DIRECTOR OF GOLF REPORT
The 2010 season, the club’s 89th anniversary, got off to one of the earliest starts in Ken-Wo’s history as the course opened for play on Saturday, April 3rd. Not only did the course open earlier than expected, but it also opened in excellent condition following a very “friendly” winter.
I would like to take this opportunity to provide the membership of the Ken-Wo Golf Club with an update on the year-to-date operation of the club as of July 31st. Included with my report will be brief summaries from various department heads on their respective areas of operation, as well as reports from divisions within the club.
MEMBERSHIP:
I am happy to report that we have once again reached our target goal of a full membership. The success in this area is attributable to an influx of new members (to replace those who did not return), along with the ongoing support and patronage of those returning from the previous year. There are currently 585 adult members and 150 junior members at the club. The membership breakdown is as follows:
Adult Men 450
Adult Ladies 130
Intermediate 5
Junior Boys 120
Junior Girls 30
The strength in membership is vital to the overall success and future of the golf club as it is this number that directly impacts all other revenue streams within the operation. I am also pleased to say that we have made great strides in attracting some younger members as there are currently 130 adult members under the age of 40 – very positive news for the future of Ken-Wo!
The budgeted dollar amount for membership in 2010 was $487,000. This number was based on membership revenue from previous years - $504,000 (2009), $469,000 (2008) and $423,000 (2007). With the return of members from past years, as well as the addition of some new members to replace those who did not return, the membership revenue amount for 2010 is currently sitting at $518,000, an amount we can all take a great deal of pride in as members. When considering the challenges we face from our competition (other golf clubs in the area), as well as other entertainment and recreational options, this amount is very positive and bodes well for the future of the club.
PERFORMANCE BY DEPARTMENT
ADMINISTRATION:
The business office has once again had a very busy year and I would like to take this opportunity to recognize and thank Brandy Martin for her hard work and efforts to date. As the golf course and golf club as a whole remains busy with members, guests, special events, tournaments, weddings, etc, the day-to-day tasks in terms of administration continue to increase; however, Brandy’s attention to detail and commitment to the task at hand has allowed the administration of the club to flow smoothly.
GREEN FEES & CORPORATE EVENTS:
As the Ken-Wo Golf Club is essentially a semi-private / semi-public golf club, the overall success of the facility is largely impacted by the revenue generated through green fees and corporate events. Although we are first and foremost a “members” golf club, and something we as management staff recognize and take pride in, it is the revenue generated through our guests that allows us to offer a great experience with great service to our membership. This “additional” revenue source also enables us to continue to make improvements to the golf course, the clubhouse facility, the maintenance equipment and the overall golf club. Having the ability to accomplish these feats while ensuring that the membership dues structure remains relatively constant is a bonus to everyone involved!
As mentioned earlier, the course opened ahead of schedule with the month of April seeing approximately $27,000 in green fee revenue. The solid pace set in April was challenged in May with a total of $41,000 in green fee revenue. The months of June and July in 2009 were very steady in terms of green fee revenue and I am happy to report that the 2010 season has been the same with approximately $45,000 in June and $59,000 in July. Once again, there is no denying that Ken-Wo is primarily a member golf club, but the revenues generated through green fees plays a big part in determining the overall financial success of the club on a yearly basis.
The remaining three months of the season play a very important role in reaching our budgeted number of $292,000. We are hopeful that the weather will cooperate well into October as success in attracting guests to our club will also directly impact the other revenue streams within the club such as power carts, pro shop and food and beverage sales.
Within the above noted green fee revenue is the revenue generated from corporate or charity golf tournaments. While we are very conscious as to how many of these events take place throughout the year so as not to interfere too much with access to the tee for our members, events of this nature are crucial to the financial success of the club on a year to year basis.
GOLF COURSE & LONG RANGE PLAN:
Our main asset is the golf course itself as that is the number one reason you as a member join the club – to play golf! As was reported at last years’ Annual General Meeting, the club purchased new equipment in 2010 in an effort to update and improve the current maintenance fleet, while also improving the quality of our main product – the golf course. The purchases included a TORO rough mower, a TORO greens mower, a John Deere tractor / backhoe and a TORO blower. Each of these units have been wonderful additions to our maintenance fleet, and very well received by our maintenance crew.
I can say with confidence that the condition of the golf course has been excellent since opening day, albeit very stressed in recent weeks! The early start to the season, thanks to some great weather in March and April, has certainly helped the condition of the golf course, but it has been the hard work of Rick Phelan and his crew that has enabled us to maintain this product throughout the season. The month of July has certainly been very challenging as a limited amount of rain, high levels of humidity and steady traffic on the course made for some challenging times.
As with any operation, and any golf course for that matter, there is always room for improvement. Rest assured we are constantly discussing ways to improve the overall experience that you receive as a member of the Ken-Wo golf club. With that being said, there have been several minor course improvements completed throughout the season with more planned for the coming months. The new washroom on the back 9, new mounding on #15, removal of trees in various areas, new cart paths on # 1 and # 7continued landscape work around the clubhouse, as well as several other projects, have kept the maintenance crew busy. While many of these improvements may be small in stature, they are the type of projects that improve the overall image of the golf course and they are certainly recognized by both members and guests alike.
The condition of our bunkers has been a discussion topic for quite some time now and that has certainly been an area of focus throughout the 2010 season. I hope the membership agrees that our bunkers have improved considerably thanks to the hard work and efforts of our maintenance crew. Several bunkers have been revamped with the addition of new sand, new drainage and new edging in the majority of the bunkers, with more work yet to come. Obviously, there is still some work to do to improve the overall consistency of our bunkers, but I truly believe we are heading in the right direction.
The club’s long range plan is always something that must be considered as the ultimate goal is to continue to make improvements to the golf course and facility, and thus improve the overall experience of our members. In mentioning the long range plan we must remember that the long range plan encompasses a number of topics such as the golf course, maintenance equipment, power cart fleet, clubhouse facilities, etc.
As some of you may or may not be aware, the greens on the front 9 have all been replaced, but there still remains a great deal of work to be completed on the back 9 including new green sites on most holes. Fortunately, one of these new green sites has already been completed as hole # 11 was redesigned in 2007 and opened for play in 2008. Another topic that relates to the long range plan is the addition of paved cart paths in various sections of the golf course to help in reducing the number of days where power carts are not available to our members and guests due to wet conditions, while also eliminating the need for our maintenance crew to spend countless hours repairing the paths after heavy rains. Some work has been done on this subject as quotes have been, or are in the process of being obtained from contractors.
In terms of the long range plan as it relates to the clubhouse facilities several discussions have taken place with regards to the possibility of relocating both the administration office as well as the Stop N Go. There is still a great deal of work to be done on this potential relocation in terms of functionality, design, etc, but the initial thought is to have the Stop N Go relocated to the now vacant space beside the pro shop (since the recent reduction in the size of the pro shop). This potential “new” Stop N Go would be much larger in comparison to the existing location and would offer the option of indoor seating to enjoy a coffee or quick snack either before or after your round of golf. In conjunction with the relocation of the Stop N Go would be the relocation of the administration offices to the main level. The idea is that the Director of Golf office would be located to the immediate left upon entering the clubhouse (the existing Head Pro office) with the administration office taking the place of the existing Stop N Go. Once again, these ideas are only in discussion at this point in time with a great deal of information yet to be determined, not the least of which is the overall cost to complete such a renovation project.
Having said all of that, the implementation of the long range plan in all facets is directly impacted by the financial success of the golf club! Thus, as the club continues to move in the right direction in terms of finances the long range plan will be given further consideration as we continue to improve the overall experience, facility and product, especially our most important product, the golf course.
GOLF OPERATIONS:
The 2010 season has been a year of change in the pro shop in terms of personnel. Although we were very happy to see a couple of long time employees, Jordan Milne and Andrew Harris, move forward in pursuit of their careers, we were equally disappointed to see them leave as they were of such high character and so vital to the success of the golf operation. Having said that, we have worked hard to fill their shoes and feel we have brought in some very personable and hard working individuals in Xavier Foley, Colby DeMerchant, Chris Judd and Toven Crockett-Allen. These “new additions” to the golf operations team have worked very hard to gain comfort in their new environment as they learned the ins and outs of the day-to-day golf operation. I feel they have done a great job in this respect and believe that the membership should be very pleased with their efforts.
As many of you are aware, the pro shop is now owned by the club. Therefore, any and all profits generated through “your” pro shop are immediately re-invested into “your” golf club. So please keep that in mind when fulfilling your golfing equipment requirements. Whether it is an in stock item or not, please be reminded that we have access to any and all of your equipment needs from any and all manufacturers and brands. So if there is something specific you would like to add to your golf bag or wardrobe please inquire in the pro shop and the golf operations team will do their utmost to meet your request.
A busy portion of the golf operation involves the use of power carts. The increased use and request of power carts is a common trend within today’s golf industry. On that note, we were very happy to update our current power cart fleet with the arrival of a new fleet in early July. There were a total of 30 power carts in the original fleet and we have increased that amount with a total of 36 power carts in the new fleet. We are confident that this increase in power carts will enable us to better and more consistently serve our members and guests who request and require the use of a power cart. The new fleet has been leased on a 5 year lease with a $1 buyout option at the end of the lease. What some people call an “aggressive” lease and others call a “smart” lease, has left the club in a position where it will have the option in 5 years time to either renew the lease with a new fleet or take ownership of the fleet and run the existing fleet for a year with very little expense. That is a decision that will be made in due time based on the condition of the fleet, number of carts required, etc, but it is certainly nice to have the option available down the road.
I would like to recognize the entire golf operations team for their efforts throughout the season. The “team” atmosphere is alive and well in the pro shop and the “vibe” has been very positive since opening day. My thanks and compliments to Head Golf Professional Derek MacKinnon and Associate Golf Professional Dan Fraser for their tireless efforts, commitment and hard work, along with their leadership within the entire golf operation. Job well done guys!
FOOD & BEVERAGE:
The food and beverage operation continues to thrive under the leadership of our food and beverage manager, Debbie Barclay. Several events have taken place in our dining room throughout the 2010 season and the calendar for 2011 has already begun to fill up with weddings, receptions, parties, etc. The comments and feedback we have received following these events has been very positive and certainly bodes well for the future health of the food and beverage operation.
We are blessed with some very loyal and committed employees within this facet of the operation. I can assure you that the team of individuals currently in place in our kitchen is as strong a team as you will find in an operation of this nature. Not only can they prepare great meals, but their ability to work together and ensure a safe and clean working environment is something to behold.
To complement our wonderful kitchen staff, we are very fortunate to have a service team that is genuine, sincere and hard working. Although there may be the odd hiccup from time to time each and every one of them is committed to serving the members and guests of Ken-Wo – and this service is always completed with a smile!
I would also like to recognize the efforts of our clubhouse custodian Annette MacGillivray. She is now in second year with the club and I consider us very fortunate to have her as a member of our team here at Ken-Wo. Her reliability, consistency and attention to detail has allowed our members and guests to socialize in and visit a very welcoming environment. Great job Annette and keep up the great work!
STATEMENT OF REVENUES - AS OF JULY 31ST
I will now provide a year over year comparison of revenues in each department.
NOTE: All Numbers AS OF JULY 31ST, 2008, JULY 31ST, 2009 & JULY 31st, 2010
MEMBERSHIP REVENUE
-$468,000
-$505,000
-$518,00
GREEN FEE REVENUE
- $158,500
- $196,500
- $197,000
POWER CART REVENUE
- $50,000
- $63,500
- $63,000
PRO SHOP REVENUE
- $116,000
- $160,000
- $152,000
FOOD & BEVERAGE REVENUE
- $144,000
- $169,000
- $195,000
As you can see from the above noted numbers, the club has had a successful first half to the season; however, we still have a long way to go to reach our end of season goals. The remaining three months of the season will dictate the overall success of the 2010 season in terms of finances.
I would like to close by extending a warm and sincere thank you to the board of directors, membership and staff for their continued support, patience and hard work. Without the support of our members and hard work of our staff the club would obviously not be experiencing the recent success we have seen in recent times. So a big “Thank You!” to everyone for making “your” golf club a success story at a time when many golf courses across the country are facing reduced revenues, declining memberships and closures in some extreme cases.
Please enjoy the remainder of the 2010 season and I encourage each and every one of you to continue to support all aspects of “your” golf club. And be sure to enjoy some great fall golf as well as there is no better time than “fall golf in the valley!”
Yours in Golf,
Rene MacKay
Director of Golf
