Retail Review, April 2008

PGA TOUR Superstores In Full Swing
Giant golf and tennis retailer gets ball rolling with 10 stores nationwide.
Susan H. Fishman

Starting with the acquisition of a two-store chain, PGA TOUR Superstore now has 10 locations.

Golf & Tennis Pro Shop, Inc. (GTPS), headquartered in Atlanta, has increased its number of PGA TOUR Superstores to 10 nationwide with the opening of two new locations in the Southwest. PGA TOUR Superstore carries the largest selection of golf equipment, apparel, shoes, accessories and golf-themed home décor in the golfing retail industry, as well as a wide selection of tennis apparel, equipment and service.

The concept was dreamed up by Bill Hamlin, former executive vice president of The Home Depot, who was looking for a new business opportunity for his family — all golfers. They toured the country, sizing up the golf market, and found that the world was full of tiny golf stores, but there was a real opportunity for a big-box store. They came across a 65,000-square-foot store called Martin’s Golf and Tennis in Myrtle Beach, South Carolina, and, in 2004, the PGA TOUR Superstore franchise was launched with the acquisition of two Martin’s stores.

By 2005, Golf Digest had named PGA TOUR Superstore the “Best Off-Course Golf Shop” in Myrtle Beach — a town that has nearly 100 golf shops. In March 2005, GTPS opened its first Atlanta-area PGA TOUR Superstore in Roswell, which has since been joined by three more Atlanta Superstores in Kennesaw, Duluth and Buckhead, and two stores in greater Dallas — in Plano and Frisco, Texas. The most recent locations include Phoenix, Arizona (Chandler and Scottsdale), which opened in October 2007. GTPS is also actively seeking locations in Houston, Orlando, South Florida, as well as the Southern California cities of Los Angeles and San Diego, for Superstore openings in the near future.

PGA TOUR Superstores provide golfers an interactive, entertaining approach to improving their games.

GTPS, PGA TOUR’s exclusive partner for off-course/off-airport and online golf retailing, has received $25 million in investments to assist with its continued growth. The financial backing comes from a group of current investors and lenders, including Arthur Blank, owner and CEO of the Atlanta Falcons and co-founder of The Home Depot. As part of his investment, Dick Sullivan will be joining the company’s board of directors representing Arthur Blank. Sullivan is executive vice president of marketing for the Atlanta Falcons and president of the Georgia Force Arena Football League team, both of which are owned by Blank.

All PGA TOUR Superstores provide golfers an interactive, entertaining approach to improving their game, with technology and services in store that include computerized swing simulators and launch monitors that analyze a player’s swing speed, ball trajectory, launch angle and impact zone — amenities usually reserved for professional “Tour Vans” at tournament sites. Game improvement tools that are available include the SST PURE Shaft Alignment System (PUREing) and the Balance-Certified — Golf’s Motion Balancing Adjustment System to adapt clubs to each individual’s needs. PGA of America and other teaching pros are on staff to provide lessons, adjust a swing and guide club fitting. For tennis enthusiasts, an in-store, full-sized court and on staff pro offer similar tools and seminars.

The stores range in size from roughly 50,000 to 78,000 square feet. The company typically buys second-generation space, but is currently considering a build-to-suit.

“We identify our target sites throughout the country and look at the best locations around those sites and see if we can work out a deal that makes sense for us,” notes Grady Stewart, vice president of operations for the company. “Thomson Analytics, who we worked with at The Home Depot, has put together an entire retail real estate model for us, where we look at demographics, psychographics, rounds played and the type of play — resort, semi-private, private, etc.”

The PGA TOUR Superstore is a destination-oriented model, similar to The  Home Depot, Wal-Mart or Target.

Game improvement tools are on hand at PGA TOUR Superstores.

“I would say we’re a mini Bass Pro-type for the golf and tennis player,” adds Stewart. “We don’t lean on other retailers to bring us traffic. Eighty percent of our customer is the male golfer, so when you look at the demographics of regional malls, guys are not shopping there. We’re also not a fan of lifestyle centers where you pull in and parking is hard to find; there’s not a good convenience factor and, to me, there’s a hassle factor.”

PGA TOUR is looking at a fairly aggressive growth schedule in the next few years, mirroring its percentage of growth as a company so far. And finding locations should be a snap with an average customer who has a six-figure income. According to Stewart, “The PGA TOUR Superstore draw is unmatched because it’s such a unique shopping experience.”


©2008 France Publications, Inc. Duplication or reproduction of this article not permitted without authorization from France Publications, Inc. For information on reprints of this article contact Barbara Sherer at (630) 554-6054.

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