Archive for July, 2018

What Have You Done for Me Lately?

Thursday, July 26th, 2018

How often have we in private clubs heard that from our members?  No one but a few creatures of inviolable habit likes the “same ol’, same ol’,” yet that’s what many clubs serve up month after month, year in and year out.  Why not try a different approach that will “wow” your members?  Make “wow factors” a part of your club’s traditions.

What is a “wow factor”?  It’s anything, usually unexpected, that causes your members to say or think, “Wow, that’s really neat!” or “Wow, I didn’t expect that!” or “Wow, that’s impressive!”

Wow factors are characterized by their unexpectedness and as such any particular wow factor cannot become part of your club routine.  They are executed for one-time or short-term effect.  They are also characterized by being unusual – either cutting edge or just out-of-the-ordinary.  They can be extravagant and expensive, but these should be few and far between.  Most wow factors should be small scale, inexpensive, and momentary, that is, of short duration as in one day, one evening, or one event.

The key to making wow factors is to challenge your club’s department heads to come up with a specified number of wow factor ideas for their areas of the operation – say 10 new ideas for the coming busy season.  Each idea should be briefly described on paper – what it is, how it will be done, what items need to be purchased, any talent that needs to be contracted, any associated labor cost, and an overall estimated cost.  Then all department heads should meet with the General Manager in a brainstorming session to discuss, settle on, and schedule the roll out of each wow factor.

Here are a handful of ideas to give you a sense of the program:

  • Complimentary mini-trio sampler of desserts or appetizers for all diners on a given night – this is also an excellent way to preview or market a new menu.
  • Free soft-serve ice cream or smoothies for the kids (of all ages) at the pool on a hot summer day.  An alternative would be to arrange for the local ice cream truck to pull up in front of your pool with music playing.  Everyone gets their specialty ice cream treat and you pay the bill.
  • Flowers for all the ladies dining on some non-special night just for the surprise effect.  Google search “special days” for calendars of unusual celebrations and holidays.
  • Have the General Manager act as the club “doorman” on a random evening to greet each member and guest as they arrive.
  • A giveaway of a sleeve of golf balls to each golfer on a busy Saturday morning.  Handed out by the Head Golf Professional on the first tee for maximum effect.
  • Free mini-pizzas in the lounge on an unexpected evening.
  • A themed ice carving for a ladies luncheon.
  • Complimentary and unusual hors d’oeuvres for the weekly card game in the men’s lounge.
  • Face painting or a clown or a balloon artist at your next children’s event.
  • Complimentary wine for no special reason.  A great way to clear out dead stock or showcase new wines.

Again, the key to the wow factor is its unusual nature and unexpectedness.  Several tips:

  • Execute your wow factors where they will have the most effect – food and beverage areas, golf areas, locker rooms, special events, activities, aquatics, tennis.
  • Plan, budget, and schedule.  Formalize your program enough so that the wow factors are spread out and spread around.  Always have a budget.  Say you budget $1,000 per month for club-wide wow factors.  The cost to the club is $12,000 per year – not an inconsequential amount, but think of the benefit to member pleasure and even employee morale.
  • Wow factor ideas are everywhere.  Borrow from other establishments or something you saw on vacation.  The Internet is a treasure trove of ideas.  Google search words or phrases such as “Fun,” “Fun Ideas,” “Fun Activities,” “Fun Recreational Activities,” and “Inexpensive Activity Ideas” and you’ll get a sense for how many resources are out there.
  • To keep your costs down, get together with vendors for freebies.  Many would be thrilled to get some exposure to your members for their products and services.  Just make sure you prominently give them credit for their donations.
  • Once you’ve used a particular wow factor, save the concept for some future time.  Avoiding routine doesn’t mean never doing it again, just doing it again when unexpected.  Over time, you’ll develop an extensive list of wow factors that can be deployed for maximum effect at some future moment.
  • Keep your wow factor strategy, plans, and schedule under tight wrap.  Don’t ruin the surprise with “loose lips.”
  • Let your members do the talking about the wow factor, not you or your staff.  Act like nothing special is going on, while the members “buzz” about the unusual and unexpected.  Certainly, you may acknowledge a wow factor when asked about it, but act like it’s no deal, just some little thing that happened “spontaneously.”

There are hundreds of websites offering unusual and fun ideas.  Get your department heads and staff excited by searching out the most unusual activities, events, or ideas.  Your members will still ask, “What have you done for me lately?” but they’ll be delighted by the unexpected moments and your staff will be energized by the fun of “giving” these special gifts to your membership.

Thanks and have a great day!

Ed Rehkopf

This weekly blog comments on and discusses the hospitality industry and its challenges. From time to time, we will feature guest bloggers – those managers and industry experts who have something of interest to say to all of us. We also welcome feedback and comment upon the blog, hoping that it will become a useful sounding board for what’s on the minds of hardworking managers throughout the country and around the world.

Attending to the Basics in an Organized and Disciplined Way

Sunday, July 8th, 2018

I received a phone call a couple of weeks back from an industry colleague who belongs to a private club.  He said he was serving on a committee to look for ways to increase membership and revenues, while cutting costs.  While I mentioned a couple of ideas, I launched into my familiar pitch that almost any club could benefit from attending to the basics of the business in an organized and disciplined way.

Most of us recognize that our business is not rocket science.  The basics of what we do are well-known to any club professional.  What makes our jobs so challenging is the sheer volume of things that must be attended to daily in a detail and people-intensive business.  Unless a club operation is well-organized and its managers highly disciplined, it operates in a state of barely-controlled chaos interspersed with periods of downtime.  The challenge for all is to transition quickly from storm to calm back to storm while remaining focused on long term goals, ongoing projects, and continual process improvement.  The solution is to organize the club so that most things happen routinely and that managers at all levels be highly disciplined in approaching their duties and efforts to improve the operation.

The great majority of private clubs suffer from similar problems rooted in the same underlying causes:

  1. Standalone operations with limited resources and few economies of scale.
  2. Clubs operate multiple businesses – food and beverage, golf, tennis, aquatics, retail, recreation, and the major maintenance effort involved in golf course operations.  The knowledge and skill set to operate clubs efficiently is large and complex, and especially challenging for lean management teams working long hours and weeks.
  3. The club business is both labor and detail-intensive requiring significant ongoing training, yet without the necessary resources to adequately provide it.  As a result most clubs operate from oral tradition and service complaints are a continuing issue.
  4. Most clubs operate without a written operations plan made up of detailed standards, policies, and procedures which, as Jim Muehlhausen says in his book, The 51 Fatal Business Errors, requires managers to reinvent the wheel every day.
  5. The hospitality industry as a whole and clubs in particularly offer relatively low wage jobs, limited benefits, and challenging working conditions.  As a result high levels of staff turnover are common, particularly among line employees.
  6. Older clubs with aging memberships and outdated facilities find it challenging to find the right mix of facilities and activities to attract new members.
  7. In most markets, there is ample competition for the members’ discretionary spending – and often from operations that offer limited well-designed and executed products or services; whereas clubs must be all things to all members.
  8. In a sense, club members are a “captive” audience and can quickly grow bored or dissatisfied with the same old events and activities.  A club staff, without the ability or resources to provide frequently changing “wow” factor events, will often hear the comment, “What have you done for me lately?”
  9. In some clubs ever-changing boards offer little continuity of direction.

Given these and other specific challenges that vary from club to club, it is absolutely imperative that club managers organize their operations in detail.  My own list of requirements includes:

  1. Leadership and management training for all managers and supervisors with an aim of having consistent and disciplined, service-based leaders taking disciplined actions (the benefits of which are discussed by Jim Collins in Good to Great, Why Some Companies Make the Leap . . . and Others Don’t).
  2. Well-defined and consistently reinforced organizational values and culture of service.
  3. A written operations plan made up of standards, policies, and procedures – absolutely critical for human resources and accounting, and fostering organization and discipline in club departments.
  4. Communicate thoroughly with members through a variety of tools and techniques, including newsletter, members only website, management calling programs, and General Manager’s letters.  Understand members’ wants and preferences by taking the pulse of the membership with an annual online survey and monthly surveys of smaller subsets of members.  Analyze member spending habits and purchases to determine individual likes and dislikes, as well as popular and unpopular club initiatives and offerings.
  5. Provide ongoing, thorough training of managers and employees.  This coupled with service-based leadership and a constantly reinforced culture of service will foster employee empowerment, and as John Tschohl, President of the Service Quality Institute says, “Without empowerment, an organization will never be a service leader.  Empowerment is the most critical skill an employee can master and a company can drive in order to lure and keep customers.”
  6. Use Real Time Accounting of revenues, payroll, and other expenses to quickly spot and intervene to correct operational under-performance.
  7. Benchmarking of all areas of the operation to establish the norms of the operation.  The value of benchmarks tracked over time is immense and includes establishing realistic goals for future periods, establishing measurable accountabilities for managers, and easing the preparation and improving the accuracy of future budgets.
  8. Detailed planning, both strategic and tactical, at all levels of the operation and a habit of Continual Process Improvement.
  9. Thorough work planning and performance reviews, coupled with a policy of strict accountability for performance.  This requires developing measurable performance criteria for all managerial positions.
  10. A membership marketing plan based upon the realities of the marketplace and requiring weekly call and action reports from the membership director.  Recognizing that satisfied members are the best recruiters of new members, involve hand-picked members in the membership sales effort.

Each of these necessities, while challenging, will improve the organization and discipline of the club while fostering consistently higher levels of service.  The resulting efficiency and service of a well-run club will make it easier to attract members, which improves dues and revenues and ultimately better positions the club in the marketplace.

Thanks and have a great day!

Ed Rehkopf

This weekly blog comments on and discusses the hospitality industry and its challenges. From time to time, we will feature guest bloggers – those managers and industry experts who have something of interest to say to all of us. We also welcome feedback and comment upon the blog, hoping that it will become a useful sounding board for what’s on the minds of hardworking managers throughout the country and around the world.