Browsing Mikes Space ArticlesVIEW ALL

Golf operators can learn a lot from McDonalds

POSTED ON October 26, 2017 @ 8:00 am

I hate to say it, “golf operators can learn a lot from McDonalds.”

McDonalds is famous for the term ‘Supersize Me’ and the great promotional product ‘Happy Meal’ which your kids insist you buy for them. You can take the same simple business strategies and implement them at your golf facility under the headings of ‘Up selling’ and ‘Bundling’ which could have a tremendous boost to your bottom-line.

‘Up selling’ usually refers to an attempt to get the guest to buy something additional that they were not planning on buying, such as a bag of crisps, bag of tees, or a sleeve of balls.

‘Bundling’ on the other hand refers to the inclusion of additional components with a green fee, such as lunch or merchandise, for a special promotional rate – e.g. $40 for green fee, cart fee and a sandwich. These terms are normally treated as separate strategies, but the paradigm for both these terms shifts if you consider them both as a part of a single process i.e. “Bundling and Up selling.”

The best way to get players to spend more money while they are at your course is to offer ancillary products at a price that has a value to them, either perceived or real.

Instructions:

After reviewing the “Action Steps” to implementing this strategy, enter the name of the person who will be assigned ‘Ownership’ of each step and ‘By When’ it will be completed.  It is very important to delegate appropriately and set realistic dates for completion. When you are done, print this template, sign and date it, and give a copy to each person listed under ownership. Now you have all agreed to hold each other accountable. You should also discuss progress at your regular weekly managers meeting.

Up selling and Bundling Implemetation

Action Steps Ownership By When
1.   Review past tee sheets to identify soft times to be targeted with Bundled Specials.
2.   Review your rate structure and decide on what to bundle into a package that guests would perceive as a value.
3.   Create the appropriate tracking mechanism for the packages that are sold. This is very important!
4.   Set a commission plan or incentive structure for your front-line team.
5.   Meet with your team to explain the program, their roles and the ownership they need to take to make this strategy work, how to ring it in, and what the incentive or contest will be.
6.   Observe employees as they begin up-selling and provide feedback on their technique. Decide each week on what the item to be up-sold will be.
7.   Review results daily and provide feedback – either praise or make adjustments.

 

Without question this is an employee-driven initiative.  They need coaching and focus to ask every guest if they would like the special and be properly rewarded and recognised when they are successful. When training your employees, be sure to demonstrate how they are doing the guest a service by offering the bundled opportunity.

McDonalds receives a lot more ‘no’ than ‘yes’ answers but the ‘yes’ adds up to millions of dollars every year. For instance, if your course is doing 40,000 rounds per year and you simply up-sell a $2 bag of tees to every player (receiving a 20% ‘YES’ rate), this would equate to $16,000 in added revenue.

How are you communicating with your various target markets – including the local market of potential customers and your existing customers? We can help by suggesting ways to improve your communication methods  Click here to contact Mike Orloff

Comments are closed.


CLICK HERE TO Sign Up for the GIC Newsletter for all the latest Industry News.

Please enter your details:

I am interested in:

  • News
  • Operations
  • Marketing
  • Recruitment / Jobs
  • Grow the Game
Golf Industry Central Grow the Game Central Golf Recruitment Central Golf Operations Central

Golf Industry Central back as media partner for Golf Manager...

               Following the successful 2015-16 campaign sponsoring the...

SAVE THE DATE! – Golf Managers Association of New Zeal...

SAVE THE DATE! The President and Board of...

Reconstruction underway at Scone Golf Course...

In May of 2017 the Upper Hunter Shire...

Jeff Graham bids Goonawarra Golf Club farewell after 10 years...

After over a decade at the club, Jeff Graham has announced his departure from Goonawarra GC in Victoria after being appointed the...

Magenta Shores Golf Club commit to Academy golf program...

The Central Coast Academy of Sport (CCAS) has announced that Magenta Shores Golf and Country Club have aligned their support to a...

SEEKING: Receptionist – Royal Sydney Golf Club...

Reception If you are looking for a permanent part-time role with the opportunity to develop your skillset and work in a positive...

SEEKING: Sales Representative – Sporte Leisure Pty Ltd...

Would you like to join Australia’s leading Golf Apparel Company? Sporte Leisure has long been recognised as Australia’s leading wholesale golf apparel...

Tiger Woods dethroned as top career prize money winner in sports...

Tiger Woods’s long layoff from the game has finally taken its toll, at least in terms of his ranking...

Sponsorship Chief Morgan Leaves HSBC...

Giles Morgan, one of the most important men in golf because of the amount of sponsorship money he directed...

Myotha Golf Club to be completed in December...

The construction of the Myotha National Golf Club in Mandalay-Myotha industrial park will be completed in December, the club’s managing...

Record Turnout at AGIF Malaysian Turfgrass Management Seminar...

Golf course managers, course superintendents, club managers, greenkeepers and mechanics turned out in record numbers to support the third...

Wheeling for Empower – Raising funds for Empower Golf Austr...

On the 3rd of December (International Day of People with a Disability), Tom Hughson, WA Representative for Empower Golf Australia, will attempt...

Great Golf Course Architects – Alex Russell, by Neil Crafte...

Courtesy of the Golf Architecture Magazine ‘A hole is not worth a damn if no one comments on it...