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GOLF RSEORD TREND AND CHALLENGES


By. Azmi Che Leh, Farah Nadiah Mohamad Fauzi, Husna Norazimah Hurairy and Nur
Zakiah Tajudin.

Msc in Facilities Management, UiTM Shah Alam.

1.0 GOLF RESORT AND HOTEL TRENDS

1.2 Introduction
Though golf tourism has been one of the main contributors in generating country's
tourism revenue, little is known about golf destination attributes preferences among golf
tourists in the country. The present study seeks to segment the golf tourists by their golf
specialization level, and to examine their demographic characteristics, travel behavior
and destination attribute preferences. A convenience sampling technique was adopted
to collect data from 416 golfers in six different golf resorts in Peninsula Malaysia. The
result of the study indicated that the two most important general destination attributes
for most golf tourist were services factor and reputation factor. But, for the high golf
specialization group, facility factor was the most important factor and followed by
services factor. As for golf course attributes preferences, four important factors
identified were course condition, service & aesthetics, logistics and course design.
This study provided information for better comprehension of the niche market of
travelling golfers. It can also be used to support such tourism decisions as the
development of destinations and supporting services, product positioning, advertising,
promotions and packaging effort (Fatt, Hoe, Musa, & Mea, 2010).
Through the study we can summaries that the trend of golf resort and hotel trend are
effecting by facilities factors and Service factors which is facilities factors included
course condition, services and aesthetics, logistics and course design, while the
services factor are related to reputation of the golf resort and hotel.
1.3 Facilities Factors
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In urban areas, we now see hotels, recreation, entertainment, sporting activities,
shopping, convention centers and large-scale attractions being combined in mixed-use
resort destination developments. In more rural settings, hotels and indoor-outdoor
waterparks are being combined with golf courses, ski hills, conference centers, medical
centers, casinos and residential projects as well as second home, vacation home and
resort retirement com- munities (Coy, 2009).
Resorts that want to succeed within the context of heightened competition and demand
will need to respond to evolving consumer expectations by providing activities and
experiences that span seasons and generations, and creating an environment capable
of marrying village charm with big brands, business tourism with family ambience, and
environmental sustainability with modern luxuries (Walker, 2008).
Golf becomes more unisex. As more women come into the game, golf becomes the way
for men and women to share leisure time as cycling has done in richer markets (Curry,
2012). The changing needs of golfer influence the elements of the golf industry. It
include golf course operations such as green fees, memberships; capital investments
such as new course developments; golfer supplies such as equipment, clothing; golf
tourism and golf real estate (Wilson, 2011).This mean the golf resort need to fulfill the
demand and develop new facilities such as golf equipment shop, attractive membership
privilege to accommodate the golfer needs.
Golf clubs and golf courses will become more family friendly. There will be family rooms
instead of bars, holes set up for younger players, and certified women- friendly facilities
(Curry, 2012). The game is adapting, and while golf can still achieve many of the
objectives to which it has traditionally served, it is now requiring that it attract new
audiences, and that is being done through the redesign of facilities to serve the diverse
clientele, and through the addition of amenities and programs that help to bring the rest
of the family to out to the facility. One thing is certain no matter where in the world the
golf course is, and that is its role is in large part dictated by its owner and their strategic
objectives. Consequently ownership changes often alter the role of the golf course,
effect its operation, and impact its value as well. The global economic crisis has meant
great changes for the golf industry, its brand, and meant that there are a lot of new
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owners, and these facilities will require a reevaluation of the golf facilities objectives
(Hatami D. , 2014).
Gamers become golfers social gaming environments and family-oriented golf video
games encourage people to move into the sport, not the other way around (Curry,
2012). The perceived important of mobile golf content shows large increases from last
year. Below are the table show that the increased of golfer agreeableness in technology
that influence not just the golf industries but also how the golfer can improve the game
or their skill using the technology.
Golfer looks to new technology for golf content.
% AGREEMENT 2012 2013
In general, golfrelated content on a tablet device or smart
phone oers golfers new ways to interact with the game.
24% 58%
Golfrelated apps on a tablet device or smart phone are
bringing benetsto golfers not available before.
24% 56%
I recognize the benets of having golfrelated content available
on a tablet device or smart phone
25% 53%
The interactve features available in golfrelated apps on a tablet
device or smart phone are appealing
19% 45%
Golf instruction on a tablet device or smart phone can oer
unique interactive ways to improve my game
15% 42%
A virtual lesson" from a golf pro on the Internet is potentially
an innovative and convenient way to receive instruction
NA 41%

Source: Sports & Leisure Research Group, 2013
E-commerce has influenced the hospitality industry to create and develop its own form
of electronic commerce. E-hospitality is an innovative service known as total solutions
where distributing, servicing, and supporting hospitality products to all sizes of
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organizations in the industry to offer more amenities and support services to potential
guests (Brymer & Johanson, 2011).
A model is being developed to dramatically alter the cost performance landscape for the
hotel industry through the sharing of many technological services such as guest room
device management, concierge, point of sales, housekeeping, facilities management,
and human resources and is now being used by multiple hotel companies. These
services offer efciencies and execution practices that will improve standards of
delivery, quality, and performance for hospitality technology functionality for years to
come (Brymer & Johanson, 2011).
The number of reservations made via the Internet continues to increase. Surveys in the
United States show that currently 20% of all reservations are made through the Internet,
and this percentage is increasing every year. With such high percentage of reservations
done through the Internet, hospitality cannot afford not being connected. If the potential
guest cannot book online, a reservation will be made at the competitor's web site (Jin-
zhoa & Jing, 2012).
Golf simulation games using motion sensors and gestural interfaces become
mainstream (Curry, 2012). Many of todays sporting enthusiasts want the real thing. Of
course, it is better to play golf on a real outdoor golf course, but when it rains during
your vacation time, it is nice to find a golf simulator at the resort. About Golf of Maumee
OH is a 19-year old company that has become the world leader in indoor golf simulator
technology by providing a new level of realism (Coy, 2009). The app as caddy:
smartphone and tablet software helps golfers make the right choices, while sensors in
equipment and on courses the smart coach help players learn from their mistakes
(Curry, 2012).

2.0 GOLF RESORT AND HOTEL CHALLENGES

The challenge for the industry is that it needs to simultaneously embrace its tradition,
while also embracing the future, the youth and the family. I think the recent numbers
show that despite the decline in core golfers, the industry has shown some
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improvement in its ability to attract new golfers to the game. While the number of
occasional golfers has been fairly flat over the past several years, it is our belief that the
industry can make progress on the growth of occasional golfers and is beginning to
implement programs that are changing that dynamic (Hatami D. , 2013).
The decision making process of the golf traveler has changed irreversibly. Golfers are
no longer swayed by bland generic promises of undiscovered golfing gems and require
specific tailored messages that will convince them that the golf vacation they book offers
not only the best value for money but also delivers the type of golfing experience they
are looking for (Executive, 2010).


a) Membership challenge
According to Fornardo, (2014) said, the pressures to retain and find new members are
many and varied coming from all sides. The industry today faces huge challenges from
the growing golf marketplace, changing demographics, a slumping economy and a
stock market ever fluctuating. (Blunden, 2004) as clubs lose members, particularly the
smaller clubs, the revenues received via annual membership subscriptions naturally
come under more pressure, as they still need to cover the same expense base. In order
to retain member the golf resort need to fulfill the golfer need by offer them a favorable
membership privilege and also enhance it according to current market demand and this
a challenge to golf resort to design a better membership privilege not only benefit to golf
resort member but also to golf resort itself.

b) Economic impact
The report by A Strategic Perspective on the Future of Golf, pointed to stagnating or
declining player demand, which obviously threatens the economics of the industry, from
equipment sales, to green fees, to advertising and sponsorship deals, etc (Forbes,
2011).
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HVS Golf Services recognizes that the financial drivers for the golf course often lie
outside the golfing facilities, and the key to development and value lies in understanding
and maximizing the market potentials of the larger entity. In the long term, however, the
golf course should be planned to stand on its own (Hatami D. , 2013).
c) The challenge of existing cost structure
According to Blunden, (2004) the others challenge currently being faced with the
existing cost structures evident within golf clubs, also said the general challenge is the
response to these structures in an environment where annual operating costs may be
rising faster than club incomes. The cost of maintenance is very expensive.
d) Competitor challenge
According to Jin-zhoa & Jing, (2012) hotels everywhere indicate that their community is
overbuilt, there are too many available hospitality rooms relative to the guests desiring
to rent them. The resulting competition which often involves price cutting in efforts to
provide greater value to guests, but still further the profits generated.

e) Dependence upon the Nations Economy
When the nations economy is good, business travel generally increases. Hospitality
occupancy rates and rack rates increase, which results in higher profit levels. The
reverse is also true, business travel slows when the economy slow. Then occupancy
and rack rates decrease. Discounts to increase occupancy are offered, which yield
lower revenues and profit decreases (Jin-zhoa & Jing, 2012).
f) Labor
In most cases, the labor component of the golf course maintenance budget is the
largest line item. In 2005 labor expenses remained the largest single expense item for
hospitality managers. Now, with news of union contact negotiations, changes to
immigration laws, and proposed legislation to increase the minimum wage, hospitality
managers are on edge (Jin-zhoa & Jing, 2012).
g) Environment
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According to Jin-zhoa & Jing, (2012) people feel comfortable when use green concepts.
Green concepts also new trend among people. The basis of sustainable hospitality
operation is a three-part balance, expressed as profits, people, and planet. The effects
of trees are a major cause of poor quality turf on parts of many courses. In some cases,
trees have come to overwhelm the courses from an agronomic and playability
standpoint, causing widespread turf problems and imposing restrictions on the strategic
intent of the original golf course architect. In essence, the negative impact of trees on
turf quality can be summarized as follows:
1. Shade
2. Poor air circulation
3. Tree root competition
4. Interfering limbs and branches

This four (4) factor can contribute to the operation cost in order to maintain the golf
course quality.
References

Blunden, J. (2004). Issues and Challenges for Golf Clubs in Victoria. Victoria: Ernst & Young Australia
2004.
Brymer, & Johanson. (2011). Current Trends and Future Issues. Kendall Hunt Publishing Company.
Coy, J. (2009, June). 10 trends point the way to future resort development. Retrieved from
Tourism.review..com: http://www.tourism-review..com
Curry, A. (2012). Golf's 2020 Vision: The HSBC Report. London: The HSBC Group.
Executive, I. C. (2010). Golf Business Community: A commentary on the golf tourism industries in August
2010. The Global Golf Tourism Organization, (p. 2). London.
Fatt, O. T., Hoe, W. E., Musa, G., & Mea, K. K. (2010). Destination Preferences and Travel Behavior
Among Golf Tourists in Malaysia. International Conference on Science and Social Research (pp.
884-889). Kuala Lumpur, Malaysia: IEEE.
Forbes. (2011, 6 5). Retrieved from Forbes: htpp://www.forbes.com
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Fornardo, J. (2014). Membership Issues: Option on what work in today private club today. Retrieved
from Board Room Magazine website: http://www.boardroommagazine.com/
Hatami, D. (2013). Tought from The Golf Industry Show. USA: HVS Golf Services.
Hatami, D. (2014). HVS Golf Services. Retrieved from HVS:
http://www.hvs.com/Services/GolfServices/IndustryOutlook.aspx
Jin-zhoa, W., & Jing, W. (2012). Issues, Challenges and Trends that Hospitality is Facing. Retrieved from
Association of Human Resources Managers in The Hospitality Industries:
http://ahrmhospitality.com
Walker, A. (2008). Developing Successful Resort. Retrieved from Colliers website:
http://www.colliers.com
Wilson, B. (2011, April 1). Global golf industries facing challenges. Retrieved from News Busines:
htpp://www.bbc.co.uk