Industry news

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A recent survey reveals the concern about the decline of the number of golfers and rounds played.

Survey: golfers, water are issues
Chicago – The 2005 Golf Industry Outlook Survey conducted by Foley & Lardner LLP reveals industry leaders are concerned about the declining number of golfers and rounds played, as well as a lack of player retention, despite a positive growth forecast of course development.

Findings show 95 percent of industry leaders are concerned about the declining number of golfers. When asked to rank the top issues most likely to impact their business in 2005, 71 percent of respondents cited the declining number of rounds, and 68 percent indicated player retention.

Seventy-seven percent of respondents selected water management as the predominant environmental issue impacting the industry. More than half of respondents have been forced to make sizable investments in their irrigation systems, install drought-resistant grass and/or investigate reclaimed water options.

The majority of respondents are missing profit opportunities by failing to maximizing tax incentives. This year, only about one in five respondents plan to use conservation easements, and one half plan to take advantage of the depreciation of their greens and tees. These figures highlight an opportunity to educate the industry about methods to leverage tax laws.

Most industry leaders foresee a 13-percent increase in the development of golf courses during the next five years. Respondents also are optimistic that course development will continue to expand at a higher rate during the next 10 years.

Course owners are using marketing to help retain existing players and attract new golfers. They’re increasing advertising and promotional budgets, creating player-development and customer-loyalty programs, enhancing the customer-service experience and lowering fees. Additionally, more than 70 percent of respondents plan to target women, and 33 percent are directing their efforts at minorities in 2005.

The survey was given to 669 golf course architects, developers, general managers, directors of golf, financiers and other industry professionals, and yielded 80 responses. Additional survey findings are available at www.foley.com/golf.

Winterkill research group formed
Bourne, Mass. – A group of golf course superintendents in the Northeast, in conjunction with turf specialists from the University of Massachusetts, began a multi-year research project looking at winterkill. During the study, the group will try to identify specific factors leading to winter-related turfgrass injury, determine best management practices in autumn for preventing winterkill and evaluate the effectiveness of various greens covers.

“Traditionally, winterkill is something we’d experience to some degree every few years, but during the winters of 2001, 2003 and 2004, the problem was widespread, and many courses got hammered,” says Tedesco Country Club superintendent Peter Hasak, who’s spearheading the project. “So a bunch of us got together and decided that we needed a specific course of action to figure things out.”

Winterkill can be caused by many problems, including turfgrass fungi, ice damage, desiccation and direct low-temperature kill. The ability to correlate weather events with turfgrass injury will be an important aspect of the study, according to Mary Owen, one of the participating UMass turf specialists.

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Audubon International-certified courses can justify higher green fees.

Study: golfers OK with paying more for ‘green’ courses
Anderson, S.C. – Golfers are willing to pay more to play golf at courses certified as environmentally friendly, according to research conducted by Anderson College finance and economics associate professor Peter C. Melvin, along with Frank Limehouse and Robert E. McCormick of Clemson University. Courses certified by Audubon International raised rates more than noncertified courses between 1995 and 2002, according to Melvin.

The research was conducted to determine the significance of environmental golf and how much golfers are willing to pay to play where the environment and wildlife are protected. There are costs to golf courses to become environmentally certified, but analysis shows the benefits outweigh the costs.

The study shows that on the national level, the demand for golf is elastic or sensitive, meaning golfers are responsive to changes in the price of golf. An elastic demand for golf means the average golf course can raise revenues when it decreases green fees because the increase of golf rounds will offset the loss in pricing.

Experts address superintendents
Canfield, Ohio – Almost 100 golf course superintendents from Pennsylvania and Ohio attended Bayer Environmental Science’s Conference at the Border in January.

Hosted by Jerry Cox, superintendent at Tippecanoe Country Club, the conference featured an educational program and gave superintendents the opportunity to earn professional educational credits and state certification. The group heard the latest research findings from university experts.

Penn State plant pathologist Wakar Uddin warned anthracnose is a growing concern in the Mid-Atlantic region.

“This is usually a disease of stressed turf, but recently it’s attacking vigorous turf,” Uddin says. “It’s becoming more aggressive and more virulent.”

Karl Danneberger, Ohio State turfgrass specialist, stressed the basics: proper water management, good air movement across greens and managing organic matter accumulation.

“Small things impact turf growth,” he says. “You can have all the money you want in your budget, but without good agronomic practices, you will lose your greens. Money will cover up poor management for a while, but the problems will catch up to you.”

Penn State turfgrass specialist Thomas Watschke advised superintendents to suppress Poa annua seedheads on annual bluegrass as a best management practice. He says to keep suppression goals reasonable. Even 50 percent suppression means 50 percent better playability, and anything in the 50-percent to 80-percent range should be considered good.

Ohio State entomologist Harry Niemczyk says the reason for almost every instance of unsatisfactory pest control is that the control agent didn’t reach the target.

“There’s no evidence there’s resistance buildup to the compounds we have,” he says.

Rather, Niemczyk says the likely causes for problems are poor timing of application, equipment difficulties causing rate or distribution problems, improper watering of material, or material getting tied up in thatch and not reaching its target.

Golf clubs using handicap system must be licensed
Far Hills, N.J. – All golf clubs using the USGA Handicap System are required to be licensed by the United States Golf Association by Jan. 1, 2006 to continue to provide a USGA Handicap Index.

“By adopting this licensing policy, we are trying to accomplish several things,” says Jim Vernon, chairman of the USGA Handicap Committee. "First, we want to ensure the integrity of the USGA Handicap System by promoting uniform and consistent usage of it. Second, we want to demonstrate to golfers the value in having a bona fide USGA Handicap Index compared with others that aren’t. Finally, we hope to promote increased knowledge of the system among club officials, who will, in turn, be able to provide enhanced service to golfers at the grass-roots level.”

The licensing process requires clubs to provide information demonstrating their full compliance with the USGA Handicap System. Such compliance will include meeting the definition of a golf club and satisfactorily completing a checklist furnished by the USGA.

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Seabreeze GT performed best in a study about salt tolerance.

Seabreeze GT performs well in salt trial
Hubbard, Ore. – One of Turf-Seed’s slender creeping fescue varieties, Seabreeze GT, demonstrated the best survival rate among commercial varieties in a three-month study in which the varieties were exposed to salt levels of 10,000 ppm of NaCl for 12 weeks. Pure-Seed Testing conducted the study.

Seabreeze GT ranked as the top performer and had a survival rate of 99.3 percent after 12 weeks of being in the salt bath. After collecting data through the 10th week, Seabreeze GT had yet to show any signs of damage from the salty environment.

Seabreeze GT originally was bred for its natural tolerance to the nonselective herbicide glyphosate. It also has an endophyte content of 12 percent.
For more information about the variety, visit www.turf-seed.com.

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May 2005
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