How the Golf Pro Can Budget His Shop Purchases By ELMER F. BIGGS Pro-Supt., Country Club of Peoria (III.)

N TUNE WITH the times, the golf pro- up-to-date mid-western city during the Ifessional is going to be forced to adopt same month. On the other hand, you modern business methods in his mer- should be able to buy light sweaters, linen chandising efforts if he is to maintain a knickers and other summer golf apparel high credit rating and make a financial in a good haberdashery store during the success from his investment, labor and holiday season when the thermometer is time. This is not the writer's idea alone, floating around zero. What is the answer? but the opinion of many successful golf Just good, sound merchandising, merchan- professionals with whom he has come in dising that can be adopted by any pro- contact during the past few months. fessional, anywhere. Factories in all lines of business are "This does not mean," says one business keeping their investments in raw materials man professional, "that we should buy down to a very minimum. Their owners from hand to mouth and waste all our must do this to meet the present day profits on long distance calls, telegrams, prices they get from their fabricated prod- C. O. D.'s and sales lost because of de- ucts. Low material stocks save large in- layed shipments during the height of the vestments of money—not in stock alone, season. This is not necessary." but in interest on tied-up capital, insur- In the central west, where golfing play ance, warehouse space, etc. generally starts in March and closes early Small raw material stocks relieve cer- in November, about 8 months are available tain sums of money for use in other for getting the volume of sales in golf branches of business, such as increased equipment and wearing apparel. Figures payrolls due to shorter working hours un- der the NRA; increased sales promotional 25% 50% 75% lOO% work; production of new models and new lines; better service to accounts, and Jan others. This same plan is followed out by Feb 8% successful wholesalers who also must keep stocks down to provide for rapid turn-over Mar 11% of investments. And, again, the same idea Apr 51% has permeated retail channels where stocks are more conservative than for two de- May 86* cades past. Jun KXK The club professional, being the chief Jul 92% retail unit in the marketing of golf equip- ment and wearing apparel, can learn much Aug 7&i% from successful retailers in other lines of Sep 81% business. Oct 39% Month to Month Budget Plan. Nov 24tt You would expect to find a soft coal heating stove on the floor of a cross roads Dec 36% country store in July—but not skis in a modern sporting goods store window in an Chart 1—If your's is a Central West NOTE—The writer is indebted for the club, your sales of golf equipment and data for this article to loyal members of wearing apparel should parallel the above the POA. Facts and figures used in com- averages. June, the big-volume month, is piling charts cover both the lean and fat charted as 100 per cent; other months are years over the past decade—1923 to 1933. drawn in proportion to it. OCTOBER, 1933 16

BEST PRO-SHOP SELLERS BY MONTHS January July Windbreakers, gloves, sweaters, woolens, Balls, clubs, bags, hats, linens, caps, balls, caps, bridge prizes. gloves, tees, tennis balls, half hose, shoes. February August Windbreakers, gloves, sweaters, hose, Balls, clubs, bags, hats, linens, caps, woolens, balls, caps, bridge prizes. gloves, tees, tennis balls, half hose, shoes. March September Raincoats, shoes, sweaters, hose, wool- Balls, clubs, bags, caps, gloves, tees, ten- ens, balls, gloves, clubs, bags, caps, tees. nis balls, half hose, shoes, sweaters, rain- April coats. Shoes, sweaters, hose, raincoats, balls, October clubs, gloves, bags, caps, tees. Raincoats, balls, bags, gloves, tees, clubs, May shoes, hose, sweaters, caps. Prizes, shoes, clubs, balls, bags, hats, November caps, hose, gloves, tees, tennis balls. Windbreakers, gloves, sweaters, wool- June ens, balls, bags, caps, bridge prizes. Shoes, clubs, balls, bags, hats, caps, December hose, tees, gloves, tennis balls. Miscellaneous holiday trade merchandise.

secured from many sources, carefully an- most PGA members. Some professionals, alyzed and charted, show, of course, that however, are good merchandisers and go June is the peak month. Therefore, on after holiday trade with printed circulars Chart 1 it will be noted that June has been and letters, as well as telephone calls to chosen as the 100 per cent month in sales. some of the club membership who are July volume falls only 8% below that known to be appreciative of Christmas of June. Heavier preparations, then, suggestions for various members of the must be made for June and July than for family. any other two months during the golfing calendar. Plan Easy to Follow. In further explanation of Chart 1, it Careful study of this chart lays out a would be best to point out one or two purchasing plan that represents a fairly peculiarities that may not be readily un- accurate guide to the purchase and sale derstood by a casual observation. of equipment and other acceptable pro Some may question the fact that Sep- shop items. tember runs per cent greater in sales Goods in stock during the months of volume than the month of August. This January and February would be without is due, in the central west, to the fact that a doubt, the minimum carry-over from the August, is the accepted summer vacation previous season and any merchandise un- month, when play migrates from home sold to holiday trade. courses to those of the resort sections in It is true that all golf clubs have a lim- more northern states. Severely hot ited number of all year-'round players, weather also cuts into golf play for those perhaps 5 per cent of a club's member- who stay at home. ship. The number could be increased by Again, it will be noticed that April, the professionals who stay at home and who month of some stormy weather, exceeds are willing to try to promote more win- that of October in "pro" shop sales. The ter play on the many ideal week ends dur- reason for this is not hard to determine. ing the winter months. The enthusiasm to lick "Old Man Par" is For this limited number of players, it is far greater in April than it is after the absolutely necessary that the pro shop long summer battle. While October is a be equipped with shafts, grips, sweaters, far more inviting month for golf than windbreakers, gloves, etc., if the maxi- April, the course must share time and at- mum yearly profit is desired. tention with football which is, during As we come into the months of March October, just coming into its best season. and April, rain coats, shoes, woolens and December sales on the chart may look new balls must be on display. From then a trifle optimistic to even some of the fore- on until cold weather again sets in, th« the professional better able to budget his Set-Up For Model 200-Bag Golf Shop monthly expenditures and eliminate the necessity of borrowing money to take care In location of 100,000 to 250,000 popula- of an extra large invoice of goods shipped tion. Pro's salary and lessons not included. to him at the start of the playing season. Figures are average per year over ten- The plan provides for taking care of mer- year period, from fall, 1923, to and includ- chandise accounts out of monthly receipts ing summer play, 1933. from sales and shop service, makes pos- Income. sible discounting the invoices and adding Club cleaning $1,039.00 the earned discount to the profit column. Repairs 270.24 Following such a plan would mean a far Clubs, balls, bags, tees, apparel... 5,651.65 better credit rating and would save the Tournament trophies 194.50 paying of some 6 per cent interest on bor- Tennis balls 61.00 rowed money when only approximately 2 Candy and refreshments 406.25 per cent can be earned by discounting in- Discount of invoices 2 per cent .. 69.77 voices. Chart 1 is so flexible that it can be made Total income $7,692.41 to fit sections other than the central west, Expenses. for which it has been primarily designed. Labor, 1 man 9 mos., 1 man 6 mos.. $1,170.00 But those golf professionals in this cen- Light and power 51.00 tral western section can accept Chart 1 as Miscellaneous 81.00 an authoritative guide on the percentage Caddies, pro. playing 82.00 of merchandise sales during each month Maintenance of equipment 60.00 of the year and on the various types of Repair equipment 180.12 merchandise acceptable and salable dur- P. P., express, freight 18.60 ing each month. Following this plan has Printing, supplies, postage 104.00 made possible turning certain past losses Ice 21.00 into profits for those who are now follow- Insurance and PGA dues 114.75 ing it. Merchandise 4,238.74 Profits From the Shop. Total expenses $6,121.21 The same survey has made it possible Net profit $1,571.20 to set up an income and expense estimate on what can be termed a model 200-bag golf shop. The figures in Chart 2 are the merchandising stocks must be complete averages taken from a survey where relia- in every detail of summer needs in order ble and authentic information, facts and to supply the demand. Sales again taper figures were available. off for the cold weather months with a The chart is self explanatory. It must conservative building up of broken lines be pointed out, however, that such a model for the holiday trade. 200 bag golf shop, to show the net profit Arrangements can be made with manu- indicated, must have the close personal su- facturers of equipment and wearing ap- pervision of the professional in charge. parel for first of the month deliveries on The plan proposed in Chart 1 must be all needed items in the shipment of fu- followed. The professional must not only ture orders placed at any convenient time. supervise the purchase of acceptable mer- For Instance, complete orders can be made chandise, but must also devote his time to up in the fall for specified shipments the a part of the selling of his merchandise first of each month of the entire season, and his shop service. and these orders can be made subject to This does not mean that the professional revision, either up or down. Or, orders must force his merchandise on his players. would be acceptable placed approximately Nothing can be more disastrous than the 30 days in advance for shipment the first idea that because a player is a club mem- of the following month. ber he must, perforce, buy from the pro. A little intelligent co-operation with mem- Acceptable to Manufacturers. bers who buy outside would be far more Manufacturers look with much favor on successful than the "You-ought-to-buy-from- this form of purchasing. Future orders, me" angle. with a definite schedule of monthly ship- The professional who uses salesmanship ments, allow the manufacturer to plan his in his work will not overlook the opportun- production program better. They make ity to treat players who buy elsewhere that when the buying does begin it will come with a rush. Seed prices generally were at their low- est for many years this spring and have moved upward slightly. When the "New Deal" policies were set into operation, peo- ple who had money and believed seed prices were to mount sharply, bought rather heavily. Prices dropped off after this splurge leaving seed held by those who will hold rather than take a loss. Small harvest, especially of the bent grasses, have made the market prices Percen t o f Tota l Annua Sale s firm, but there is no buying demand at present. There is no bent surplus on the Chart 2—Use this chart as a guide when market to depress the price as there was placing orders this fall for first-of-the during the previous two years. month deliveries of golf equipment and A fair supply of Kentucky bluegrass and wearing apparel for 1934. It shows what fancy redtop is on the market, both new per cent of your total annual sales you can crop and carry-over. However, both of expect each month. these grasses are holding up in price. Ken- tucky bluegrass is generally conceded to with the same consideration as those who be strongly held. buy from him, because the man who buys Government plan for withdrawal of sev- a bargain "down town" has more regret eral million acres from cultivation next regarding his purchase than the profes- spring is expected to effect grass seed mar- sional has regarding his loss of commis- ket, as farmers may put considerable of sion. And that player is always back in this acreage to grasses. the shop again for his next requirements. Chewing's fescue and other imported The professional who spends more time grasses naturally have advanced in price in working in his shop than he does in by reason of the difference in exchange. playing on his course will not overlook the opportunities of inter-member tourna- ments, locker room alley contests, birth- GREENKEEPERS HAVE EARNED GOLFS days of members of certain cliques, bridge TRIBUTE prizes for clubhouse players, tournament By John MacGregor trophies and Christmas trade—all of which President, National Association of Greenkeepers are opportunities to increase profit. of America Neither will he overlook the opportunity of carrying cheap balls and clubs, not for Greenkeepers can pride themselves that their sale to good players, but merely as ex- profession has made greater progress during the four years of the depression than during any amples of the construction of such equip- other period in golf history. ment and the fact that he can supply this We have had to seek out and command class of merchandise at "down town" thriftily every resource of science. We have had prices providing his players are willing to to exercise every ingenuity of labor management hazard a good game of golf to false to maintain our courses to the high standard we economy. have taught our players to expect from Ameri- can greenkeeping. In the last four years we have learned that we Golf Seed Prices Due for can do what we used to think was impossible. This spur of necessity has been painful, but it has Sharp Increase driven us ahead. I believe that American golfers are beginning OMPARISON of reports from leading to appreciate the achievement of American C suppliers of golf course seed Indicates greenkeepers in preserving and even advancing probability of increase in prices next the fine condition of golf courses despite sever' spring, with one prominent factor stating est handicaps of weather, turf pests and diseases, that an increase is probable for the fall. and money shortage. Golf clubs have confessed need for con- I am confident that when better times return the greenkeeper will receive the substantial recog- siderable seed to repair neglect of last nition that generally has not been his reward In few years, but await firmer financial con- the past. ditions before buying. Observers believe