Is Club Membership Dead?

After almost a decade of decline following the global financial downturn, golf club membership in the United States is stabilizing.[1]

It’s a similar story in England, where club membership grew modestly in 2018, according to official figures.[2]

But there’s a problem. The largest age group in English clubs is 65 years and over, reflecting an aged, retired demographic.

Despite a growth in off-course golf, including range experiences, and high levels of interest in taking up the sport, especially among younger age groups[3],  it would appear prospective customers are not being converted into golf club members.

So is the club membership model dying – or can clubs on both sides of the Atlantic evolve to answer the needs of today’s customers, including younger generations?

Syngenta Growing Golf visits an historic Royal club in England that is sweeping away tradition to reinvent itself – and talks to one of North America’s leading advisors on how clubs with a focus on customers and community can create a prosperous, sustainable future. 

[1] Sports & Leisure Research Group 2018
[2] England Golf Club Membership Questionnaire 2018
[3] NGF Golf Participation in the US 2019

Revolution at the Royal

Royal Norwich Golf Club in the East of England is a pretty, tree-lined course designed by the great James Braid.

It is not the sort of place you would expect to find a revolution brewing. But that’s precisely what is happening.

In September 2019, the flags will be removed from the greens for the last time and the clubhouse doors will be locked.

That’s because this 125-year-old establishment is to become the first Royal club in the world to relocate.

Concept illustration of the new clubhouse at Royal Norwich Golf Club

In so doing, it plans to discard the dusty rule book of golf club tradition and transform itself into a contemporary private club focused on leisure and hospitality, and a ‘community’ of customers, with families, females and millennials at its heart.

European Golf Design has created an 18-hole course and a 6-hole academy course

European Golf Design has created an 18-hole course and a 6-hole academy course

Leading the relocation – and a revolution in club culture – is General Manager and Director, Phil Grice.

“The business was unsustainable,” says Grice. “In line with England Golf figures, our membership had declined for 11 to 12 years back-to-back and it didn’t look like we were customer focused.”

Concept illustration of the new clubhouse at Royal Norwich Golf Club

The problem for Royal Norwich was that what was once a heathland course on the edge of the city had become a cramped, narrow layout surrounded by sprawl and split in two by a busy arterial road.

“The challenge of having an older clubhouse, with an older membership, an older mentality and an older golf course was leaving us cut adrift,” admits Grice.

The relocated club is putting a strong focus on families

The relocated club is putting a strong focus on families

So when the opportunity to sell the site for residential development and relocate out of town, completely redeveloping an existing course and clubhouse, the committee and members took the momentous decision to move.

Podcast: Listen to the full interview with Phil Grice from Royal Norwich Golf Club

Interview by Gary Firkins

Interview by Gary Firkins

Concept illustration of the new clubhouse at Royal Norwich Golf Club

Concept illustration of the new clubhouse at Royal Norwich Golf Club

Concept illustration of the new clubhouse at Royal Norwich Golf Club

Concept illustration of the new clubhouse at Royal Norwich Golf Club

Contemporary hospitality: courtyard concept for Royal Norwich Golf Club

Contemporary hospitality: courtyard concept for Royal Norwich Golf Club

But the relocation is far more than a chance to build a new course and clubhouse. What’s emerging is an entirely new club, with a bold people-centric vision and a clear strategic plan.

“We’ve taken a top down approach as to what we can do – and a bottom up approach as to what people actually want,” continues Grice.

Contemporary hospitality: courtyard concept for Royal Norwich Golf Club

“We’ve looked at the technological world, we’ve looked at the time-based world, we’ve looked at what youngsters and families want and what fits today, more so than telling them what we offer and hoping they want it.”

Grice and his colleagues consulted all the market research available and spoke to leading venues and clubs, learning from their experiences.

“We’ve taken a top down approach as to what we can do – and a bottom up approach as to what people actually want."
Phil Grice

“We are absolutely, fundamentally, one hundred per cent a private members club, but we believe we operate in a customer focused way,” he says.

“Our customer drinks wine, so we’ll have a wine room. They drink beer, so we’ll have a microbrewery. They eat bread so we are putting in a micro bakery. We are even putting in our own bee hives; food provenance is important.”

Royal Norwich Golf Club will boast its own microbrewery

Royal Norwich Golf Club will boast its own microbrewery

It doesn’t stop there. There will be bicycle and nature trails through the woods and an expansive hospitality service so that families can spend the whole day at the club.

Of course, there’s a new 18-hole golf course, designed by Ryder Cup course experts European Golf Design, plus a 6-hole academy course.

“It is trying to create a facility that is absolutely family centric; attracting more females, more female golfers, more families.”

Flexibility is also important, which is why a points based membership is being offered.

Having looked at clubs using this membership model, including the pioneering Golf At Goodwood, Grice strongly believes in it and sees it as the future of club membership.

“What we are finding is that the points based system is rapidly growing. We’ve taken on 250 new members in the last 18 months.

“Community is the fundamental pillar that we are building our business on."
Phil Grice

“We sell it as an investment and if you want play a lot you will pay a little bit more; if you don’t want to play a lot it doesn’t cost you as much. This is clearly appealing to younger golfers.”

The club will also produce honey from its own hives

The club will also produce honey from its own hives

Whether customers are all-inclusive or points based members, Grice says creating a sense of community is the real key to the success of a members club.

“Community is the fundamental pillar that we are building our business on. 

“You have got to create a community and a reason for people to want to be part of it. I am not convinced that golf on its own is enough,” he says.

Case Study: Credit Membership 

One club that has boldly transformed its membership offer is Golf At Goodwood on the south coast of England.

Golf At Goodwood's unique 'Woody' golf cars outside of the clubhouse

Golf At Goodwood's unique 'Woody' golf cars outside of the clubhouse

In 2006, the historic West Sussex estate ripped up the traditional club business model – along with increasingly irrelevant rules and precedents – and created a flexible, credit membership program.

Now, with 2,500 members and a waiting list, it’s clear that Goodwood’s strategic shift has hit a sweet spot with customers.

“We have a business model that works for today’s society.”
Stuart Gillett, General Manager, Golf At Goodwood

“We wanted to deliver golf in a very different way,” says Stuart Gillett, General Manager of Golf At Goodwood.

"We have a business model that works for today’s society. People know they have value for money. They will only pay for what they use. And for me, that is the key point.”

Video: Stuart Gillett reveals the secrets of Golf At Goodwood’s success

The Downs Course – One of two 18-hole courses at Golf At Goodwood

The Downs Course – One of two 18-hole courses at Golf At Goodwood

The Kennels: Golf At Goodwood’s clubhouse blends historic charm with contemporary style

The Kennels: Golf At Goodwood’s clubhouse blends historic charm with contemporary style

The Kennels: Golf At Goodwood’s clubhouse blends historic charm with contemporary style

The Kennels: Golf At Goodwood’s clubhouse blends historic charm with contemporary style

The Kennels: Golf At Goodwood’s clubhouse blends historic charm with contemporary style

The Kennels: Golf At Goodwood’s clubhouse blends historic charm with contemporary style

An evolving industry

The Kennels, Golf At Goodwood

The Kennels, Golf At Goodwood

So can clubs address the needs of today’s customers? Can they become communities?

Is a membership model even relevant to younger people, especially millennials?

One leading expert with a finger on the pulse of the private club industry is Henry DeLozier, Partner at specialized consulting and market intelligence firm Global Golf Advisors, based in North America.

Henry DeLozier, Partner at Global Golf Advisors

“I don’t believe that traditional club membership is dying as much as it is evolving,” says DeLozier.

“The fact of the matter is, what was considered traditional 20 or 30 years ago has changed. It’s just different. One can fight that, or one can embrace the evolutionary process and be a part of it.”

“I don’t believe that traditional club membership is dying as much as it is evolving”
Henry DeLozier

But how many clubs are willing to embrace that change? 

“Actually, many clubs have been quite agile when it comes to adapting their membership offering for upcoming generations,” DeLozier continues.

“However, there is still a large proportion that is stuck in the trap of thinking short-term, lacking the strategic vision that will ensure that their clubs remain relevant 10 or 20 years from now.”

Henry DeLozier, Partner at Global Golf Advisors

Henry DeLozier, Partner at Global Golf Advisors

An emotional value

Members’ commitment to their club is more emotional than transactional

Members’ commitment to their club is more emotional than transactional

According to DeLozier, clubs also need to look beyond the obvious and recognize the deeper purpose clubs offer members.

“There is something about clubs that is vital to understand,” he says, “Members’ commitment to their club is more emotional than transactional. 

“While many clubs worry about joining fees, in actual fact the key is whether or not the club fosters an emotional value to its members.

More than ever, members want their club to be a place for the whole family.

More than ever, members want their club to be a place for the whole family.

“Does it give a sense of belonging, a sense of gratification for the whole family, is it a safe haven? 

“The clubs that are prospering – and that’s about one third of clubs – are doing a very fine job of communicating that value proposition.

Members’ commitment to their club is more emotional than transactional

“The others struggle to establish that emotional value and to communicate its importance.”

Millennials: the new frontier

“Millennials” – those born from the early 1980s onwards and reaching adulthood early in the 21stcentury – might be the most talked about group in the golf industry today; and for good reason.

As this generation, the largest since the Baby Boomers, comes into its prime working and spending years, the golf industry needs to successfully engage this important cohort.

But do millennials want club membership? And if so, what do they want it to look like?

Social and dining experiences are increasingly important to millennials

Social and dining experiences are increasingly important to millennials

‘The Truth About Millennial Golfers’ (2018), a study by Global Golf Advisors and Nextgengolf that surveyed more than 1,200 millennial golfers in the United States, shines a light on the needs of tomorrow’s prospective club members.

“People that are joining now expect their clubs to be ‘more and better’ than perhaps clubs were in the past."
Henry DeLozier

Three-quarters said they would consider joining a private club in the future, with nearly half (48%) saying they intended to join within the next three to 10 years.

But what they want is not necessarily what most golf clubs offer today.

Millennials want additional amenities and opportunities to socialize, the research found, with fitness (71%), access for the entire family (65%), a pool (62%) and social events (57%) being the most important factors.

71% of millennials prioritise fitness facilities

71% of millennials prioritise fitness facilities

Henry DeLozier explains that the desire for a wider range of activities and amenities beyond golf has become a “universal truth”.

“Many of these amenities are for socialization, fitness and wellness,” says DeLozier.

“Those factors have changed substantially, and the clubs that are prospering have been alert to those changes and have made modifications accordingly.”

But the needs of millennials runs deeper than just lifestyle.

“People that are joining now expect their clubs to be ‘more and better’ than perhaps clubs were in the past,” DeLozier continues.

“The customer is expecting a more diverse club with different personalities, perspectives and backgrounds. There is a desire to see their club as a safe haven for their friends and loved ones.”

The fee factor

Millennials are drawn to flexible memberships and progressive payment plans

Millennials are drawn to flexible memberships and progressive payment plans

Cost is a significant consideration for millennials, with club entrance fees presenting a specific challenge.

The average entrance fee millennials in the US are willing to pay is $5,886, the research found.

However 43% of those surveyed said they would actually prefer to pay more annually, instead of an entrance fee.

“When clubs understand millennials and how to communicate the value of the club, there is opportunity.”
Henry DeLozier

Alternatively, a flexible membership with a low social fee allowing full access to the club but with pay-per-use golf access appeals. 

Henry DeLozier explains, “Millennials understand that membership has a price and most are willing to pay, but they may need a progressive payment plan in order to manage the joining fee.

Millennials are drawn to flexible memberships and progressive payment plans

“They are very discerning shoppers. They are not reluctant to pay, but they are reluctant to pay for things that offer them no value. 

“When clubs understand millennials and how to communicate the value of the club, there is opportunity.”

Case Study: Engaging Millennials 

Green Tree Country Club in Midland, Texas, made a strategic decision to engage millennials.

"If we're not appealling to the next generation, then it's a matter of time before we are not relevant any more."
Wray Crippin, COO at Green Tree Country Club

Changes to the dining experience, expansion of non-golf amenities and the development of a new short course has meant that while older demographics still account for the majority of the membership, the fastest growing segment at Green Tree is now millennials.

Podcast: Listen to the full interview with Wray Crippin of Green Tree Country Club

Interview by Michael Roberts

Interview by Michael Roberts

Green Tree hosts non-golf social events such as fireworks displays

Green Tree hosts non-golf social events such as fireworks displays

Millennials are the fastest growing segment at Green Tree

Millennials are the fastest growing segment at Green Tree

The future landscape

So what does the future look like for clubs? 

While the numbers indicate stabilization, Henry DeLozier’s message for the industry is one of hope, as well as a challenge to evolve.

The club membership model is far from dead, he says.

“I believe this is a very favorable time, a very favorable economy, for private clubs."
Henry DeLozier

“My advice to all club managers is to be alert. Stay current on changing trends, and evolving hopes and aspirations.

“I believe this is a very favorable time, a very favorable economy, for private clubs."

Back in the UK, Stuart Gillett at Golf At Goodwood agrees that clubs remain relevant to contemporary society – but only if they are focused on customers’ wants and needs.

Non-golf amenities are increasingly important to upcoming generations

“If you look at the growth of private members’ clubs in London, they’ve boomed over the last 10 years because people want somewhere to call home, they want the loyalty, they want to be in an environment in which they feel comfortable,” he says.

“Golf At Goodwood has succeeded because we have a more modern business model that works for today’s society and the demographic we are targeting.

“But I’m concerned there are a lot of clubs out there that have the same business model they had 30 or 40 years ago and haven’t evolved.”

The problem for many clubs, it would seem, is the word ‘golf’, and the unwavering belief that everything a club does should be focused on golf.

Non-golf amenities are increasingly important to upcoming generations

But it’s precisely this philosophy that Royal Norwich is planning to overturn. 

Revolution or evolution, as the club prepares to pack up and move to its new venue, complete with microbrewery, bakery and family hospitality, Phil Grice is seeing a whole new club emerging – and one which puts people at its heart.

“I’m not convinced golf on its own is enough,” he says. “The golf market has changed. You can pay a green fee to play virtually anywhere in the land – and that wasn’t the way 30 years ago.

Non-golf amenities are increasingly important to upcoming generations

“The golfer is more promiscuous.

“But if you give them a community and a country club feel, there’s more than just golf; there is hospitality, friendship, companionship and health.”

Grice pauses to look over the new Royal Norwich Golf Club site.

“We’re just ensuring the customer is getting exactly what they want.” 

Non-golf amenities are increasingly important to upcoming generations

Non-golf amenities are increasingly important to upcoming generations

Non-golf amenities are increasingly important to upcoming generations

Non-golf amenities are increasingly important to upcoming generations

Non-golf amenities are increasingly important to upcoming generations

Non-golf amenities are increasingly important to upcoming generations

Take Action

To get free access to Syngenta's golf market research reports, click here.

To download a presentation on ‘The Truth About Millennial Golfers’ by Global Golf Advisors and NextGen Golf, click here.

For more information and education relating to club management, visit:

United States: Club Management Association of America www.cmaa.org

Europe: Club Managers Association of Europe www.cmaeurope.org

UK: Golf Club Managers Association www.gcma.org.uk

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