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Why Are PXG Clubs So Expensive? New Video Blog Has The Answers...

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Several good points here. I think PXG either does make money now or are tracking on a business plan that leads to profitability. Sure Parsons can bankroll it to the hilt, but high margins are a good thing for a business. As someone said earlier, at these prices you don't have to sell many - but make no mistake, they're selling plenty. Recent stats show their dollar share in the market actually ahead of Mizuno. Sure its partly because of price, but there is some volume to back it up.

 

When it comes to business, golf equipment is just like any other product: margin over volume every day of the week, and twice on Sunday. I'm sure one of the reasons fitters like selling PXG is that there's margin in it for them, too - it's what Hogan tried to do when they started up a few years ago, they just didn't have the marketing or bankroll to support the startup (lots of other mistakes made as well, that we don't have to get into here). If however many people are willing to pay that premium for the exclusivity, the pride of ownership, the perceived value and the experience, then hats off to whoever makes that model work.

yep, no doubt. When I saw the last golf data-tech report, I was a bit surprised to see where it's share currently is as opposed to just a year or two ago. 

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I really love the game of golf and if I was a double billionaire and could afford to lose money I would sell my clubs cheaper no matter how great they are. Loving golf is just not playing, but promoting the game and trying to get others to play too.

 

Sent from my SM-G920V using Tapatalk

 

That would be very nice of you, but that business model would be operating at a big fat loss very quickly.  The golf equipment industry is not a price driven industry.  Cheaper does not = Sell more

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I'll disagree with your last statement. If you want to make more money, one of the worst ideas you could have is to enter the golf equipment/clubs industry when PXG did. I think PXG clubs cost more because they do likely cost more to manufacture aside from being sold as premium options.

 

I think Parsons does this because he is passionate about the game and wants to do something "insanely great" to quote Steve Jobs. He is a double billionaire so could afford to run PXG at a loss, and I think he genuinely wants and believes he can make the best golf clubs out there.

 

I'm also not sure PXG is even losing that much money. Many people on here haven't seen PXG out in the wild, but we don't play at the kind of courses PXG's main target audience plays at. I spoke with a high end fitter last Spring and he said he fits more PXG than anything else right now. PXG is new and shiny and promising the moon. If PXG doubled the prices, they might actually sell more.

 

(Veblem good. Like any premium product, the more expensive, the more people covet it. https://en.wikipedia.org/wiki/Veblen_good)

 

By the way, PXG also insists on custom fitting every club they sell. Leads me to believe that the fitting likely adds more to performance than whatever new tech they brought to the table but that is just conjecture. An uninformed person sees improvement after the fitting and attributes it to just the head.

 

Two important points- first, PXG insists on custom fitting their product- good for them, great if you can get a custom fit suit or the like - it does make a difference- in fact, recommend it for anyone serious about golf.  Not sure how PGX will handle that when players decide they want to sell their older clubs...

 

And to your second point about coveting premium products- Rolex maintains a minimum sales pricing plan on new watches- This is why you rarely see new Rolex watches "on sale" - the price is the price, and if you can afford one, more power to you.  They cannot control the secondary (used) market, and you can often get a very good deal on these, but don't have the luxury of knowing that it is "real" or counterfeit.  But then again, if your goal is telling time accurately, you can buy a reliable Timex or Casio watch for less than $20. 

 

I suppose it is what you want it to be- PGX if you have the $ and care to spend it that way.  Almost every club I have ever bought has been second or third hand, save one set of custom fitted Riley "Repeaters" when I first got back into the game.  Now my "fitting" involves me going thru different clubs at the local Golf Galaxy and seeking equal or better performance and better feel- at as good or better price than what I have now.

 

FWIW, my 714 AP2's are working well when I hit them well, and I know it when I don't hit it well.

 

   

 

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And to your second point about coveting premium products- Rolex maintains a minimum sales pricing plan on new watches- This is why you rarely see new Rolex watches "on sale" - the price is the price, and if you can afford one, more power to you.  They cannot control the secondary (used) market, and you can often get a very good deal on these, but don't have the luxury of knowing that it is "real" or counterfeit.  But then again, if your goal is telling time accurately, you can buy a reliable Timex or Casio watch for less than $20. 

 

Excellent point about watches -- people who buy Rolexes buy Rolexes because they want to and because they can. I can see a similar dynamic with PXG - there's no end of the supply of people with money who want the experience of buying and owning PXG, whether it's the personal experience of jetting to Parson's HQ for a one-on-one fitting, or going to Club Champion for the fully monty - it's their money and their experience. 

 

I never really understand the venom any PXG related story gets in the comment section of the blog - people really seem to take the price personally. Hell, I can't afford it and I'm not their demographic. But tell you what, if I was selling golf clubs I'd certainly want to sell premium priced equipment rather than bargain basement equipment. That whole cut the price and make it up in volume thing is utter nonsense when you have a limited amount of time, space and wherewithal. 

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I don't have any problem at all with Parsons and his PXG clubs. Well, maybe with Parsons. His personality. It doesn't agree with me but that's beside the point. In fact way back when computers were a thing Parsons sold a ton of various software programs that were useful and cheap. I owned a few of them and they worked nicely I recall. Disclosure: Once I was also a customer of Go-Daddy.

Obviously there is a market for vanity golf clubs. I'm quite sure his PXG clubs are very good too. But not necessary better. I don't drive a Ferrari and my car does the same thing. Get's me from point A to B. Although slower. There's always been a market of most everything that's considered "upscale" or over-the-top. PXG in my opinion are no different. If you want them, buy them; and enjoy your day. I'm of no opinion weather Bob Parsons makes or loses money with PXG or any of his other businesses. I also don't care who he chooses to help market his clubs. Again, it's his baby.

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Hard to reconcile high quality claims and high cost when they are paying 2 female golfers who aren't there for their playing ability. I'm pretty sure Paige Spiranic and Anna Rawson wouldn't get a cent if they weren't attractive. Do they base their men's deals on appearance as well?

 

 

 

It's all Bob Parsons. If you've ever seen any of his GoDaddy ads .. it's all about the babe factor.

 

(Now, as a red-blooded male I am *not* complaining about that .. just saying that's his "way"...)

 

He'd also sponsored Danica Patrick as the first female Indy driver - she never won, but then she wasn't all that bad looking, either....

During our round yesterday, SCG, STUD and I were discussing drivers-  and how golfers can be convinced by a particularly attractive, young female (Name the Golf Company)  representative to purchase a particular driver with a significantly more expensive shaft - a significant upsell- and yes, they often do buy it  "She was sure he could handle it" or so the conversation might go...  My question would be - so was it the performance of the club, or the performance of the sales rep....?!?!?!

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I finally found a PXG price list on which "subject to change" was noted.   The prices (each) were as follows:

 

Driver                         $700

Fairway woods           $400

Irons & wedges          $300 to $325

Putters                       $400 to $600

 

To replace my current bag makeup with PXG equipment, it would cost around $5,250.   To do the same with another typical OEM, it would cost around $2,550.   In short, it seems that PXG would cost me twice that of another OEM.   Unfortunately, I am not what some label as a "Club Ho", I tend to use the same equipment for several years.   However, if I were a "Ho" and was continuously buying new equipment, then if PXG made a significant difference to my game, using them for a long period and not continuously replacing them, I might at least break even over an extended use.  But then, I wouldn't have the enjoyment of new clubs as often if I were a "Ho".  

 

However, if it made a significant difference in length, I might consider the purchase of just a driver.   But I think I may be in Fantasyland, if I think a PXG driver would be that significantly different using my swing.

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Excellent point about watches -- people who buy Rolexes buy Rolexes because they want to and because they can. I can see a similar dynamic with PXG - there's no end of the supply of people with money who want the experience of buying and owning PXG, whether it's the personal experience of jetting to Parson's HQ for a one-on-one fitting, or going to Club Champion for the fully monty - it's their money and their experience. 

 

I never really understand the venom any PXG related story gets in the comment section of the blog - people really seem to take the price personally. Hell, I can't afford it and I'm not their demographic. But tell you what, if I was selling golf clubs I'd certainly want to sell premium priced equipment rather than bargain basement equipment. That whole cut the price and make it up in volume thing is utter nonsense when you have a limited amount of time, space and wherewithal. 

 

I remember Mark Crossfield doing a series of videos on this exact comparison with Rolexes and other timepieces, both of with do the exact same function, which is to tell time and equating it to golf clubs (I think it was Calalway's Epic irons). I'd link to them here, but I'm posting this from work... shhhhh.

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If you have the Cash, and you want a set of PXG's, by all means, go get them.  It's your money...

 

-FLIPSIDE-

 

I buddy of mine has a set of PXG's (0311),  Every once in a while I will hit the same club (PXG) right after I hit a shot with one of my irons, just to compare.... same results, balls are usually in the same proximity of each other.

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I buddy of mine has a set of PXG's (0311), Every once in a while I will hit the same club (PXG) right after I hit a shot with one of my irons, just to compare.... same results, balls are usually in the same proximity of each other.

Yup - regardless of what sport you participate in it always comes down to the operator not the equipment.

 

 

Sent from my iPad using MyGolfSpy

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Zack Johnson won the open using pxg's in 2015 bro. And their marketing is pretty solid...they've effectively carved out a loyal customer base, most of which willingly paid the “extra” cost to switch from big name manufacturers to PXG.

 

Also - try the irons and you will know exactly why cost as much as they do.

 

Taylor made, Calloway and Titleist all now have a competing high end set of clubs...all because of PXG.

 

Enjoy the golf brother

 

 

Sent from my iPhone using MyGolfSpy

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Zack Johnson won the open using pxg's in 2015 bro. And their marketing is pretty solid...they've effectively carved out a loyal customer base, most of which willingly paid the “extra” cost to switch from big name manufacturers to PXG.

 

Also - try the irons and you will know exactly why cost as much as they do.

 

Taylor made, Calloway and Titleist all now have a competing high end set of clubs...all because of PXG.

 

Enjoy the golf brother

 

 

Sent from my iPhone using MyGolfSpy

He was still playing Titleist clubs when he won the open. If I remember he switched in the off season and 2016 was the first season he played PXG.

 

Sent from my SM-G950U using Tapatalk

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I don't have any problem at all with Parsons and his PXG clubs. Well, maybe with Parsons. His personality. It doesn't agree with me but that's beside the point. 

 

 

... Plaid I would suggest it is the point for many. Parsons is like those used cars owners in small markets that insist on doing their own commercials simply because they can regardless of how poorly it reflects on them or their product. He is obnoxious, crude and loud in all the worst ways. I would not play PXG clubs if Parsons paid me to do so. If he had hired a spokesperson that came across as likable and believable and most importantly unpretentious, I think the PXG brand would at least be appreciated for what it is. A company sparing no expense to make the best performing clubs for a specific market. 

 

... Can you imagine a Rolex commercial with a spokesperson loudly and obnoxiously claiming "We make that best watches. PERIOD. KaBOOM Baby!" He makes Al Czervik look like a sedate CC member. That said, he is a self made rich guy that has done things his way and he isn't gonna lose one second of sleep over someone that doesn't like his style. He is doing things exactly like he wants and I am sure there are those that actually like his authenticity. 

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Yup - regardless of what sport you participate in it always comes down to the operator not the equipment.

 

 

Sent from my iPad using MyGolfSpy

 

yet many of us think we can still buy a game not realizing you still have to get the golf club in the right position to produce a decent golf shot.  :ph34r:  

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Excellent point about watches -- people who buy Rolexes buy Rolexes because they want to and because they can. I can see a similar dynamic with PXG - there's no end of the supply of people with money who want the experience of buying and owning PXG, whether it's the personal experience of jetting to Parson's HQ for a one-on-one fitting, or going to Club Champion for the fully monty - it's their money and their experience.

 

I never really understand the venom any PXG related story gets in the comment section of the blog - people really seem to take the price personally. Hell, I can't afford it and I'm not their demographic. But tell you what, if I was selling golf clubs I'd certainly want to sell premium priced equipment rather than bargain basement equipment. That whole cut the price and make it up in volume thing is utter nonsense when you have a limited amount of time, space and wherewithal.

Great post. Ive never gotten the hate either. Its his company, he can run and market it how he sees fit.

 

I've never hit a PXG club and I'm pretty sure all the negative comments about them being junk and nit worth it, come from people who've also never hit them. With all that R&D and production time and cost, itd be impossible for them to be junk.

 

I finally just got to watch the video, and thought it was fine. Maybe i didn't learn whole lot more than i already knew. But it was fun.

 

 

Sent from my iPhone using MyGolfSpy

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Meh. I play PXG, and I enjoy them a lot. But watching ads like this, coupled with their poor after sale support makes me not like the brand that much comparing to Honma for instance.

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I'm in the middle of being fit for pxg 0311 irons. I've played ap2 for many many years. I was really looking forward to the new 718 ap2 I demod them for 1 1/2 hrs on trackman. Zero difference in numbers from my old to new. Zero. Feel and look at address exactly the same as old ap2. I then pivoted to pxg 0311. I didn't see a significant difference in distance but I did have more distance overall 6 iron to 6 iron. The feel for me was softer and me personally better. I decided pxg was direction I wanted to go in. I did this back in September. I also set up a pxg piggy bank and saved enough now to buy them which is what I'm doing. If you read about the company on LinkedIn or Facebook I really love the vibe and direction of the company. Lots of ex ping employees and u Arizona, asu and duke graduates. Company is supposedly going to post it made little over $100 million last year 2017. They have roughly 100 employees now. Everything being pumped out of the Scottsdale area of az. Is parsons arrogant? I don't think so. I think he's honest. How is it possible that every other club manufacturer prices all the same. How is that possible. You can walk into golf galaxy right now and compare every other players iron and they're literally all the same price. How is that possible. How is it possible that at these price points every other manufacturer is really coming out with something better and different every 2 years? Case in point, me w the new ap2. Parsons is totally right.

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I'm in the middle of being fit for pxg 0311 irons. I've played ap2 for many many years. I was really looking forward to the new 718 ap2 I demod them for 1 1/2 hrs on trackman. Zero difference in numbers from my old to new. Zero. Feel and look at address exactly the same as old ap2. I then pivoted to pxg 0311. I didn't see a significant difference in distance but I did have more distance overall 6 iron to 6 iron. The feel for me was softer and me personally better. I decided pxg was direction I wanted to go in. I did this back in September. I also set up a pxg piggy bank and saved enough now to buy them which is what I'm doing. If you read about the company on LinkedIn or Facebook I really love the vibe and direction of the company. Lots of ex ping employees and u Arizona, asu and duke graduates. Company is supposedly going to post it made little over $100 million last year 2017. They have roughly 100 employees now. Everything being pumped out of the Scottsdale area of az. Is parsons arrogant? I don't think so. I think he's honest. How is it possible that every other club manufacturer prices all the same. How is that possible. You can walk into golf galaxy right now and compare every other players iron and they're literally all the same price. How is that possible. How is it possible that at these price points every other manufacturer is really coming out with something better and different every 2 years? Case in point, me w the new ap2. Parsons is totally right.

 

IMO most folks have certain brands that fits their comfort zone.  When you have golf clubs that costs more, your average golfer's are not going to try them.  Unless you have saved up like you, or you're living the good life, these high cost clubs are not in reach.  Most companies are similar in cost because they are in it to make money.  If you  have a similar product and yours cost waaaaay more, who do you think the customer is going to lean towards. Especially if it's in their comfort zone. 

 

Heck go for PXG clubs and if it works, good for ya.  If not, then you will have learned a valuable lesson.  

 

Let us know how this all pans out!

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But the other club manufacturers don't appear to be making money. Look at their numbers specifically golf

Club sales. The other issue is performance. All the new technology is no different from the old. Just like parsons mentions. All I'm pointing out is everyone puts down pxg due to their cost but yet people who have pxg swear by them. Never mind. I never should have thrown my hat into this ring. There's an old saying, “you can't teach stupid”.

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