1/4 capacity of golfers?
So I'm going to use some simple rates, rounded for ease of math, but pretty close to the public courses near my place on the Cape.
Normal golfing:
- $75/green fees. $20 cart rental. Not all golfers ride, let's say half do. So a foursome would be $340 gross for the golf only.
- Then tee times are 6.5/hour (I think they do every 9 minutes), so that's $2,210/hour. Figure 10 hours of play in a day. THat's $22k/day.
Now in COVID golfing:
- If you're only at 1/4 capacity of golfers (I would guess some places might get to half) and you can't rent any carts, you're down from 26 golfers and 6.5 carts per hour to 6.25 golfers and zero carts per hour. So that's $487.50/hour of $4875 per day.
That's a reduction in gross revs from golf of about 78%. On the golf side, you maybe are cutting one person per day from the pro shop, and you don't need anyone to maintain carts, but you still need all the rest of your grounds staff. So not much of a reduction in costs.
Pro shop and 19th hole would have much more closely aligned reductions in revs and and COGS, but my sense is that both those areas are high gross margin areas, so losing them would make things even worse when you get to the bottom line.