golf and Country Club, Medicine Hat, Alberta, Canada 2002-2008 Head Golf Professional, Radisson Greens Golf Club, Baldswinsville, NY 2010-2011 Head Golf Professional, Country Club of Ithaca, Ithaca, NY 2012-present 2. I have held the Head Golf Professional title at two different facilities. From 2010-2011, I held the position at Radisson Greens Golf Club in Baldwinsville, NY. I had no assistant professional for those two years. I am heading into my 5th season at Country Club of Ithaca. I had a PGA Apprentice for the first three years that has continued his college education to become an engineer. During the same time, I also employed an Assistant Professional for four years that recently moved to Orlando, Florida and currently holds an Assistant Professional position at Isleworth Golf and Country Club in Windermere, Florida. My current PGA Apprentice is heading into her second season with me, and she is on par to finish her PGA schooling this year. 3. I am currently serving my 4th year on the Central New York PGA Board of Directors. During this time I served as the Education Committee co-chair through Fall of 2014. As co-chair of the Education Committee I helped organize and facilitate a Product Knowledge seminar of our Section in Spring 2014. I also attended the Central New York PGA Fall Merchandise Expo where section members met with sales reps. I attend the PGA Merchandise Show in Orlando every year as well. I understand this is outside of the time frame but it is important, because it is one of the reasons I chose to be a part of the PGA Ambassador program. At the 2013 PGA Magazine Ambassador Conference (December 2013), vendor sponsors of the Ambassador program were at Casa de Campo in the Dominican Republic, and each
vendor gave insight into their product and its benefits during the 4 day conference. I heard presentations from Bolle, GARB clothing, Ahead, and Fujikura shafts. 4. As a small business owner, I am careful about committing to associations that may not have my best interests in mind. It is not part of my current business model, but I am open to looking into options. Much of the information from AGM and similar merchandising associations is available online. 5. The following is a list in chronological order of the PGA Professionals I have been fortunate to train under: Joe Tesori (Drumlins Golf Club) Gord Richardson (Country Club of Ithaca) Mark Miller (Estes Park Golf Club) John Jackson (the Phoenician) Doug MacDonald (Desert Forest) Ralph Bernhisel (Phoenix Country Club) Wayne Mattson (Medicine Hat Golf and Country Club—Canadian PGA)
Facility/Golf Shop Operation 1. When I started here 5 years ago, my customer base was my membership. Since then I have greatly expanded that beyond the walls of my country club. I am fortunate in the fact I can have my shop open to non-members, so I got the word out by social media, word of mouth, and also being in off property Holiday Sales at the NYS fairgrounds in the winter and the NYS Golf and Travel Expo at the OnCenter in Syracuse, NY. My traffic has increased tremendously. My demo days are attended by many non-members and that attributes to almost 50% of my club sales on those days. I am constantly looking at different avenues to better my sales and clientele. I have begun research on a web page for my shop to target corporate sales, high school team sales, and other markets I am just scratching the surface on. Pictures from different years I had booth at Syracuse Junior League Holiday Shoppes
My gross sales have increased 8.7% since starting in 2012 and are projected to rise again this year based on a large increase on the tournament schedule for the club 2. The Country Club of Ithaca is a small, private club that hosts limited community events. My market is the diversity of Ithaca which is one of the most heterogeneous cities in the United States. My market is the diversity of Ithaca. We have two major colleges in the city (Cornell University and Ithaca College) so we cater to every population imaginable, primarily due to the international students and professors. There are many small private technology companies in Ithaca which tie in to Cornell. Ithaca is a very liberal and progressive area, accepting of all religions, races, and relationships.
Products and Services 1. I prefer to deal with companies that offer special programs and services. The following is a list of what I am currently taking advantage of: The current special programs: Callaway clubs—invoiced at 14% off Footjoy clothing—extra 30 days dating by getting my shipment in one week early Callaway clothing--$600 in free product, which I will use for my staff uniforms Antigua clothing—90 day dating instead of 30 day dating Golf Max—extra 10% if paid within 10 days Jack Jolly grips—5% off paying with credit card up front Maui Jim sunglasses—I can return at the end of the season Footjoy and Adidas shoes—I can return at end of the season Oxford belts—I can return at end of season I am also a PGA Ambassador member—this program allows me to take advantage of discounts with various vendors such as: Extra 5% off of invoice for San Soleil clothing DeVant towels—extra 5% off invoice Access to fantastic articles from the leaders in the business of merchandising and golf
2. One of the biggest service I would like to see is Acushnet Company take credit cards. As a small business, this would allow me to compete with larger competitors by having more cash flow available. Smaller shops should have more access to the fitting systems and special benefits afforded to the larger shops. Companies should consider loyalty, as well as volume. They often risk alienating smaller shops by giving better incentives to larger companies. I would like to see more personalized visits from my vendor territory reps. I see them at the end of season for placing orders for the following year and then some of which I may not see them again for a year when they expect me to place another annual order. Display tools and fixtures are always a plus. Companies should offer display options when orders are placed rather than the golf professional having to ask.
Displays 1. The following pictures are of my shop after the flood in 2014 right before re-opening. These allow you to see slat wall, square footage, counter space.
The following pictures show traffic patterns, display items used, and product
2. The Country Club of Ithaca is the home course for the Ithaca College Women’s Golf Team. I use banners and memorabilia from the school to showcase the team during the weeks leading up to their home invitational. Our membership really gets behind the team, so it is a nice way to showcase product as well as support the home team.
My displays also honor the tradition and rich past of the County Club of Ithaca by using antique silver trophies from years past, and pictures from decades ago of legendary golfers at the club.
I also keep current trophies rotating through the displays. When the time comes for a tournament that we have a trophy for, it is prominently displayed in a major traffic area of the golf shop.
My displays are changed based on events happening at the club or during the calendar year. At the holiday season, I have decorations used for both Christmas and Hanukkah, and the wrapping paper is a neutral winter theme.
Fourth of July is always displayed with red, white, and blue, various flags and bunting, in conjunction with sales off of red, white and blue clothing. I also use old clubs to hang product from—something very simple and inexpensive but definitely a conversation piece when people see it. Various golf books are on display throughout the shop—they range from a book on the history of the club to books that were written by our members. I also put the most recent golf periodicals in the sitting area. I base some of my displays on what is on the cover, such as who won on tour the previous week. 3. My clothing price structure is to keystone plus logo charge. Every other product is priced parallel to AP or in line with online golf stores or local box stores. I know that the internet has provided a major avenue for all golfers to get competitive prices. I build a loyal customer base by letting them know I match all prices on equal product but I provide the customer service if something should go wrong with the purchase. For apparel, I give the members an automatic 20% discount. Almost all of the men’s clothing has our club logo, and a portion of the women’s, so it is their way to showcase their club when they wear it
Golf Shop Staff
1. I do not have a formal merchandise commission for my staff, I believe this is not applicable in my case. I have never worked at a facility that has had a merchandise commission. I do, however, reward my staff for a job well done. This can be free golf balls if going to play in a tournament, free clubs for my Assistant Professional, buying dinner once a week for my staff on our late evenings. I also host an end of the season staff golf tournament, before they head back to school. After this event, I take them all to a local restaurant and buy them dinner. They look forward to this every year and I have staff members from the past that still ask to come back and play in it. 2. My staff does not directly work for me they work for the club. I do however provide them with 2 staff shirts per season for both front shop workers and back shop workers—I purchase one and they purchase the other at cost. They can purchase any clothing or merchandise in my shop at my cost. I feel they are my walking mannequins whether on property or out in the public. I know my payroll budget, I know they do not make much, so I know this is one avenue to reward them.
Merchandise Data 1. The 5 major hardgoods manufacturers currently utilized in my shop are:
The 5 major softgoods manufacturers currently in my shop are:
2. I will start with mentioning that 50% of my square footage is allotted to women. When I order women’s clothing, I only logo about 50% of my lines. I have a large female clientele from all over so I want them to feel comfortable wearing the clothing they buy at their respective clubs. Also, when my major women’s events are done for the season, which is mid-July, I put my women’s apparel in other golf shops to help the professionals that might not order much women’s clothing. This is a win-win—they get fresh product for their shop, and I move old product out. Almost 100% of my men’s clothing is has the facility logo—very rarely have I had a male looking for a piece of clothing without a logo. A few pieces of rainwear for men I have with just the manufacturers logo. The men have mentioned that they feel the facility logo adds value, and the manufacturers logo is just free advertising for the company.
3.
The special sales program I offer is for my members only. All apparel in my golf shop is keystoned plus logo charge (unless there is no logo). All hard goods are sold at MAP pricing. I then offer a 20% member discount on all apparel in the golf shop and match any listed price they find on hard goods. This allows me to provide a member benefit and build a loyal customer base. There is no fee for the 20% discount. It is strictly a benefit of membership at the Country Club of Ithaca.
4. I carry a vast amount of demo clubs. These are available for the members or their guests to take out and try on the range or on the golf course. I also let them go off property to any of my lesson clientele, many of which are from other facilities. I hold multiple demo days/fitting days throughout the season. Our space is limited so I can only have one vendor come at a time. Last year I had a total of 7 demo days. The demo days/fitting days are posted to the membership, but I also advertise via social media and emails. These outings are exceptionally busy for us and provide a great potential for sales.
5. The two most successful hardgood promotions in the past 12 months were: Callaway instant rebates—we tied them in with our demo days so golfers felt they were getting a special deal. It always adds extra incentive for people to buy. Titleist golf ball promotion in the spring—free personalization and buy3 get one free PROV1 and PROV1x. This kick starts my ordering for the season and provides a cash flow when it is greatly needed. I also advertise this on social media, as well as Constant Contact emails to my members.
6. The two most successful softgood promotions in the past 12 months were: For our Ladies Invitational, I stood on the tee box of our first hole wearing a current outfit from my golf shop. I had a list of every lady playing in the event. If the ball stayed in the fairway on their drive, they got a 40% off coupon for one piece of apparel in the golf shop that day. The women loved it, there was no cost to them for the contest, it allowed me to meet every participant in the field, and it turned into the biggest single day of sales in my shop. They ended up buying multiple items or outfits, so it created an instant upsell.
Another successful softgood promotion was a “draw for your discount” after a spring clinic. The discount was only on apparel. I would have the students shop, bring up their apparel for purchase, and then they draw a stick with a percentage off on it (anywhere from 20%-40%). The majority of the sticks were 20% with only two 40%. The women had a good time and knew they were getting a discount regardless. I have 64 women signed up for the clinic this year and I plan to do it again. (See attached sheet below)
Draw your DISCOUNT! Pick out your purchasewhen you get to the counter, you draw a discount of 20%, 25%, 30% or 40% off your clothing purchases!
7. The two most successful footwear promotions in the last 12 months were: For our Men’s Best Ball Invitational, which was our biggest event of the year, the tee gifts were NIKE shoes. An assistant rep came from NIKE and the players were allowed to pick between two different shoes. It was a huge success.
For our Women’s Invitational, I set a table prominently by registration outside the golf shop, and offer a discount on the shoes. I have a wide variety of styles and sizes, which many women do not have access to, so they really take advantage of the discount.
Merchandising Philosophy Merchandising and business as a whole in the golf business is based on customer service. Whether it’s working with the general market, my members, the vendors, or the liquidators, customer service is the corner stone of my business philosophy and this is evident in my merchandising. As a PGA Professional, my goal is to provide quality products and the newest trends to the members of the Country Club of Ithaca and my additional customer base, while training my staff to do follow the same philosophy. I choose my vendors carefully and work with those that reflect my concept of customer service. Such vendors will provide product knowledge information and training to myself and my staff, as well as resolving any issues in a timely fashion. I am always looking for ways to further expand my customer base and increase my sales. Nearly half of my golf shop is dedicated to women’s needs, which sets me apart in my competitive market. Additionally, keeping the shop displays looking fresh is key to my merchandising success. This is done by constantly rotating displays, varying lines year to year that I carry in the shop, dealing with vendors that accept returns at seasons end, and selling remaining inventory to liquidators at the end of the holiday season. I have to take into consideration that my golf shop will be closed November 1 through March 31, so reduced inventory is important. This approach affords me a fresh look when the spring season arrives. Honesty, integrity, and customer service are my trademarks, which have proven to be successful in my professional career.
