Private Club Waitlists: Will Prospects Join or Move on?
By Jason Becker, CEO of Golf Life Navigators
Exactly one year ago, you could feel the energy shifting toward a potentially busy season for new golf membership sales across the Sunbelt. Consumers were antsy to break away from the COVID barriers and get outside, be active and just enjoy life. However, what we did not know was that golf was going to surge in popularity among beginners and the casual player. In addition, tens of thousands of prospective members on the fence for a club membership were going to swiftly move forward.
Over the past several months, there has been growing discussion of “waitlists” among club officials from across the country. This latest surge in private club demand has put a significant percentage of clubs at waitlist status – or at least – very close to it.
Club Benchmarking recently reported the following statistics: Most notably, 44% of private clubs (with a golf membership) now have a waitlist as of May 2021. This has increased almost 20% since May 2020. Below you will find a graphic provided by Club Benchmarking to show just how relevant waitlists have become across the initiation spectrum.
With the number of waitlists skyrocketing, many clubs are entering new territory and trying to determine how best to manage such a good problem.
Below are a few common questions we at Golf Life Navigators are getting asked daily as club officials head into (what looks to be) another busy year in new membership sales.
What do new members desire as they wait their turn to be a full golf member?
Will they invest in a down payment to hold their position?
How long is someone willing to wait to become a full golf member?
Over the past five years, we have been studying prospective member buying trends and reporting our findings to the industry. To date, we have aggregated over 4 million data points and regularly analyze to spot meaningful trends in the marketplace. It’s like having a dimpled crystal ball to see what the future holds for private clubs and prospective golf members.
In an effort to help answer the growing number of waitlist questions, we sent a survey to buyers who have recently visited Golf Life Navigators. They have an initiation budget ranging between $25,000-$50,000, annual dues budget ranging between $9,000-$11,000, and look to transition to the Sunbelt in the next 9-12 months.
In all, we wanted to know how waitlists are being perceived and share those findings with our industry colleagues. The feedback from 500 respondents was eye-opening to say the least. Here is what we learned:
- How familiar are you with waitlists for a full golf membership into a private club?
- Familiar to Extremely Familiar – 54%
- Somewhat Familiar to Not Familiar at all – 46%
- How likely are you to still join a private club with a 9-month (or longer) waitlist?
- Likely to Extremely Likely – 18%
- Neutral – 20%
- Not Likely to Not at all Likely – 62%
- How long would you be willing to be on a waitlist, should the club seem like a great fit for your interests?
- 1 to 4 months – 38%
- 5 to 12 months – 42%
- 13 to 24 months – 15%
- 25+ months – 5%
- How likely would you be to invest 50% of the initiation fee to hold your position on a waitlist?
- Likely to Extremely Likely – 9%
- Neutral – 9%
- Not Likely to Not at all Likely – 82%
- If you were to join a waitlisted club, what amenities – or access – would be important to have as you wait to become a full golf member?
- Practice facilities – 83%
- Golf course during peak season – 78%
- Dining facilities – 54%
- Member discounts in the golf shop – 44%
- Health & Wellness facilities – 43%
- Member events and parties – 42%
- Pool facilities – 33%
- Tennis facilities – 16%
- Understanding that golf course access is important to you, please share how important you feel each of these scenarios is while on a waitlist:
- To play at least once a week – 77%
- To play at least in the later afternoon hours – 71%
- To play at least once a month – 68%
- To play with the mens/ladies leagues and meet other members – 53%
- To bring a guest when I can play the golf course – 45%
- How likely are you to purchase a home in – or near – a golf community where you would be on a waitlist for an extended period of time?
- Likely to Extremely Likely – 14%
- Neutral – 16%
- Not likely to Not at all Likely – 70%
- How likely are you to purchase a home that has a full golf membership attached – or a transferable membership from the seller – to avoid a waitlist?
- Likely to Very Likely – 35%
- Neutral – 31%
- Not Likely to Not at all Likely – 34%
There is much to digest when it comes to prospect perceptions of waitlists and, ultimately, how to make them comfortable should they engage. Moreover, how will you manage capacity with an already busy golf course and vocal membership about playing ability?
If these are daily discussion points, let us know. Between Golf Life Navigators and Club Benchmarking, we can help with thought leadership, data and best-practices. Click here to send us a note.
Our Suggestion. Prospect education must be a key component of your waitlist strategy as 46% of buyers do not understand how they function. The real estate community will also need to be informed of where the club stands for waitlists and estimated time-frame as a member in waiting. We know that 80% of prospects are combining the search of club/home and, ultimately, agents will be relaying information about the club. Make sure it is accurately displayed on GolfLifeNavigators.com.
Be well,
-Jason Becker, PGA
Golf Life Navigators
