Golf Equipment Market: Manufacturers find the rough
Golf is a sport played by millions across the world and is a pursuit that requires significant investment in equipment. However, in recent years, the golf equipment market has struggled badly. This case study analyzes the reasons for this performance and looks at how the market's major players are adapting and faring to soft conditions.
Features and benefits
Analyzes the golf equipment market's performance in recent years and its drivers.
Looks at the strategies employed by the industry's major manufacturers
Looks at what the future may hold and what equipment manufacturers must do to arrest the slide.
Sales of golf equipment have fallen noticeably in recent years, with the sport's traditional markets of the US, Europe, and Japan particularly affected. Falling participation levels are driving the fall in equipment sales as people baulk at the price of golf and slow play means many do not have time to play such a time-consuming sport
Those engaging in premiumization seeing success thanks to higher prices offsetting falling volumes to some degree. For the most part however, the industry's powerhouses are failing to adapt to changing market forces and continue to push on with frequent product launches, leading to an oversupply of inventory than necessitates heavy discounting.
The future holds many challenges, with the potential for further falls in participation as the so-called 'Tiger Woods Effect' wears off. There are hobbies better suited to the age of instant gratification, and the cycle of heavy discounting must be broken. Efforts are being made by golf's governing bodies to grow the game with slow play a focus.
Your key questions answered
How is the global golf equipment market performing?
What strategies do the leading equipment manufacturers adopt and how are they are faring?
What future threats and opportunities face golf equipment companies?