GolfSpy Barbajo

The best business speaker I've ever known - the late, great Larry Steinmetz - put it very simply: How many of you would be willing to work three times as hard as you're working right now and make the exact same amount of money you're making right now? Go ahead, raise your hand...

The dude misses one very important point about any business - margins. IF what he says about declining participation is accurate, and IF you know the market for drivers is declining (meaning fewer drivers overall are going to be sold year after year), and IF your goal is margin and not market share, your prices will be going up. If your goal is market share then sure, your can cut your prices, but how many more will you have to sell to get to the same profit in dollars than if you left the price alone? If you have a profit margin of 20 percent on your product when you sell it to a retailer, and you decide to cut your selling price 15% (ONLY!!!!), and guesses on how much your volume would have to increase in order to make the same profit dollars as you would have if you had just left well enough alone? Try 300%. You would have to sell THREE TIMES AS MANY DRIVERS just to get back to where you were before you made the market share grab. But even that number is a little shady, because everything you do is going to have to triple - you'll need more inventory, you'll need more warehouse space, more manufacturing capabilities, more order-entry, more sales people and more advertising to get people to reach for your product compared to someone else's - and we're talking only a15% percent price cut. If your retailer passes that price cut on to the consumer, a $399 driver would be selling it for $339. Is THAT kind of a price cut going to get you 3 time the sales? On the other hand, if you were working on a 20% margin and actually INCREASED pricing 15% - now selling that $399 driver for $459, you could LOSE 43% of your sales and still stay whole profit dollar-wise. And both scenarios assume your cost of goods sold doesn't change which, of course, it will. Hmmmmm..... Which would you do? This may seem like a slight oversimplification - and in some ways it is - but ultimately the math is the math is the math...

For my money, Padraig is the real Most Interesting Man in Golf....

There's two reasons you buy anything - either you need it or you want it. And either reason is valid. At that point, it's what price are you willing to pay. If someone wants to buy a $400 fairway wood, that's their business and they sure as hell don't have to justify their decision to me. Unless, of course, they come to me to borrow the money. I am learning, as I get older, that spending a bit more for something of better quality or for something I just like the look/feel/fit of, or even something that I enjoy owning and using, is worth it to me. The same stuff may not be worth it to someone else. IMO, golf equipment isn't any different -- I'm still trying to find the official Yards-per-Dollar Matrix, but I'm beginning to doubt it exists because if it did, that Tour Edge HL-3 driver we tested last year would have been by far the number one seller. It gave you more yards per dollar than anything else in Most Wanted.

As GolfSpy T often points out, there is absolutely NO data to support the idea that equipment costs influence participation. None. It's a convenient, albeit flawed argument to make, but correlation isn't causation. And, as T correctly points out, the existence of a PXG doesn't mean a lower-priced alternative is wiped off the board. Jeff from Hireko Golf told me last year that loft-for-loft and shaft-for-shaft, a lower priced version of a Hireko model will perform so close to a "name brand" iron that most of us non-professionals (and non-plus handicaps) couldn't tell the difference. And seriously, I want to learn more about Sub 70, started by Diamond Golf's owners. Stuff looks pretty sweet at a nice looking price.

I know it's been bandied about for the last week or so, but just got official word from Bridgestone that Brandt Snedeker is leaving the brand. Not sure if it's a matter of his contract running out and not being renewed, or if he decided on his own to look for greener pastures, but here's the official statement: “For more than a decade, Brandt Snedeker has served as a tremendous ambassador for the Bridgestone Golf brand, and we are proud to have been the equipment partner he trusted for all 9 of his PGA TOUR career victories, including his thrilling FedEx Cup points title in 2012. “Sneds” will forever hold a special place in the Bridgestone Golf heritage. We wish him nothing but continued success and happiness both on and off the course.” Folks at Bridgestone tell me Snedeker is one of the truly good guys, and he worked very hard with the golf ball group. And he always grabbed the check at dinner. Have heard rumblings about some TaylorMade stuff finding its way back int o Snedeker's bag...have you guys seen/heard anything?

It's a 9-club deal that could grow to 10 or more if he adopts more Wilson clubs. He's been practicing with the Cortex, but Tim Clarke says he expects it won't go into the bag yet, as players do like to stay with something familiar off the tee this early in the season. He does fully expect Woodland, and maybe Steele, to put Cortex in the bag this season. They do think several of their European Tour players will have the Cortex in their bags this season - once we get someone to follow the European Tour for us we can verify Wilson will officially unveil the final versions of the new blades at the PGA Show, with retail availability in the early Spring.

My, that view looks awfully familiar. Happy New Year Rev!

This thread is one of the reasons I love this group of people - you guys really care about this forum and all on your own have formed a true community. @jaskanski - I appreciate your sentiments. This time of year almost always slows down, but it's important to remember back to about 4 years ago - that was a truly slow time for the Forum, but with the help of members who really cared, we got back on the right path. We're still true to our mission - to be the most open, honest and friendly place for real golfers to connect - an online 19th hole. Some other comments - yes, testing opportunities drive membership and yes, most of those people only come around when there's a testing opportunity. Trust me, the moderators know who the real players are and who are the ones just looking for free stuff - it's almost comical going through the applications and seeing names that you only see in applications. They may have 60 to 70 posts, but a little digging shows they're ALL applications. It's simple - be an active member of the community and you're likely to be chosen, basically because we know we can trust you. Also, this forum is almost always a "high road" type of group. We did have to ban a couple of troublemakers this year (my first bans - it was a rush!), but when alleged adults resort to the "Yeah, but what about what HE said" defense, it's time to act (seriously, I last had that discussion with my kids when they were about 8!). As adults, we all get that we're responsible for what we think, say and do and unacceptable behavior is always our own responsibility - again, that's why this community is different. We all have people here we gravitate towards, and there are people on the forum we just don't mesh with, but as long as we're respectful, we're good. One last thing - kudos to Stud, CG2, Stroker and MPR. You guys don't know how lucky you are to have these four guys running the show. They're doing a ton to help keep this forum on the path to continuous improvement, and you'll see the results of their work throughout 2019. These guys get it, and I'm confident they'll realize our goal of hitting 100,000 members. Happy New Year everyone, and here's to an awesome 2019 here at MyGolfSpy!

It was a wonderful service Rev and we were thrilled to be there. I wish you could have seen the look on your face when you figured out it was me during the reception line! Great to see you and thank you for the wonderful Christmas memory!! Sent from my iPhone using MyGolfSpy

If they stick to a two-year cycle, I’d think so. But it depends - it’s still selling well. CBX Irons and wedges, plus metal woods - all on schedule for a 2-year update. Sent from my iPhone using MyGolfSpy

Callaway’s stuff looks intriguing as always. You’ll see a full on barrage in early January. In fact, we’ll have a crap-ton of release stories next month - lots of cool stuff coming out. Later in the year you’ll likely see new gear from Cleveland, Wilson, Hogan and a few others. Sent from my iPhone using MyGolfSpy

Rolex buyers don't buy a Rolex because they want to tell the time accurately. If that's what they want, a $20 Seiko is a better timepiece. Rolex buyers buy a Rolex because they want a Rolex. And maybe to feel a little like James Bond.

I've heard of a similar story here - guy had a roadside farm stand and was selling tomatoes. He had two bins - one bin was marked 50 cents per tomato, the other marked $1 per tomato. These were the same tomatoes, they weren't separated by size, quality or anything. The $1 tomatoes sold out in no time. When the bin was empty, he took tomatoes out of the 50 cent bin and put them in the dollar bin, and sold out again. Price makes a statement...even when it comes to tomatoes.

Outstanding topic! This is something Foz and I were kicking around while playing golf last weekend, so I'm glad someone posted. First off, I believe one thing: people (meaning the likes of us) are, by our very nature, NOT price buyers. That may sound antithetical to everything we think, believe, hear or read, but there's enough evidence to show that it's true. IF WE WERE PRICE BUYERS, the following would be true: The Yugo would have been the greatest selling car of all time. Anyone who works in sales would not be working - as all of whatever it is to sell would be sold by one entity, the one with the lowest price. There would be no concept of good-better-best. There would be no First class, comfort class or any other class on airplanes. Ruth Cris Steakhouse would not exist. I could go on, but you get the point. We like to think we're price buyers, but we're not. We may be bargain hunters, but that's not the same thing. Say you're bargain hunting for a golf shirt at a year end sale, and you find the cheapest one possible. Would you buy it if it was butt-ugly and two sizes too small? No, because style and fit are at least as important as price. (Sorry if this comes off as pedantic, but I teach a class in this for the day job ) Often time habit and/or comfort is a strong factor in why we buy what we buy. In the example of Chick-Fil-A vs. Zaxby's - logic and convenience says skip the line and hassle at Chick-Fil-A and head over to Zaxby's, but clearly that doesn't happen. It may be a blind loyalty to Chick-Fil-A, and no doubt there are people who love it and wear their Chick-Fil-A-ness as a badge of honor, but it's just as likely, if not more likely, that folks are simply used to going to Chick-Fil-A and tend to be risk-averse. It's easier and more comfortable to go to the place you've been going to - you know what you like, you know what to order and you know what to expect. That consistency of experience is powerful --- it's why you'll often see American tourists in Paris actually eating at a McDonalds - part of it is the oddity of eating a Big Mac in Paris, but the other you pretty much know what you're getting, and it's comforting. Hell, it's why chain restaurants are successful in the first place - when you're on the road and don't know where to eat, familiar is good. It's also why a show like Diners, Drive-Ins and Dives is popular - it takes a little of the risk out of trying something new when you visit somewhere, because hell, if Guy likes it, it must be safe. Tony has an interesting take on drivers, but it can be extended to any golf equipment -- if you look at Callaway, PING, Titleist and TaylorMade - you can consider those "safe" drivers. You know what to expect, you know they're going to perform. Cobra is also on that list, but a tad more fringe. When you start to look at other brands: Srixon, Wilson, Mizuno and others - they're not as safe. You may be taking a bit of a risk buying one of those instead of something you know won't rock the boat and won't suck. Chances are, those drivers will perform every bit as well as any of the others for you. And if you think Srixon, Wilson, Mizuno and the others should just lower their prices in order to sell more, well that does not compute. Price makes a statement. High price makes a positive, salutary statement, while low price makes a negative, derogatory statement. You mind says "this one's higher priced, it must be better. Why else would it be higher priced?" And conversely, "this one's lower priced, it must not be as good." It's interesting whenever we do a blog on PXG or any other premium equipment line (rememberer the P53 blog from last July 4th?), we sit around and wait for the blogosphere to lose its mind about price. The existence of high end, premium-price, premium experience equipment doesn't hurt you, me or anyone, and its existence doesn't mean one lower priced company has to close its doors. It's not a zero-sum game. And there's no evidence to suggest the existence of ultra-premium equipment is keeping people from playing the game. I don't know if you guys saw this, but Sub-70 golf equipment officially launched its products this week - it's a premium-type experience being sold factory direct online only (a la Hogan), with a limited initial offering. Its business model is VERY Hoganesque: you can only buy online, but they will custom-build your set to any specs you want. A set of forged irons starts at just a tick above $500. So in theory, if everyone thinks golf equipment is too expensive, these guys should clean up, right? They should be raking in the dough hand over fist, right? After all, the other thing we hear in the comments section on the blog and on social media is that marketing is all bullshit and do these golf companies think we're stupid? Logic says Hogan, Sub-70 and others should be on the fast track to Profit Town. I don't think marketing makes us think a specific product from a specific company will make us a better golfer, I think marketing is designed to make us feel more comfortable giving Callaway $500 for a new driver than we would be giving Mizuno or Wilson $500 for a new driver. That's why you hear about the Cortex - "for that kind of money it better be 20 yards longer than my M4!!!!" And lower the price of the Cortex isn't going to change that comfort equation. The point with Hogan or Sub-70 or others - the lower priced options are there. I spoke with an interesting dude at Hireko Golf several months ago and he maintains that, with the same shaft and loft structure, any one of the Hireko-sold irons will perform, for golfers like us, every bit as well as anything you can find from any main stream OEM in the same classification. That's a bold statement, and one I'd love to put to the test. But even if it's not the same, even if it's close - say a Callaway Rogue 7 iron goes 170 yards and the Hireko-made similar iron only goes 167 - would you buy it? Here's another thing - let's say the Big 5 iron set is $1,200, and you could get a comparable set custom-made to your specs with your shaft from, say, Sub-70, for $600. My guess is people would rather wait and buy the $1,200 set either used or discounted to, say, $800 than buy the unknown name for $600 brand new and custom built. Why? Comfort and safety. A $600 dollar set of irons is a $600 dollar set of irons in our eyes. But a $1200 dollar set of irons marked down to $800? Bargain!!!! Sorry for the rant, boys. It's raining and I've been listening to Lewis Black on Spotify all morning...