The Wire, golf's only daily transaction newsletter
August 26, 2004 • Volume 6, No. 166
a publication of the Golf Press Association




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Today's News
Equipment
The Tiger Woods signature wedges from Nike Golf are the latest additions to the company's collection of forged wedges that now includes 20 different styles. For more...

Mizuno introduces its stainless steel MX-17 irons. For more...

Nickent Golf, in its first visit to a PGA Tour event, scored a top-10 and a top-15 finish at the Reno-Tahoe Open. For more...

Club Champ Golf by Dennco announces the availability of the Club Umbrella. For more...

Golflexx reports that its stretching device will increase range of motion and distance. For more...

Apparel
Röche Sports announces its spring 2005 clothing line. For more...

Ahead announces the hiring of seven executives to its sales force. For more...

Tournaments
The Arnold Palmer Turning Point Invitational has secured a major gift of $500,000 from an anonymous donor, pushing the fundraising total for the inaugural Invitational to $5.1 million. For more...

Sponsorship
The Golf Event Managers Association announces that Amelia Island Plantation (Fla.) has joined GEMA as a corporate sponsor. For more...

Players
Chris Nallen, a four time-All-American at the University of Arizona and a semifinalist at the recent U.S. Amateur championship has signed a management agreement with Gaylord Sports Management. For more...

People
West Coast Trends, makers of the Club Glove, announces the hiring of John Jenkins and Darin Jacober as new outside sales representatives. For more...

Internet
Coyote Ridge Golf Club in the Dallas/Ft. Worth area signs with Cybergolf to use its e-mail marketing system and e-commerce tools. For more...

Events
PGA Golf Exhibitions will present the first annual Pro-Pro Tournament for PGA Professionals and Apprentices, Sept. 22, in conjunction with the 2004 PGA Fall Expo in Las Vegas, Nev. For more...

Courses
A subsidiary of PGA Tour Golf Course Properties, which has operated the Tournament Players Club at River's Bend near Cincinnati, Ohio, since it opened in 2001, has exercised an option to purchase 100 percent of the club from River's Bend Land Company. For more...

Business
Callaway Golf Company announces that the finance committee of the Board of Directors has declared a dividend of $.07 per share, payable Sept. 29, 2004, to shareholders of record as of Sept. 8, 2004. For more...

Briefly
Gaston Country Club in Gastonia, N.C., reopens following an extensive renovation by architect Kris Spence. The grand reopening is Sept. 4.

McCormick Woods in Port Orchard, Wash. is the latest course to receive a HoleView Environmental Yardage Book, signifying it as a prestigious Audubon International Certified Cooperative Sanctuary course.

The Men of Holy Family announce that the ninth Mark O'Meara Golf Classic will be played at Champion's Gate Golf Resort in Orlando, Fla., on Saturday, Sept. 18.

ClubTec introduces its new Web communication product, WebTec, a Web site editing tool that allows the user to edit directly on the page -- and see the changes instantly.

The Glowing Ghouls Golf Tournament will be held Saturday, Oct. 23, at 4 p.m. at Cleary Lake Golf Course in Prior Lake, Pa.

Q-and-A: Ed Several
Editor's Note: On July 1, Ed Several took over as Reed Exhibition's Vice President and Show Manager, overseeing among other events the PGA Merchandise Show and the PGA Fall Expo. Several recently spoke with Golf Press Association publisher Alex Miceli about the shows, their enhancements and their stability.

Q.: I guess the first place to start is the following: Going forward, the PGA Show, it's going to be different under your regime in what way?

ED SEVERAL: What we're going to do is build on the successes of 2004 and work to expand the impact of the show past the actual four days of the event so that the exhibitor has an opportunity to not only get benefit from being on the show floor, but also be able to impact their sales and their marketing objectives prior to the show and after the show.

Q.: Is one of the things you would like to see is the show extend figuratively over the 365 days of the year.

ED SEVERAL: That's exactly what I mean. We want the show to be one of the most valuable marketing tools for anyone who wants to market within the golf industry. And that means that the show will have legs that will extend past the days of the event, with both what I'll call pre-marketing programming and post-marketing programming. That's where we want to go with this.

Q.: So you want to build off the successes of 2004. Do you feel somewhat lucky in the fact that you weren't involved with the project or involved with the show prior to 2004, that they had the opportunity to take some of these chances then or would it have been something where you would have been comfortable either way.

ED SEVERAL: I would have been comfortable either way. I have a passion for this show. I've been part of it for the last five years. I've been an exhibitor, been involved in everything from literally designing the strategy for booth, organizing and executing the booth and really maximizing the payback for Top-Flite and prior to that Spaulding. So whatever year I would have had an opportunity to work on the show, there's going to be challenges, like with any business there's challenges, and I look forward to overcoming them.

Q.: What has surprised you the most either positively or negatively about the situation since your beginning?

ED SEVERAL: I'll say positively in terms of that is the tremendous enthusiasm for the show among the many exhibitors that are out there. You never know until have you a chance to get into this position how many exhibitors and many attendees -- both PGA professionals and off-course buyers and people associated with the industry -- they see a real need for the show, they have a passion for their industry show, and they want to build upon the show. And that has been a very nice surprise because you never know what to expect when you come into a position like this, and that's been a nice start to this opportunity.

Q.: The show environment, not just golf show, but shows in general -- that's obviously something that Reed is heavily into. But from all indications, that as a vehicle, has it lost some of its luster. And looking at the numbers that I have seen reported, the numbers are showing a clear decline in exhibitors, as well as attendees at many shows. Do you see your job as remaking this show or do you see your job as trying to maintain as close to possible the numbers as they are today?

ED SEVERAL: First, let's take the PGA Show. When you take a look at the 2004 numbers, attendance among PGA professionals and buyers was up 11 percent. The enthusiasm for the enhancements to the show, like the Equipment Testing Center where over 400,000 balls were hit in four days by equipment from some 30 manufacturers and the Demo Day where you had over four thousand key golf influencers out there testing equipment from over 45 different manufacturers. When you put that all together, the PGA Show is gaining momentum.

My goal is to build on that success and to take the show and continue to evolve it. And evolve it in such a way that it best meets the needs of the industry. Best meets the needs of the exhibitors, best meets the needs of the attendees. I've been out to see exhibitors, out to talk to attendees, down to the Orange County Convention Center, I've been with key constituents because I want to gain feedback so that I can be a conduit for them to flow in information on how we continue to make this show one of the best marketing tools for exhibitors and the best business resource for attendees.

Q.: In the time that you've been involved officially with the show, what's the best idea you've heard from an exhibitor?

ED SEVERAL: The best idea to date is that they want to take the various programs that we offer, and, like a menu, maximize value by selecting programs as lined out in their objectives. They've asked us for some slight modifications to some programs to better meet their needs, and they have actually been able to take many attributes of the programs that we offer and link it back to their objectives. Now they can sit down and say, OK, we now know these are our objectives, now we can measure this and see how we do against those objectives. And it was very broad-based. It wasn't just sales based, it was marketing-based, branding-based, PR-based.

Q.: I'm assuming, listening to that, that a lot of large companies focus like that. The smaller companies are more focused on the dollars and cents. They really have to look at the bottom line. How much money did it cost me to attend the show? How much money did I make from sales from the show? They have a hard time taking it out six months to a year and saying, OK, the show is beneficial because seven months ago I got a phone call that I probably wouldn't have gotten. So if my assumptions are correct, is that particular focus more on the larger exhibitor or is the smaller exhibitor factored into that?

ED SEVERAL: Every exhibitor has been important. And we want to to make sure that we're best meeting the needs of every exhibitor. Whether they are the largest right on down to the smallest. And we are creating programming that is literally a menu approach, so no matter how big you are or how small you are, you can take advantage of it based on your objectives.

The better that we can work together to understand the objectives, we can provide every exhibitor with programming that will enable them to best meet their objectives. And on the other side, we want to make sure that every attendee has the best experience they possibly can get -- both at the PGA Merchandise Show and the PGA Fall Expo. And we're working on things that we have heard back from them to make sure that their experience is not just at expectations, but above expectations.

Q.: What possessed you to take this on?

ED SEVERAL: I have passion about this show. I think that while this show is a true barometer of the golf industry, it has a very important role within the golf industry, not just from a trade side so to speak, but just from golf as a sport in general. And as a business in general. The PGA Merchandise Show sets the tone for the year. It is a challenge that I want to take on and, quite frankly, it's an honor to lead this team.

Q.: Most people would say that a golf person probably is important to have in this role. But yet only five and a half years ago you weren't a golf person. You probably spent more time in the packaged goods side. What do you bring to this job?

ED SEVERAL: From the packaged goods side, combined with the time that I've spent in the golf business, it's a combination of the two. There's good business disciplines that both provide, especially the significance of branding within the packaged goods industry, and how important branding is within, really, any category -- and especially in the golf category. That was a terrific proving ground in terms of understanding what it takes to establish, maintain and grow a brand.

Going into the golf industry and taking that branding experience and combing the two and understanding the golf industry and the specific needs of that particular discipline, combine that with being able to understand what it takes to establish, maintain and grow a brand. That's why I feel like I'll be able to make an impact with the PGA shows.

At the end of the day, this is a terrific resource for attendees and exhibitors to grow their businesses. And because I can understand both sides of the fence, through a retailing background -- both before and during my golf industry work -- plus the manufacturing side, then I'm able to understand and put together programming that benefits both important customers -- manufacturers and retailers.

Q.: Ten years ago, the Show was the show. It was the show in the golf industry, people went there, not really understanding why they should go, but everybody else went, so they went. In today's environment, with budgets the way they are, sales the way they are, do you see actually that the Show focus has to change toward this whole idea of better understanding your customer, better understanding the product and that it's more of an informational focus?

ED SEVERAL: The answer is yes and I'm going to break it down into two parts. Let's take the attendee. This is a very good investment for an attendee because of the networking, the opportunities to go and talk to not just large manufacturers, but small, medium manufacturers as well. And to really keep their pulse on what's new, and to be able to demo, to test and also to learn through the different conference tracks that we have, from an education standpoint, it becomes a terrific business resource and a very good investment for an attendee to come and be part of it.

This is a sharpening of the skills. And it's really one of a kind in the golf industry. From an exhibitor standpoint, the ability to touch over 44,000 people who are involved in the golf industry, being able to put their equipment into their hands and to demo it, to be able to talk one-on-one within a confined time period. I know that's valuable in today's fast-paced world where you may see a customer for a little while. Here you get an opportunity to sit down with them face-to-face. And so the value of the show evolved to meet that with the different elements like the testing center, like the demo day. And we're going to continue to evolve it to make sure that it's a great investment on everyone's part.

Q.: The major exhibitors, some that have defected... Titleist, Ping are good examples. TaylorMade didn't come; decided just before the show that they weren't going to come as well. Their argument, at least from the Titleist and TaylorMade standpoint, as I understand it, is that they could spend that money better by bringing people in and individually visiting their larger customers over the 365 days a year. How do you counter that?

ED SEVERAL: When you look at the events where people do bring in folks to their headquarters and they take them through, those are, hundreds of people, maybe a thousand. You're not going to reach everybody. And when you are looking to go grow your business, versus maintaining it , you really want to reach out and cast as wide a net as you can. And that's the role of the show. The role of the show is to reach out to everybody to help grow your business.

Q.: OK. Reversing that. If I just created a widget, some type of widget, and I have never been to the show and I have never spent any time marketing it, clearly when there's 40- to 42,000 people and it is my first exposure, that sound great to me.

But if I'm just starting out, it's a lot of money for me to come and get a 10-by-10 booth and take off from my work -- because that's my real job, not this -- what arguments do you give a first-timer for why they should exhibit at the show?

ED SEVERAL: If you are new in the industry and you're introducing a product , the forum to be part of really is the most influential group of golf decision-makers in the world at the PGA Merchandise Show. The opportunity to display your product in an environment where the person you're presenting to is receptive is extremely valuable.

Everybody who attends the show is coming there with the idea of either insuring that they have the right mix of products, looking for something new, something that can enhance their business, and they're in the mood to hear those new ideas and so you've got a receptive buyer. Remember that when you visit someone there could be other distractions that you can encounter when you talk to them in offices or over the phone, at a PGA show they're there for a reason. That's to learn, to try and to buy. That's a great environment to be in.

Q.: What will you do or what are you trying to do to increase the attendance? And when I say attendance, I mean qualified attendees.

ED SEVERAL: We will continue to increase the quality and quantity of the attendees. And we have marketing programs that are in negotiations with influential partners that will address the opportunity to continue to increase the quality and the quantity. It's going to be pretty exciting. We have as much focus on that piece of the pie as we do on fully representing the industry with the group of exhibitors that come to the show.

Q.: Talk about the fall show?

ED SEVERAL: The fall show is a terrific regional show that plays a key role. There are many west coast buyers who attend the show from a location standpoint and a timing standpoint. The fact that we have moved the show back into September from August has really provided an opportunity for a setting where there can be a lot more time spent with a key influencer in that critical early fall time period.

It's an opportunity for manufacturers to become part of a fall sell in, and in fact the show this year has some very exciting performance figures right now. No. 1, pre-registration numbers are up 28 percent over this time last year. No. 2, some 300 exhibitors will be participating including the likes of Callaway, Wilson, Top-Flite, Sport-Haley, Ping Apparel and more.

Plus, we have added an Equipment Test Center, which we had not had in the past. It's a clone of the one that we have done, a little smaller, 24 bays versus the 45 bays, but all 24 bays are sold out. Also, Demo Night is sold out with some 40 equipment manufacturers on hand at the Callaway Golf Center. A full day of some 40 education seminars kick off the Expo the day before, add the terrific city of Las Vegas and the role of the show has really found a valuable niche in that it is an opportunity for west coast buyers in that fall time period to preview, test and learn, and for manufacturers to reach those important buyers.

Q.: One of the important questions if I was looking at it from the Reed standpoint is, do you foresee the ability to bring any of the larger manufacturers back? Have you had time to talk with them? Do you think you can address their concerns to the point where they would participate this year?

ED SEVERAL: I won't put a time frame on it, but I speak their language, I understand what their needs are, I want to work with them to better meet their needs and take, really, a great team of marketing professionals to work with those larger companies to insure that we listen to what their needs are, put together programming that's going to make sure that we do everything possible to meet their objectives so that they will return to the show.

Q.: You have had enough time to know what Reed's expectations are, you know what your own expectations are. Its been reported that the show was purchased from the PGA of America for about $122 million. Do you think that if, in today's environment, knowing what you know today and assuming that that number is correct, you were approached again today to buy the show for that amount, do you think it would have been a good buy?

ED SEVERAL: The PGA show is a crown jewel. It is the industry bellwether. It's a show that plays a very, very important role within the industry. And working together with the PGA of America, and the team here, that show is an excellent tool that would be attractive to, really, anyone who is in this business. It is a very attractive show for Reed, it's one of Reed's crown jewels and it plays a very important role, not only in the industry, but for Reed as well.

Q.: So should I read that to mean that if you had to bite the bullet on $122 million you would?

ED SEVERAL: It's a very good investment. I have seen no issue from Reed corporate or at Reed in the U.K. about their investment.

Reader's Forum
On Sunday, 21-year-old Ryan Moore won the 104th U.S. Amateur Championship, making it his fifth straight win, which has included the NCAA Championship, U.S. Amateur Public Links and Western Amateur. Is Moores run the best by an amateur since Bobby Jones Grand Slam season of 1930?

Send comments to info@gpagolf.com with the subject line "Amateur." Only those responses that include first name, last initial and hometown will be considered. Send responses by 9 a.m. ET on Thursday, Aug. 26. Comments will be published in the Friday, Aug. 27 edition of The Wire.

Send your responses to info@gpagolf.com