In today’s world of full memberships, waiting lists and rising entrance fees, some clubs can afford to be selective when admitting new members. As anyone with a memory longer than 5 or 6 years can clearly recall, this wasn’t always the case and given the cyclical nature of things the club membership market isn’t likely to be as robust in perpetuity. Regardless of the state of the club membership market, both the club and the prospective member should be asking questions.

CULTURE is a big part of the process, both the culture of the club and whether the member fits in to that culture. It doesn’t matter whether the club is member-owned or privately (investor)-owned, both club and member need to understand the club’s culture and what defines it. As a member of the National Club Association’s Insight and Resources Development Committee, one thing we’re working on is a member onboarding guidelines document.

Earlier this week, I was onsite at a client club for an appraisal assignment and surveyed the club’s ownership and management about the club’s culture. It was very enlightening and I plan to integrate at least “scratching the surface” on a club’s culture into each of our appraisal, consulting & brokerage assignments in the future. It’s a big part of the club’s economic foundation.

For those clubs that can afford to be more selective and even exclusive with membership development, it stands to reason that the club might ask more questions, especially of the member who might seek the prestige of belonging. The club will require sponsors and vet the prospect’s character along with confirming their ability to meet the financial obligations to ensure as much as possible that the prospect will fit with the club’s desired culture. Often, it’s not much more than social or financial status that become the criteria for membership, but the club’s goals need to fit with the members’ reasons for joining as well.

As we all know, clubs can seek prestige, sometimes through artificial means that can contradict with membership desires. We seek to ascertain whether a club is family-oriented or more businesslike? Is the club more of a sports and recreation atmosphere or focused on social activities? Is it relaxed and casual or “stuffy” and rigid (often by design). I’ve always been intrigued by (even many of the most highly regarded) clubs in Scotland and the UK promoting inclusivity and welcoming visitors. At many upscale clubs in the US, you can’t even access the property without clearance from the “control tower”.

While most certainly the club’s financial requirements establish some definition of inclusivity or exclusivity, issues like dress codes, how players traverse the golf course (caddies, trolleys, carts, etc.) and whether alternatives are required, permitted or optional and of course when and where cell phones can and can’t be used often become significant elements of a club’s culture profile. Not only do prospective members need to be aware of these things, but the club needs to understand the impact of each on their culture and defining their membership, present and future.

The diversity of a club’s membership is also an indicator of its culture. More in years past, but still an issue is who are the members. I grew up in an era when, as a Jew I wasn’t welcome at some clubs. These still exist, as do those that exclude women. While most clubs are more inclusive in that regard these days, the remnants of seemingly inappropriate exclusivity still remain at some. Broadening the appeal of golf and club membership would seem to be in everyone’s long term interests and encouraging inclusivity helps accomplish that. I want to see the game grow on all levels and thrive.

For us, learning a club’s culture is critical to analyzing that club economically, but it’s also critical for both the club to understand its own culture, and for the existing and future members to know both the club’s culture and which clubs might be a fit for them. Regardless of market conditions, which are constantly evolving, both the club and the member need to ask the right questions.