Case 16 Callaway Golf: Big Bertha’s Team Hits a Long Ball

TaylorMade selectively chooses its retailers to more effectively sell its products. Being part of the adidas Group allows TaylorMade to use the wide distribution channels and infrastructure that adidas brand currently operates to grow its product line in new emerging markets. TaylorMade focuses on strategic accounts to create and make available state-of-the-art floor displays that showcase products and communicate key messages, which allows it to better position its clubs and balls among the top-selling golf products (adidas Group, 2013). TaylorMade is also focusing on smaller golf shops and privately owned retailers to gain a more personal approach with consumers.

These magazines and movies are only a small portion of how golf has helped changed society.  Golf provided a helping hand in bringing the American nation closer together as equals.  Blacks and Whites of all ages and gender have been given the chance to play along side each other in a safe environment.  Sports sometimes provide a place for equality.  Golf is a great example of this equality.  Stossel says "golf is beginning to look more like America: diverse, multicultural, and largely middle class" (2).  But, will Americans take advantage of the

Companies currently operating within the golf industry, specifically Calloway Golf, must change their current marketing approaches and strategies to withstand the recession and threats facing the industry. Although Calloway has a strong R&D department that tends to remain competitive with products and technology, there have been little results in reference to scores. It is imperative that if companies are going to market a product that will help golfers drive further and straighter that the results depict this so that not to damage the brand name of a product. Secondly, due to the decline in equipment sales and the number of golfers, prices are dropping and companies are outsourcing to maintain the volume needed to remain competitive. Companies must be cautious and aware so that counterfeiting may be reduced. This reduction would also allow companies to reduce their pricing and have more sales without the competition of these cheaply priced knock-offs. In the instance of

Imagine the sun bursting through the trees for the first time of the new day, the smell of freshly cut grass still potent to your nose as you tee the ball up for a round of golf in the cool mist of a spring morning. "That is what brings you back every time, the smell of the air, the coolness of the whether and the beautiful surroundings that make every shot enjoyable." (Suess, PI) This is the game of golf in its finest and most exquisite time to many people and many people it has touched in its long history. Golf is a lifestyle and not just games to people that are avid in playing. The game of golf has a history that is rich in technological advances and personal accomplishments, which through time has shown to shape

Marsden sat down with his swing coach to set up his objectives for his golf career. He realized he had a lot of work to do to reach that goal of winning a Green Jacket. Marsden’s father Jeff, had bought him a membership at Mattaponi Springs, where he would spend countless hours on the range and around the greens. Dyson had a routine he would do every day; he would hit eight perfect shots with each club in his bag. The young man then would move on to the chipping surface, he hit fifty perfect shots that had to land within three feet of the pin. Whenever he had nothing to do, he would be on the range practicing, if he didn’t answer the phone and you needed him he was at the range working. He would put in dedication into his golf game twenty four seven.

What is the market opportunity you see for the future? Who is Callaway’s target audience? Is it big enough to help turn sales around?

The partners must do additional analysis prior to determining if they should invest in a new miniature golf venture in Golden City. Before establishing marketing objectives, advertising and promotional programs, plans for addressing demand fluctuations and considering alternate locations, they must determine if they can generate sufficient sales to fund operations. They have done market research which provides a good baseline for establishing the demand, course capacity and anticipated costs. Once they have analysed this data and established that the business is financially viable, they can address advertising, demand and location questions by developing a marketing strategy.

Golf ball manufacturers would be looking to achieve several key strategic goals, such as increased sales, increased market share and / or increased profitability, to adopt and implement PI’s technology. Accordingly, manufacturers are mainly concerned with the cost and implications on manufacturing, competitor reactions (and customer perception), the forecast growth in the new balls market, the share they could capture and the financial details of agreement.

The U.S. Golf Association (USGA) specified the characteristics of legal balls within tight parameters. These restrictions on size, weight, materials, texture, etc., seemingly left little room for product innovation. In fact, the USGA regulations specified not just what went into a ball, but how it could perform, stipulating to within 10-20 yards how far the ball could travel when hit by a certain type of club traveling at a certain speed, all verified under controlled conditions with robotic testing equipment. Nonetheless, new product introductions were rampant in the industry, with slight changes in surface coatings and dimple patterns, for example, being touted for their ability to add a handful of yards to a golfer’s shots, to give more accuracy, or to create greater control through faster spin on the ball. In addition, ball manufacturers spent millions of dollars on advertising campaigns for their balls. There were three basic types of balls, all conforming to the same general specifications. The oldest technology still in use was the three-piece ball, which consisted of a core, windings, and a cover; this ball was good for spin and overall control. The second, and most popular, type of ball was the twopiece ball, which eliminated the windings of the three-piece ball; this ball produced more distance. The newest technology was the “solid core, multi-layered ball,” which had taken the

Callaway Golf Company (CGC) excelled in designing, development, manufacture and marketing of Golf clubs and accessories. Established in 1982, the publicly traded company recorded a steady growth in sales from $5million in 1988 to $800 million in 1997. This was possible due to clarity in vision of its CEO Ely Callaway, which was aimed at making a satisfying product which was uncommon and enjoyable for the average player rather than professionals. The revolutionary clubs were sold to professional as well as average players at premium prices driven by the high performance delivered by them.

Callaway Golf Company is considered a leader of the golf equipment industry through its development of technologically advanced golf clubs that compensated for the most amateur players with poor swings and helping them achieve a better golf game with the introduction of Big Bertha in 1990 and launched Callaway Golf Company forward at great speed into notoriety of the golfing community (Gamble, 2000). This analysis will thoroughly dive into the many parts of the case of the Callaway Golf Company.

The founder, Ely Callaway’s vision is: “If we make a truly more satisfying product for the average golfer, not the professionals, and make it pleasingly different form the competition, the company would be successful.” However, this vision is change from other company’s visions; the difference being that the price is not mention.

founder of Callaway Golf Company turned the most-feared club into the most-loved almost overnight. The driver became the fastest-selling club at retail. Many innovations have followed. From woods, irons, and putters to golf balls and golf accessories, Callaway Golf has consistently used ingenuity, quality construction, and technology to make the finest premium products in the industry.

When the modern game of golf originated in 1764 in Scotland, players used wooden clubs and wooden balls to maneuver the 18 hole course (IGF). Since then, both clubs and balls have been drastically modified to enhance the sport. Golf balls are becoming progressively more ideal. The chemistry behind them is constantly changing and some brands and types differ from others in regards to their make-up.

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