Restructuring the Season Pass Department of Park & Recreation - PowerPoint PPT Presentation

Restructuring the Season Pass Department of Park & Recreation May 28, 2019

2 Why Are We Here? • Declining Rounds / Revenue • Economic Impacts • Simplify the Pass System • Active Golf Advisory Committee Recommendation • To Make Golf Sustainable

3 Rounds Golf Rounds 2010 - 2018 2010 2011 2012 2013 2014 2015 2016 2017 2018 Sim Park 38,878 37,141 41,493 36,478 36,072 38,945 38,817 37,080 33,854 MacDonald 31,837 30,683 33,244 29,626 29,622 31,358 28,522 25,459 24,256 LW Clapp 26,176 24,508 26,452 23,150 23,915 24,542 21,181 19,399 15,244 Tex Consolver 35,796 35,699 43,209 38,418 38,715 41,451 39,089 39,063 36,480 Auburn Hills 28,492 30,093 34,488 27,788 30,022 30,240 29,791 30,715 28,609 Total 161,179 158,124 178,886 155,460 158,346 166,536 157,400 151,716 138,443

4 Three Largest Revenue Generators • 2018 Green Fees / Season Ticket Sales $2,473,310.52 $17.87 average per round played • 2018 Cart Fees Sales $954,610 $6.90 average per round played • 2018 Concessions Sales $391,797 $2.73 average per round played

5 Discounted Rounds 2010 2011 2012 2013 2014 2015 2016 2017 2018 Regular Green Fee Rounds 55% 54% 50% 49% 47% 48% 53% 51% 53% Percentage 32% 33% 33% 31% 32% 33% 36% 35% 32% Annual Pass Rounds Percentage Other Discounted Rounds 13% 13% 17% 20% 21% 19% 11% 14% 15% Percentage 45% 46% 50% 51% 53% 52% 47% 49% 47% Total Discounted Rounds

6 Current Pass Breakeven Point Savings based Total Out of Average Out of Current Pass Rates Reduced Green Rounds to Average Rounds on a $25 Green Pocket to Pocket by Pass Fee Breakeven Played by Pass Type Fee Breakeven Type 5 Day Single $ 655.00 $ 8.00 $ 17.00 39 $ 967 91 $ 1,383 7 Day Single $ 820.00 $ 8.00 $ 17.00 48 $ 1,204 101 $ 1,628 5 Day Couple $ 820.00 $ 8.00 $ 17.00 48 $ 1,204 55 $ 1,260 $ 1,446 7 Day Couple $ 990.00 $ 8.00 $ 17.00 58 $ 1,454 57 5 Day Senior $ 175.00 $ 14.00 $ 11.00 16 $ 399 39 $ 721 7 Day Student $ 75.00 $ 5.00 $ 5.00 15 $ 150 22 $ 185 7 Day Retired Military $ 170.00 $ 19.00 $ 6.00 28 $ 702 27 $ 683 5 Day Super Senior 70+ $ 100.00 $ 14.00 $ 11.00 9 $ 226 28 $ 492 7 Day Family $ 2,078 $ 990.00 $ 8.00 $ 17.00 58 $ 1,454 136 7 Day Young Adult $ 150.00 $ 8.00 $ 17.00 9 $ 222 22 $ 326

7 Proposed Pass Plan Based on 2018 Pass Sales Student Pass Senior Pass Young Adult Adult Pass Couples Pass 17 and under 62 and over 18 to age 33 34 and over Passses Sold 28 827 45 82 22 Monthly Rate 10.00 55.00 65.00 100.00 110.00 Annual Rate 120.00 660.00 780.00 1,200.00 1,320.00

8 Proposed Pass Breakeven Point Cost of Pass Based on a $25 Rounds Adult Pass $ 1,200.00 $ 25.00 48 Student Pass $ 120.00 $ 10.00 12 SeniorPass $ 660.00 $ 25.00 26 Couples Pass $ 1,320.00 $ 25.00 53 Young Adult Pass $ 780.00 $ 25.00 31

9 Comparisons Hidden Lakes Golf Course, Derby Cherry Oaks, Cheney Season Passes Cost 7-DAY GOLF ONLY Cost Tax Total Individual (any day) $925.00 SINGLE $1,328.25 $99.62 $1,427.87 Couple (Husband & Wife) $1,400.00 Senior (60 and over) $675.00 COUPLE $1,837.50 $137.81 $1975.31 Junior (HS/MS/GS Student) $300.00 SENIOR $1,176.00 $88.20 $1,264.20 JUNIOR $ 435.00 $32.62 $467.62 Sandcreek Station, Newton Pass Holder Classification Annual Cost Monthly Payment 7-Day – Non-Resident $1,750 $175 7-Day – Senior Non-Resident $1,550 $155 7-Day Family – Non-Resident $2,050 $205

10 Additional Considerations • Membership Fee increases – Annual increase of 2% starting July 2020 and going forward. • With the fee increase of $2 in January 2018, $1 is allocated to the Equipment Replacement Fund. • With the proposed no copay membership, we are recommending a $37 equipment replacement fund billing to all pass holders with the exception of student passes. This would be charged annually starting November 2019.

11 Implementation • Launch the new pass program this summer • On-Line Purchases Only • Season Pass Agreement • ACH – Bank Accounts • Transition of current pass holders • Insufficient funds or change bank accounts

12 Marketing Plan • Facebook • Google Display • YouTube • Television • Radio • Email Blasts • Mobile App • City 7 • Nextdoor • Golfwichita.com

13 Advertising

Questions regarding this plan? Department of Park & Recreation