Greg Nathan was promoted to president and CEO of the National Golf Foundation in 2024 but to those who know him best he’ll always be the Mayor of Crazy Town.
That is a self-proclaimed title that stuck from his days working at Golf magazine when he admitted to fellow staffers that he is as golf-obsessed as anyone in this business. A golf architecture nerd at heart, he’s likely to give you a red Solo cup golf team, a friendly reminder that this game was meant to be fun. [It was especially fun the day that he aced a par 4 in front of Bill Murray, which Golfweek wrote about here.] Nathan, a Lehigh University graduate, joined the NGF in 2007 and works closely with the CEO’s and leadership teams from companies in every sector.
Given the NGF’s role as the Switzerland of the golf industry, the PGA Merchandise Show seemed like as good a time as any to check in with Nathan on a number of topics pertaining to the golf business and get a sense of what we can expect for the industry in 2025.
GN: Making Joe Beditz proud. Joe deserves legendary status in the industry for essentially inventing the framework used to report the vital signs of the golf business… and for stewarding the NGF for 40 years. On a personal level, he’s been an incredible mentor and friend… and operating side-by-side with him for 18 years prepared me for the position to a level for which I’m forever grateful. Since JB (still my boss as executive chairman) is happy with the job I’m doing, I must be doing a lot of things right, and doing them the right way.
GN: I’m going to break the rules and give you two. First, I wish everyone knew how much we care about the people and companies that work in this industry. We’re inspired by them to do our best work. My second one is a recognition that the data-driven, strategic thinking and insightful golf consulting work we do for our members and partners is comparable (dare I say, even superior in some aspects) to the level of a “Big 3” consulting firm… just a lot less expensive.
GN: Most indicators on our dashboard suggest that this generationally high activity level is sustainable (independent of a serious economic downturn or geo-political event that would hurt all forms of recreation, especially pay-to-play types). Regardless of what people suggest about the future of golf away from the course (Topgolf, gamified/tech-enabled ranges and simulators), golf itself is not a fad. Golf’s intrinsic attractions and benefits won’t soon go out of style and the pandemic reminded people of the social, outdoor, exercise, and other rewarding aspects of participating in this game. Golf has surprised so many people by becoming “cool,” and our customer research doesn’t show that changing in the short term.
GN: NGF surveys of course operators report that around 60 percent of public courses are at/near capacity where more activity would have a negative affect on their business, with nearly three-quarters of private clubs saying the same. So, there is some, but not tons of tee sheet headroom. We’re not likely going to see much new course construction in the metro areas because land is so expensive and construction cost-prohibitive. Golf in America isn’t just high-end and in the cities, though… so upside rounds and business opportunity may be most available away from the most heavily populated areas.
GN: There is no doubt that professional golf and the leading personalities are great promoters for the recreational game. However, people don’t become long-term participants in the game because of the heroes. They might try it thanks to Tiger or Rory or Nelly or Steph Curry but they get hooked and keep playing because they enjoy the game itself. The most unfortunate aspect of the divide is the dilution of golf’s most prominent entertainment product. Every fan wants to see the best players competing on the greatest stages for the richest and most prestigious titles. When the media narrative about pro golf is negative, and focuses heavily on their wealth, the heroes become less relatable. I’m confident we’ll end up in a good place, but, as they say, it’s complicated.
GN: Golf’s main consumables, greens fees and golf balls, have had price increases that are in line with inflation. We’ve noticed other golf products/expenses like private club initiation/dues and premium drivers outpace inflation… but if golfers’ price elasticity was brittle, smart companies and industry sectors would adjust. Supply and demand have a way of working things out. I will say that pricing power returning to golf courses (the ability to raise greens fees and get them!) has been terrific for those who own and operate golf courses… and that sector has experienced a lot of pain from oversupply, labor challenges and higher expenses. In my opinion, courses have gotten so much better at yield management, they’d be the first to adjust if golfers weren’t paying the higher fees.
I don’t think there is a sport or activity on the planet that wouldn’t give their left pinky toe (if a sport had a pinky toe) to have our multiple on-ramps attracting millions of customers/prospects for the core product. People swinging a real club at a real ball with the opportunity to experience shot euphoria, now that’s the hook for positively growing critical mass of future on-course golfers right there. The off-course forms of the game have flourished because they are more approachable, less intimidating forms of golf, and green grass operators are seeing the attraction and learning from it. Regarding Topgolf, my personal opinion (not NGF’s) is that Wall St. has possibly overreacted to the negative same-store results that have been reported on so heavily. I’m not an authority on the economics of the facilities, their profitability, etc., but I suspect that downward same-store indicator doesn’t tell the whole story. There remains “white space” for further growth in venues. I also think it’s possible that analysts may be underestimating the parent company’s capabilities to improve Topgolf’s stickiness and enhance the customer experience.
GN: Surprising many of us in the industry, golf has definitely become more “cool.” The growth in engagement with alternative golf recreation has had significant impact since those environments are focused on fun, gaming and F&B. Social media appears to have flipped golf’s so-called pyramid of influence upside-down. Our consumer studies have shown that non-golfers who engage with golf on social media are using much more positive words to describe golf and golfers than they did, say, a decade ago. Golf off-course and social media are more light-hearted and don’t get weighed down by golf’s orthodoxies that often hold novices back from becoming part of the on-course franchise.
GN: Whenever I get the chance to talk to an audience and stand atop my soapbox, I talk about radical hospitality. Golf is in the hospitality business and at many courses and retail stores, the experience often suffers from being too transactional. There are two audiences I think about of a lot. First, we have those already committed to the game (“in the franchise”) who have the natural desire to feel appreciated but don’t need a huge amount of attention or help from staff. They represent 85 percent of rounds and spend. They know where to go and what to do. They’re comfortable in the environment and around other golfers.
However, we have more than 10 million players who have tried golf in the past five-plus years who didn’t get comfortable, and didn’t have enough fun to keep playing. They need a higher level of service and guidance. They need a far more personal approach that’s welcoming and makes them feel wanted. How can courses more quickly identify customers in the second group?
GN: This is such a multi-layered issue, like a golf-ball — you see how I did that? We’ve studied this privately for different stakeholders. NGF works closely with the equipment OEMs and the USGA and R&A are highly valued partners. Rule-making bodies are rarely admired or appreciated for fulfilling their responsibility to the game they govern. The ball makers are already challenged to innovate “in a box.” This is such an incredible time in the game and business of recreational golf, and I certainly don’t want to see anything derail the positive trend we’ve been riding. I’m hedging bigtime… I love my job, and I’d like to keep it!
This article originally appeared on Golfweek: National Golf Foundation CEO Greg Nathan Q&A with Golfweek
