West Palm Beach, Fla.-based Kitson & Partners provides operational turnaround management services for lenders, investment banking organizations, real-estate developers and municipal governments. Kitson & Partners’ golf management division offers clients experience in golf club operations and related businesses.
The firm opened its golf management division in 1999, and since then has helped more than 200 public and private golf clubs with strategic business initiatives to build market share, upgrade quality and service, and reduce overhead costs.
Challenge
Kitson & Partners needed to reach new and existing customers in the El Paso, Texas, area they didn’t have the resources to connect with otherwise. Prior to teaming up with The Smart Circle, the firm initiated grass roots public relations efforts, bought advertising in various media outlets and partnered with Web-based tee-time marketers. However, none of these efforts generated the revenue and brand awareness they desired.
Strategy
In 2000, the firm partnered with The Smart Circle, a person-to-person advertising company, to increase revenue, fill unused capacity, enhance brand loyalty and significantly increase the rounds of golf played per year at its 20 managed golf courses. The Smart Circle was in charge of developing a strategic marketing plan that would accomplish these goals. The following work was done on the project:
- Kitson & Partners worked closely with The Smart Circle to create the parameters of the golf club offer for consumers;
- The Smart Circle served as a strategic sounding board during the review and approval processes of the marketing campaign;
- Professional collateral materials were developed and produced by The Smart Circle to correlate with the offer to be provided by Kitson & Partners;
- The Smart Circle conducted a training session with course level staff and in-market sales team in preparation for the launch of the campaign; and
- The Smart Circle sales team began traveling to meet face-to-face with prospective and current customers to market the Kitson & Partners special offer.
Results
The phone began ringing in the golf shop as soon as The Smart Circle’s direct sales team hit the neighborhoods, according to Greg Christovich, vice president of operations for Kitson & Partners’ club services division. Within one week, the Smart Circle cards began appearing from new and returning customers looking to utilize the offers, Christovich says.
In El Paso, The Smart Circle’s referral marketing campaign resulted in more than 3,000 incremental rounds of golf played at Kitson & Partners’ two managed courses. Marketing activities generated by The Smart Circle resulted in a significant increase of rounds of golf played by new and returning customers. Customer loyalty to the golf courses continues to increase word-of-mouth referrals from existing customers to play at Kitson & Partners’ golf clubs.
Long term
The quality of The Smart Circle’s management and sales team, the professionalism of their approach, their understanding of the golf industry, and their ability to leverage and penetrate segments that were impossible for the golf management division to reach on its own sealed the deal for Kitson & Partners. The Smart Circle and Kitson & Partners are rolling out their 2006 referral marketing campaign with the same strategic goals of driving additional traffic, increasing revenue and generating more brand awareness.
“My managers love the program because it brings them rounds they would otherwise never be able to get to on their own,” Christovich says. “Our guests love the program because it enables them to play more golf and even invite friends, and they consider the card a reward for their loyalty to the course.”