The Pacific Northwest PGA Section is a 501(c)(6) non-profit association founded in 1922. From a capital expenditure standpoint, public and semi-private golf courses should on average spend between 3% and 5% of total revenue on maintaining existing capital items. From an expense perspective, most private clubs have excellent controls in place to keep expenses in line with the approved budget. Did any particular holes stand out as under-maintained? Were cleaning stations appropriately distributed throughout the course and well-maintained? Average number of guest rounds per membership, typically ranges from 5 to 12. Was the locker room properly stocked with towels, toiletries, and other shower supplies? Would you like to see additional shoe room or locker services services? You can unsubscribe at any time by clicking a link in the footer of any email you receive from us, or by contacting us at info@ggapartners.com. Also, the questions should specifically address the survey objective, but you may want to identify demographic questions that will be needed to segment the results and them more actionable. On a scale of 110, how satisfied were you with the cleanliness of the locker rooms? If not please indicate why. The cost of sales metrics are generally more straightforward and easy to come by, with costs more consistently recorded and tracked. What club amenities do you use most frequently? Results. Food cost percentage is calculated by taking the cost of ingredients and inventory in a given time . There are three best practices that should be followed to maximize the response rate: Surveys represent an important tool through which to obtain factual data regarding the opinions of the clubs membership. BevSpot offers full product education and account setup for all customers! That said, typical labour metrics include the following: Other operating expenses are typically evaluated against a unit of measure. It is not the answers to the surveys that are truly of interest, but rather how these answers provide insight into the larger issue or question that necessitated the survey in the first place. It engages repeat customers, upsells beverage choices, and creates serious buzz. Club Management Software, Since 1927, the foundation of genuine hospitality has remained constant. As you know, golf course maintenance is no small feat with the average 18-hole course measuring more than 70 football fields. Club dining operations continue to be the most popular member amenity at private clubs, and unlike traditional restaurants, members require a higher level of care from your team. City clubs were better in attracting new members over the last few years with a 1.2% increase in 2019. What type of Oxmoor social events would you like to see more of? The Club will pay usual and customary fees associated with interviewing. How would rate this years bunker playability? Please rate your level of service from our outside service staff? Consider using services such as Survey Monkey. The revised survey question as well as the response options uses neutral words and avoids biasing the respondent towards a particular option. b. Please rate the quality of our practice facility? Ive always told my employees when they come in that, if you dont have an answer or dont know how to do it, you ask somebody else and we try to make it happen no matter what. On a scale of 110, how would you rate the cleanliness of the dining area? Fair warning: The case study youre about to read may be disturbing for even the most seasoned club leader. The best way to determine whether or not your staff is succeeding in doing so is by going straight to the source and asking your members directly either immediately after dining or in your regularly scheduled member assessment. Cleveland Country Club - Shelby, NC. But, in some surprising ways, country clubs face challenges that restaurants would never have to consider. Beverage programs are high profit centers for independent restaurants. However, in a club environment, certainly one with a large membership and/or a multi-million dollar food and beverage operation, an $80,000 loss may be perfectly acceptable. Diners are more conscious about healthy eating and high-quality ingredients. Create a differential environment at Sawgrass by making it the only true private club in an area where semi-private and public golf and club facilities abound. 1. The belief that club food and beverage can be relied on as cash generating profit center rather than an amenity for members is arguably the club industry's most notorious and persistent dragon. The food and beverage department presents huge opportunity for cost containment in most clubs we consult with. Other duties include monitoring the food . We have to honor and value what our members want.. Governance:Seek knowledge about the club industry and the business model of your club. Responsible for banquet sales and the overall supervision of the FOH service team (food & beverage), snack bar and . For a public course operator, it is essential that their information system be real time, so KPIs can be calculated, and if needed, communication to the general public adjusted in a timely manner (yield management). . For example, certain utilization KPIs can be evaluated daily, weekly or monthly. Going Digital New. Please provide us with any suggestions you may have as we are always striving to improve the club. Too many clubs find themselves stuck in the F&B Trap which we define as rigid adherence to the belief that a club should make a profit in F&B (or "lose less money") and that a club is healthier if it makes a profit in F&B than if it shows a deficit in F&B. This is a course-by-course survey of the policies and membership breakdowns of Central Florida's private golf clubs, which typically aren't open to the public. Essentially, from a financial perspective, this clubs F&B department was operating as efficiently as possible. This cautionary tale begins in the boardroom of a long-established country club that has been part of its local community for nearly one hundred . Do you favor: The wording of the question is clearly biased in favor of doing something (options a or b), and the usage of words like too small and requires substantial physical improvement, would likely have driven respondents to option b. The use of KPIs and benchmarks need to be part of the toolkit for management and the owner. Were your clubs ready for you on arrival? Specialty electronic newsletters from the golf pro and tennis pro create engagement and help personalize the club. | 71 Commercial St. #268, Boston MA 02109. Although benchmarks are typically used to measure historical performance, they can be used to make alterations on a timely basis if reviewed appropriately and to provide direction for adjustments moving forward. Private Country Club Consulting & Strategic Planning. . The term "food service adequate for its members and their guests" shall mean that . If you could improve any aspect of your dining experience, what would it be? This new found interest has created an area of growth for clubs. Full Member Equivalent: total annual dues divided by a full members annual due. The fee is now at $85,000 and will grow to $95,000 in January, Miles said. Member-facing technology is one of the most impactful private club trends in the industry today. Do you have a preferred seating area, and if so, were you seated there? On a scale of 110, how would you rate the variety and quality of the regular menu? They held fast to their own perspective on the clubs financial challenges, adamant that weak F&B performance was to blame despite an abundance of data to the contrary. . 26 minute read. By dividing all positive responses by the total number of responses and multiplying by 100, you get a tangible C SAT metric that will help you evaluate staff, training, process and procedure, rates, cleanliness, the caliber of your . Did the showers provide an adequate amount and degree of hot water? In reality, the board was out to slay a dragon, but unfortunately, they wanted to slay a dragon that had long ago been tamed. Cleanliness of the club: Over all experience with management staff: Dealings with the business office: Booking reservations: Non-Golf Related Member Events Programs: Overall Food & Beverage Experience: Food & Beverage Service: Food & Beverage Hours: Locker Room Amenities: Pool Facilities: Tennis Facilities: Fitness Facilities Other helpful metrics include utilization and yield statistics measured on a per round basis for other ancillary revenue sources such as carts, driving range, food and beverage, and merchandise. Did you feel your personal items were secured to your satisfaction? Those who dared to defy conventional wisdom and venture past those limits were labeled as fools or heretics destined for disaster. $458 - $8k. When youre conducting a member assessment, be sure to include questions around their online experience with your private club. The initiation fee had been eliminated (national median for an unrestricted individual member in 2011 was $16,000), and the clubs investment in member marketing was lower than 75 percent of all other clubs in the country. The dashboards are produced on a periodic basis, either daily, weekly or monthly depending on the audience. Overall Golf Course Conditions (e.g. Finding increased profitability by 15% at Black Rock and headed towards similar results at Oak Hill, Tim has found dividends when it comes to innovating his beverage program with real data. No card Information needed! Revenue per membership by department, source and membership type. Where your clientele pool is limited like it is at a private club, their happiness and satisfaction when visiting your club for a meal or a drink is all-important. This letter should be addressed directly to the member and using their name, versus as Dear Member,. L.E.K. The rationale is twofold. As you will see in the detail below, the data clearly showed that through creativity and cost control the GM was actually patching up weak dues revenue with significant profit in F&B. (5= Excellent; 4= Above Average; 3= Average/Good; 2= Below Average; 1= Poor . He enjoys Miller High Life and getting yelled at by Chicagoans for supporting Boston sport's teams. . Takeout food has become increasingly popular. Is pork included? On the other hand, if the survey does not incorporate all of the questions necessary to gather the information needed, the time and effort used to create and mail the survey will have been wasted. If I saw a wine on my menu at a restaurant in town, I made it a point to make it a dollar or two cheaper, because it shows that value to members coming into the club., Tim echoed this at Oak Hill. RSM US LLP is a limited liability partnership and the U.S. member firm of RSM International, a global network of independent audit, tax and consulting firms. Despite a lack of emphasis on food and beverage in some private clubs, there are many avenues for improvements in their country club bar programs, especially in margins and profitability. All clubs have those who are vocal with their opinions, however do not represent the view of the entire membership. For more information about our privacy practices please visit our website. Evaluate and improve service and hygiene: It helps the restaurateurs to enhance the quality of food and serve better in the future. Although it is easy to react to the points raised by a vocal minority, it is important to remember this is to the clubs larger membership base to provide the data upon which to make the important decisions regarding the clubs future. Smart phones are seen and used on a regular basis. The following are a few examples of important KPIs by category: Naturally, a key measure of performance is rounds played. Lets say I have a Cabernet that I know 10 members are going to drink. These establishments often provide food and beverage services, equipment rental services, and golf instruction services" (p. 2). While the private club industry does not have published statistics, a general rule is that 40-75% is . If you are facing a situation similar to the one described in this case study and would like to brainstorm with our team about the best way to get through to the board, please dont hesitate to contact us. Food/Beverage service Food/Beverage service N/A . Start, or continue, your career in private . Interested in creating better online and offline experiences for both members and management? Do you feel we send you too many emails? If you don't pay the club's standard rate, expect to be asked for your membership card. Bonus. courteous or do they just ignore you? A typical food cost of a country club runs between 30-40%. The NGCOA Canada is helping to lead the charge through its various benchmarking and performance tracking initiatives, including the Revenue Tracker and Rounds Played & Weather Reports, which provide comparisons of an individual courses results to their competitive set, provincial and national averages along with Performance Intelligence which provides course specific benchmarks and feedback. Taking a passive approach to board education increases the likelihood that a "nightmare board" will eventually find you. Consulting's biennial consumer food and beverage study focused on today's food consumption trends included nearly 1,600 survey participants. Another common mistake, and the one that is most difficult to identify, is bias. In addition, some operators use KPIs to evaluate staff performance and determine bonus calculations. A survey of existing members was conducted which showed that 50 percent of members lived on the property, 50 percent snow-skied, 78 percent played golf, and 80 percent walked or jogged at least three . This alternative structure can ask the same questions, however, in a more condensed layout. Average revenue per customer in all categories will continue to climb, with steep increases from 2022 through 2025 overall. Something youll also sometimes see at country club bar programs is a much lower standard when it comes to food and beverage profit margins than you would normally expect at restaurants and bars. For example, is there need to understand the responses by age, gender, years of membership, category of membership? Unlike other dining establishments, private clubs face the following disadvantages: investment in your members favorite long-term staff, serving a limited customer base, and budgeting for a range of member amenities beyond F&B. In addition, most people do not want to belong to a club that appears run down; as such, an important KPI is expected capital maintenance costs and the funding of those costs through entrance and capital maintenance fees. Are you planning on renewing your membership next year? A Mcgladrey's club trend report from July 2015 found that "54% of Florida clubs increased food prices by 4% on average, while 41% of clubs increased beverage prices by 4%.". Oak Hill is a private member-owned full service Country Club with a rich history and proud tradition. At the Westmoor Club, which is actually a for-profit club with a board of electors, margins are much more important, even when considering special requests from their members. Contact Carol Pence by calling (510) 706-1583 or via e-mail at CPence@pgahq.com. Its really just icing on the cake for some clubs.. When did you become a member of our organization? $50 per month food and beverage . For example, the following question is highly ambiguous and likely to generate highly misleading results: The time frame should be considered in this question. A clever wine list, an eye-catching cocktail selection, and a finger on the pulse of craft trends can build a restaurant brand. A club is evaluating its food and beverage operation. Club management should find every opportunity to gather, record, and report on the member experience. We begin with a review of food and beverage trends in the club industry. This is a guaranteed year-round wage, based on hours worked, without fluctuations in pay due . This will allow you to maintain more comprehensive member data to better identify areas of strength and opportunity. 188. How would you rate the golf course conditions? This brings us to the award-winning Square POS, which provides point-of-sale solutions to a broad range of sectors, having some very handy capabilities for country clubs as a result. Since this layout takes up less space, it will appear to be less time-consuming for the respondent. Being sat at a table because someone knows its your favorite table, getting your favorite drink, and getting your food specially made the way you like it, all without asking. How would you rate our junior golf programs? If you want to retain members, its important to show that youre allocating funds for an enjoyable, worthwhile experience. Club management needs to consider how they can maximize engagement and support in every single F&B outlet: the formal dining room, the casual dining room, the clubhouse, the grill, and the halfway house on the course. While 75 percent of all clubs consume operating cash to subsidize F&B, this club was producing 17 percent of the cash to run the club from F&B. Private golf clubs need more than an exceptional golf coursethey need to create exceptional golf experiences. This makes the process of returning the survey almost effortless. Integrity. . Adapting to COVID-19 New. Click here for more information on Uncorkd. Department: Food and . GGA Partners will use the information provided on this form to send you whitepapers, industry research, and regular editions of GGA Partners newsletters. The respondents may experience fatigue after offering opinions across a variety of topics and not bother to provide answers to questions they perceive as less relevant. Dahlia worked in restaurant kitchens for six years before changing careers. Private Club Financial Performance Raymond S. Schmidgall Ph.D., CPA . On average, attrition rates for golf and country clubs hover around 6% to 8%, while city and yacht clubs can be as high as 12% to 14%. Being able to back up his decision-making process with actual sales data when it came to buying decisions for your menuand pricing was a huge boon to Tim and he was able to discover marked improvements. The distinct business model for private clubs often demands unusual operating models for their kitchen inventory and beverage programs. Using the above example of COGs at 38% and Labor at 50%, Prime Cost is at 88%. Did a staff member direct you to the practice ring or driving range prior to your tee time? The food minimum amount and rules vary by club, but almost always it is a use-it-or-lose-it fee. 5 Country club accounting branches. Base Salary. While we've mentioned the 10 most important questions to ask in a survey, we advise you not to ask them all at once. Thats hospitality and thats what were in the service of providing [at Oak Hill]., Marc stressed this point at Westmoor as well. This article was penned by Derek Johnston for NGCOA Golf Business Canada. While it needs to be viewed as a tool used to gather data to be used in decision-making, what is gathered does not represent a conclusion in itself. This question would be considered inappropriate for a member survey due to most members not having a proper perspective to evaluate this issue. This sounds simple, but many clubs fail to include practice testing into their schedule. Labour and Other Expenses Misconceptions related to food and beverage profit or loss are the private club industrys most dangerous and pervasive issue. Topics: How would you rate the quality of the golf course? Were the greens trimmed and well-maintained? Ask questions more often than you give answers. Aside from bartending and restaurant management, he's covered the Chicago dining scene as a freelance writer. BevSpot investigated and came up with some interesting insights about country club bar programs. Suite 301 Ask event clients the basics. It is forecasted that . (Niven, Food and Beverage Survey 1.0, 2017) to compare the average club F&B to public restaurants, we find that Food Costs are lower in the public sector by Nine . Food cost Beverage cost Golf merchandise cost . It was the biggest reason why I had interest in picking up BevSpot at Black Rock and bringing it over to Oak Hill.. Secondly, providing a date will minimize the time period over which the responses will be received. What types of events would you like to see less of? In recent years, it has become evident that benchmarks and KPIs have significantly helped golf course owners and operators measure and modify their operations to improve financial performance. This information is then used to adjust operations on a timely basis or adjust marketing and communications to patrons in order to enhance utilization of the facility. [endif]Seasonal ingredients: Crisp fruit and vegetables, local meats, cheeses, fresh fish and herbs are all critical elements to a menu. To ensure accurate and actionable response data, bias needs to be omitted wherever possible. Club economics have started to stabilize. There are different branches of accounting used within a country club. Private Club Operations, Copyright 1996 - 2021 All Rights Reserved by Buz Software LP, 85 Brisbane Rd | North York, ON | M3J 2K3 | Canada, 68 Questions to Ask Private Club Members to Encourage Retention, SMS, email, or on-site mobile applications. Generally this should be done in their own home to simulate as close as possible the survey experience of the larger membership. What content do you find the most valuable in the member portal? How did you hear about [INSERT CLUB NAME HERE]? Full-time equivalents by department. The board was intent on replacing them with better F&B people with better skill sets in order to book more banquets, essentially guaranteeing that the bulk of future management effort will be directed to F&B rather than membership growth. The . That gets lost a lot of times at bigger clubs. Discover what makes RSM the first choice advisor to middle market leaders, globally. Did you experience a satisfactory pace of play on the course? If a member comes up short on the minimum requirement they are charged the difference. Just because we can run 40% margins, it doesnt mean we can let go of control levels in our beverage program. For example, greens expense per maintainable acre and clubhouse expense per square foot. The right to immunity prevents public authorities from meddling in the business of a private club. club permit are subject to the mixed beverage taxes. Labour expenses are the largest category of expenses for golf courses, generally ranging from 52% to 58% of total expenses. But there are other ways. One of the immediate differences that the bar managers run into at private clubs is the necessity of catering directly to the club member. As far as the dishes on the menu itself, we believe these six key points are worthwhile when looking for the ultimate country club menu: [if !supportLists]1. In many clubs, there is a more severe dress code on the Golf Course, than in the clubhouse and dining areas. Dont accept "because I just know" from fellow board members. We'll advise you on sales tax, gratuities, rental units and other financial areas impacting your tax position. Please Check the event(s) you could see yourself participating in for the upcoming year. Salary information was gathered from a variety of reliable sources including the U.S. Bureau of Labor Statistics, Hospitality Industry Analysts, industry-specific universities, online resources and various studies published by hospitality industry associations. We will treat your information with respect. Those results were attributable, at least in part, to extremely low labor costs in that department. We need to make some decisions about our clubhouse. On a scale of 110, how would you rate the ambiance of the dining area? To minimize misunderstandings, be sure to pretest the survey. For 90% of country clubs, the bread and butter comes from golf operations and member dues. The prospects for the clubs eventual recovery seem in doubt absent a dramatic shift in the boards internal dynamics and a willingness to govern based on fact rather than opinion or agenda. Thank you for your time and support! First, these questions can serve as warm up questions for respondents. Simply tracking your results compared to budget is not good enough. The membership in country clubs stayed relatively consistent during 2019, increasing by 0.4%. Its also important to know what questions to ask when adopting new technology. A club is evaluating its food and beverage operation. www.clubbenchmarking.com info@clubbenchmarking.com 617-803-0676 METRICS AT A GLANCE: Finance and Operations Financial Tennis/Racquet Guest Fee Revenue Tennis/Racquet Pro Shop and Lesson Revenue Fitness Fee RevenueMembers & Guests Personal Training and All Other Fitness Revenue Swimming Guest Fees Revenue Youth Program Revenue