Tag: communications

5 Tips for “Yes” in Your Capital Call Communications

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People fear change when they don’t understand the reason for it. And when they don’t understand the reason, they resist it.

In our work related to capital investment communications, we find that the vast majority of private club members understand and accept that it is their duty to leave their club better than they found it, with the caveat that the investment they are being asked to make is reasonable and necessary.

While obtaining a positive vote for your upcoming assessment is not guaranteed, getting members to say yes to being assessed can be much more achievable by following these 5 guidelines:

1. Communicate the Need

One of the keys to achieving a positive assessment vote outcome is to clearly communicate the need for the proposed upgrades. Whether your irrigation system is past its useful life and now costs more to maintain than replace or your casual dining area cannot service the demand or still has 1980’s decor, it is important to educate members about the need for the upgrades as well as the benefits that members will receive from them.

2. Engage Members in the Process 

Gone are the days when new amenities being proposed were based on the desires of a board member or two. Today, board members and management teams have adopted a more strategic approach to determining investments needed to ensure their club’s continued success. Club leaders are apt to rely on member surveys and focus groups as the starting point to understanding the need and the desire for capital improvements. It is a good first step, but not the only one. The most effective club leaders prepare preliminary plans and drawings with the understanding that once members have a chance to review the information, there will likely be a need for changes. We encourage clubs to present the plans in multiple meetings with small groups of members. This allows the facilitator to engage each member to hear questions and comments. This method allows the facilitator to control the flow of the meeting and ensure that one or two members are not monopolizing the meeting. Once all meetings have been completed, a recap of the key takeaways should be shared with all members.

3. Don’t Rush the Process 

Typically, the reaction to the introduction of major capital improvements and the associated assessment will be quite mixed. At GGA, we typically find that 20% of members will fully embrace the upgrades and 20% will be adamantly opposed to the plan. The remaining 60% need time to process the information and become comfortable with the prospect of the changes to the club and their budgets. That’s why it is vital to allow time for members to process the information, become comfortable with the plan and consider how it will benefit them. If you rush to a vote, there is a good chance the level of support needed will not be achieved. But if you take the time to communicate how you are addressing member concerns, answer member questions, provide plan updates, then ask for support, you will have a much greater chance of getting to that “yes” vote.

4. Develop an Equitable Payment Plan

The most senior members at clubs are least receptive to paying a lump sum assessment, using the argument that they will be paying for something they will not be able to enjoy for long. To ensure the capital improvement payment plan is not the deterrent to support, many clubs have moved to a “pay as you go” program whereby a small portion of the total assessment is paid in a lump sum, but the remaining assessment amount is paid monthly or semi-annually over three to five years. Not only does this payment option make it more manageable for all members, it also shows that those who will be enjoying it for years to come will assume more of the burden of paying for the plan.  

5. Bring Members Along on the Journey

Just like you, members are overwhelmed by the sheer volume of information that bombards them every day, which means that your capital investment communications need to work harder than ever to break through the clutter. Efforts to keep members informed along the journey to improve their experience should carry a consistent theme, be repetitive and as short as possible.

A clear, consistent communications plan to educate and engage your members in the process of planning your capital improvements will ensure that fear is not the deciding factor of your club’s future.

Interested in learning about GGA’s Capital Call Communications services?

If you would like to learn more about how we can help your club execute a capital call, please contact us.

The Art of Influence – Executive Presence in the Boardroom

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What do people think when you walk into a room, open your mouth to speak, or engage with others? Are they excited for what is about to happen? How do they see you, and how do they experience you? What happens as a result of your presence?

Senior leaders are increasingly discussing Executive Presence – what it is and how to have more of it. No matter how you define it, it has much to do with how we influence others.  To be clear, Executive Prescence is not about how many followers you have on your social profiles but rather, how you connect, communicate, care, and impact others.

In his recent book, “The Gift of Influence”, Tommy Spaulding reveals how we can be more mindful and effective in wielding influence throughout a lifetime of connecting with others. He outlines research that suggests the average person will influence up to 80,000 people in their lifetime – about the size of a football stadium. He suggests that “If you commit to living a life of positive influence, you will never look at your personal and professional relationships the same way again.” “Leadership is not about influence. It is influence.”

Influence has everything to do with leading in the boardroom, the staff room, and beyond. Here are some considerations on how to elevate your presence, your influence and your life.

Trust – The Strongest Foundation

All relationships start and end with trust. Think about the best board relationship of your career or greatest team you have ever been a part of. What was the level of trust?

If you want to build trust with others, make sure you are trustworthy yourself as well as trusting of others. This doesn’t mean establishing blind trust without questioning. It means that we always have the intention of trust.

Years ago, author Stephen Covey likened trust to an emotional bank account. As with a real bank account, we want the balance to be at its highest. And so, it is true with a trust account. When the balance is high, the relationship is easy, more productive, and positive influence occurs. On the other hand, a low trust account breeds an environment of fear, a lack of engagement, negative influence and limited results.

Ensure you are making more deposits than withdrawals into your trust account with others: Be upfront. Be clear with your intentions. Do what you say you will do. Find the answers. Show you care. Acknowledge others.

Communication – A Main Ingredient

Most great influencers are extraordinary communicators. They understand that the words they say are powerful, and the way they say them is even more.  They get to the point – and they have one! Brevity and clarity are their style. They say what they mean and mean what they say. They speak with good intentions. They have the good of the other person and the organization in mind, not themselves. A great communicator uses the language of vision and possibility.

In the leadership development practice, we have a saying “Say Less. Ask More.” The best leaders exercise the skill of listening more and speaking less. They are curious. They don’t have all the answers and genuinely seek them out. They ask powerful questions that engage others, explore solutions, and bring about growth. The focus shifts to others, not themselves.

A positive influencer also knows how their body language and voice add to or detract from their impact. They are purposeful yet speak with integrity and authenticity. They read the room, they remain calm under pressure, and they connect and engage others. Their eye contact, facial expressions and gestures are appropriately warm and powerful at the same time. They influence.

Humility – If You Don’t Have It, Find It

No question, you need to be competent in your role, but do you need to be the smartest person in the room?

Positive influencers own their competence, yet never let their competence own them.

The most purposeful leaders have the gift of humility. They let the results speak. They always give credit where it is due. They show up as competent, kind, caring leaders, and they often get amazing results. Their reputation speaks for itself, without their own input. They are keenly self-aware and always learning and growing.

Are you aware of how you “land” with others? Do you speak the language of team or individual?   What message are you trying to send? Be acutely aware.

The great news about executive presence and influence is that they are learned skills. Start where you are. Dive in. Get feedback from those that you trust. Acquire some training or coaching. Change some habits and see how your positive influence soars – in the boardroom and beyond.

To have a discussion about how GGA’s Leadership Development and Coaching services can benefit your club, contact michael.gregory@ggapartners.com

Mid-Year Predictions for the Second Half of 2021

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At the start of the new year and in the spirit of planning, the thought leaders at GGA Partners sat down to predict what we believed to be coming throughout the year and shared our 2021 Predictions on the Shape of the Next Normal. Now, halfway through 2021 with the spring season in the books and summer underway, we reconvened GGA leaders for a mid-year check-in on predictions for the latter half of the year.

1. Ensuring fair and equitable access to amenities remains top of mind, especially on the golf course

A trending topic throughout the industry is golf’s demand surge and how long it will sustain, much has been written on this point and those who are closely watching rounds played metrics anticipate a clearer reading by the end of the summer.

Stephen Johnston, GGA’s founding partner, expects that private clubs will see the surge continue to elevate rounds played by members which will likely increase issues relating to compaction of tee traffic and accessibility.  He predicts the benchmark regarding average number of rounds per member to be higher by approximately 10% following the pandemic and also increased golf course utilization by members’ spouses and family members.  Both factors will create a greater demand for tee times at private clubs.

Johnston believes some clubs may need to consider permitting round play by fivesomes instead of foursomes, potentially catalyzing logistical challenges such as a greater need for single-rider power carts in order to maintain speed of play at the same rate as foursomes with all players using power carts. For club managers and course operators, this entails an increased need for current and detailed evaluation of the benefits of membership and the relationship between playing privileges and the practical ability to book a tee time and get on-course.

2. Effective demand management is key and will shift from agile, flexible approaches to new operating standards as demand stabilizes

During the pandemic and throughout 2020, many golf, club, and leisure businesses recognized the increased need to more accurately and routinely measure the utilization of amenities, adapting operations management to react quickly to change.

Craig Johnston, head of GGA’s transaction advisory practice, anticipates an evolution in this one-day-at-a-time, agile monitoring approach into a new and more formalized standard of operating procedures.  “At the start of 2021, we said we would see clubs provide flexibility and experiment with various operational changes,” he explained.  “With the pandemic feeling like it’s steadily moving toward the rear-view mirror, members will be expecting clubs to begin instituting the ‘new normal’ operations and the data compiled by clubs in the first half of the year will be critical to deciding on the new normal.”

Johnston believes that membership demand will continue to be strong through the second half of the year and that it is likely utilization will reduce marginally as members begin travelling again for work and social obligations.  Even with a marginal reduction in utilization, demand for private club services will remain strong and will continue to put pressure on capacity and access in most clubs.

Senior Partner Henry DeLozier encourages club and facility operators to embrace short-term continuations of high demand while keeping an eye on the future and the non-zero probability of a demand shift in the coming years.  “Clubs must create pathways to sustain demand while navigating utilization volume.  It is unwise to place hard or irreversible limitations on capacity while clubs are at historic maximums for demand and usage,” cautioned DeLozier. “Clubs will do well to establish a clear understanding of demand and utilization to enable innovative programs which serve to fill periods of low demand in the future.”

3. Ongoing uncertainty about the pandemic’s long-term impact on club finances will increase the review and reevaluation of club financial projections to ensure sustained budget flexibility

While data regarding utilization, participation, and engagement throughout the summer months continues to be captured and consolidated, business leaders should not delay their financial planning and instead get to work on reevaluating finances and updating their future forecasts.

“Now is the time to review, evaluate, and reset club debt levels,” emphasized Henry DeLozier. “Clubs need to recast financial projections based upon elevated joining/initiation fees arising from high demand.”

In support of alacrity in financial planning, DeLozier notes that labor shortages spurred by the pandemic will increase payroll-related costs at a material level. He also predicts that comprehensive risk review is needed at most clubs to evaluate possible impacts arising from cyber-crime and/or declining club revenues during 2022.

Beyond internal shake-ups in utilization or operations, club leaders should be anticipating external impacts that could impact their financial plans.  A hypothetical example raised by DeLozier is if the U.S. economy were to become more inflationary.  In such a circumstance he believes clubs would see an increase in the costs of labor and supplies which would necessitate increases in member dues and fees, a deceleration of new-member enrollments as consumer confidence dips, and a slight slow-down in housing demand.

Right now, uncertainty remains with respect to the virus as well as the resulting economic impact from the pandemic. From a financial standpoint, clubs will do well to advance their forward planning while retaining budget elasticity.  “It will be imperative for clubs and boards to build flexibility into their budgets and agility into their operations,” added Craig Johnston.

4. Existing governance practices, policies, and procedures will be revisited, refurbished, and reinvigorated

A litany of new ways of operating and governing the club arose as a result of the pandemic, some of which suggest an efficacy that can be sustained in a post-pandemic environment.  Essential to assimilating these adaptions into new standards of procedure is a review of existing governance practices and the documentation which supports them.

“At a time when boards can measure the full range of financial performance metrics, updating club governing documents is a primary board responsibility,” noted Henry DeLozier.  “Board room succession planning must be formalized to prepare clubs for the inevitable downturn from record high utilization.”

In considering the nearly overnight adoption of technology tools to enable remote meetings and board-level deliberations, partner Michael Gregory noted a substantial increase in the use of technology tools that go beyond virtual Zoom meetings.  “The pandemic has allowed clubs to test online voting,” he explained.  “For many clubs, once things return to normal, their bylaws won’t allow for the continued execution of online voting unless they make changes.”

“We have seen the adoption and implementation of online voting to be a huge success for the clubs who have tried it for the first time,” said Gregory. “Members love it, it’s easy, it’s convenient, it leads to higher participation from the membership, and many clubs are in the process of changing their governing documents to allow for online voting as a result.”  The challenges and opportunities of employing online voting are detailed in our piece on taking club elections digital, which features a downloadable resource that can be shared among club boards.

5. In human resources, expect to see deeper reevaluations of compensation structures and employee value propositions

Weighing in from across the pond, Rob Hill, partner and managing director of GGA’s EMEA office in Dublin, predicts that club leaders will face bigger challenges in human resources throughout the remainder of 2021.

The first of three particular items he called out is a reevaluation of compensation.  “Making decisions about employee pay is among the biggest challenges facing club leaders in the wake of the coronavirus shutdown,” stated Hill. “As they begin compensation planning for the rest of the year and into 2022, these leaders not only have to consider pay levels, but also the suitability of their mission and operating model to thrive in a post-pandemic world.”

Citing his recent experiences in the European market, Hill shared that club leaders are challenged with finding new ways to operate smarter and more efficiently, while also looking for innovative ways to implement sturdy, low-cost solutions that their employees will love.  Which leads to his second point, that there will be a renewed emphasis on what employees love and how clubs, as employers, can provide an enhanced value proposition for their employees.

“As employees get back to work onsite, employers are finding that what their people value from the employment relationship has changed,” Hill explained.  “Where pay has been viewed as largely transactional in the past, clubs may need to provide new types of benefits, especially programs that provide more flexibility, financial security, and empowerment to retain and motivate their people.”

Lastly, there is likely to be considerable movement of talent over the coming year brought on by employees’ new work-life ambitions and financial imperatives, said Hill, “As demand for their skills and experience grows, the very best talent will seek out employers that demonstrate they view employees not as costs but as assets and reflect this in their approach to compensation.”

Recalling our start-of-year prediction that the movement of people and relocation of companies will reshape markets, partner Craig Johnston added, “The relocation of people continues to be a prominent trend and one that is likely to continue in the second half of the year.”  For club employers, it’s not just the changing physical locations which impact the cost and supply of labor, but also the expectations of employees as they seek out competitive new roles and work experiences.

6. The repurposing and reimagining of club facilities, amenities, and member-use areas will continue

The pandemic pushed to the fore the need for clubs to adapt their facilities to match changes in the ways members use and enjoy their clubs.  A combination of practical evolutions for health and safety and circumstantial evolutions drawn from widespread ability for members to work remotely created increased desire for clubs to offer more casual outdoor dining options and spaces to enable members to conduct work while at the club.

Partner Stephen Johnston believes these sentiments will continue to near-term facility improvements at clubs.  “With more flexibility in the workplace and members working from home periodically, there will be a need at the club for members to do work or take calls before their tee time or their lunch date,” he said.  “It has been evident for some time that members generally prefer to enjoy outdoor dining and since, throughout the pandemic, it has become apparent that guests draw greater comfort in outdoor experiences, I see a greater demand for outside patio and food and beverage service.”

As society begins to reopen and communities begin to stabilize, time can only tell precisely how clubs will continue to evolve their operations, whether that be scaling back pandemic-relevant operations or doubling-down on new services and efficiencies.  Evident in our work with clients are significant efforts to reorganize club leaders, reevaluate operations, and retool plans for a successful future in the new normal.  Here are a few highlights of efforts clubs are making for the next normal:

 

  • Reinvigoration of governance processes and engagement of leaders to ensure alignment between boards and club strategic plans.
  • Renewed surveying of members to keep a pulse on how sentiments have changed from pre-pandemic, during pandemic, and currently as communities stabilize.
  • Enhanced adoption and application of electronic voting as clubs reevaluate membership structures, governing documents, and operating policies amidst “displaced” members.
  • Reconfiguring of budgets, capital plans, and long-range financial models.
  • Refinement and advancement of membership marketing strategies, tactics, and materials.
  • Tightening relationships between facility planning, capital improvements, and member communications campaigns.

Taking Club Elections Digital

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The pandemic has accelerated the need to move the ballot box for club elections from paper to the computer and this trend will continue in the coming years. GGA Partners online voting specialists Michael Gregory and Martin Tzankov explain the challenges and opportunities to consider when moving your elections to an electronic voting platform.

Private golf, business, and leisure clubs spend a great deal of time and money planning, executing and delivering the results of club elections, often with discouraging voter turnout.

Over the past two years, GGA Partners, in partnership with secure platform provider Simply Voting, has worked with many clients to move the ballot box for club elections from paper to the computer. As this trend grows in the coming years, our team of skilled specialists shares the challenges and opportunities available as your club considers moving to an online voting platform.

Simply Voting logo
A web-based online voting system that will help you manage your club’s elections easily and securely.

The Challenges

According to GGA manager Martin Tzankov, the biggest challenge is trying to retrofit new technology and process to existing bylaws. “Most bylaws were written before the introduction of online voting,” commented Tzankov. “Outdated bylaws cause complexities in the process, particularly regarding proxies. It is important to understand what you can and cannot do to ensure the election conforms to your club’s rules.”

Another challenge is the organization of member data including current contact information and eligibility.

“The ability for clubs to segment member data is complex and critical,” stated Michael Gregory, a partner at GGA. “Whether it is a current member whose dues are in arrears, or a new member who became eligible while the vote is taking place, clubs must ensure that only eligible votes are tallied in the final results.”

It’s a simple fact that humans make errors and there are times members who were against an issue will question the integrity of any vote. Online voting eliminates that challenge by providing the ability to audit the process from start to finish.

Mobile smartphone screen depicting digital survey with quote "The biggest opportunity for clubs that choose online voting is increased member participation in the process" - Martin Tzankov, GGA Manager

The Opportunities

“The biggest opportunity for clubs that choose online voting is increased member participation in the process,” said Tzankov. “Members use technology every day so casting their vote on their computer or mobile device, which often takes less than 5 minutes, is simple and easy. And while there will be some members who prefer paper, in our experience, the majority of members prefer the online option.”

Along with increasing the experience, participation, and satisfaction of members, online voting is a powerful tool to segment the results by age, membership category and other data sets. Data segmentation allows your club to identify and track trends across a wide spectrum of subjects, providing valuable insight for future planning.

The capability to deliver a consistent schedule of communications is another opportunity provided through the online voting platform. Rather than incur the expenses of printing and mailing information, your team can prepare and schedule a series of email communications to inform and remind electors of the voting period and then deliver the results in a timely fashion.

“Environmental sustainability is increasing as a factor to choose one club versus another,” added Gregory. “Clubs who implement online voting have the opportunity to send a clear message that they are taking steps to minimize their impact on the planet.”

Eliminate The Risk

Warren Buffet has been quoted as saying, “Risk comes from not knowing what you are doing.” There is great truth in that statement.

To understand the risks and rewards of online voting, we encourage you to have a conversation with specialists Michael Gregory or Martin Tzankov to gain the knowledge you need to ensure successful elections at your club.

Michael Gregory
Partner, GGA Partners
michael.gregory@ggapartners.com
416-524-0083

Martin Tzankov
Senior Manager, GGA Partners
martin.tzankov@ggapartners.com
905-475-4012

Download the info sheet

2021 Predictions on the Shape of the Next Normal

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When we were introduced to COVID-19 in March 2020, no one had any indication that ten months later the number of cases and its toll on society would continue to rise. The introduction of a vaccine is promising, but the road ahead remains filled with uncertainty as to when the next normal will arrive – and what shape that normal will adopt.

Since its inception, GGA Partners has traveled the globe working with private clubs, golf courses, investors, real estate developers, resorts, municipalities, and financial institutions. This has provided unique insight into the state of golf, private club, and leisure businesses from many different perspectives.

We have observed that even before the coronavirus pandemic, significant change was underway across the private club landscape. As we prepare for the “new normal” the thought leaders at GGA sat down to predict what they believe is coming in 2021 and beyond.

1. COVID-19 accelerates change already afoot in governance

According to Senior Partner Henry DeLozier, the change brought on by the pandemic is going to necessitate even more rapid change in governance, which GGA has seen clubs struggle with this past year.

“In corporate America, the concept of stakeholder capitalism was at the forefront in 2020 and that has transcended to the private club space,” commented DeLozier. “We’re hearing members across the private club spectrum questioning why they do not have a larger voice in their club and how board selections, as well as decisions, are being made.”

Private clubs that do not have current and effective governance will suffer from decreased member satisfaction and a constant churn of its membership base.

2. The capability to communicate effectively and efficiently will be key

Linda Dillenbeck, GGA’s director for the firm’s communications practice, stated that there continues to be a need to assist clubs in their efforts to communicate effectively and efficiently.

“It is basic human nature that people do not like change,” said Dillenbeck. “To minimize the disruption of pending changes, it is incumbent upon the management team and board of directors to clearly communicate the what, how, and why of their decisions then allow members to voice their opinions. This provides the level of two-way communication members are demanding.”

In addition to communications about club finances and capital improvements, clubs need to improve the use of the data they have collected to provide tailored communications to members. For example, notices about evolving restrictions on golf events should only be sent to those who play and those about activities for families with children don’t need to be sent to empty nesters.

Beyond member communications, clubs that will be successful in 2021 will be those which can retool and refine their external communications to ensure the message of what truly makes the club unique is presented clearly.

3. Greater work flexibility will impact club utilization in new and challenging ways

Report after report has trumpeted the tremendous increase in rounds played during the pandemic. According to GGA Director John Strawn, that is in large part due to work-from-home adaptations which are providing greater flexibility in how and when employees complete their daily tasks.

“People have more control over their work lives,” said Strawn. “Golf experienced fewer restrictions during the pandemic and that has brought out many new and fringe players leading to full tee sheets at both private and public golf courses.”

Full tee sheets are causing negative feedback from those who play more frequently as there is a belief that those not paying full dues are taking coveted tee times. To solve the problem, Strawn predicts clubs will need to revisit their strategies and ultimately their business models more frequently to ensure they are meeting this new and different demand effectively. Flexibility will be critical until the long-term impact on golf demand is better understood.

While clubs continue struggling to ensure fair and equitable access to the tee or courts while accommodating increased demand, Senior Associate Andrew Milne added that clubs should expect that best practice solutions may shift regarding reservations and tee sheet management to include lottery systems and Chelsea systems to ensure dissatisfaction among members is minimized. Understanding that new reservation management approaches may change the value proposition for members, a clear plan and message acknowledging this, and for measuring and adapting the approach as the future becomes clearer, will be important.

4. Clubs must better understand what women want from their club

According to the National Golf Foundation, while only one in five golfers are women, females represent a disproportionately higher percentage of beginners (31%).

Women ease into the game for a variety of reasons; to spend time with their family, to compete, to be outdoors, and to enjoy the support, community, and socialization. As these women age and consider joining a club, they will choose the clubs that shape programs, staff, activities, and offerings to blend the female competitive group with the group that is more interested in the social community.

“We’ve known for some time just how important the role of women and the family dynamic is regarding the decision on whether to join a private club,” commented GGA Director Murray Blair. “For clubs to succeed in 2021 and beyond, they will need to understand how women are impacting the decision-making process and implement the necessary adjustments to make them feel welcome, whether they play golf or not.”

5. Operational efficiencies gained during the pandemic will carry forward in 2021, and their challenges will too

Among the most remarkable takeaways from 2020 was the ability for clubs to adapt their operations and service offerings swiftly and effectively in the face of facility closures, variable human resource availability, and rapidly changing restrictions for public health and safety.

Contactless payments, varying tee time intervals, and pace dispersion tactics are pandemic-inspired efficiencies which GGA Associate Andrew Johnson predicts will continue.

Adding to the list, GGA Director Ben Hopkinson expects clubs will become more efficient at managing grab-and-go meals, take-out dining, and mobile ordering, following the best practices of companies like Uber Eats and DoorDash.

New ways of operating have also brought about new challenges, some of which will persist into 2021 and require even more new solutions to be generated at clubs and courses.

GGA Senior Associate Andrew Johnson expects that the increased costs associated with COVID-19 mandated protocols such as labor for sanitation and cleaning, as well as elevated maintenance expenses due to increased rounds, will remain through 2021.

Clubs that effectively determine what increased interest and golf participation means for facility accessibility, program creation, membership categories and associated privileges will find increased membership satisfaction and interest from new prospects.

6. The pandemic’s impact on club finances will remain uncertain, expect to see more measurement, flexibility, and experimentation

Despite successful adaptations in club operations and economic relief opportunities afforded by governments and municipalities, the full extent of the pandemic’s economic impact will remain varied across club types depending on business structures and market areas.

GGA Senior Manager Martin Tzankov, remains concerned about the financial position of many clubs and believes the brunt of the economic impact has yet to be seen.

“The reliance of clubs on dues increases and capital assessments has been particularly apparent this year and may have stretched the value proposition too far for some,” stated Tzankov.  “2021 will show the clubs where a clear and present value proposition is being presented to members, who in turn, will continue to pay the cost of belonging.”

GGA Partner Derek Johnston believes there are clubs that will be able to increase pricing and sustain the increases in the long-term and there are clubs that will overshoot the mark. Johnston expressed concern that some clubs may move joining fees too high, too fast; golf businesses may move their green fees too high, too fast; and some may move away from tee sheet management practices too quickly.

“Nobody knows what’s coming.  If clubs have experienced less attrition than in the past, it may be due to members being unwilling to give up their safe sanctuary, but when things begin to stabilize post-vaccine that may not persist,” he explained.  “I believe that a portion of the historical attrition hasn’t been abated, just held back.  There will be increased attrition over the next 12-24 months and there may not be the same demand there to replace those who leave, especially as other social and lifestyle pursuits become more widely available again.”

2021 will be a time for clubs to experiment.  A measured, flexible approach to joining fees and dues will be a prudent approach this year.

7. A club’s success will in part be driven by its sum of parts in 2021

Craig Johnston, a partner and head of GGA’s transaction advisory practice, emphasized that the success of clubs during and following the pandemic will in part be driven by its sum of parts. Johnston explained “A private club may include a fitness center, retail store, several restaurants, a golf course, and a marina. The pandemic has impacted the utilization and thus success of all those ‘parts’ differently, and therefore the overall success of the club will largely be dependent on the club’s product or shall we say parts mix.”

“Every club is going to be different depending on its type of business and the operations which comprise it, the extent and variability of pandemic-related changes means that comparatives are going to need to be refined,” continued Johnston.  “Clubs that understand and appreciate the challenges and successes of the various parts of their business will be in a better position to realign and optimize heading into the ‘new normal’.”

8. The movement of people and relocation of companies will reshape markets

Our news feeds have been full of stories about high-profile people and companies moving out of California into Texas, as well as the movement of bankers to Florida from New York. If looking at this as a trend, you might imagine seeing increased need and greater attrition among clubs in the California and New York markets and, conversely, excess demand for clubs in markets like Texas and Florida.

According to GGA Manager Alison Corner, it will be important for clubs to understand the movement of people – not just the movement away from major urban centers and into the suburbs, but also the movement of companies and the actual physical locations of corporations – because they may have drastic impacts to how certain club and leisure businesses perform over the next 5 – 10 years.

Clubs that are mindful of these relocation trends will help themselves to recognize and either seize new opportunities, or mitigate future risks.

What Are You Doing to Develop Future Leaders?

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One of the most important responsibilities for managers is developing the next generation of leaders and preparing them for the professional challenges they will face. The most obvious way to develop leadership qualities is simply to pay your knowledge forward by identifying the most important lessons you’ve learned — often the hard way — and passing them on to your team.

That responsibility starts with acknowledging that agronomic knowledge is simply table stakes. Knowing how to grow turf and keep it healthy is expected of anyone in the superintendent role, and most up-and-coming turf managers come to the job well prepared. GCSAA educational programs and the generous teaching of consulting specialists and suppliers go a long way in helping to lay this foundation. Certainly, the college of hard knocks provides its lessons as well.

But what lessons will you teach your assistants and crew members? And how can you help prepare them for their next opportunity to move into more responsible positions? In addition to making yourself available as a mentor, you can also broaden your own knowledge by paying attention to what your most respected peers consider their priorities. Here are suggestions from two of the best in the business.

Bill Cygan is the exceptional young superintendent at Silver Spring Country Club in Ridgefield, Connecticut. After graduating from the University of Massachusetts-Amherst, Bill spent six years as an assistant at Innis Arden Golf Club in Greenwich and another six years caring for the West Course at Winged Foot.

Build strong relationships and communicate often.

“This is not easy and doesn’t happen overnight, but the stronger your relationships are at the club, the smoother the ride will be, especially during times of adversity,” Bill says. “Relationship building should include department managers — especially the golf pro, controller and general manager — as well as certain key members of the club, including the green chairman and treasurer, who can be important allies.”

Trust your teammates.

In addition to the administrative leaders with whom a successful superintendent works, Bill adds, “Be sure to build a strong team responsible for the daily golf course maintenance operations.” The strength of the team is your strength.

Carlos Arraya, the assistant general manager at Bellerive Country Club in St. Louis, began his career as a golf course superintendent and over two decades has grown into a key leadership position at one of America’s finest clubs, having hosted the 100th PGA Championship in 2019. Carlos teaches several key points of focus:

Lead the way.

“Understand your leadership style and voice,” he says, adding that managers who favorably influence the next generation of leaders practice mindfulness, leaving their ego at the shop door, putting the interests and needs of their crew ahead of their own and recognizing a job well done. Further, he recommends continue evolving as a leader to best handle the needs of a changing workforce.

Be present.

Some managers are overly focused on the next job, but Carlos counsels: “Focus on being great in your current role.” One can never know too much; by the same token, one can never know everything, so don’t pretend that you do.

Hone your own character.

Superintendents and managers of all descriptions work in the proverbial glass house. The key to being effective at each level is understanding that one is setting an example for others up and down the organizational chart. “Know the difference between an excuse and a reason,” he says. “And don’t fall into the trap of professional jealousy.”

Rely on science.

“(Superintendents) are trained in the scientific method. But sometimes we overreact and are too quick to make a decision,” he says. Club and course managers can pressure superintendents, especially when times are tough, to have immediate answers. “Be deliberate, rely on the science.”

Developing young people into experienced and highly effective crew members, ones who will one day lead their own operations, is one of the most important jobs of any superintendent. And only when you lose some of your best people, when they move on to the top job at another club or course, you will know that you’ve been successful.

This article was authored by Henry DeLozier for Golf Course Industry magazine. 

What’s Next Rests in Your Hands

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Every superintendent’s hands tell a story. Tough as worn boot leather, marked with the scars of the trade, a superintendent’s hands are testament to long days and honest work that never seems to end. Their hands groom and maintain the course and grounds that are an owner’s most valuable asset while holding the employment and income stability for their crews.

By all accounts, a superintendent’s hands shape the future. That’s as true with the things that are visible — tee boxes, fairways and greens — as those that are not, namely the meticulous plans that support every aspect of an agronomic program. How do the best superintendents plan for the future? They start with three basics:

1. An overall plan for their work.

The overall plan for the care and upkeep of your course establishes the standards of excellence by which you should be measured. The agronomic plan describes your cultural practices for the basics and should include detailed descriptions of fertility, irrigation, labor, arboreal and the sub-plans that support each of those major pillars.

Plan so that you can make your agronomic plan an educational and informational guide that uses photographs and narrated video to keep your owner, board and greens committee well-informed. In addition to setting standards, your agronomic plan is a great opportunity for you to teach key stakeholders what they should expect of you and your team.

2. A comprehensive communications plan.

Once your agronomic plan — together with its supporting details and sub-plans — is established and approved, it’s time to implement your communications plan. Target all stakeholders — your team, the rest of the management staff and your golfers — to help everyone understand your plan of action. This is not a time to seek permission. This is the time to demonstrate your knowledge, experience and expertise.

Set a schedule for your messaging and meet it. Use multiple media to deliver the message — video, brief written descriptions and small-group field days, when you take members onto the course to demonstrate how your programs are being executed.

Some superintendents become victim to overpromising details and conditions that cannot be delivered. Be alert and carefully describe what you will accomplish. By the same token, do not understate the value of your efforts. This is no game for sandbaggers. Demonstrate your professionalism and capabilities with clear-cut descriptions of who you are, what your team goals are and how the goals will be successfully achieved. Show what features you will emphasize on the course and explain the benefits of each element of your strategy.

3. A self-improvement plan.

GCSAA provides countless opportunities for superintendents to stay current on science and technology and to learn about new trends. The most respected and rewarded superintendents also seek out opportunities — and a regimen — for self-improvement. Here are a handful of keys for improving your own capabilities:

  • Read more. Leaders in every field are readers who continually gather more information that bolsters insight and wisdom.
  • Get fit. The pressures that come with the job and the common inclination to treat oneself well when one feels overlooked or unappreciated combine to add weight, cholesterol and risk to your well-being. Get in shape and stay there.
  • Identify and address blind spots. What do you overlook or consider to be inconsequential? Which people or circumstances trigger frustrations during your day? The better you identify threats to your overall view of your world, the better you will navigate unexpected events.
  • Live with BHAGS. Set big, hairy, audacious goals for yourself and your crew. The bigger your dreams, the more fun it is when you make them real.
  • Avoid negative people. Their attitudes can be contagious and poison morale. Build your network around positive people who inspire you and bring out innovative thinking and your best work.

Superintendents hold in their hands the franchise value of their course. Describe your plan to make it even better. Communicate your plans clearly and honestly. And never stop making yourself an even more valuable professional.

This article was authored by Henry DeLozier for Golf Course Industry magazine. 

Leveraging Differences in the Boardroom

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GGA Partners Releases New Whitepaper on Private Club Governance as Part of Thought Leadership Series

‘Leveraging Differences in the Boardroom’ Now Available for Download

TORONTO, Ontario – International consulting firm GGA Partners has released Leveraging Differences in the Boardroom, the third in its new series of thought leadership whitepapers. This authoritative guide explores the benefits of clubs with diverse boards and suggests several steps to take when recruiting with diversity in mind.

Leveraging Differences in the Boardroom evaluates the consequences of unintentionally insular board composition and challenges the idea of “sameness” in the boardroom, which limits the ability of a board to effectively perform its duties and threatens a club’s health and longevity. The paper illustrates how multiple perspectives contribute to greater success in governance and argues for adjusting the profile of a club’s leadership to better serve members and prospects.

“We often see board members with similar professional, cultural, and ideological backgrounds and perspectives,” explained GGA Partner Henry DeLozier, one of several authors of the piece. “Boards that are neither representative of the membership nor reflective of their surrounding community risk losing the opportunity both to serve their current members and to attract new members.”

In addition, the whitepaper encourages that clubs intent on increasing diversity among their board take a holistic, multi-dimensional approach to its creation. “Forward-thinking boards understand that it is the breadth of perspective, not the mere inclusion of various diverse traits, that benefits the organization,” said DeLozier. “In addition to social diversity, professional and experiential diversity are also important in increasing the range of perspectives represented on the board.”

Board diversification is likely to be met with resistance from the status quo, which the paper aims to help club leaders overcome by providing tactics for building a diverse board, developing new board member criteria, and making a commitment to diversity.

In addition to governance, GGA Partners recently published new whitepapers on strategic planning and branding. The firm has announced that another in the series focused on innovation will be published through the third quarter of 2020.

Click here to download the whitepaper

 

About GGA Partners

GGA Partners™ is an international consulting firm and trusted advisor to many of the world’s most successful golf courses, private clubs, resorts, and residential communities. We are dedicated to helping owners, asset managers, club and community leaders, investors and real estate developers tackle challenges, achieve objectives, and maximize asset performance.

Established in 1992 as the KPMG Golf Industry Practice, our global team of experienced professionals leverage in-depth business intelligence and proprietary global data to deliver impactful strategic solutions and lasting success. For more information, please visit ggapartners.com.

Media Contact:

Bennett DeLozier
GGA Partners
602-614-2100
bennett.delozier@ggapartners.com

Speaking the New Language of Brands

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GGA Partners Releases New Whitepaper on Private Club Branding as Part of Thought Leadership Series

‘Speaking the New Language of Brands’ Now Available for Download

TORONTO, Ontario – International consulting firm GGA Partners has released Speaking the New Language of Brands, the second in its new series of thought leadership whitepapers.  This authoritative guide redefines a traditional brand value equation and illustrates how adding emotion and experience to a private club’s brand story will increase its value with members.

Speaking the New Language of Brands highlights ways iconic “mega-brands” mold, define, and advance their organizational identity toward the goal of influencing consumer purchasing decisions.  The paper evaluates a traditional outlook on the brand value equation and asserts a redefinition which paves the way to enhanced value perceptions among private club members.

“Traditionally, the key to building value in the eyes of the consumer has been demonstrated in a simple equation, where perceived value is equal to performance divided by price,” explained Henry DeLozier, one of several authors of the piece. “We believe there is a far more effective – and cost efficient – way to increase the value members place in your club and in your brand. It’s by introducing emotion and experience into the equation.”

In addition, the whitepaper argues that a successful branding program is based on the idea of “singularity” and should be designed with differentiation as the primary goal.  “Harkening to the days of the Old West, a branding program should differentiate your cow from all of the other cattle on the range,” said DeLozier.  In other words, creating in the mind of a member or prospective member the belief that there is no other club on the market quite like your club.

Building a brand is easier said than done.  For club managers not familiar with the brand development process, the whitepaper explains six essential steps for clubs to follow when constructing their brand and draws on examples from inside and outside the private club business.

In addition to branding, GGA Partners recently published a new strategic planning whitepaper and has confirmed that others in the series focused on governance and innovation will be published through the third quarter of 2020.

Click here to download the whitepaper

 

About GGA Partners

GGA Partners™ is an international consulting firm and trusted advisor to many of the world’s most successful golf courses, private clubs, resorts, and residential communities.  We are dedicated to helping owners, asset managers, club and community leaders, investors and real estate developers tackle challenges, achieve objectives, and maximize asset performance.

Established in 1992 as the KPMG Golf Industry Practice, our global team of experienced professionals leverage in-depth business intelligence and proprietary global data to deliver impactful strategic solutions and lasting success. For more information, please visit ggapartners.com.

Media Contact:

Bennett DeLozier
GGA Partners
602-614-2100
bennett.delozier@ggapartners.com

Dangers of Depersonalizing the Member Experience

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As new innovations continue to help streamline club operations, GGA Partner Henry DeLozier cautions against replacing staff with technology and removing what can be priceless interactions for members and guests alike.

Most clubs today are facing the dual challenges of rising labor costs along with ever-greater member expectations.

In our modern digital age, the obvious solution for many has been to systematize and automate services wherever possible across their operation.

But while this may be cost efficient, clubs must beware…the result is often the depersonalization of member services.

Remember, clubs share an emotional – not transactional – relationship with members. And both research and experience have shown us that the best member services are strictly personal.

For a club, to depersonalize is to chip away at the very foundation of your business.

Here are five tactics for personalizing services at your club:

1) Reserved or Reserved for…?

Recognize reserved tables with a reserved placard that displays the name of the member for whom the table is reserved. It’s a small touch which underscores that “we have been anticipating your arrival”. These little efforts add more to the member experience than you might think.

2) Monitor Club Communications for Engagement

Most clubs blindly issue email communications to members with little-or-no tracking to understand if the message was even received – let alone opened, read, or acted upon.

Follow up your club’s emails with calls to individual members who are not opening or engaging with club communications. Ask if the messages are being received (although your analytics will have revealed this already). This is a chance to learn what topics interest your members…and which topics don’t.

3) Personalize Your Club’s Communications

As suggested above, develop a personal communications profile for each member.
As with Facebook or LinkedIn, you can enable members to populate their own profiles (though some members who are not computer natives will need help with this).

This allows you to learn what topics interest each member, in what media they prefer to received messages, what days and times they want the messages to be delivered, and from whom at the club they wish to receive important information.

In essence, stop issuing “Dear Member” communications.

4) Meet with Members

Whether one-to-one or in small (fewer than four people at a time) member groups, meet to discuss the club and its various priorities. Ask members for their feedback, learn their priorities, and ensure that they know and understand the board’s strategic priorities too. This will make them feel included, valued and empowered.

5) Facilitate Member-to-Member Introductions

Most members are truly acquainted with very few of their fellow members, but clubs are more fun when people know more people.

There are several ways you can help this along, such as hosting multiple welcoming events for new members, enlisting your board, committees, and staff to become the “connectors” between members, and creating a digital (online) member directory to help members learn more about one another.

Using the member profiles described above, you can personalize the effort by connecting people with similar backgrounds – such as universities attended, hometowns, or places of employment.

Keep in mind that private clubs are a platform for socialization. An undeniable characteristic of successful clubs is the sense that “everyone knows one another”. Help your members get to know one another and, in so doing, make your club ever more relevant to the members.

Ultimately, the key is to treat your members as the valuable resource that they are. Keeping your services personalized will help them know that they are recognized, respected, and valued, and provide the strongest possible foundation for your club going forward.

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