Are Irish green fees too high?The Minister for Arts Sport and Tourism, John O'Donoghue, made quite a splash last year when he dipped his toe into the politics of the golf industry and caused some ripples. Minister O'Donoghue warned golf clubs that charging excessive green fees threatened Ireland's position as the biggest golf destination in Europe and urged clubs to exercise restraint when charging non-members for a round of golf.on the practical reaction to John O'Donoghue's plea to golf clubs tokeep prices reasonable
His general thesis was that high green fees posed a serious risk to what is a lucrative sports-leisure market, one which generates approximately €170 million annually. Mr O'Donoghue also said he had received negative reports and that poor value for money at some of the State's 411 courses was the principle source of disquiet.
"I'm afraid that some golf clubs are charging high green fees but not providing the level of service expected, given the prices," the Minister told The Irish Times last year. He pointed the finger at clubs charging in excess of €100, and some up to €250 "and more" for a single round of golf.
Fáilte Ireland subsequently wrote to individual clubs to request they did not increase their green fees this year.
There is some divergence on the way the golf industry handled the Minister's request. Some clubs have increased their green fees marginally, some significantly and many have remained the same.
Some, indeed, have not adjusted their green fees for some years. But the feeling abroad, much of it based on anecdotal evidence, is the golf industry is in a healthy position and this year's business is either equal to last year's or even better.
The view of many of the golf clubs is they wouldn't charge the prices they do unless the market could take it. The more expensive courses, such as the K Club in Kildare, Portmarnock in Dublin or The Old Head in west Cork, offer what they call a golfing experience and an overall package, which they believe people are willing to pay for. Their bookings, which are strong this season, seem to prove the point.
"We've more guests than ever before," said Pat Ruddy of the European Club in Co Wicklow. "It's been up each year. I watch how my golf course is in terms of playability and how people enjoy it."
Ballybunion in Kerry was no different. "We're fully booked from the end of April until November," said a course official.
Comfortably away from the top end, the European have increased their green fees to €125 a round but their position as a "talked about" course and, not unlike Royal Portrush, Portmarnock or Ballybunion, their regular ranking by trade magazines as one of the top courses in the world, brings people in.
Ruddy also pointed out that the Government, while pointing the finger at the industry, also takes about 38 per cent off the top in PAYE, PRSI, Vat, machinery and fuel tax, rates etc. "For a €100 green fee, you're really looking at €60 odd," he said.
Powerscourt, near Enniskerry in Co Wicklow, have also increased their green fees from €100 to €110 but have done so as a reaction to a Vat increase of 1 per cent.
"Bookings are very good, as good as they were this time last year," said secretary manager Bernard Gibbons.
"Corporate things probably aren't as good. They are entertaining smaller numbers. Rather than 100 to 120, it's 50 or 60. That's just because of the overall economy.
"We do deals like a rate for the first 50, then a rate for the second 50. So if you bring over 100 you'd get a reduction in green fees. Apart from that, the incentive is the price. The new course at Powerscourt has been a very good benefit to us. We're getting huge response and a lot of repeat business."
A bugbear with many of the course operators is the €20 charge both Aer Lingus and Ryanair have loaded on to golfers to carry their bags into the country.
"Every other golf destination was delighted when they heard the Minister's comment," said one course manager. "Aer Lingus charging for clubs would have to hurt business as well. €20 to get the clubs into Ireland and €20 to get them out again and then the Minister tells you the green fees are too dear."
Another course manager from Cork said: "It's absolutely atrocious. Even if you have no luggage and just golf clubs you are charged. And a lot of the people coming into Ireland don't know that until they get to the airport. It is a real sting in the tail."
Another significant point, which several course managers made in rejecting the Minister's charge, was that the International Association of Golf Tour Operators (IAGTO) voted for Ireland in their meeting in the Dominican Republic in December as the best golf destination for 2004.
"Wherever that information (the Minister's) came from, it was unjustified," said one manager.
"And that was proved wrong by the World Tour Operators who said that Ireland was the best 2004 destination. We were amused when this came out. You tell the guy that owns Barna or Mount Wolseley his green fees are too dear. Golf is not expensive in this country."
At Glen of the Downs, in Co Wicklow, they were looking to increase their green fee this year but when the letter arrived from Fáilte Ireland asking clubs not to do so, they reviewed it and left it as it was, €80 at weekends.
Other courses, like Tulfarris, near Blessington in Wicklow, increased their fees from €70 to €100 when they came under new ownership. In that instance, the Prem Group took over the running of the course and hotel and made a huge investment. Much work was subsequently carried out to improve the course and the club are now on a huge recruitment drive.
In Mount Juliet in Co Kilkenny business was described as "fantastic." The complex sponsored Padraig Harrington for three years up until December 2003 and it also received significant spin-offs from hosting the AMEC tournament last year, where the top golfers in the world competed, including Tiger Woods.
"Padraig Harrington was unbelievable. He is the face of Irish golf overseas and he does a brilliant job," said Mount Julliet's director of marketing Kate McCann.
"We listened to what the Minister said and didn't increase. Our view would be that we provide value for money. We certainly feel that we do. You have to look at the whole product. You can pay €20 and not get value or pay €100 and get value."
Other courses, such as Ballyliffin and Doonbeg, face the problem and attraction of their geography. Both are beautiful and spectacular links courses in remote locations. Doonbeg has just reopened following a few months of improvement work. The Greg Norman-designed course is in west Clare while Ballyliffin is in north Donegal.
"We've held our green fees last year and the three previous years. Our biggest problem is geography and the nearest point of access is Dublin or Shannon. Forty per cent of our market is domestic in Northern Ireland," says Ballyliffin general manager Cecil Doherty.
"Bookings for 2003 were a record. We went close to 20,000 (green fees) and are happy that our aggressive marketing has paid dividends. For 2004 were are on course to match last year, if not better it."
Ballyliffin's is also a divergent voice in the debate over Mr O'Donoghue's dire warnings of last year.
"I would agree with what he said. I think it is short-sighted. They will kill the golden goose if they continue to ask €160, €170, and €190 for a round. We must learn the lesson of Spain where prices shot up. Look at Scotland. Ten to 15 years ago it was the home of golf, inundated with Americans. They've been hit hard and numbers are dropping off. They dropped the baton. We provide two golf courses at Ballyliffin. We experience the same costs yet we charge what we're charging now (€60 midweek, €70 weekend)."
The Old Head and K Club, which at €250 and €265 come in as the most expensive courses to play, hold a different view. Bookings for The Old Head, which closes for the harsher winter months, are up about 10 per cent on last year.
Most of their custom comes from the USA. "It is an experience to play the Old Head and anyone who plays here has told us just that. We keep hearing the same thing," said a spokeswoman.
"Regarding the charge on clubs by airlines; a lot of our members leave their clubs here all year round so they possibly wouldn't be faced with that charge."
The consistently high ranking of Royal Portrush in trade magazines as a links course, like Ballyliffin, Doonbeg, Enniscrone, The European or Portmarnock, makes it attractive to countries that don't have that type of terrain.
"Many Americans come here," said a spokesman. "Business now is possibly even better than it was last year."
Golfing in Ireland is many things to many people. Some clubs exist for their members and provide an important social dimension, other want to be the best and seek perfection. Ruddy, a course owner and designer sees it from both sides.
"My consistent aim is to have the course superb and have people come and play," he says. "It's a matter of placing. They make the judgment on the what the experience is, what they want to plug into."
Week Days Weekend Change since 2003
Adare Manor Hotel €120 €120 no change
Ballybunion €125 €125 up €15
Ballyliffin €60 €70 no change
Carton House €110 €125 up €15 (weekend)
Co Sligo €65 €80 up €5
Colin Valley (Belfast) €9.84 €12.87 up 75 cent
Doonbeg €185 €185 no change
Druids Glen €150 €150 up €10
Enniscrone €50 €63 up €2
European Club €125 €125 up €25
Fota Island €83 €98 no change
Glen Of The Downs €65 €80 no change
Mount Juliet €140 €155 no change
Old Head €250 €250 no change
Powerscourt €110 €110 up €10
Portmarnock €165 €190 no change
Royal Portrush €136 €166 up €7.50 (week day)
up €22 (weekend)
Royal Co Down €166 €189 up €22
The K Club €265 €265 no change
Tulfarris €80 €100 up €35 (weekday)
up €30 (weekend)
