Category: Business

Golf is big business. The most recent figures shows that the golf economy comes to more than $60 billion. Compare that the movie industry’s $57 billion. That’s bigger than the Gross Domestic Product of Peru, Romania, Ukraine or Morocco. How big has golf become? In 1958, Arnold Palmer was the PGA Tour money leader, with $42,000 in winnings. In 2005, Vijay Singh won a little over a million in just two tournaments. This section is devoted to the business of golf.

Scandium To Replace Titanium

Element 21 Golf says that Scandium is the new wave of golf club materials, replacing Titanium. Scandium, the 21st element on the periodic table (thus, Element 21), has a weight to strength ratio that is 25% better than titanium, 50% better than graphite and 70% better than steel. Its used in the Russian space and missile program.

I can’t put my finger on it, but I am sure that a few years ago, I had a clubhead that claimed to use materials from the Russian ICBM missile program. Maybe someone out there also had one and can drop a comment on what it was.

At any rate, Element 21 is trying to pull off what has to be the greatest publicity stunt in the history of golf: they’re going to have someone drive a ball using their club off the International Space Station, and into orbit, for the longest drive in history.

The original scandium products were shafts, but the company now has branched out into clubheads. Interestingly, the company thinks that, unlike titanium, it holds the exclusive rights to clubs made from the material.

More here.

February 2, 2006 |  Category: BusinessClub MakingEquipment
Posted By The Original Golf Blogger

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Buick Invitational Ratings Up 146%

Tiger’s power to draw television audiences was evident Sunday, as the Buick Invitational recorded a 5.9 rating and 12 share—up 146% over last year’s ABC coverage.

The coverage peaked between 7 p.m. and 7:15 p.m., as the playoff neared conclusion, with a 9.4/15.

January 30, 2006 |  Category: BusinessPGA TourTiger WoodsTournaments
Posted By The Original Golf Blogger

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Time Acquires Golf dot Com

Time, Inc. has bought the website Golf dot Com.

Golf Magazine publisher Chris Wightman will run Golf.com, while Golf.Com’s Michael Lazerow will become general manager of Golf.com and GolfOnline.

Time, or course, also owns Golf Magazine, GolfOnline, Sports Illustrated’s Golf Plus, and SI.com. It apparently views Golf dot Com as a spoke around the hub of its vast golfing web empire.

I’m a free market guy—my liberal Ann Arbor friends say I’m a raging conservative—but I wonder if all of this consolidation is good for the golf fan. Golf Magazine now is a wholly owned subsidiary of the PGA Tour. And the rest of the major golf media is controlled by the bloated and flatulent Time, Inc. (As you can tell, I’m no fan of Time, Inc. But then, what do you expect from a conservative?)

So where do you go to find an alternate point of view?

To the Golf Bloggers, of course! I’m in the process of setting up a page of RSS feeds where you can see the headlines of what my fellow Golf Bloggers are talking about.

For the major media, you can also turn to the BBC. Or the Scotsman. Or Fox Sports. I’m working on headline feeds for these, too.

 

January 24, 2006 |  Category: Business
Posted By The Original Golf Blogger

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Nike CEO Perez Quits Over Differences With Founder Knight

Nike CEO William Perez has resigned over differences with company founder Philip Knight. He will be replaced by Mark Parker, who developed the Nike Air shoe and has also been in charge of Nike’s footwear and apparel business.

No word on how this will affect Nike’s golf business—if there is any effect at all.

January 23, 2006 |  Category: Business
Posted By The Original Golf Blogger

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Tour Negotiations Tougher Than We Thought

Larry Bohannan (one of my favorite golf writers) writes in the Desert Sun that PGA Tour negotiations are much tougher than thought.

ABC was reported to be out of the negotiations last week. Bohannan says that the USA Network also has bowed out, and that ESPN is having second thoughts.

Bohannan says:

That leaves Finchem and the tour negotiating with NBC and CBS as networks, without ABC as a bargaining chip. And if ESPN is gone, the tour loses more leverage in talks with The Golf Channel, OLN and perhaps TNT for the cable rights to some events.

This is also going to have an effect on sponsors for tournaments. It may be harder to get big name sponsors if the tournaments are relegated to second tier cable networks like OLN.

The PGA Tour may just have to get used to the idea that—like most of us—the future is going to mean less money, not more.

January 8, 2006 |  Category: BusinessPGA Tour
Posted By The Original Golf Blogger

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Helping Pro Shops Fight Back Against the Big Box Stores

Golf Business magazine has an article with advice aimed at helping on course pro shops fight back against the big box retailers. While I’m sure that there aren’t many of my readers who run a pro shop, its an interesting window into the business end of golf.

January 5, 2006 |  Category: Business
Posted By The Original Golf Blogger

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Buick, PGA of America Part Ways

Buick apparently has decided not to renew its sponsorship of the PGA of America’s “Scramble” National Championships.”

No word on a new sponsor.

I have no info on this one, but I wouldn’t be surprised to see it sponsored by a cell phone company. How about the “Sprint Scramble?” Nice alliteration.

January 4, 2006 |  Category: Business
Posted By The Original Golf Blogger

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