Golf Courses & Country Clubs NAICS 713910

Apr 16, 2025 - Higher Growth Forecast

• The US golf course and country club industry is projected to grow at a CAGR of 4.5% between 2025 and 2029, according to a forecast from Inforum and the Interindustry Economic Research Fund, Inc. The expected growth rate is faster than the overall economy's projected growth. Spending by US households and tourists, foreign students, and other visitors largely drives the arts, entertainment, and recreation industries. Consumer confidence is expected to improve in the forecast period, which bodes well for the sector. A factor that may curb consumer spending is substantially higher tariffs on consumer goods, which may be painful for households. On a positive note, lower inflation supports a moderate increase of real disposable income by about 2% in 2025 and 1.9% in 2026. Real income could suffer if average prices rise due to tariff implementation.
• Golf course activity may be affected by falling consumer confidence, with levels declining 7.2 points to 92.9 in March 2025 month over month, according to the Consumer Confidence Index from the Conference Board. Stephanie Guichard, Senior Economist of Global Indicators at The Conference Board, noted that the segment driving March’s decline was consumers over 55 years old, and the decline spanned all income groups with the exception being households earning over $125,000. Per Guichard, “Consumer confidence declined for a fourth consecutive month in March, falling below the relatively narrow range that had prevailed since 2022.” Purchasing plans for homes and new cars declined while big-ticket purchases rose on a six-month moving average basis, which may reflect plans to purchase certain items before impending tariffs lead to price increases.

• According to a new report from the National Golf Foundation (NGF), the US golf market has experienced a net gain since 2022, with six additional facilities and 17 new courses. The gains are a departure from the supply correction that the market has experienced for much of the past two decades following oversaturation. In total, the NGF shows that there were 15,962 courses at 13,952 facilities in the US in 2024. Since the pandemic, conditions for the golf industry have improved with record levels of play and increased on-course participation, leading to greater investment in golf courses. NGF data shows that the number of annual course closures has decreased for five straight years, with the 2024 number of closed courses reaching its lowest level since 2004. According to the report, the industry has matured into a more sustainable phase of measured growth from its previous boom-and-bust cycle.
• Prices for imported building materials, raw materials for irrigation, and fertilizer and related products used by golf courses may increase in light of President Donald Trump’s tariff plans. According to Global Golf Post, Trump’s plans for tariffs on goods from Mexico and Canada are expected to affect the price of lumber. Higher lumber prices could have a severe impact on the construction of new golf course clubhouses and properties, as well as on capital improvements to existing facilities. Per the report, “The additional expense of a tariff on imported products will negatively impact the golf business, as either margins will become compressed from higher cost of goods, or some companies/brands will choose to raise prices, negatively impacting demand.”