The golf tourism industry is growing and will continue to experience an upsurge in the years to come. This is according to a forecast report for the industry from the research firm Technavio. For the next four years, investors and businesses worldwide can expect an 11% increase in the compound annual growth rate (CAGR) in the golf tourism sector. This predicted growth rate assumes that golf tourism will soon be a $19.4 billion industry. The rise in the industry will be highest in countries from the North American. The research agency came up with the report by obtaining information from the main companies involved in the golf tourism industry. These companies include Golfbreaks.com, PerryGolf, SGH Golf, Golfasian and Palatinate Group.
Factors that contribute to the growth of golf tourism
Several key factors explain the favorable outlook for the industry, with the main factor being a growing interest in golf. The rising popularity of the sport was shown in a recent industry report revealing an increase in the number of first-time players worldwide. The number of golf beginners in 2016 rose from 2.5 million to 2.6 million in 2017. With more people playing golf in various parts of the world, it is natural that demand to construct new golf infrastructure will also grow. The Technavio report also notes that better golf courses are being built as golf investors try to keep up with higher international standards. Many world-class golf courses are incredibly stunning, further encouraging tourists to travel great distances just to play them.
Rising government support contributes to growth
Every business venture needs to abide by government policies and the golf tourism industry has a huge advantage in this aspect. According to the forecast report, governments in various countries want to maximize the great opportunity the golf tourism industry can bring by extending full support to investors. By offering help to promote campaigns for golf tourism, the government is a great ally in persuading tourists to try golf recreation.
Challenges faced by golf tourism
The golf tourism industry may be a fast-rising, but it also has limitations that can affect its growth. As an outdoor sport, playing golf is highly affected by weather conditions. Weather factors such as rain, snow or excessive heat can make it hard to enjoy a round of golf. Golf as a seasonal activity can significantly reduce the income potential of the industry.
The report also reveals that golf tourism is a sector with a moderate number of key players in the market. This makes it a lucrative industry to invest in. However, the competition among these key players is intense, making it harder for some companies to get a fair share of the market. Firms who want to invest in the golf tourism industry should establish innovative marketing strategies to take advantage of the great opportunities ahead.
While recent research has shown that spending your leisure time golfing may be the next big thing, a golf vacation is always an awesome option for people who want to unwind and relax. If you are in search for the best golf vacation package that will let you tick off an item on your bucket list, Pinnacle Golf Vacations is more than happy to help. Allow us to be your vacation partner and request a quote today!
