Your “churn rate” is basically the percentage of golfers/members who fail to renew their commitment and loyalty to your golf course.
Churn rate is an important input into golfer/member lifetime value modelling because it is extremely important to understand the lifetime value of the golfer/member and the amount of lost revenue due to a high churn-rate.
The phrase is based on the verb churn, meaning “to agitate or produce violent motion” and nothing agitates a club’s bottom-line more than lost revenue from unsatisfied golfers/members.
Churn rates, retention rates, turnover rates, etc., are all similar ways to gauge how well you are retaining and/or churning golfers/members. We all know, retaining golfers/members is paramount to running a successful golf course but we must also realize the pain felt by our bottom-line when we churn (lose) golfers/members.
There have been numerous studies in the past that tell you how much it costs (6 times) to acquire a new golfer/member as opposed to servicing and retaining an existing golfer/member. This is why people talk about retention when it comes to the lifetime value of the golfer/member.
A lot of golf marketers and even golf club owners sometimes fail to realize the lifetime value of a golfer/member. Once you have acquired the new golfer/member, the last thing you want to do is lose that golfer/member to a competitor just because you have failed to service him/her properly.
Don’t ever forget, golfers/members want to feel important, they want to feel loved, they want to feel they are part of something, connection, etc. These are very important emotions you must be sure your golfers/members are experiencing when it comes to your golf course. Learn how to retain more golfers/members and you will learn how to grow the game, your golf property, and your golf career.
For more free tips on growing the game, increasing rounds through golf course marketing, golf marketing, golf course campaigns, golf campaigns, professional golf membership sales and advancing your golf career visit us today @ www.golfmarketingmmc.com or call 904-217-3762.