Golf Digest - Golf 20/20

WOMEN: A MAJOR
CONTRIBUTOR TO GROWTH
Pam Swensen
Vice President, Sales and Marketing
EWGA
OBJECTIVES
• Retention
– Develop strategies to reach and maintain the attention,
dollars and interest of the six million women who
currently consider themselves “golfers”
• Attraction
– Develop concepts for new programs, research and
marketing to assist the industry to reach and capture
the attention of women who would like to become part
of the game
• Action
– Generate three or four specific action items for the
Executive Board to consider
WOMEN IN GOLF
Nancy Berkley
Review of Research
PRESENTATION OUTLINE
• Current Research
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Golf 20/20
NGF: Research and Publications
LU2G
Golf Digest - 2003 Releases
Women’s Golf Associations
• What We Know About
– Part I: The Customer
– Part 2: Providers of Products and Services
PART I: WHO IS THE
CUSTOMER?
THE BIG PICTURE
• Women represent 24% of golf “participants”
• Women represent 24% of “golfers”
• Women account for 21% of total golf spending
• Women spend average $750/year
Men spend average $874/year
• Women account for 18% of golf rounds
Source: Golf 20/20 2001 Segmentation Study
THE BIG PICTURE
Ages
30%
28%
25%
25%
23%
Women
Men
25%
23%
22%
• 51% of women
golfers are between
40 and 64
20%
17%
15%
• Women golfers
come to golf older
and later
15%
12%
10%
10%
• 63% of women
golfers are 40 or
older
5%
Source: Golf 20/20 2001
Segmentation Study
0%
Ages
18-29
Ages
30-39
Ages
40-49
Ages
50-59
Ages
65+
EMPLOYMENT & FAMILY
ISSUES FOR WOMEN
• 56% work full-time
• 16% work part-time
• 14% retired
• 12% unemployed
• 28% have kids at home
Source: Golf 20/20 2001 Segmentation Study
Working
N on-working
RETENTION RESEARCH
A. 52% of former women golfers say they quit
because they “didn’t have time”
B. 37% of former women golfers say they quit
because of “family obligations”
C. 25% say “had trouble finding someone to
play with”
D. Should we be asking why they stay rather
than why they quit?
HOW MANY?
Sizing the Market - Women Golfers - 18 and older
110.2 Million U.S. Women = Total Possible Market
6%
2%
20%*
72%
Golfers
Only Use Range or
Alternate Facility
Fans (non-participants
Non-participants;
Non-fans
* Estmate based on ESPN surveys - 32.5% women 12+ are golf fans
Source: Golf 20/20 2001 Segmentation Study
HOW MANY?
Sizing the Market - Women Golfers 18+
• Choices: Where should we put marketing
efforts?
• Understanding segments may drive decisions
• Lack of gender research on converting
fans and range users to “golfers”
• More research needed on women
“golfers” segments
GOLF 20/20 SEGMENTATION
STUDY
• Segmented marketing delivers products
and services to the most profitable
customers
• “Segment” = Set of potential customers
that are alike in the way they perceive and
value the product, in their patterns of
buying and in the way they use the product
GOLF 20/20 SEGMENTATION
STUDY
• Guidelines for Segmentation:
Segment must be
– Measurable and profitable
– Reachable thru existing communication/media
– Large enough to be profitable
– Willing and able to purchase
– Stable
SEGMENTING BY USAGE
Women Golfers 18+
24%
22%
54%
Occasional 1-7
Rounds/Year 3.3M
Core 8-24
Rounds/Year 1.5M
Avid 25+
Rounds/Year 1.4M
Average Rounds Played by ALL Women Golfers = 18 Rounds/Year
Source: Golf 20/20 2001 Segmentation Study
SEGMENTING BY USAGE
Women Golfers 18+
BUT, Medians by Segment Show Different Profile
Female %
Median
Male
Median
Occasional 1-7
2 (54%)
3 (45%)
Core 8-24
12 (24%)
12 (26.7%)
Avid 25+
45 (22%)
50 (26.3%)
• More than half of occasional women golfers play only
one or two rounds a year
• No research on movements between segments or
• Cost to acquire customer vs. retain customer?
SEGMENTING BY USAGE
Women Golfers 18+
OCCASIONAL PROFILE - 3.3M
• Young Age
– 50% below age 40
• Working
– 79% working full-time or part-time
• Poorly Skilled
– 35% score 120+
• Weak Commitment
– Only 6% say “very committed”
– 35% say “somewhat committed”
– 27% introduced to golf earlier than other segments
(by age 17)
Source: Golf 20/20 2001 Segmentation Study
SEGMENTING BY USAGE
Women Golfers 18+
CORE PROFILE - 1.5M
• Age
– 57% between 40 and 64
• Working
– 74% working full-time or part-time
• Average Skill
– 46% score 100-120
• Stronger Commitment
– 20% say “very committed”
– 51% say “somewhat committed”
Source: Golf 20/20 2001 Segmentation Study
SEGMENTING BY USAGE
Women Golfers Ages 18+
AVID PROFILE - 1.4M
• Older Age
– 67% over age 50
• Working Less
– 54% working full-time or part-time
– 34% retired
• More Skilled
– Similar to Core, but less score over 120 and more under 90
• Commitment
– 43% say “very committed”
– 46% say “somewhat committed”
Source: Golf 20/20 2001 Segmentation Study
PERCEPTION AND VALUE
• NGF 1994 Study “High Interest Women
Golfers”
• Profile similar to core and avid golfers
• Measured “Needs”, i.e. Value of leisure
activity and perception of golf to meet
those needs.
PERCEPTION AND VALUE
High Need and High Perception
• Lets me get outside in the fresh air
• Enables me to compete against myself
• Is always a challenge to keep up my concentration
• Puts me in touch with nature
• Rewards my practice and hard work
• Allows me to play just for fun
• Has very specific, well-thought-out rules
BUT, #1 Need “Helps Me to Relax” had low perception
• Study asked: Can we get these women, who are keen on
the competition and challenge of the game, to relax while on
a golf course?
WHAT DOES SHE WANT?
Two Golf Digest Research Studies to be
Released at 2003 PGA Expo
1. Comprehensive Women and Golf Study
Objective: To segment women’s market into distinct
“clusters” based on combination of consumer attitudes,
lifestyle, habits and demographics
2. Study of Women’s Process of Buying
Golf Equipment
SUMMARY - PART I
• Complex market
• Role of teacher and retailer important but
lack of quantitative research
• Choices: To market the consumer AND/OR
build and incent the delivery system
PART II: WHO PROVIDES
PRODUCTS AND SERVICES TO
WOMEN GOLFERS?
WHAT DO WE KNOW ABOUT
PROVIDERS?
Qualitative Research
•
Best Practices of Professionals “Women’s Golf Programs
That Work” NGF 1999
RESEARCH HIGHLIGHTS
• Build a relationship with customers
• Make golf fun
• Group lessons - even on course
• Graduated lessons
• Novice tournament formats
• Provide socialization opportunities
• Commitment needed from providers:
– Takes three years to build relationships and golfers
WHAT DO WE KNOW ABOUT
PROVIDERS?
Other Qualitative Research
• LU2G Research
– 67% of LU2G participants are women
• EWGA Research
• Manufacturers’ Research
RESEARCH FROM WOMEN’S
ASSOCIATION
Research from Sunriver Forum
Highlights from 1997, 1999, 2001
• Top management at a facility must be committed to
growing women’s golf
• Teaching must be fun and graduated
• Broader programs needed to raise golf awareness
– Legitimizing nine-hole programs
– Nationwide women’s golf participation program
– National brand image campaign
RESEARCH FROM WOMEN’S
ASSOCIATION
Research from Sunriver Forum (cont.)
– More “social” interaction programs such as
women’s day/night at range
– New national forum needed to coordinate
women’s golf resources and programs
OTHER RESEARCH
OPPORTUNITIES
• USGA “member’s organization” GHIN system
• Rally for a Cure - over 130,000 participants
• Association of Golf Merchandisers - 700
buyers (mostly women)
• EWGA - 16,000+ members
• PGA/LPGA Professionals
MICRO-VIEW
• Number of courses 2001= 15,709
• Number of women golfers/course = 394
• Segment by usage
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–
–
–
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Occasional = 211
Core = 95
Avid = 88
Area range users = ?
Area non-participants = ?
GROWTH SCENARIOS
• If we wanted 10 million women
golfers in 2010
• Requires 241 more women golfers per course
and/or more rounds and spending per golfer
• Next steps?