How Does Golf Make Money?
Golf is one of the rich people’s sports. Golf is considered a rich person’s sport because of its high membership fees and the expensive equipment required. It is also one of the sports that make the most money in the world. The common way golf makes money is through sponsorship and endorsements. In this article, we are going to focus on how golf makes money and also how golf courses make money.
How to Make Money with Golf
The following are some of the ways professional golfers make money:
1. Professional Tours
Professional tours are one of the best ways golfers make money. The US PGA Tour is the most lucrative tour for professional golfers. The European Tour is a global tour that covers most of Europe.
It offers co-sanctioned tournaments in Africa, Australia, China and some Middle East Countries. When golfers win in such professional golf tours, it offers invitations to the majors.
2. Penultimate Tours
Penultimate Tours offers golfers an opportunity to travel as golfers play in tournaments. The Nationwide Tour is the best and offers professional golfers an opportunity to play golf in the US and North America while having a comfortable living.
Besides, such tours allow aspiring golfers to prepare to join the big leagues. Also, year-end competitions give golfers an opportunity to earn extra income through a series of tournaments while overall wins earn paydays.
Also read: What do millionaires do for fun?
Endorsement is the most common way most golfers make money. While golfers are paid well when they win a tournament, most of their income does not come from paychecks but endorsements, commercials, or appearances. Endorsements yield players more than ten times their paycheck. When players win more in sports, the more companies want to sponsor them.
For instance, Tiger Woods who is worth over $1 billion earns most of his income from massive sponsorship from brands like Nike, TaylorMade, Rolex, and Monster Energy. Besides endorsements, he also gets a paycheck that supplements his income.
The reason why companies prefer to sponsor pro golfers is because golfers prefer to buy sports equipment such as balls and clothing that the stars use.
4. Tournament Paychecks
Golfers also make money through tournament paychecks. When they win a tournament, they are paid by their clubs. Even if they don’t win, their clubs still give them a paycheck. However, income from clubs does not contribute much to golfers’ income.
To become a member of a club, golfers have to register and go through a qualifying process. They have to demonstrate physical ability to play golf. Golf clubs earn money from sources like membership fees, and sale of beverages and food that help them to pay pro golfers through golf lessons and golf clinics.
Also read: Why do rich people play golf?
5. Corporate Events
Golfers also make money through corporate events. To promote their brands, sponsors invite golfers to corporate events to meet with their top clients. To make an appearance in such events, golfers are paid between $25,000 and $250,000. Their appearance increases the popularity of the brand while they also increase their own popularity.
6. Television Events
Television events are also help pro golfers earn money out of competitions. They make money by playing golf in special events that are designed to attract a huge viewer base. For instance, skins tournaments and limited-entry events attract massive viewers. Golfers are paid to make an appearance beside the prize money on offer.
How Much Money Does a Golf Pro Make?
The average golf pro in the US makes $85,498 exclusive of other incomes like bonuses. This income represents only 3% of pro golfers’ income. Most of their income is from sponsorships and endorsements. Golfers in San Francisco earn the highest compared to other States in the US.
How Do Golf Courses Make Money?
Golf courses make money from course fees to special services. One of the largest sources of income for courses includes green fees, membership fees, the sale of beverages, and food, and pro shop sales. If golf courses want to increase their revenues, the fastest way is to increase membership fees and green fees.
Also read: How to use golf to earn.
How Much Does a Golf Course Make a Year?
Golf course revenues vary from one course to the other. Several factors like club, location, and reputation affect course's revenues. Besides, some courses offer professional lessons and such courses earn high revenues. Golf course revenues range between $500,000 to $5 million annually.
Summary of How to Make Money with Golf
Some of the ways golf makes money are through sponsorships, corporate events, television events, tournament paychecks, and tours. Golf is one of the rich people’s sports and professional golfers earn a lot from it. Professional golfers like Tiger Woods are living big from their huge earnings through sponsorships and brand endorsements.