Roger WarrenPresident, PGA of AmericaPresident, PGA of America

Executive SummaryExecutive Summary

• Since 2004, marketing initiatives generated Since 2004, marketing initiatives generated 2.4 billion impressions valued at more than 2.4 billion impressions valued at more than $39 million$39 million

• 6,000 facilities now hosting adult programs, a 6,000 facilities now hosting adult programs, a 25% increase over 2004 25% increase over 2004

• Record 122,000 lessons given in PGA Free Record 122,000 lessons given in PGA Free Lesson MonthLesson Month

• Play Golf America Days expandedPlay Golf America Days expandedto 12 sites with more than 7,500 to 12 sites with more than 7,500 in attendance in attendance

MarketingMarketing

• Continued with PSAs themed “Golf Is Calling” Continued with PSAs themed “Golf Is Calling” – 2 new TV PSAs added focusing on family and women/couples2 new TV PSAs added focusing on family and women/couples– TV, Print and Radio PSAs value at more than $8.5 millionTV, Print and Radio PSAs value at more than $8.5 million– 100 PSAs ran during May to promote Free Lesson Month100 PSAs ran during May to promote Free Lesson Month

• Public Relations continues to growPublic Relations continues to grow– 363 million impressions363 million impressions– valued at more than $5.8 millionvalued at more than $5.8 million

• Print ads valued at $1 million appeared in August issues of Print ads valued at $1 million appeared in August issues of Fortune, Money, Sports Illustrated and Golf Magazine, Fortune, Money, Sports Illustrated and Golf Magazine, with a combined circulation of 20.6 million with a combined circulation of 20.6 million

PGA Free Lesson MonthPGA Free Lesson Month

• 38% increase in PGA Professional participation – 4,985 in 2004 to 6,889 in 2005

• 33% increase in lessons given this year

0

20,000

40,000

60,000

80,000

100,000

120,000

140,000

Total Lessons 35,834 59,054 72,492 74,923 78,483 92,185 122,160

1999 2000 2001 2002 2003 2004 2005

PGA Free Lesson MonthPGA Free Lesson Month

2005 Program Impact2005 Program Impact

Avg. # FLM studentsAvg. # FLM students 1818

% purchasing tee times% purchasing tee times 33%33%

Avg. spending on golf feesAvg. spending on golf fees $487$487

% purchasing additional instruction% purchasing additional instruction 28%28%

Avg. spending on additional instructionAvg. spending on additional instruction $177$177

% purchasing golf equipment% purchasing golf equipment 10%10%

Avg. spending on golf equipmentAvg. spending on golf equipment $351$351

Proj. total revenue generated by the Proj. total revenue generated by the ProfessionalProfessional $4,417$4,417

Play Golf America DaysPlay Golf America Days

• Expanded to 12 Official Events in 9 different Expanded to 12 Official Events in 9 different PGA SectionsPGA Sections

• Averaged 625 consumers per event, record Averaged 625 consumers per event, record 2200 at Haggin Oaks 2200 at Haggin Oaks

• 400 PGA Professionals volunteered400 PGA Professionals volunteered

• All sites supported by PING, Wilson, Cobra, All sites supported by PING, Wilson, Cobra, MacGregor, Nike Golf and Callaway sponsorsMacGregor, Nike Golf and Callaway sponsors

• Goal: Expand to all PGA Sections in 2006Goal: Expand to all PGA Sections in 2006

2005 President’s Council2005 President’s Council

287

1,471

2,751

0

500

1,000

1,500

2,000

2,500

3,000

YE 2003 YE 2004 YTD 10/05

• 87% Increase in annual 2005 President’s Council87% Increase in annual 2005 President’s Council• PGA Members qualify by hostingPGA Members qualify by hosting

programs and reporting their resultsprograms and reporting their results

PGA SectionsPGA Sections

PGA Sections stepped up Play Golf America supportPGA Sections stepped up Play Golf America support

• ““Play Golf”/“Golf Month” efforts in 12 Sections Play Golf”/“Golf Month” efforts in 12 Sections including Governor Proclamationsincluding Governor Proclamations

• Carolinas Section coordinated “August is Carolina’s Carolinas Section coordinated “August is Carolina’s Family Golf Month”Family Golf Month”

• Tennessee and Middle Atlantic: Targeted NFL Tennessee and Middle Atlantic: Targeted NFL teams for Free Lesson Promotionteams for Free Lesson Promotion

• Regional web pages created and hosted on Regional web pages created and hosted on playgolfamerica.complaygolfamerica.com

Online Resource CenterOnline Resource Center

• Expanded complimentary online access to Expanded complimentary online access to golf’s allied associationsgolf’s allied associations

• New Best Practice resourceNew Best Practice resource

• Expanded offering of family golf program Expanded offering of family golf program curriculumscurriculums

• Creation of the Play Golf America LeagueCreation of the Play Golf America Leaguetool kit including alternative formats,tool kit including alternative formats,marketing templates and sales tipsmarketing templates and sales tips

Web Site Registrant Profile

Gender:Male 42%Female 58%

Race/EthnicityCaucasian 76%Minority 24%

Golf ExperienceNew Golfer 69%Existing Golfer 31%

Reasons Participating:To Have Fun 61%To Improve 55%Family Motives 49%Always Wanted to Learn 46%Meet People 26%

Existing Golfer Profile:Occasional 22%Core 40%Avid 37%

Post Program Participant Profile

New GolfersExisting Golfers

Retention Rate(still playing 1 year later)

83% 98%

Avg. Rounds Played Prior to Programs

0 24

Avg. Rounds Played 12 Months After 17 40

Avg. Spending By Retained Golfers $1,661 $4,024

Golfer Participation following Play Golf America ProgramsGolfer Participation following Play Golf America ProgramsGolfer Participation following Play Golf America ProgramsGolfer Participation following Play Golf America Programs

Group InstructionGroup InstructionGroup InstructionGroup Instruction

Host Site Results

20042004 20052005 IncreaseIncrease

Total Play Golf America Facilities 4,831 6,043 25%

Facilities Hosting Group Instruction 3,768 4,006 6%

Avg. # of Group Instruction Attendees 89 139 56%

Proj. Total Group Instruction Participants 335,368 556,905 66%

2006 Initiatives2006 Initiatives

• Goal to expand Play Golf America Days to all PGA SectionsGoal to expand Play Golf America Days to all PGA Sections

• Expand Women’s Golf Week (from 225 facilities to 500)Expand Women’s Golf Week (from 225 facilities to 500)

• Develop annual Play Golf America Calendar of events/ Develop annual Play Golf America Calendar of events/ branded promotions to run throughout the yearbranded promotions to run throughout the year

• Continue to grow best practice contentContinue to grow best practice content

• Conduct Play Golf America Conference at PGA Merchandise Conduct Play Golf America Conference at PGA Merchandise Show featuring grass-root Best PracticesShow featuring grass-root Best Practices

• Web site to serve as central industry resourceWeb site to serve as central industry resourcefor branded program content and registrationfor branded program content and registrationfor both consumers and host sitesfor both consumers and host sites