St Andrews is the marketing model to be copied, but Irish leader Ballybunion compares well
ST Andrews is not only the home of golf but also the home of golf marketing, if their freshly published accounts for 2005 are anything to go by.
The figures showed a record turnover exceeding £10 million sterling for the first time.
This compares to Ballybunion's income of just over 4 million in 2005, down more than 500,000 from 2004.
However this is neither a bad result nor a bad comparison for the Irish market leader . . . which operates just two courses . . . as visitor numbers have been falling at St Andrews too.
Their six courses have seen rounds played fall from 195,531 in 2001 to 188,981 in 2003 and down further to 176,248 last year.
The increased revenue is accounted for by higher game prices and buoyant sales in the various retail operations run in the clubhouse, at the first tee, and in a new store beside the 18th green, as 43.5% of the rounds were played by visitors or shoppers.
Last year's figures were down a bit due to the loss of playing time through hosting the British Open, but this was hugely offset by the fact that the event generated an income of £72 million sterling for the region with . . .
according to the organisers . . .
"£40 million worth of worldwide television exposure for the host country and £32.3 million of new money for the Scottish economy" coming from those attending the event and expenditure on organisation.
These are mouth-watering figures for the vast majority of Irish golf clubs, where something of a pinch is being felt with many complaining that they can't even get new members. Changed days from when waiting lists were the vogue and crawling in front of committees was the mode.
Back to St Andrews and Ballybunion though.
The golf courses at St Andrews are not owned by the Royal & Ancient Golf Club (organisers of the British Open) but by the local Links Trust on behalf of the citizens and the importance of golf tourism to the local economy as well as the need to provide golf for locals.
Also, the projected rise of the population in coming decades has prompted the building of a seventh course which is scheduled to open in 2008.
The St Andrews golf enterprise gave direct employment to an average of 232 people in 2005 and turned in a surplus of almost £1.3-million sterling, up from just £700,000 in 2004, and this, together with an interest-free loan of £1 million from the R&A, left their bank balance looking very healthy coming into 2006. A direct comparison between St Andrews and Ballybunion of golf income, memberships and green-fees combined is most intriguing meanwhile.
In 2005 the Scots reported £6,699,323 sterling while the Irish figure was 2,147,279.
The corresponding figures a few years ago were £5,581,769 for St Andrews in 2001 and 1,668,647 in Ballybunion in 2000.
That is a golf revenue rise of 20% in Scotland and of 28% in Ireland and that cannot be bad! Not bad, either, are the Ballybunion visitor numbers of 17,495 in 2005 comprising 9,591 Americans (55%), 5,348 Irish, of whom 3,299 were members' guests (30.5%), 906 British (5%) and 1650 others (9.5%).
|