Harper Lin
Golf's popularity has been on a downward trajectory for years, with fewer golfers, courses, and viewers. However, the COVID-19 pandemic and working from home seem to have sparked a resurgence in the sport. Golf equipment sales in 2020 totaled $2.81 billion, a 10.1% increase from 2019. The 2021 golf season also saw a 21.4% year-over-year increase in rounds played in January. This resurgence has also been attributed to the rise of entertainment golf venues like Topgolf, which offer a social experience with food, drinks, and competitive driving-range-themed games. While the future of traditional golf is uncertain, there is a growing push for normalization of indoor simulator-based golf.
| Characteristics | Values |
|---|---|
| Number of golfers in the US | 26 million golfers in 2016, down from almost 30 million in 2006 |
| Number of golf courses in the US | 15,372 courses in 2015, down from a peak of over 16,000 |
| Stigma associated with the game | Particularly in retirement communities, the idea of golfing daily is losing its appeal |
| Age of golfers | 75% of golfers are men over the age of 45 |
| Interest from younger generations | Low interest from millennials due to time, money, and other opportunities |
| Cost of playing golf | Cost is a significant barrier for millennials |
| Time commitment | Millennials value speed and efficiency, and golf is seen as time-consuming |
| Difficulty of the sport | Golf is hard to master, and many people don't want to spend thousands of hours practicing |
| COVID-19 impact | The pandemic led to a boom in golf with a 21.4% increase in rounds played in January 2021 compared to 2020 |
| Entertainment golf | Topgolf and similar companies have created social experiences that positively influence interest in traditional golf |
| Broadcasting | PGA Tour ratings are declining due to boring broadcasts and a lack of star power |
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What You'll Learn
Golf's popularity increased during the pandemic, but is it a fad?
While the COVID-19 pandemic may have been a boon for the sport of golf, it is unclear whether this boost in popularity will be sustained.
A boost for golf during the pandemic
The pandemic saw a surge in interest in golf, with reported rounds played in January 2021 up 21.4% year-over-year, and golf equipment sales in 2020 totaling $2.81 billion, a 10.1% increase from 2019. This trend may be attributed to several factors. Firstly, golf was likely seen as a safe outdoor activity during a time when indoor activities were restricted. Additionally, with many people working from home, there was increased flexibility to play during the week. The sport may have also benefited from increased media coverage and the availability of online guides, which made it more accessible to newcomers.
Structural issues within the sport
However, it is important to note that golf has been facing several structural issues that may hinder its ability to sustain this newfound popularity. One significant issue is the cost of playing golf, which includes the expense of equipment, membership fees, and the time commitment required to play a full round. These costs can be particularly prohibitive for younger generations, such as millennials, who have been hit hard by economic recessions and may prefer more affordable and less time-intensive sports.
Stigma and changing preferences
Golf also faces a stigma, particularly in retirement communities, where the idea of spending a significant portion of one's time on a golf course is losing its appeal. Older adults are seeking a wider range of activities that enhance their lives, and while they may still want to play golf, it is likely to be alongside other pursuits. Furthermore, the perception of golf as a slow-paced and exclusive sport has impacted its popularity among younger generations.
Efforts to sustain popularity
To address these challenges, there have been efforts to make the sport more accessible. For example, there is a push towards the normalization of indoor simulator-based golf, which can provide a more affordable and convenient option for players. Additionally, companies like Topgolf have created "entertainment golf" experiences that offer a social and competitive driving range experience, attracting non-golfers and positively influencing their interest in traditional golf. There is also discussion around rethinking the traditional 18-hole course, with some suggesting that 12-hole or 9-hole courses could help to reduce the time and cost commitments of the sport.
In conclusion, while golf's popularity increased during the pandemic, it is difficult to predict whether this trend will be sustained. The sport faces several structural and perceptual challenges that may hinder its ability to attract and retain a diverse range of players. However, with efforts to increase accessibility and a growing interest in alternative golf experiences, there is potential for golf to make a comeback.
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Millennials don't play golf due to time, money, and other factors
While golf is an excellent activity for the body and mind, it is facing a decline in popularity, especially among millennials. The number of golfers in the US is decreasing, with approximately 26 million golfers in 2016 compared to almost 30 million in 2006. The number of golf courses is also declining, with 15,372 courses in 2015, down from a peak of over 16,000.
One of the main reasons for this decline is the changing preferences and priorities of millennials. Here are some factors contributing to their lack of interest in golf:
Time
Time is a valuable resource for millennials, and the traditional 18-hole golf course can take up a significant portion of their day. Millennials value speed and efficiency, and spending more than four hours on a golf course, repeating the same gestures, may not align with their desire for dynamic and varied activities. Some golf courses do not allow walking, requiring the rental of a cart, which can add to the time commitment.
Money
Golf can be an expensive sport, with costs including equipment, course fees, and travel expenses. Millennials, having faced economic challenges such as the recession, often have limited budgets and may opt for more affordable activities like tennis or football. The high costs associated with golf courses and lessons can create a barrier for entry, especially when coupled with the significant time investment required.
Other Opportunities
Millennials are constantly exposed to digital distractions and have a wide range of alternative activities to choose from. They seek meaning and purpose in their lives and are attracted to opportunities that offer a sense of community and connection. Golf, with its traditional and individual nature, may not always appeal to millennials' desire for social interaction and diverse experiences.
Perception
The perception of golf among millennials also plays a role. The sport is often associated with older generations and retirement communities, and some millennials may not find it appealing from an image standpoint. Additionally, the lack of a party atmosphere, restrictions on music, and dress codes may contribute to a perception that golf is less exciting or accessible than other activities.
While golf faces challenges in attracting millennial players, there are efforts to make the sport more accessible and appealing to younger generations. These include proposals to reduce the number of holes in a standard round, the development of indoor simulator-based golf, and the creation of more pitch and putt/nine-hole courses.
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Country clubs are pricing themselves out of business
Country clubs are facing a challenging period, with the COVID-19 pandemic and the subsequent economic downturn impacting their businesses. While country clubs with golf courses saw an increase in interest during the pandemic due to their exclusive and socially distanced nature, the industry as a whole is facing a potential crisis.
The country club model relies on discretionary income, and in a recession, consumers may choose to cut back on club memberships. With annual price increases, country clubs risk pricing themselves out of the market, especially with younger generations like millennials, who are already deterred by the high costs of golf. Millennials, who are constantly online and have many digital distractions, seek out affordable and easily accessible activities that provide quick gratification. Golf, with its steep learning curve and time commitment, does not align with these preferences.
Country clubs need to adapt to attract and retain members, especially as golf's popularity continues to wane. The sport is struggling to attract younger players, with 75% of golfers being men over 45. The stigma associated with golf, particularly in retirement communities, is also contributing to its decline. The traditional country club experience may no longer appeal to modern consumers, who seek unique, modern, and family-oriented offerings.
To survive, country clubs must innovate and enhance their members' experiences. They need to understand their target market and differentiate themselves from the competition. By providing one-of-a-kind experiences, country clubs can remain relevant and thrive during economic downturns. However, if country clubs fail to adapt and continue to increase their prices, they risk pricing themselves out of business.
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Golf courses are being redeveloped for other uses
Golf is steadily losing players, and the number of golfers is declining. The number of golf courses in the US is also declining, with a decrease from over 16,000 to 15,372 courses in recent years. More than 800 golf courses have closed across the United States in the past decade, and millennials don't appear to be as interested in the sport as generations past. Shifts in work culture and the economy are partly responsible for this decline in popularity, as more people are working long hours and no longer have as much time or money to invest in golf.
As a result, golf courses are being abandoned and redeveloped for other uses. For example, a 136-acre golf and country club in Meadowbrook, which closed for construction in 2014, is being transformed into an 84-acre public park and a variety of residential spaces, including single-family homes, luxury apartments, and senior living units. In another instance, part of an abandoned golf course in New Orleans was converted into the city's biggest urban farm, focusing on engaging youth.
Urban golf courses, in particular, are used by only a small percentage of city residents but occupy a significant amount of valuable space and resources. Urban planners advocate for repurposing these areas into public green spaces and housing to better serve the community. For instance, in San Francisco, the Presidio Golf Course is situated on prime land within a national park. Combined with eight other courses in the city, these spaces could potentially alleviate the severe housing shortage and provide accessible recreational areas for residents.
However, redeveloping a golf course into public space and housing is challenging. It requires finding a buyer, securing funding, and often involves the complex process of rezoning the land. Despite these obstacles, there is a growing trend of golf course redevelopment, with over 120 courses in the US in active planning or under construction, and many more proposed.
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Golf broadcasts are boring and lack star power
Golf is facing an interesting conundrum. While the number of golfers and golf courses in the US is declining, the sport is not dying out. Forward-thinking golf courses and associations are considering changes to retain current golfers and attract new ones. One suggestion is to change golf courses and tournaments from 18 to 12 holes.
However, one of the main issues with golf is its lack of appeal to younger audiences. Millennials, for example, value speed and efficiency in their lives, and spending more than four hours on a golf course doing the same gesture over and over again is not particularly enticing. Golf is also expensive and time-consuming to learn, and other sports are much more affordable and accessible. Millennials are also constantly online and have many digital distractions, so they are less likely to commit to a single sport or location.
The lack of star power and interesting personalities among golfers is also contributing to the sport's decline in popularity. While Scottie Scheffler has had several victories, his reserved personality does not inspire or excite fans. Other golfers, such as Rory McIlroy, have been criticized for looking bored during broadcasts, which does not engage viewers. The conversation around purse size, paychecks, and contracts has also ticked off a large section of fans.
The excessive number and frequency of commercials during golf broadcasts have also been a significant turn-off for viewers, making it challenging to stay connected to the game. These factors contribute to the perception that golf broadcasts are boring and lack the star power needed to engage and attract a wider audience.
To address these issues, media companies and golf organizations are driving changes to increase viewership and revenue. For example, there is a push towards the "normalization" of indoor simulator-based golf, although the high costs of such setups are a barrier for many. Additionally, ESPN+ provides a quad-view feed for viewers who want to watch the PGA, allowing them to switch between different course feeds and enjoy improved commentary.
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