A Place to Stay

Turning member satisfaction into member loyalty is the key to sustained growth.

by Bob Seligman (editor@clubandresortbusiness.com)
January 2007
 

The Reynolds Plantation is responding to changing demographics in all aspects of its operation.

Desi Howe has an interesting way of describing the current state of the club and resort business. “Competition is a lot more competitive now than it was 10 years ago,” says Howe, Director of Golf and Club Director at the La Costa Resort and Spa in Carlsbad, Calif., which has 365 full-time golf memberships. “Every time you look around, there’s a new golf club or course being built.”

This renewed level of competition for private clubs, coupled with significant shifts in demographics, has put a premium on holding onto existing members at the same time the scramble for new ones intensifies. “As in any business, customer retention is key,” notes Bob Mauragas, Vice President of Golf Operations at Reynolds Plantation in Greensboro, Ga., which has 2,100 members and five golf courses.

“Normal attrition will happen. You can’t stop that,” adds an industry expert. “What you’re trying to avoid is a lot of resignations. And the best way to retain members is to provide good quality for the cost of membership.”

A big part of establishing that perception of quality and value, adds Desi Howe, is getting members more involved in not only deciding what their club is going to be all about, but also in helping to carry out those objectives. “It’s extremely important to include members in the process, to make sure you’re giving them an experience they desire,” Howe says.
To achieve this, more clubs are going beyond the occasional member survey, or mere reliance on comment cards, to become more proactive about generating consistent member involvement and feedback.

“We operate under a system where we have advisory councils and committees that participate in all efforts: tennis, golf, social, fitness, wine,” says Charlie Zimmer, General Manager of The Country Club of Hilton Head in Hilton Head, S.C., which has 1,300 members. “We’re always asking members what we can do better and what features we can add—not only to retain them, but possibly sell more memberships.”

At La Costa, focus groups provide member feedback on various activities and projects that are taking place at the club, while an advisory Board of Governors generates additional input on future directions the club should take.

Desi Howe

Desi Howe (left), Director of Golf and Club Director at La Costa Resort Spa (right), says the facility relies heavily on input from member focus groups and advisory boards to keep all aspects of its operation on course.

At Their Service
Increasingly, the insights gathered from these types of sources are showing clubs that the key to retaining members is understanding, and accommmodating, their changing lifestyles. The Country Club at Hilton Head, for example, plans to start curbside food service, so busy members can call ahead to pre-order their dinners.

Another important component in satisfying members’ needs—and then converting that satisfaction into loyalty—is addressing changing demand for activities. As the expression goes, 60 is the “new 40” and 70 is the “new 50.” In response, clubs are installing state-of-the-art fitness complexes like the one recently opened at the Reynolds Plantation: a $12 million, 25,000-square foot facility with not only a fitness center, but also cafes, teen centers, rec rooms, and an indoor Olympic-sized pool.

As some of those features attest, when clubs spend this kind of money, they’re now doing so not only to cater to older members’ desires, but also those of their children. Clubs are becoming more kid-friendly in many ways that go beyond the usual golf or tennis activities. There’s also a new emphasis on indoor and outdoor pool functions, or movie parties just for youngsters. La Costa has “Kidtopia,” a facility where younger children stay occupied with games and arts and crafts, and the teenager-oriented “Vibes,” with video games, pool tables and a bowling alley.

“You have to emphasize youth and kids because that’s going to keep the adults here,” says Charlie Zimmer of The Country Club of Hilton Head. “They’re going to see the value in the dues they’re paying for the children.” C&RB

From Retention to Rescue   Eastover CC’s clubhouse, still an empty shell, at least has a new roof. While some clubs are adding fitness centers and improving menus to help retain members, Jimmy Headrick, Director of Golf at Eastover Country Club in New Orleans, is just trying to find out whether some of his members are still alive. The club, formerly known as the Golf Club of New Orleans at Eastover, was severely damaged when Hurricane Katrina roared through the city in August 2005, drowning the 36-hole, semi-private facility under 10 to 12 feet of water and leaving the clubhouse as a shell. Scheduled to reopen the facility this month as a nine-hole course with the intention of having nine more holes in October, Headrick is still trying to find some people from a pre-Katrina roster of approximately 400 full-time members, as part of his mission to reestablish the 20-year-old, respected club. It’s not an easy task. Some members left Louisiana entirely, relocated to other parts of the state or even died as the result of Katrina. Several months ago, Headrick sent out about 65 letters to members who were part of an internal men’s golf association. Fifteen came back marked “Return To Sender.” Other steps he’s taken to reconnect with his membership included a golf association tournament, held this past November at another course, designed to retain dialogue with those he had been able to track down. In December, he sent a letter to all pre-Katrina club members, hoping two-thirds would receive it. Other techniques being used include e-mail, word-of-mouth or just tracking down “friends of friends.” When Eastover reopens, Headrick expects to have 100 members, with another 100 returning by March or April. Getting all 400 members back, he says, is “overly optimistic at this time.” “People are still getting their lives together; you have people still rebuilding homes and trying to maintain their jobs,” says Headrick, who lost his house and lived in a FEMA trailer for 10 months. “Golf’s not the highest thing in their lives right now—but when they’re ready to go, we want to make sure we’re ready right there with them.”– BS