Golf's new appeal drives marketing

The world of golf is becoming less exclusive - not only amongplayers on the greens but among marketers and advertisers as well.

Mass marketers such as MasterCard and Gillette are riding thegame's new popularity - and increasingly mainstream appeal - alongwith more traditional sponsors American Express, Cadillac and othermakers of luxury goods.

Expensive golf shoes aren't the only products high-profilegolfers are endorsing these days: Arnold Palmer hawks oil and TigerWoods is forging the young, urban image with Nike.Even discount retailer Kmart sees the growing market. It hasits own line of golf clubs."Golf has always been fairly white, fairly male and fairly upperincome, but that is changing, and there are two reasons," said BrianMurphy, a sports marketing consultant who publishes the SportsMarketing Letter in Westport, Conn. "The first is Tiger, the secondis Woods."Woods, the first nonwhite to win the Masters tournament, iscreating a surge of interest in golf among urban youth.Don't expect to see the trend die. Children from toddlers tokids in camp are getting a feel for the game. Toy manufacturers arerolling out kiddie putting greens and clubs, and golf camps forchildren are becoming more prevalent."Eventually, you're going to see advertisers as varied as toycompanies, Internet sites, cereal, soft drink and maybe fast-foodcompanies," Murphy said. "Brands that are traditional for everyother sport, but not golf."In general, more people are hitting the greens.About 25 million people played golf in the United States in1994, a 22 percent increase from 10 years ago, according to theFlorida-based National Golf Foundation.There also are more greens for golfers who don't belong tocountry clubs. Today, 80 percent of golf courses are public and 20percent are private, compared with the 1930s when the figures werereversed.Taking note of the increased interest in golf, many companiesalready are taking a closer look at the market, and some are forgingin."Charles Schwab, Gillette, MasterCard - none of them would do itif it were just an elite audience. They go after Americana, andthey're finding it in golf," said Tom Wade, senior vice president formarketing and business development for the PGA Tour, which runs golftournaments from Ponte Vedra, Fla.MasterCard has increased its ties with golf significantly. In1995, it sponsored the MasterCard PGA Grand Slam and now is up to sixtournaments. Last year it came on board with the MasterCardAustralian PGA Championship, and this year it created the MasterCardTour, which runs from May through October."We see golf as a good target audience," said Ed Dickson, aspokesman for the Purchase, N.Y.-based company. "It's even more of abig market as it's becoming more widely watched as a sport ontelevision."Indeed, it sometimes seems there aren't enough tournaments to goaround."There's been a mad scramble for companies to sponsortournaments," said Bill Barbaum, National Golf Foundation spokesman.After years of being low-profile in the world of golf, Nike isamong the new players going full force into the market in hopes ofexpanding the company's name in the sport. The investment seems tobe paying off.After doubling its golf-related advertising to $30 million andsigning Woods to a $40 million five-year deal last year, Nike golfapparel saw its sales rise 100 percent in fiscal 1997. Golf shoesales were up 110 percent.To further capture the growing golf market, Nike is increasingits television advertising 75 percent during tournaments this year."In spring of 1998, Tiger is coming out with his first line offootwear and apparel," said Robin Carr, a Nike spokeswoman. "We'reexpecting a 60 percent increase in sales in 1998 to $200 million."Companies spend millions each year to tie their products tosports and sports figures, but for most, golf never has been ahigh-profile sport."It's amazing how fast it's happened with Tiger," said F. S.Hughes Norton, Woods' agent. "The last two televised tournamentsTiger was in, the ratings were up 150 percent, and the last seven hewasn't in, the ratings were down. The PGA Tour just renewedcontracts with the three networks, and they doubled."