Podcast Summary:

This episode of the Cambridge Marketing Podcast interviews James Savage, the PR and Communications Manager at Acushnet UK, the company that owns the Titleist and FootJoy golf brands. The discussion covers:

  • The importance of the golf ball market for Acushnet, which produces the #1 golf ball and shoe brands. Different golf ball constructions and price points are explained.
  • The highly competitive nature of the golf ball market, with Acushnet focused on maintaining its position through its "pyramid of influence" approach of working with top professional golfers.
  • The critical role of on-course pro shops and the company's large sales network in distributing and promoting its products.
  • How Acushnet adapts its marketing strategies for golf apparel and footwear to match seasonal buying patterns.
  • The company's focus on the "dedicated golfer" as its target market, defined by passion and commitment to the sport rather than skill level or demographic characteristics.
  • James Savage's own background in journalism and the golf industry that led him to his current role at Acushnet.

 

Transcript:

(These transcripts are auto-generated)

Announcer (00:01):
This time on the Cambridge Marketing Podcast, how you market Europe's leading golf equipment manufacturer.

James Savage (00:07):
We're very consistent with our messaging and focusing on that kind of top of the pyramid. From the professional tours, there are tournaments every week. Someone will win, and more often than not, they'll be winning using our products. So it's really important for us to tell that story from the top of the pyramid.

Announcer (00:24):
This is the Cambridge Marketing Podcast.

Kiran Kapur (00:27):
Hello and welcome. This week we are looking at a specialist marketplace, and I'm absolutely delighted to welcome James Savage PR and comms manager at Acushnet uk. James, welcome to the show. Could we start with what Acushnet does, because it's a fascinating marketplace.

James Savage (00:44):
Hi there. Yeah, thank you for having me. So here at Acushnet, we are the home of the Titleist and FootJoy brands, two of the biggest golfing equipment companies. So yeah, we're the number one golf ball. We're the number one golf shoe. And yeah, we really see ourselves as the authentic golf brand. We're a global company, but yeah, obviously we have a thriving golf community here in the uk. And yeah, that's what we're here for, to service those UK golfers.

Kiran Kapur (01:16):
It's really great to have a guest on that's dealing with quite a specialist and niche area because so much of marketing tends to talk about broad examples. So can we actually sort of narrow down as to what the, let's start with the golf ball and the marketplace there. So is it a big marketplace and for somebody like me who knows nothing about it, what are the variations of golf balls?

James Savage (01:38):
Yeah, so as a company, we were founded as a golf ball company, and that was the oranges of our whole company was on the golf ball. And obviously everyone who plays golf needs to play with a golf ball, and the golf ball is also, it's the only piece of equipment that you use on every single shot. So it really is the most important part of it. We offer a wide range of golf balls and we like to offer the best product available at a number of different price points, our premium range, which are obviously the best products, which are used by all our professional golfers on the worldwide tours. But we appreciate that not all golfers want to pay 50 pounds for a dozen golf balls. There might be some that look to pay 30, some want to pay 25, but we are passionate about making sure we've got the best product at each kind of price point that golfers are looking to shop in. So yeah, golf ball is the key part of our business. It's the part of the business that gives us the highest profit margins, and everyone who plays golf needs golf balls and they lose them so they need more. So it just a very important part of our business.

Kiran Kapur (03:00):
I was going to say, I mean, how many golf balls does an average golfer get through?

James Savage (03:04):
It depends on how many you lose basically, but I'd say your average dedicated golfer could go through between, I dunno, maybe four or five dozen for a year. So like I said, it's quite a significant investment. We think it's really important that people always play the same golf ball. They know how that's going to perform versus their swing. So yeah, rather than just using anything that you find in the trees when you're over there, we think it's vitally important that golfers have a ball that's right for their game and they stick to that. So that's a really, really important message. So yeah, if you unfortunately lose one, then you just need to top up your supplies.

Kiran Kapur (03:53):
Interesting. So again, for somebody who knows nothing about golf, what's the difference between a sort of everyday golf ball and a premium golf ball?

James Savage (04:03):
Yeah, I mean there's a lot that goes into it. It is different materials, it's different, slightly different processes that are behind our more premium golf balls, like I say, premium roane covers on those golf balls, which are going to feel they're going to help with spin, but also we have our premium golf balls will be two or three or four piece golf balls, whereas some of our lower price point golf balls, it'll be two piece. So like I said, there's just more goes into the premium golf balls from a construction point of view, like I say, different materials and those premium materials and different constructions, they do result in improved performance for all areas of the game.

Kiran Kapur (04:56):
So how competitive is the golf ball marketplace? Do you have many other competitors that also create golf balls?

James Savage (05:03):
Yeah, the golf ball market is hugely competitive. Again, because of, like I say, the size of it, you go into any pro shop at a golf club anywhere, and you will see golf balls there on the front of the counter, that purchase that golfers will make probably more regularly than what they would do for shoes or clubs or clothing. And yeah, it's often the case that golfers will turn up for a game of golf, they'll look in their bag, think armour could do a few more balls here and maybe get some more at the pro shop before they're round. And yeah, it's a very competitive marketplace. I wouldn't say there are a huge number of competitors in what we call the Greengrass channel, which is the kind of on-course channel. There's a lot more competitors in the online channel that focus on that direct to consumer route.

(06:06):
But yeah, it's just a case of staying ahead of our competition from the quality of our product, the way we service our trade accounts, the way we bring our products to life through marketing messages and the way we engage with those dedicated golfers and the messages that we supply to them through what we call the pyramid of influence, which is we work with the best players in the world and 70% of players on the worldwide professional tours play tightness, golf balls. And that's a really strong message that we use at retail, and it is a validation of our products that a large percentage of the world's best players put their trust in our golf balls. And that's a really key part of everything that we do.

Kiran Kapur (06:53):
And you mentioned going to the pro shops. So does that mean you have a very strong requirement to be stocking the pro shops at the different golf clubs? So is that a key marketplace for you?

James Savage (07:06):
Yeah, that is our key marketplace. That is our key focus on making products available where people play and practise their golf, and that will be at golf clubs. So it is vitally important for us. We have a big network of sales managers that work very closely with their trade partners to make sure that they've got the right products for their customers, for their membership. And that will continue to be a big focus for our business to make sure that if you go to a golf club in the UK or anywhere in the world, that you will have access to the best golf balls and they will be presented in the right way with the features and benefits. And also educating our trade partners so they can speak to their customers about what different golf balls do and how they might be able to impact their game.

(08:03):
The other side of that is we do have a direct to consumer channel through our website where people can come and purchase tightly golf balls directly from us or from some of our online retail partners. And again, that is an area of our business that is very important and we do see growing, but the focus really does remain on what we call that on-course channel because that's where our golfer, who we believe the dedicated golfer, people who want to play a lot, want to practise a lot, want to get better, want to shoot lower scores in the golf clubs is the best place for us to engage with those golfers.

Kiran Kapur (08:44):
So you've got quite a strong supply chain that you need to service. So you said you'd got a network of sales managers, I dunno how many golf, golf places there are to play golf around the world, but that seems quite a commitment to service that market.

James Savage (09:01):
Yeah, it really is. And the uk, although the UK in size is not huge, the UK golf market is massive, is one of the largest golf markets outside of America. I think we have something like over 3000 golf courses in the UK compared to the size of our country that is a really high number of golf courses. So it's golf obviously originated in Scotland. We feel like we are the most mature golf market. We've got a very passionate, dedicated golf audience. And like I say outside of the US it is one of the biggest markets in the world. So there are a lot of bigger countries that will have fewer golf courses and fewer golfers than what we have here in the uk. So for us as a global business that the UK market is seen as being vitally important.

Kiran Kapur (10:05):
That's really interesting. Are there and coming marketplaces that you see?

James Savage (10:10):
Yeah, obviously from obviously we work with the Titleist and the FootJoy brands, particularly in Korea. We've seen a real bit of a boom for our FootJoy business over in Korea because they're a market that has got a particular type of golfer that likes a particular style of apparel. And we've been really able to focus in on what the golfer in that market is looking for. We have FootJoy stores over in Korea and we've just seen a real boom over there. So by really focusing in on the particular needs of a particular market, we've seen huge success over there in Korea, just as one example. And there are other potentially big markets in places like Japan and places like China, in places like India, but some of those places that they're a little bit, they're still on their journey into developing golf, making golf more accessible, getting more people, getting more people playing. So yeah, it's exciting for the future because there's, like I said, there's a lot of potential out there. There's a lot of potential golfers that we think could become dedicated golfers in the future, and that's really exciting for us that there's obviously lots of opportunity for us moving forward.

Kiran Kapur (11:39):
So you mentioned the FootJoy brand there, so let's talk more about the apparel side of your business, the shoe side of your business. Is it very different from the golf ball side of the business? Do you use different marketing strategies?

James Savage (11:55):
Yeah, there are differences. There are different considerations when people are making golf shoe purchases and golf clothing purchases versus their golf ball purchases. But there's still massively core categories for us. If you think about we think a pair of golf shoes, they're going to do a lot of walking, they're going to really put through their paces. And it's slightly important that when you play 18 holes of golf, that you're comfortable that your feet are dry and also that they're going allow you to play your best golf. Maybe slightly different from a purchasing behaviour point of view in terms of more golfers would be more like, okay, well I'm going to get myself a new pair of shoes at the start of the season and then they're going to last me throughout that season. So it's very important for us, I guess, around when we launch new footwear apparel products at the start of the season, our marketing efforts are very focused on that key buying period, which can come at the start of the year.

(13:10):
We will then kind of flex our marketing strategies as weather conditions change, as the grounds get firmer as we go into the hotter summer months, people might want to look at a spike plus option versus a spiked option. And then again, as we get into the winter months when it starts getting wet and cold and miserable again, people might want to look at a black spiked waterproof shoe for those conditions. So I think for us, when it comes to apparel and footwear, we're very much adapting our marketing strategies to the seasons, to golfers buying behaviour. But ultimately, we are still trying to hone in on that dedicated golfer, that discerning golfer that really appreciates quality, that takes their game seriously, that wants to see performance benefits from their equipment. So we've still got that very much laser focus on the type of golfers that we're targeting, but there's just a few different nuances when it comes to footwear and clothing that we need to be ready for as we go through an entire season.

Kiran Kapur (14:18):
Is the difference that you have to have a golf ball, you can't play golf without a golf ball. Is it acceptable to not have standard golfing shoes or is that absolute No-no, for golfers?

James Savage (14:30):
Well, I mean it will be. Most golf clubs would say that you do need to wear a pair of golf shoes to play golf golfing. And to be perfectly honest with you, you wouldn't do very well if you just went and tried to play around with golf in a pair of trainers. You'd be slipping and sliding all over the place you'd, like I say, no traction, no stability. Like I say, no support through that golf swing. And we are golf specific brands, Titleist and FootJoy, all we do is golf. Whereas some of our competitors are big players in the athletic space, in the football space, in some of those other sports, and then they dip into golf and they bring products to market in the golf space. But everything that we do is about golf specific performance. So the materials that we use in our golf shoes are specifically designed for the demands of playing 18 holes of golf, whether that be walking the different uphill downhill lies that you might face, waterproofness, traction, all those things. So yeah, we really wouldn't recommend anyone attempting to play golf and not in a pair of proper golf shoes and a lot of golf clubs. It would be a requirement that you do need to wear a pair of proper golf shoes to go and play around there.

Kiran Kapur (15:50):
Okay. So your competitors are very much other golf shoe providers, they're not sort of standard trainer providers?

James Savage (15:57):
Well, no, like I say, our competitors are very much, golf will be a small part of their business. Like I say, some of the bigger athletic brands, running shoe brands, football boot brands, they do offer golf shoes, but the golf will be a very small part of what they do. Whereas golf is everything that we do. We don't make running trainers, we don't make casual trainers. Everything we do is golf specific, and that's across the tightest and FootJoy brands. So again, as I mentioned before, that sort of laser focus on golfers, dedicated golfers and the kind of specific needs of golfers, we feel that gives us a competitive edge in the marketplace. They know that we are all golfers who work here. We live and breathe golf every day, and that continues to be our focus, so we don't get distracted by anything else other than golf.

Kiran Kapur (16:54):
So you've mentioned there was a season, so can we talk a little bit, explore a little bit about what the golfing season is?

James Savage (17:02):
Yeah, absolutely. I mean, obviously golf is played all around the world and there'll be other countries that have different seasons to ours. Like Florida for example, is a very big golf market where they get to play golf in relatively nice sunny conditions, 365 days of the year, which would be very nice to be able to do that here in the uk. We feel that, again, golfers in the UK will play in all conditions. There are very dedicated golfers that will play right through the winter. They'll just wrap up warm, get some decent waterproofs waterproof shoes and a base layer and they'll carry on. And we're here for those golfers. Some golfers will probably just condense their golf. They might put their golf clubs away in October, and they might get them out again in March april time. So like I say, for the UK market, that march to September, October is really the key golfing season.

(18:09):
And that correlates with the worldwide professional tours where the first big golf tournament of the year is the masters, which takes place in April. And the big major golf tournaments will run throughout the season up until end of August, September. So yeah, there is a focus on that period of time. And then outside of that core golf season, like I say, we are there for those really hardy, dedicated golfers that are looking to play in all conditions. And fingers crossed, if you play at a golf course that drains pretty well, you are still going to be able to play. Now I was able to play around on New Year's Day this year, which was nice. But yeah, this to accept is cold. It might get a bit muddy, but it is nice to get out and get some fresh air and just keep your golf swing ticking over.

Kiran Kapur (19:07):
We've talked about product and price and your distribution. So let's look a little bit about the promotions that you do. So you've obviously got to keep your brand front of mind, and you've talked about using the golf stores to do that, the pro stores. How else do you do that?

James Savage (19:24):
There's a lot of tools at our disposal. Social media is a big one for us where we are constantly reiterating some of our key messages, like I said, about the worldwide professional tools that we are the number one ball on golf and the number one ball on tour, we're the number one shoe in golf, the number one shoe on tour. So we are very consistent with our messaging and focusing on that kind of top of the pyramid. From the professional tours, there are tournaments every week, every weekend there'll be someone will win, and more often than not, they'll be winning using our product. So it's really important for us to tell that story from the top of the pyramid. But again, outside of the professional tours, we focus a lot on our in-store marketing materials, on point of sale materials, again, making sure that products are really well presented in store.

(20:27):
And another key part of that is working closely with those trade partners so they understand our brands so they are well-educated about the performance benefits so they can pass that on to those dedicated golfers. And then another area that I work in very closely is in our PR and communications, working with the golf media to make sure that they have access to our products so they can come and review our products and tell their audiences about that. And we also work with ambassadors and people who work in the social media space on golf, YouTube and things like that. We work very closely with a lot of people in that area because an area where a lot of golf is being consumed. So again, it's about making sure people have access to our products and can pass on those performance benefits of our products to their audiences. So yeah, there's a lot to it from a promotion side. We've got lots of different teams focusing on different areas, but again, with that goal of targeting that dedicated golfer.

Kiran Kapur (21:40):
That's really interesting. So is there a sort of typical golfer, you've talked about the dedicated golfer, and I get that that's your marketplace. Can you describe that dedicated golfer? I mean, I'm sort of thinking male 50 plus, but that's probably completely wrong. So tell me more about your target market.

James Savage (21:58):
Yeah, so when we talk about dedicated golfers, we're not talking about low single figure handicap players. We are not talking about better golfers have a higher skill level. It is really about people's passion for the game. It's about people's passion to practise to get better, to go and play, to go and shoot lower scores. And we find that those golfers are the ones that care about their equipment. They want to get the best 14 clubs, golf ball, golf shoes that's going to kind of help them go and shoot those lower scores. So again, it is not about ability, it's about an attitude. And that attitude is that people who love golf, they want to go to the driving range and practise. They want to watch golf on the tv, they want to turn up on a Saturday morning and play in their competition at their golf club, and they want to shoot better than what they shot the last time that they played.

(23:00):
So there isn't a single demographic or person that could be a male senior golfer. It could be a young female golfer, it really could be. It could be any type of golfer. And we don't make ladies golf clubs, but we make golf clubs that will be suited to all golfers, but there won't be one with a pink head cover that said, this is the ladies golf club. But we'll have options within our range that may suit female golfers that may suit senior golfers, but that might not be the case. They might swing it in a particular way that they need something else. Like I say, we just like to have products for all golfers because the golf ball doesn't know who's hitting it. And it's just really important for us that people just find out what's going to work best for them. And we don't like to pigeonhole golfers and to say, oh, you are this ability level, or you're this gender or you're this age, you need to use this. We say, look, come and see us. We'll spend time looking at your swing, see what's going to work best for you, and we will have an option that's going to work really well.

Kiran Kapur (24:11):
So it's very much segmentation on passion and interest rather than any other way.

James Savage (24:17):
Golf is an expensive sport and we appreciate that and we appreciate that some golfers are going to be shopping in different price points. But just because if you are shopping in a particular price point for say, your golf balls, it doesn't mean that you are less concerned about performance. But what it just means for us, it's really important for us to just kind of demonstrate why at that particular price point our products ahead and shoulders above our competition. And that's the same for golf boards, that's the same for golf shoes. When it comes to golf clubs, it's a little bit different because we don't have different levels of price when it comes to our golf clubs. Everything is premium because we want to make the best absolute best performing golf clubs that we can, and we are not going to compromise on that. And if our golf clubs are not in your price range, then that's an option for that golfer. But again, we truly believe that our golf clubs are so good that it is going to be worth that investment and is going to help you shoot low scores. So it is just important for us that we understand our marketplace and we understand that some golfers have got a price limit on what they're looking to pay for, whether that be golf balls or golf shoes, and just have the best option available for that golfer.

Kiran Kapur (25:52):
James, you've really brought the golfing marketplace to life. Thank you. Could I ask as a final question, because I know I've got people listening now going, this sounds an amazing career to get into. How did you start and how did you get into being the PR and comms manager of a golfing brand when you were obviously a passionate golfer?

James Savage (26:11):
My background is in journalism. After university. I studied at college to become a journalist. And so my first career path was working as a local newspaper reporter, really cutting my teeth at that entry level, going to council meetings, going to magistrate's court, writing up all those wonderful stories that you would see in your local newspaper. And then I moved onto that in some national newspaper work. I found my way into sport, started writing a lot more sport. Sport was my passion. And then a job came up working for a golf magazine, reviewing golf equipment. And then I loved that job. I did that for five years. And through that time I worked very closely with all the major golf equipment brands and Tighter some FootJoy work were two of the brands that I worked very closely with. They were the two brands that really appealed to me because of their, again, because of their heritage within the game, because of the people that worked there.

(27:25):
They were really, really passionate about golf. And then an opportunity came up in the FootJoy marketing team. This is six years ago now, and that was where I first came into the business. So I spent three years, nearly four years working in the FootJoy marketing team. And then we decided to bring our PR and comms function. We previously had it being looked after by a third party, and that was an opportunity for me to move over into this role, which was a dual branded role, which was really exciting opportunity for me to be able to work with both brands and all the fantastic products that both those brands have. So yeah, and here I am now. It, it's a great position to be. The brands are leaders in the industry and it's really important that we try and maintain that position in the marketplace. Remain humble. Appreciate that. We can keep driving forwards and do things better.

Kiran Kapur (28:34):
James Savage, PR and commerce manager at Acushnet UK. Thank you so much for your time and your expertise. That's been really fascinating. Thank you.

Announcer (28:42):
Thank you for listening to the Cambridge Marketing Podcast. And don't forget, you can listen back through previous episodes, either through your usual listening platform like Spotify or on our website. Just visit marketing college.com.