Consolidation

Competition could not be greater. Pioneering a new brand or growing an existing brand is tougher today than ever before. Fewer and larger golf manufacturers, each having well recognized consumer brands, large consumer advertising budgets, PGA Staff programs, and Tour endorsements are putting greater pressure on medium-sized competitors. Market share gains can ONLY come at the expense of competitors or through product extensions across a vast array of product. These larger equipment companies are not only selling their core lines, they are rapidly line-extending into apparel, footwear, and accessories.

Fewer distribution points means greater risk. Off-course retail is consolidating rapidly. Fewer off-course retailers with bigger store footprints among the survivors mean more power in fewer hands. Every manufacturer, large and small must fight to protect margins and hold onto square footage.

To prosper, companies must maintain the crucial relationships that can connect them to the avid-core, avid-spending golfer and protect a critical channel in golf: the green grass market. They must learn how to stand out without overspending, defend their positions with their best retailers and to grow new accounts.