Maximizing tee sheet yield is about selling your tee times at the highest prices customers are willing to pay. An effective yield management strategy can make quite a difference because revenue from each additional round goes directly to the bottom line. To implement an effective yield management strategy you must:
• Understand historical utilization measures to identify the best and worst times.
• Develop at least one target audience for each time period.
• Implement a variable or dynamic pricing model. Focus on selling your worst times first. Attract your target audience by using on-target incentives. The best times are easy to sell. Ask yourself if you could charge more for your best times.
• Measure the results by day, week and month to identify trends.
• React and adjust your pricing based on demand.
The end goal should be consistent growth in your REVPAT (revenue per available tee time). To start, your initial target should be selling 50 percent or more of your capacity at a net rate of 70 percent to 75 percent of your peak posted rate. —Michael Gregory, Global Golf Advisors