Newington, N.H. - Changes in the golfing industry nationwide are being felt at golf courses along the Seacoast, including the Pease Golf Course, according to Scott DeVito, the PGA professional at the tradeport's 27-hole facility.
A review of golf course finances, done yesterday at a meeting of the Pease Development Authority's Golf Course Committee, shows course revenues in July and August were down 4 percent from a year ago, while the number of rounds played are also lower this year than last.
According to DeVito, the trend at Pease is similar to a national trend, which saw a slight increase in rounds played in June, with July in a holding pattern and a fall-off in August.
Despite these local fall-offs, total income at the Pease course is up 6 percent over a year ago and cash flow has increased by 20 percent in the same period, according to David Mullen, the PDA's deputy director.
Mullen attributed the additional income and positive cash flow to increased pro shop sales, which, for the first three months of this fiscal year, stand at $62,972.
For the entire fiscal year, PDA planners anticipated pro-shop revenues of $75,000.
Additional revenues have also been realized through a 38 percent decline in personnel costs, which resulted from a reorganization last year.
"My concern is the number of rounds of play being down," Mullen told the committee, chaired by former state Sen. Robert Preston.
Asked why fewer rounds are being played this year than last, Mullen cited several factors, including increased competition from other Seacoast area courses.
Mullen recommended additional marketing in an effort to reverse the trend.
The PDA's total marketing budget for the current fiscal year is $100,000. The funds are used to market additional landside development, the Pease Airport and the golf course. To date this fiscal year, $9,000 has been spent marketing the course.
DeVito said the course can make better use of the Internet as a marketing tool and urged the PDA to consider making greater use of print advertising throughout the region.
While memberships are sold to permit holders, the course currently has no corporate memberships, a key revenue source for most private courses, where such memberships are down because of the economy.
Plans to construct a new clubhouse, which would include a larger pro-shop, are on hold, according to Preston.
The Pease Golf Course has long been a moneymaker for the Pease Development Authority. The course was, in the early years of tradeport development, the only portion of the PDA operation to make money.
With extensive landside development at the tradeport and thousands of private sector jobs, that's no longer the case. The PDA, which is now self-supporting and no longer requires state funding, derives the majority of its income and yearly profits from leases on newly constructed and renovated buildings.
However, golf course revenues are still seen as critical to the PDA's bottom line.
Source: The Union Leader (Manchester N.H.)
